In the recent federal election, it was no small feat for New Democrats to displace the separatist Bloc Quebecois and the Liberals and win 102 seats in Parliament, thus garnering official Opposition status. That’s an accomplishment even if one thinks that, on the facts, many NDP policies are wrong-headed.
That many NDP politicians have good intentions has never been an impressive excuse; lousy policy can and does hurt the very people the NDP often claims to represent: the poor, the elderly and others on the margins of society.
To be sure, the federal Conservatives, with a majority in Parliament, are unlikely to bite on the NDP’s more reckless proposals. But the problem in the next four years will be the potential of the NDP to wrongly raise public alarm and thwart sensible reforms. So, given the potential influence of Her Majesty’s loyal Opposition on that score, here is some unsolicited policy advice on two issues.
Free trade: New Democrats have famously opposed free trade since their party’s inception, even though human beings have traded freely since we first graduated from walking on four limbs to two. It is usually only when governments become involved that businesses are granted unfair advantages in the marketplace, protection and in some cases, monopoly powers.
Since losing the debate in the 1988 election – the last time a Conservative government won a majority and over free trade – NDPers have modified the rhetoric slightly. Ever since, they’ve argued for so-called “fair trade” over free trade. But fair trade is just managed trade, not free trade at all.
New Democrats should drop the word games and their opposition to competitive markets in general. There are few better cures for the ills of monopolies than competition.
One obvious reason is competition for consumers. They don’t benefit from protectionism no matter the justification. Better prices and better-quality products result from multiple competitors; such consumer-friendly competition also expands the economic pie. But there’s an additional reason why free trade is preferable to trapped consumers: employees also often benefit.
New Democrats should ponder this scenario: imagine a working mother in Mumbai, India, with three children who’s married to an abusive husband. Now imagine she works for an Indian company where the employer has a monopoly in a particular sector. Perhaps also consider that it’s difficult for her to transfer her skills precisely because competitors don’t exist. Assume the employer knows that, and that the working conditions and pay and benefits are poor as a result.
Now imagine foreign competitors are allowed in the country (as has increasingly been the case in India over the last two decades). The woman has a chance to better her own condition and that of her children by leaving both her lousy husband and her lousy employer. She might end up working for a foreign company if she has the choice.
New Democrats should support a robust free-trading regime around the world because it’s of tremendous help to working men and women through expanded opportunities and more choices.
Health care: Over the years, the NDP has been the main block to sensible health-care reform. New Democrats have long possessed an ideological and almost religious attachment to government-funded, government-insured government-run health care. No other country on the planet is so blind on this matter save North Korea and Cuba, and even Fidel Castro has flown in private doctors from Spain, an indicator of how well the Cuban leader thinks his own system works.
New Democrats have long mistakenly (or purposely) confused the desirability of universal health care with government-insured and government-run health care. European social democrats have no such bizarre attachments to one monopolistic provider. On the continent, private insurance and private delivery of health care is part and parcel of universal coverage.
For example, Switzerland’s approach is to require health-care insurance – thus it’s universal. However, it is bought mainly from private insurers and premiums are subsidized by the government where necessary. Moreover, health-care services are delivered by a variety of private, government and non-profit providers. That helps keep quality up and health-care queues down.
Whether health care or free trade, if New Democrats can get over their historical ideological baggage, the party could play a positive role on such matters. That would be of great benefit to themselves but also to every Canadian – and even those beyond our borders.