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It’s the (pandemic) economy – The Hill

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The impact of the pandemic on the U.S. and global economy was catastrophic. Economic historian Adam Tooze characterized its impact as being “the swiftest and most comprehensive contraction of global economic activity ever.”

There are clearly other factors at work with regard to the economic problems confronting the U.S. and rest of the world, but it is safe to assume that the present economic conundrums would not exist without the pandemic. President Biden is being blamed for issues that are largely beyond his control and not of his making. Inflation is the primary focus of most Americans, who are concerned about rising prices for gasoline, consumer goods and utilities. FiveThirtyEight found that inflation has had a significant impact on Biden’s approval rating. 

The discontent over inflation is accompanied by fear of recession as the Federal Reserve raises interest rates to respond to spiraling prices. The stock market has been volatile, plunging in reaction to concerns over an uncertain economy. Yet, unemployment is also historically low, and the American public is traveling again at pre-pandemic levels — a sign of consumer confidence.

Peter Goodman wrote in the New York Times about what has been termed a “force hiding in plain sight” — the economic shock of the pandemic. Goodman suggests that the present economic crisis is in reaction to the pandemic and has been exacerbated by Russia’s disastrous attack on Ukraine. He quotes University of Texas economist Julia Coronado as saying, “Pretty much everything in our lives has been disrupted by the pandemic, and then we layer on that a war in Ukraine.”

Supply and demand, which is fundamental to the cost of goods and services, were affected dramatically by the pandemic. People largely stayed at home. Jobs were lost and businesses were closed. Supply chains were disrupted. The nature of work and education changed. How people viewed their jobs and their future in the workforce was altered.

Lockdowns meant that the home became central to day-to-day lives, which altered patterns of consumption and how the economy functioned. For example, going to movies and restaurants was drastically curtailed, even halted. The restrictions of everyday life during the height of the pandemic had an impact on how people viewed their day-to-day activities. Working from home, another pandemic-related change, affects issues such as office space, public transportation and the functioning of businesses that no longer connect to the pre-pandemic economic reality of going into the office regularly. 

Understanding the role that the pandemic has played in determining the present economic state in the U.S. and globally, as well as the economic future, is key to determining responses to present crises. Biden has been criticized for putting too much money into the economy and thereby increasing the likelihood of inflationary pressure with his American Rescue Plan, but the plan was literally a lifeline for millions of Americans — who, in turn, helped stabilize the economy.  

In addition, the U.S. just joined 17 other nations in responding to supply chain issues via the Supply Chain Ministerial Forum. This effort is a good example of a response to the international dimension that the pandemic and related crises are having on the U.S. and the global economy.

Familiar tools such as the Fed’s raising of interest rates are being used to respond to the rise in inflation. There are risks to this approach, but the calculation is that it is a risk worth taking. The issue of placing political blame on the Fed chairman plays an important role in the argument of whether there will be support for the Fed in its effort to raise interest rates and stop inflation from careening out of control. 

As economic writer and scholar Sebastian Mallaby recently pointed out in the Washington Post, “If (former President) Trump or a Trumpist wins in 2024, he or she will probably attack the Fed at the expense of growth and jobs, even though the best thing the Fed can do for the economy is to deliver stable prices. Vacancies on the Fed’s decision-making committee could be filled by hacks with no stomach for the short-term costs of containing inflation.”

The economy is fundamental to how people view their future, and how they view their future determines how they vote. This does not mean that tough analysis on economic policy choices is not warranted. It is, but if that analysis is to be sound it must include an honest assessment of the circumstances surrounding the present state of the economy. This is an existential issue, because, while the medical response to the pandemic has changed for the better as a result of innovations, the pandemic is far from over. It is also a safe bet that there will be future pandemics that will impact the daily lives of Americans. 

The present economic crisis is not so much about inflation as it is about trusting and empowering political leaders to act responsibly in managing the economy under difficult and evolving circumstances. That trust must be based on facts and sound analysis and not on a faux populism buttressed by disinformation. There is too much at stake to do otherwise.

William Danvers is an adjunct professor at George Washington University’s Elliott School and worked on national security issues for the Clinton and Obama administrations. 

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Construction wraps on indoor supervised site for people who inhale drugs in Vancouver

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VANCOUVER – Supervised injection sites are saving the lives of drug users everyday, but the same support is not being offered to people who inhale illicit drugs, the head of the BC Centre for Excellence in HIV/AIDS says.

Dr. Julio Montaner said the construction of Vancouver’s first indoor supervised site for people who inhale drugs comes as the percentage of people who die from smoking drugs continues to climb.

The location in the Downtown Eastside at the Hope to Health Research and Innovation Centre was unveiled Wednesday after construction was complete, and Montaner said people could start using the specialized rooms in a matter of weeks after final approvals from the city and federal government.

“If we don’t create mechanisms for these individuals to be able to use safely and engage with the medical system, and generate points of entry into the medical system, we will never be able to solve the problem,” he said.

“Now, I’m not here to tell you that we will fix it tomorrow, but denying it or ignoring it, or throw it under the bus, or under the carpet is no way to fix it, so we need to take proactive action.”

Nearly two-thirds of overdose deaths in British Columbia in 2023 came after smoking illicit drugs, yet only 40 per cent of supervised consumption sites in the province offer a safe place to smoke, often outdoors, in a tent.

The centre has been running a supervised injection site for years which sees more than a thousand people monthly and last month resuscitated five people who were overdosing.

The new facilities offer indoor, individual, negative-pressure rooms that allow fresh air to circulate and can clear out smoke in 30 to 60 seconds while users are monitored by trained nurses.

Advocates calling for more supervised inhalation sites have previously said the rules for setting up sites are overly complicated at a time when the province is facing an overdose crisis.

More than 15,000 people have died of overdoses since the public health emergency was declared in B.C. in April 2016.

Kate Salters, a senior researcher at the centre, said they worked with mechanical and chemical engineers to make sure the site is up to code and abidies by the highest standard of occupational health and safety.

“This is just another tool in our tool box to make sure that we’re offering life-saving services to those who are using drugs,” she said.

Montaner acknowledged the process to get the site up and running took “an inordinate amount of time,” but said the centre worked hard to follow all regulations.

“We feel that doing this right, with appropriate scientific background, in a medically supervised environment, etc, etc, allows us to derive the data that ultimately will be sufficiently convincing for not just our leaders, but also the leaders across the country and across the world, to embrace the strategies that we are trying to develop.” he said.

Montaner said building the facility was possible thanks to a single $4-million donation from a longtime supporter.

Construction finished with less than a week before the launch of the next provincial election campaign and within a year of the next federal election.

Montaner said he is concerned about “some of the things that have been said publicly by some of the political leaders in the province and in the country.”

“We want to bring awareness to the people that this is a serious undertaking. This is a very massive investment, and we need to protect it for the benefit of people who are unfortunately drug dependent.” he said.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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N.B. election: Parties’ answers on treaty rights, taxes, Indigenous participation

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FREDERICTON – The six chiefs of the Wolastoqey Nation in New Brunswick distributed a survey on Indigenous issues to political parties ahead of the provincial election, which is scheduled to kick off Thursday. Here are some of the answers from the Progressive Conservative, Liberal and Green parties.

Q: How does your party plan to demonstrate a renewed commitment to recognizing our joint treaty responsibilities and acknowledging that the lands and waters of this territory remain unceded?

Progressive Conservative: The party respectfully disagrees with the assertion that land title has been unceded. This is a legal question that has not been determined by the courts.

Liberal: When we form government, the first conversations the premier-designate will have is with First Nations leaders. We will publicly and explicitly acknowledge your treaty rights, and our joint responsibility as treaty people.

Green: The Green Party acknowledges that New Brunswick is situated on the unceded and unsurrendered territories of the Wolastoqiyik, Mi’kmaq and Peskotomuhkati peoples, covered by the Treaties of Peace and Friendship. Our party is committed to establishing true nation-to-nation relationships with First Nations, grounded in mutual respect and co-operation as the treaties intended.

Q: How does your party propose to approach the issue of provincial tax agreements with First Nations?

Progressive Conservative: The government of New Brunswick operates in a balanced and fair manner with all organizations, institutions and local governments that represent the citizens of this province, including First Nations. Therefore, we cannot offer tax agreements that do not demonstrate a benefit to all citizens.

Liberal: Recent discussions with First Nations chiefs shed light on the gaps that existed in the previous provincial tax agreements with First Nations. Our party is committed to negotiating and establishing new tax agreements with First Nations that address the local needs and priorities and ensure all parties have a fair deal.

Green: The Green Party is committed to fostering a respectful relationship with First Nations in New Brunswick and strongly opposes Premier Blaine Higgs’s decision to end tax-sharing agreements. We believe reinstating these agreements is crucial for supporting the economic development and job creation in First Nation communities.

Q: How will your party ensure more meaningful participation of Indigenous communities in provincial land use and resource management decision-making?

Progressive Conservative: The government of New Brunswick has invested significant resources in developing a robust duty to consult and engagement process. We are interested in fully involving First Nations in the development of natural resources, including natural gas development. We believe that the development of natural gas is better for the environment — because it allows for the shutdown of coal-fired power plants all over the globe — and it allows for a meaningful step along the path to reconciliation.

Liberal: Our party is focused on building strong relations with First Nations and their representatives based on mutual respect and a nation-to-nation relationship, with a shared understanding of treaty obligations and a recognition of your rights. This includes having First Nations at the table and engaged on all files, including land-use and resource management.

Green: We will develop a new Crown lands management framework with First Nations, focusing on shared management that respects the Peace and Friendship Treaties. We will enhance consultation by developing parameters for meaningful consultation with First Nations that will include a dispute resolution mechanism, so the courts become the last resort, not the default in the face of disagreements.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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Canadian Coast Guard crew member lost at sea off Newfoundland

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ST. JOHN’S, N.L. – A crew member of a Canadian Coast Guard ship has been lost at sea off southern Newfoundland.

The agency said in a release Wednesday that an extensive search and rescue effort for the man was ended Tuesday evening.

He was reported missing on Monday morning when the CCGS Vincent Massey arrived in St. John’s, N.L.

The coast guard says there was an “immediate” search on the vessel for the crew member and when he wasn’t located the sea and air search began.

Wednesday’s announcement said the agency was “devastated to confirm” the crew member had been lost at sea, adding that decisions to end searches are “never taken lightly.”

The coast guard says the employee was last seen on board Sunday evening as the vessel sailed along the northeast coast of Newfoundland.

Spokeswoman Kariane Charron says no other details are being provided at this time and that the RCMP will be investigating the matter as a missing person case.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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