New Right Eegemony in Canada - Bibliothèque et Archives Canada

New Right Eegemony in Canada:
Ideological Influences on Parties, Perceptions,and Policies
by Richard D.Algie
B.A. University of Alberta 1989
B.A.(Hons.equiv.) UBC 1994
Thesis Submitted in Partial Fulfillment of
the Requirements for the Degree of
Master of Arts
in the department
of
Sociology and Anthropology
9Richard Algie 2000
Simon Fraser University
April2000
Al1 rights reserved. This work may not be
reproduced in whole or in part, by photocopy
or other means, without permission of the author.
1*1
National Library
Bibliothèque nationale
of Canada
du Canada
Acquisitions and
Bibliographie Services
Acquisitions et
services bibliographiques
395 Wellington Street
ûttawaON K1AON4
395. r
w WdlingtOrr
-ON
K 1 A W
Canada
Canada
The author has granted a nonexclusive licence allowing the
National Library of Canada to
reproduce, loan, distribute or setl
copies of this thesis in microfom,
paper or electronic formats.
L'auteur a accordé une licence non
exclusive pemettant à la
Bibliothèque nationale du Canada de
reproduire, prêter, distribuer ou
vendre des copies de cette thèse sous
la forme de microfichelfilm, de
reproduction sur papier ou sur format
électronique.
The author retains ownership of the
copyright in this thesis. Neither the
thesis nor substantial extracts fkom it
may be printed or otherwise
reproduced without the author's
permission.
L'auteur conserve la propriété du
droit d'auteur qui protège cette thèse.
Ni la thèse ni des extraits substantiels
de celle-ci ne doivent être imprimés
ou autrement reproduits sans son
autorisation.
Abstract
In this thesis, 1 examine primarily the role of ideoiow, in particular, the
penetration of the New Right (NR)ideology into the discourse of major political parties
in Canada. Thus a nurnber of conceptions of ideology will be reviewed as a means to
derive a conceptual fiamework for understanding expressions of NR ideology in the
Refom Party and other major Canadian political parties.
With the omet of global restnicturing and the Canadian fiscal and national
di fficulties, the Reform Party has emerged as a new political party that is actively
working to organize, promote, and conduct concerted attacks on the welfare state. The
Reform Party, which expresses a NR ideology that combines neo-liberal economic and
politicai positions with neo-consewative social and moral positions, has contributed to
the erosion of Canada's welfare state. Other supporters of the NR ideology are also
attempting to destroy the welfare state and the ideological consensus surroundhg it, thus
setting the stage for increasing social inequality in Canada.
Findings of this thesis demonstrate the linkages between the NR discourse of
several key global institutions, and that of the Reform Party and the New Democratic,
Liberal. and Conservative parties. NR themes which have gained dominance within
Canadian political economic discourse are identified, such as positions on fiee-market
econornics. the debt and deficit, and social conservatisrn. Such NR themes and shifts in
poIitica1 ideology since the mid- 1970s are traced through global trade institutions in the
post-WWII penod by way of document review and in Canadian political parties in the
1970s to 1990s by way of House of Commons debates. Secondary sources that include
newspapers. magazines, journais, books, party leaders statements, political platforms,
and statistics are aiso used to document the shift to a NF2 ideology.
1 argue that a NR ideology has ernerged within the discourse of Canada's major
political parties and has shified political debates and policies to the right. This creation
and implementation of NR-influenced policies became possible once people had become
more receptive to NR ideas and the NR's policy agenda. That is evident. as d l the major
political parties in Canada have adopted aspects of the three key themes (such as fieemarket economics, debt and deficit reduction, and sociai conservatism) found within NR
ideology and have put policies in place which are based on elements of these NR themes.
These policies have eroded key programs of the Canadian welfare state and have created
a much more unequal, class-stratified, authoritarian society and began to reverse the
liberal transformations (in the areas of feminism, the farnily, and sexuality) of this
century.
This study may be of help to those subordinate groups and classes in Canada who
are struggling to construct an alternative hegemonic politics that will need to confiont
both the NR and its vision for Canada and be compelling for a large number of
Canadians.
TABLE OF CONTENTS
PAGE
...
Abstract
111
Table of Contents
v
List of Tables
vi
Chapter 1 Introduction
1
Chapter 2 Theoretical Perspectives on Ideology
8
Chapter 3 Emerging Hegemony o f NR Ideology in Global Institutions and
20
Policies (postWWn) and in Canadian Politicai Parties and Policies
Chapter 4 NR ideology in Canadian Political Parties in the mid-1970's
47
Chapter 5
65
The Rise o f the Reform Party and its NR Ideology
Chapter 6 NR Ideology in Canadian Political Parties in the 1990's
Chapter 7
Conclusion : The Shift to the Right
81
112
Appendix 1
131
Bibliography
132
LIST OF TABLES
Table 4.1 Support for NR Ideology by Canadian Politicai Parties: 1970s
5.1 Support for NR Ideology by The Reform Party
6.1 Support for NR Ideology by Canadian Political Parties: 1990s
7.1 Support for NR Ideology
by Canadian Politicai Parties: mid- 1970 & late I 990s
1
Chapter 1
Introduction
In Western democracies around the world, political ideology has shifted rightward
to embrace the New Right (NR) perspective. That has been evident in global institutions
created in the aftermath of World War II and in the rise of NR politics in England under
Margaret Thatcher, in the United States under Ronald Reagan, and in Canada under Brian
Mulroney. The focus of this thesis is on the rise of the NR in Canada and, in particular,
the shifi to a NR ideology within Canadian political parties fiom the mid -1970s to the
Iate 1990s. Several key forces have influenced this shifi including the new realities of
globalization, the effect ofregionaiism, and the need to restructure the Canadian
economy to increase competitiveness. The lobbying efforts of the Business Council on
National Issues and the Fraser Institute, among others, have also played a role in this
shift. However, this thesis will focus on the role played by the Reform Party in
representing the NR ideology and in pushing its agenda to the forefiont of Canadian
politics.
The implications of the dominance of NR ideology are that its adherents in the
NR movement bring about changes in policy and in ideology that will alter Canadian
society economically and socially, be devastating for many Canadians, and will be
estremely dificult to reverse. House of Commons debates clearly illustrate this shifi in
ideology, and through their widespread dissemination in the media, they influence the
general public towards a greater acceptance of NR ideology and policy.
2
The rise of the NR and the Reform Party have forced the other political parties to
rnake a rightward shifi in their policies and ideology. This is in part a response to the
new realities of global restmcturing. Importantly, however, the Canadian case has its
own distinctive specificity based on its political, economic, social, and cultural history.
This specificity includes: a history of technologicai dependence, a high degree of foreign
ownership in the economy, and regional politics. al1 set against the background of both a
fiscal crisis and a crisis of national identity. These factors have set the stage for the
erowth of the Reform Party and the dramatic shift to the right which is evident in the
C
other major Canadian parties-
The primary interest of this thesis is to examine the role of ideology and the
penetration of the NR agenda into the discowse of the major political parties in Canada
which include. the Conservative Party. the Liberai Party, and the New Democratic Party.
This analysis will illustrate the rightward shift in the political ideologies of the major
parties and will then assess the implications of this shif3 for policy and Canadian society.
The key question with which this study is concemed is, to what degree has the
ideology of proponents of the NR influenced political parties and their perceptions about
fiee-market economics, the debt and the deficit, social conservatism (includes sociai
authoritarianism, and crime and punishment issues), and social inequality in Canada since
the mid- 1970s? (See Appendix 1 for primary and secondary research questions-) 1 will
argue that global institutions and the global economy have provided the conditions for the
rise of the NR in politics,
and that N R ideological influence on other parties has k e n
substantiai. The continued moves of these global institutions to create a fiee-market
3
combined with the crisis of the global economy based on the oil shock of 1973, the omet
of stagflation, the rise of Japan, and the competition fiom the NICs has created the
economic basis for the rise of the NR. The NR movement consists of many groups and
individuais such as the Business Council on National Issues (BCNT),and the Fraser
Institute. I will argue fiuther that proponents of the NR, such as the Reform Party, have
influenced a shift in ideology. as evidenced in policies and perceptions on key issues
debated in the House o f Cornmons. Finally, 1 will argue that the NR ideology that has
emerged within the discourse of Canada's major political parties has shified political
debates and policies to the right, eroded support for welfare policies, and increased social
inequality. The following sections in this chapter will outline the key concepts, research
procedures, sources of evidence, and methods and analytical techniques that will be
employed in this thesis.
Key Concepts
Several key concepts wiIl be employed in this thesis including common-sense,
hegemony, ideology and the New Right (NR).The cornmon-sense refers to the
uncritical, unconscious and unexamined, everyday understandings (see Hall 1988%Hall
1988b55). Hegemony is defined as the NR's abiiity to secure the consent of the people
through the construction of ethical, moral, intellectual, ideological, and cultural
dominance. in addition to political and economic dominance, that is, leadership on a
broad front. which involves contesting and winning space in civil society and within the
dominant power bloc of the state itself (Hall I988b:53-55). Ideology refers to a
woridview or perspective which foms and shapes our consciousness of reality and also
saturates our language. Ideology also profoundly affects our unconscious and underlies
our "common-sense" (Hall 1988%1988b:55-56). The New Right ideology is defined as
containing neo-cornervative and neo-liberal elements. Neo-liberalism is characterized by
its extreme individualism, fkee choice, a market society, laissez-faire economics, and
minimal government (Levitas l986:3). The neo-conservative strand is distinguished
from early conservatism which accepts the welfare state. In contrast, neo-conservatism is
characterized by a belief in strong government, social authoritarianism, a disciplined
society, hierarchy and subordination, and nationalism (Belsey 1986: 173).
Authoritarianisrn and a repressive social and moral code harkening back to Victorian
values is central to neo-conservatism. (See section entitled, 'roots of the NR',in chapter 2
for further detail.) The NR is also defmed as a social movement or force whose actors
express the NR ideoIogy.
Research Procedures
This thesis will employ a methodological tiamework incorporating a number of
conceptions of ideology fiom the cultural studies literature. This framework will allow
for an exarnination of the ideology of the NR and its hegernonic attempt to shift the
political debates and policies to the Right and alter the "cornmon-sense" of Canadians.
Sources of Evidence
The sources employed in this research will include the following: an analysis of
the relevant literature, including books, magazines, newspaper articles, the publications
5
of key global institutions, of party platform statements by Reform, the Conservatives. the
Liberals, and the NDP; of political party and govemment policies; and of leaders'
speeches and public statements. The Hansard fiom the House of Cornmons which
contains debates between members of parliament will also serve as a key document from
which to obtain research data to demonstrate the shifl to the right in political party
ideology. Several time periods wi11 be focussed on, including the pst-WWII period;
1973-76. a period of economic recession and weakening of the consensus; and the period
from early 1993, prior to the stunning Federal election of 52 Reformers, to the present.
This focus will allow for a sense of the significance of the policy and ideology shifts to
the right.
l'blethods and Analytical Techniques
The key documents were analyzed for the emergence of NR themes which are the
central tenets of NR ideology. This analysis allowed for an evaluation of the shifi to the
right evident within these documents. The three key themes are fiee-market economics,
the debt and deficit, and social conservatism, which includes, social authoritarianism, and
crime and punishment issues. Free-market economics refers to minimizing govenunent
intervention in the market and the removd or elimination of government programs and
services where they interfere with the market's operation. Thus, a willingness to let
market forces decide the outcome of capitalist economics is also central to ftee-market
thinking. NR positions on the debt and deficit are characterized by an obsession with
ending deficit spending, eliminating the debt, and an e q d l y powerful cornmitment to
slashing govemment programs while decreasing taxes, particularly for the wealthy.
6
Social authontariankm can be defmed as a r e m to Victorian vaiues which viewed men
as leaders of the family, womens' place as in the home, homosexuals as societal outcasts
and sinners, and premarital sex as a shame. In addition, abortion would be made a
criminal offence, and those involved, in obtaining or providing them, would be subject to
criminai law proceedings. NR positions on crime and punishment focus on using harsh
punishment and increased sentences for offenders as a deterrent to crime rather than on
increasing income distribution and the rehabilitation of criminals as preventive of crime.
The NR also supports using capital punishment to deter murderers.
The methods used to analyze the data collected fa11 within the broad confines of
content analysis and demonstrate the emergence of NR thernes and ideology as outlined
above. 1 am using a theoreticai consmct of the New Right and will be checking varÏous
data sources for NR ideology containing neo-conservative and neo-liberal elements. The
political parties and organizations which express NR ideology will then be compared on
the basis of how closely they match up to my construction of the NR's theoreticai
positions. By comparing the positions of different political parties and important NR
organizations on key theoretical positions, 1 will be able to assess whether a change has
occurred in the ideology of these parties or organizations. This cornparison wil1 illustrate
the shift that these parties have undergone in terms of adopting NR positions on key
political issues and policy matters. M e r docurnenting these shifts in the political parties
and their policies, I will have grounds to discuss the potential impact of these NRinfluenced changes on Canadian Society.
7
The thesis is organized in the following manner: Cbapter 2 will examine the
theoretical basis of the NR and set out its philosophical ongins and key ideological
positions as well my theoretical position on ideology; Chapter 3 will discuss the key
global institutions which paved the way for the rise of the NR and will also examine the
emerging hegemony of NR policy and ideology in Canadian poiitical parties; Chapter 4
will focus on the ideological positions of Canadian political parties in the rnid-1970s by
reviewing House of Comrnons debates, whereas Chapter 5 will discuss the rise of the
Refom Party and its NR ideology Chapter 6 will assess the NR positions of Canadian
political parties during the period since 1993 to the present, using matenal fiom the
House of Comrnons debates, whereas Chapter 7 concludes the thesis by andyzing this
shifi to the right and its implications for the fùture of Canadian public policy and
Canadian society.
Chapter 2 Theoretical Perspectives on Ideology:
The Roots and Rise of the New Right Ideology
There are many varied and complex perspectives on the subject of ideology and
this chapter will examine a number of these conceptions and will then proceed to develop
a perspective which will allow for an analysis of NR ideology in Canada. 1 will first
explore how ideology was addressed in classicai Marxism, as well as the relations
between ideology and fdse consciousness, and ideology and hegemony. i will then
proceed to examine the philosophical roots of the NR. Next, 1 will explore the work of
Stuart Hall and his contribution in the British Cultural Studies literature to the analysis of
the British NR. Because Hall's work represents, in my view, the most synthetic and
miittùi approach to understanding changes in political ideology, 1 will use elements of his
anaIysis in my assessrnent of NR ideology in global institutions, Canadian political
parties and policies, and party positions in House of Comrnons debates. Finally, i will
look at the Canadian NR and the NR ideology of the Reform Party.
Perspectives on Ideology
Mamist Debates on Ideology
The Marxist tradition provides an understanding of the comection between
capitalism and ideology which is crucial as the economy continues to have a powerful
influence on the construction, role and dissemination of ideology (Hall 1988b54).
Furthermore, the historical specificity of the Marxist approach to understanding
capitalism is also necessary to adequately make sense of both the context and the limits
within which any ideology must operate (Hall 1988b56). For classical Mancism,
9
ideology is viewed as a reflection of the economic base and the social relations which
result fkom their exploitive arrangements. Ideology exists to cover up or conceal the
contradictions fundamental to capitalism and thus maintains the illusion that the system is
fair (Larraine 1991:43-45). To change society it was thought that one must strip away the
veil of ideology fiom the eyes of the working class. That would allow for the attainment
of t m e class consciousness, and the working class couid then complete its historical
mission through the revolutionary process by overthrowing capitaiism, thus putting an
end to the need for ideology to conceal its contradictions (Larraine 1991:44-45).
Neo-Marxist contributors to the cultural studies literature have also made
significant contributions to understanding ideotogy and have attempted to answer several
key questions that arise within debates on ideology. First. " What is an ideology?" Second,
"How shouId we understand the social process by which a new ideology is constnicted?"
And finally, "How should we understand the social consequences of ideology?" Overall.
there is Iittle consensus regarding precisely what ideology means or why it is
consequential. However, several usages are common.
Ideology as False Consciousness
George Lukacs in his Hegelian reading of Marx, views ideology as fdse
consciousness (Lukacs 1923, Larraine 1991:71-74). That is, the dominant classes have
used their control of the means of mental production ideologically to fool the masses into
not recognizing where their real material interests lie, so that they therefore live in a sort
of illusory state. Once real materid factors begin to exert themselves, however, the web
of illusions would be dispelled, and the working class would awake to reaiity, and mass
10
solidarity and enlightenment would occur (Hall 1988b:43). This seems overly idealist,
however, and has been subjected to rigorous critiques by many scholars (Hall 1988bA4).
For example, ideology cannot be false consciousness, for it is also profoundly
unconscious (Hebdige 1994:363). Stuart Hall also disagrees. for viewing ideology as
false consciousness assumes an empiricist relation of the subject to knowledge, namely
that the real world indelibly irnprints its meanings and interests directly into our
consciousness (Hall 1988bA4). And, secondly, Hall States that "It is a highly unstable
theory about the world which has to assume that vast numbers of ordinary people,
mentally equipped in much the sarne way as you or 1, can simply be thoroughly and
systematically duped into misrecognizing entirely where their real interests lie" (Hall
I988b:44).
Ideology as World-View
Ideology has also k e n defined as a world-view or system of belief. According to
Patricia Marchak (1988:5), an ideology combines, "shared ideas, perceptions, values. and
beliefs through which members of a society interpret history and contemporary social
events and which shape their expectations and wishes for the fùture." In this context,
ideologies are viewed as competing with each other for dominance.
The notion of ideology as world-view has been criticized in several ways. First,
for Dick Hebdige. ideology cannot be reduced to an abstract dimension of a world-view,
for ideology functions at the level of the unconscious (1994:363). Second. ideology can
be contradictory, partial, non-systematic, and is very often not coherent (Hall 1988b:SS56). For Antonio Gramsci, ideology is not simply a world-view but takes on a much
more complex nature.
Ideology as Hegemony
Antonio Gramsci has contributed much to the understanding of ideology.
Gramsci believed that ideology cannot be reduced to economic or political processes,
even though any ideology is both atticulated with, and conditioned by, these processes
(Larraine 1991:78-87). For Gramsci, an ideoiogy is a specific "system of ideas", dong
with their capacity to inspire concrete attitudes and give certain orientations for action.
Gramsci developed this notion of ideology in connection with the concept of hegemony,
which refers to the ability of a particular class to secure the adhesion and consent of the
broad masses. Importantiy, ideology has an integrating effect which is based on its
ability to \vin the fiee consent of the people. This hegemonic quality of a world-view is
found in the "solidity of popular beliefs" which has the same energy as a material force
(Larraine 1991:80-8 1).
Gramsci believed that there was no mechanistic correspondence between
ideologies and the social structure and that "ideology is not just a philosophical worldview. but it must necessarily entail onentations for action and must be sociaiized in the
masses. To this extent ideology has to be continuously refashioned in order to become
adequate for new historical situations" (Larraine 1991:87). The agent of this refashioning
is the intellectual (Eatwell and Wright 19935) who plays a key role in the creation of
consciousness through ideology. Further, as both d i n g class and working class have
organic intellecniais who give each an awareness of their function as a class, so then do
dominant and dominated ideologies confiont one another, and ideology becomes the
12
terrain of a stniggle (Larraine 199 1934-85, 89) with each strata of intellectuals attempting
to organize a Iarger mass and to constnict a unified hegemonic bloc.
For Gramsci, ideology has a material basis and constmcting this hegemony is not
possible without also dominating the decisive nucleus of economic activity. Thus,
hegemony involves the construction of ethical, moral, intellectual, ideological, and
cultural dominance, in addition to political and economic dominance (Hall 1988b54).
Thus. ideology constitutes one area of struggle among others; and importantly, any
attempt to win power in the state must aiso succeed in winning space in civil society
which constitutes the ideological terrain of stniggle and includes the ideological
apparatuses, such as the educational system. religious organizations, publishers, and
communications media in general. Civil society as the domain of ideological struggle is.
thus. where hegemony is won when one class succeeds through stniggle in gaining the
consent of the people (Larraine 1991:78-85). For Gramsci, political society constituted
the other part of the superstructure and includes the state apparatus which has a monopoly
over the use of force and can thus use coercion to enforce its mandate (Larraine 1991:85).
If the social world is, as Gramsci says, a fluid process, "characterized by an
infinite variety and multiplicity, history possesses no inherent meaning immanent in
human nature, and nothing was guaranteed" (Fernia 1993:1 IO). Therefore, with no
specific direction to historicai development, the future of capitalism remains somewhat
open-ended. This reaiization leads to the conclusion that bringing an end to capitalism is
not a matter of waiting for the historically inevitable conditions to occur on which to base
a revolution, but requires hegemonic stniggle to be waged on the politicai, economic,
social, cultural, and ideological fronts.
New Right Ideology
I will now turn to examine the roots of the NR ideology and will also demonstrate
the elements of this new conjuncture of the neo-liberal and neo-conservative strands
which compose the contradictory formation of the NR (see Gamble 1986:25-54, Green
198%McBride 1993). These strands predate Marx's ideas on ideology and have evolved
over time to become the potent ideology that has taken hold in many Westem
democracies. The chapter will then focus on the NR ideology known as "Thatcherism",
followed by an exploration of the Canadian NR and its expression in the Reform Party as
bath have risen in part as a response to the global restructuring and Western economic
crisis of the 1970s.
The Roots of The New Right Ideology
The "New Right" is a composite of two strands of political philosophy which
have their roots in the Liberalism and Conservatisrn of the 17th and 18th centuries. The
proponents of this NR philosophy, in fact, view themselves as taking society back to a
time when these classical views were uncontaminated by the "socidisrn" of the
Ksynesian Welfare State (Levitas 1986:4, Garnble l986:40-42, King 1987:12- 16). These
two strands have corne to be known as neo-liberalism and neo-conservatism, and while
there is still much disagreement over the exact composition of these philosophies, an
explication of their essential elements will be necessary to arrive at a satisfactory
definition of this new phenornenon.
14
According to Andrew Gamble, neo-liberalism is composed of belief in the fieemarket. an extreme libertariankm with its belief in an almost complete lack of control
over the individual by the state, and the influence of the Austrian school of economics,
which has also been central to the revival of the liberal tenets of individualism, a limited,
constitutionally specified role for the state, and a belief in the market (King 1987: 14,7376. Garnble 1986:30-3 1). The neo-liberal thinker. Von Hayek. is a prominent product of
this school. This neo-liberal strand is radically opposed to state intervention in the
economy and is, thus, differentiated fiom welfare state liberalism.
For Andrew Belsey, neo-liberalism is characterized by its extreme individdism
and its belief in fiee choice. a market society. laissez-faire economics, and minimal
govemment (Belsey 1986:i 73). First, within neo-liberaiism, the individual is thus
inviolable, and the libertarian strand is rooted fïrmly in the Lockean tradition of the 17th
century with its view of individual rights as "natural rights" (Tucker 1980:128- 129). The
individual is, thus. at the base of al1 experience, and further, as Margaret Thatcher has
pointed out. for the neo-[iberal, "there is no such thing as society" ( see King 1987: 12).
Second. al1 individuals are viewed as rational, self-interested choosers and, as such, are
making free choices within the context of scarce resources. Thîrd, the market is believed
to provide for the most escient allocation of goods and services, and thus, laissez-faire
economics is key. In short, govemment intervention into the economy is viewed as bad
and the free-market as good (Gamble 1986:30). Further. low taxes are viewed as
increasing freedom, and fostenng self-help, self-reliance, and personal responsibility.
Fourth. minimal govenunent is justified only for the protection of pnvate property and
for the protection of private individuais from personal harm.
A key proponent of this view is Robert Nozick whose libertarian philosophy is
based on a number of justifications for the minimal state. First, his claim is that we have
a right to our privately owned assets that we have worked for. Second, human dignity
requires that we be free f?om al1 relations that we do not enter into voluntarily. Third,
Nozick asks, ' W h y accept distributional requirements which allow some to benefit fiom
the achievements and efforts of others?" (Tucker 1980: 129). Finaily, Nozick thinks that
we should ignore the end States. or results, of these principles. In other words, whatever
distribution of goods and services results is of no concern. Nozick justifies this
philosophy in two ways. First, even though gross inequalities result, any other system
involving government intervention is far worse. Second, charity will take care of those
who are suffenng (Tucker 1980: 129- 131, King 1987:13.).
The neo-conservative strand is distinguished fkom early conservatism which
accepted. if grudgingly, the importance of welfare state provisions. In contrast, neoconsenratism is characterized by a belief in strong government, social authoribnanism, a
disciplined society, hierarchy and subordination, and nationalism (Belsey 1986:172- 176).
Authorhariankm and a repressive social and moral code harking back to Victorian values
is centrai to neo-consematism. In addition, a belief in a minimal role for the state in ail
areas e'rcept in the active promotion of private economic interests and in the policing and
Iaw and order iünctions is key. This role would ensure the necessary increased protection
for private property that would be required, given the increased crime that would result
from the institution of NR-influenced policies. Neo-conservatism, thus, includes a strong
anti-socialist stance, the promotion of nationalism, the surveillance and suppression of
subversion. neo-liberai econornics, and opposition to feminist and gay movements
(Levitas 19863-7).
The NR approach to economics is characterized by several points: first, that
governrnent intervention in the economy does not work; second, that al1 alternatives to
the market are deeply flawed; third. that govemment failure is more prevalent than
market failure; and fmally, that government intervention is unjust (Gamble I986:38).
The NR is, thus, a composite of neo-liberal economics and political positions and neo-
consemative social and moral positions directed at the revivd of market mechanisms and
an end to collectivist state action. Further, the NR is attempting to dismantle social
citizenship rights. including civil rights, politicd rights. and social rights, while at the
sarne time increasing the rights connected with the use and ownership of private property
which the NR has managed to connect with the issue of personal fkeedom (see King
1987:164-177).
Stuart Hall and ~batcberism'
The key contributor to the perspectives on the NR in Britain who has influenced my
thinking on ideology is Stuart Hall. My approach draws insights fiom Hall's work on
"Thatcherism" and his discussion of the hegemonic project o f the NR in Britain which
' see Hall's Policing The Crisis (1978), Andrew Gamble's work, The Free Economy and the
Strong State: The Politics o f Thatcherism (1988), David Green's, The New Right (1987); Hayes's
The New Right In Britain: An Introduction To Theory And Practice (1994), Ruth Levitas's, The
Ideology of The New Right (1986); and King's, The New Right: Politics, Markets, and
Citizenship (1987) for more background on the NR revolution in Britain.
17
attempted a fundamental restructuring of British society and moved to cut taxes. slash the
welfare state, and privatize the public sector, including selling off public housing. Hall's
book, The Hard Road to Renewal: Thatcherism and the Crisis of The Left (1 988) points
out the role of ideology in fracturing and replacing the previous social democratic
consensus with a new "Thatcherite" ideological bloc. Thatchensm, for Hall, is thus, not
simply a new form of political and economic organization, but critically, represents the
building of a new cultural force and way of thinking. According to Stuart Hall, the
construction of new ideological positions or the repositioning of older ones seems to
account for these changes. That is, people are attached to the familiar and are presented
with elenlents of ideologies to which they can relate, but which also work to transform
them (see Hall 1988a). NR advocates have been successfiil in shifting peoples' ways of
thinking away fiorn the ideological bloc of Keynesian welfare state discourse and
towards a new discursive formation which is composed of neo-liberal and neoconservative elernents. For Hall, the Left must learn fiom Thatcherism and work to
construct an alternative hegemonic project which can appeal to the "common-sense" of
the people. Thatcher promised voters, for example. that wages would increase and that
taxes would be cut. The Left must also consider closely what real tangible benefits it c m
offer to voters.
Understanding the role of ideology in altering one's "cornmon-sense" is an
important addition to understanding how ideology works beiow consciousness to shifi
and alter previous conceptions. Critically, ideology is profoundly unconscious, for "it is
here at the level of 'normal common sense', that ideological fiames of reference are rnost
18
firmly sedimented and most effective, because it is here that their ideological nature is
most firmly concealed" (Hebdige 1994:362). Thus ideology can work on the
subconscious and alter the comrnon sense in such a way that the change to a new way of
thinking appears natural or as inevitable. The possibility that ideology has material
consequences also means that the ideological domain must be confionted as a part of the
battle with the phenornenon of the NR (see Hall 1988% Eatwell and Wright 1993. Hall
1988b:35-57). For Hall, the material nature of ideology can be seen in its effects, and it
is these concrete consequences that allow one to pass judgement on the ideology in
question.
Following Hall, my research will analyze the NR as a hegemony seeking
movernent which combines neo-liberal economic and political positions with neoconservative social and moral positions and which is attempting to alter the "commonsense" of the people through the dissemination of ideology as a means to win power. In
addition, hegemony is a usefil concept as it is an accurate description of the battte for
leadership on a broad front and captures the NR's attempt to dominate the policy and
ideology of the major political parties and also become a leading force in al1 aspects of
society. Hall's take on ideology as both acting on and fragmenting the discowses of the
Left and altering the "cornmon-sense" is also effective as it illustrates how the NR is able
to shifi peoples' ways of thinking away fiom social democratic positions and convince
Canadians that NR solutions are the answer to their problems. Furthemore, this thesis
employs a conception of ideology which has material effects and has resulted in an
alteration in policy which is having detrimental effects on Canadians and Canadian
19
society . Finally, an understanding of NR ideology and its role in "wlliningthe hearts and
minds" of the citizenry would seem to provide the Lefi with a strategic plan o f action to
shift the NU discourses back into the domain of the Left or towards a new alternative
hegemonic ideology. The chapter will now examine the case of the Reform Party and its
NR ideology.
The New Right and the Ideology of the Reform Party
In Canada the Reform Party is one of the leading representatives of the key principles and
ideology of the NR. Trevor Harrison's Of Passionate Intensity (1995) clarifies Reform's
ideoloçical roots and links the party to the movement of the NR. Reform's electoral
success has illustrated the Party's ability to fraçture the discourses of the pst-war social
democratic consensus and penetrate even to the heart of the traditional NDP voter.
Moreover, the impact of Reform's ideology has contributed to the emergence o f NR
ideology within the major Canadian political parties. This emergence demonstrates that
NR ideoIogy is in its ascendency and is becorning hegemonic as the Liberals, the
Conservatives, and the NDP have al1 adopted NR-influenced positions and policies in
order to capture the new current wave of thought within Canadian culture. Before
exmining in detail the NR ideology of the Refonn Party in chapter 5 and the emergence
of NR ideology in major Canadian political parties as evidenced within the House of
Comnons debates discussed in chapters 4 and 6,I will first investigate several key global
institutions' ground-breaking work for the NR.
Chapter 3
Emerging Hegemony of New Right Ideology in Global Institutions
(post-WWlI) and Canadian Political Parties
Several key global institutions were created in the aftennath of World War II.
The creation of the UN helped to structure the globai system and promote k e trade and
the birth of the International Monetary Fund and the World Bank aided the global
administration of capital. The Organization for Econornic Cooperation and
Development and the General Agreement on Tariffs and Trade served to m e r structure
the global system and focussed on the liberaiization of world trade. In fact, the ciramatic
growth of the NR in the last 25 years would not have been possible without the ground
breaking work of these key institutions. for their policies were compatible with, and
provided the conditions for, the emergence of the NR. Their policies supported global
free trade. fiee-markets. and the introduction of cornpetition, al1 activities that had the
effect of undermining democratic decision-making, eroding national sovereignty?and
reducing the ability of states to intervene in economic development. Such effects were
compatible with NR ideology. 1 will provide evidence for this by first briefly describing
the growth of global institutions and their influence in shaping conditions for the NR to
emerge. This discussion will include a brief look at the United Nations (UN), the World
Bank (WB), the International Monetary Fund (MF),and the Organization for Economic
Cooperation and Development (OECD). The focus, however, will be on the General
Agreement on Tariffs and Trade (GATT), now known as the World Trade Organization
(WTO). which is representative of the various institutions created at Bretton Woods in
1 945. The rise of the NR in Western democracies will then be discussed, followed by an
investigation of the policy shifts of major Canadian political parties towards the NR
ideology of fiee trade.
The first major global organization fonned was the UN, which was a successor to
the League of Nations. The UN served to contain the expansion of socialism and
promote the ideology of liberal democracy (Teeple 1995: 12% 130). The WN thus served
to provide a structure to the emerging global system which would iater be important to
the establishment of global fkee trade.
The establishment of both the IMF and the World Bank in 1945 provided the
institutional fiamework for the global administration of capital. The M F regulated world
trade balances and served as a blueprint for a fùture world economic order, whereas the
World Bank managed an international fùnd for economic development (Teeple 19955758).
The OECD. another major global organization, was formed in December 1960
from the OEEC- the Organization for European Economic Cooperation- and now
includes Canada and the US.as fi111 members. The OECD is, thus, composed of the
world's rnost industrialized nations and this expanded organization has the objective of
harmonizing national plicies, encouraging parallel action in areas of cornmon interest,
and, through persuasion, of seeking changes in national poiicies that may be injurious to
others (Stone 1987:89). Thus, the OECD would follow the policy objectives of the
GATT and would serve primarily as a research body to promote the continued
liberalization of global trade (Stone 198739-95).
The GATT was established in 1947 to provide the institutional means for a
negotiated removal of al1 national baniers to world trade and to create universal
22
regulations for increasingly fieer commerce (Teeple lWFS8). The GATT's chief aims
were. thus. the expansion and Iiberalization of world trade through the dismantling of
obstacles to trade and the improvement of the international trading hmework (GATT
19745.14); and, according to liberal trade theory, this Iiberalization would increase the
standard of living and welfare of the people of the world (Golt 197457). Thus, the
GATT expressed the NR faith in the free-market and the need for corporations to
fùnction with minimal government intervention.
The establishment of the GATT was based on the following principles: first, nondiscrimination and multilateralism, and the application of the most favored nation
principle to ail signatories; and second, the expansion of trade through the reduction of
trade barriers: and finally. unconditional reciprocity among al1 signatones (Gilpin
1987: 19 1 ). However, one of the central characteristics of the GATT is its anti-
democratic character, for it operates at the supra-national level and, therefore, limits the
ability of the nation state to act in the interests of its citizens. This uifnngement upon
national sovereignty is compatible with the NR ideology which focuses on Iimiting the
ability of the nation state to affect capital. GATT expert Sydney Golt points out that "the
underlying philosophy of the GATT is precisely to limit, and subject to control and where
n e c e s s q . surveillance, the distortion of the market produced by state intervention" (Golt
19745). Clearly then. the GATT's philosophy is congruent with that of the NR which
emphasizes fiee-market econornics and is radically opposed to state intervention in the
economy.
Historically, the GATT meetings have concentrated on efforts to fiee the market
23
fiom the constraints of government intervention. For example, the GATT worked to
decrease tariffs and stop what it thought to be a dangerous protectionist trend which
threatened to split the world into two, or possibly three, great trading blocs set on
collision courses (Golt 1974:18). The formation of the European Economic Community
(EEC)?however?demonstrated clearly that increasing conflict and protectionism would
continue to challenge the ideology of free trade which serves as the basis of liberai
international -de
theory and the GATT (Gilpin 1987:192-195).
Up until 1964 the GATï utilized a method of bilaterai negotiations whereby each
item would be negotiated individually, and then that agreement would be extended to al1
members. The Kennedy Round saw the use of across-the-board tariff reductions with a
minimum of exceptions (GATT 1974:17- l9,2 1). By the mid- 1970s, however, the
optimism aroused by these agreements was shattered by dramatic changes in the world
economy. and key observers recognized that recovery steps needed to be planned into the
GATT to assist with adjustment (Golt 1978:~). Importantly, this adjustment was in no
way to interfere with the accumulation of capital and the continued liberalization of
markets. Instead. welfare state spending on social programs became the target as the
following statement by Ian MacGregor makes clear: "PoliticalIy motivated efforts to
bnng about various kinds of social readjustments go beyond the willingness of the
electorates to finance them or the willingness of governments to cover hem by raising
taxation. Therefore these ambitious programmes are financed by massive deficits which
undermine the cunency. What we saw hapjxning in the United Kingdom in the '60's and
emly '701s,we see happening in the United States today. The lesson we leam is that no
24
matter how we may try to redistribute wealth, it is necessary first to earn it" (Golt
1978:~).Thus, strongly developed at this historical moment in the history of the GATT
is the NR belief that welfare state programs are no longer affordable and that the focus
should be put on free trade development and economic growth.
This emphasis on the continued expansion of global trade resulted in the GATT
continuing to examine ail possible means for increasing global GNP and extricating the
GATT system fiom the "deep and prolonged crisis in the world economy" (GATT
19835 ) . It was clear that the GATT system was seriously endangered. Thus, GATT
members decided to pursue national examinations of their service sectors for future
inclusion in the next round of trade talks (GATT 1983:8-11,23). Serious concern was
also raised for the decreasing export earnings of the developing countries which, dong
with high inflation. had led to massive debt burdens. The U.S. expressed concern over
the Canadian Foreign Investment Review Agency (FIRA) (GATT 1983:64) which was
set up to screen foreign investments to ensure that they would be of benefit to Canada.
This Federal Act was later gutted and then dropped, as another national policy gave way
to the strength of the GATT and its supra-national authonty and discipline. This policy
change clearly exemplified the power of other nations to utilize the GATT process to
undermine the democratic decision making process of a national state and d s o echoes the
NR's ideology and its anti-democratic character.
The GATT has aiso focussed on other key initiatives to promote its NR ideology
of the free-market. Ln 1984 major moves were made to make trading arrangements
outside of GATT while national examinations of service sectors were brought forward
25
and protectionism remained a serious issue (GATT 19855-7,15,32). In 1985 growth in
the global economy fell to just 3 percent and developing countries expressed serious
concern about the demands of the developed nations to open their economies to the fiee
flow of services. Thirteen nations presented reports on their service sectors while
Canadian provincial liquor boards came under attack and were to be snidied by a panel.
Services were now deemed to make up 1/2 to 2/3 of world trade (GATT 1986:1-8.19).
As a result, it is clear why inclusion of the service sector in GATT negotiations is so
crucial to the expansion of world trade. This inclusion is especially important for the
developed nations which have increasingly shifted their economies to place greater
importance on the growth of services.
The year 1988 saw an 8.5 percent increase in world trade while, ironically,
developing nations teetered under rapidly increasing debts. Business confidence and
stock market assessments of growth based on the direction of a nation's trade policies
now exerted significant influence over national economic policy making. In this context.
the initiation of the Canada/U.S. Free Trade Agreement was the most significant regional
development of 1988 (GATT 1989: 16). At the sarne time as this supra-national accord
kvas being trumpeted in the GATT, however, it was also "recognized that domestic
economies need to regulate services and that mies intended to expand trade couid
potentially diminish or restrict the ability of governrnents to act freely in the interests of
domestic objectives" (GATT 198957). In the Canadian case, the pressure to abolish or
privatize provincial liquor control boards is one example of the power of a supra-national
organization to force changes in national policy (GATT 1989:62-63).
26
In 1990 the focus of debate was on the failure to complete the Uruguay Round
and subsequently on the restarting of the round. It was clear that the global trading
system was in crisis and possibly faced a long period o f decreasing growth. However,
global services trade increased 12% over the year (GATT M y , 199 1:1). In addition. the
L-
U S . and EEC supported investigating international labour standards and trade, whereas
the Association of South East Asian Nations (ASEAN), India and Chile felt that the
GATT was not the right f o m for such discussions. The environment now also
constituted an important issue (GATT July, 1991:3,16). Central to the developing
nations position on labour and environmental standards was the belief that nothing in the
GATT should interfere with national policy objectives, and maximizing the cornpetitive
advantaçe of their economies means keeping labour costs down. transfemng technology
and know-how. and improving access to the markets of developed nations for exports
(GATT July. 1991 :5 1.104). The developed nations. on the other hand, were searching for
a way to stop employrnent fiom moving off-shore and, therefore, sought to put some
minimum wage and environmental standards in place. The GATT's focus, however.
continued to emphasize the NR ideology of the fiee-market, and therefore, little was done
to intervene in domestic policy and put what the NR views as restrictive labour and
environmental regulations in place.
During 1990 there were nwnerous exarnples of encroachment into domestic
poIic y. dernonstrating both the anti-democratic and free trade character of the GATT's
NR ideology and policy. In the Canadian case, ice cream and beer exports to the U S .
were both targeted as involving d a i r trade practices. More generally, the GATT was
27
concerned about Canada's tarif33- which were deemed too complex and protectionist
-
her use of anti-dumping rneasures, government procurement, supply management and
marketing boards. provincial sectoral assistance, federaVprovincial jurisdictional
disputes. and problems in putting panel decisions in place (GATT July, 1991:82-86). The
GATT was now intent upon dismantling al1 national barriers to a completely fkee
economy.
In 1992 the GATT claimed that it was now able to maintain more comprehensive
surveillance over the trade policies of its mernbers by establishing the trade policy review
system which provides an increasingly far-reaching assessrnent against which
govemments can formulate their policies (GATT June, 1993:1). This mechanism for
closer supervision was deerned necessary in light of the growùlg strains in the GATT.
The GATT, in fact, blamed industrialized nations for not comprehending what the word
"competition" actually means. Futhermore, the daim was made that "Nobody in the
GATT would encourage perpetually low labour rates and conditions, the absence of
adequate environmental standards or the swvival of outrnoded, anti-cornpetitive,
commercial practices. But experience shows that trade brings econornic growth, and
economic growth brings change - change of many different kinds; social, political,
environmental" (GATT June, 1993:2). Thus the GATT embodied the NR belief that
trade and economic growth within a competitive fiee-market are the keys to global
development and the improvement of global standards of living. The Uruguay Round,
completed in 1993, was, therefore, viewed as an attempt to recreate conditions of real
competition (GATT June, 1993:3) and this emphasis resonated strongly with the ideology
of the NR. In 1994, the GATT was given even broader scope and powers and was
renamed the World Trade Organization.
The work of these global institutions in preparing the ground for the rise of the
NR has been significant. At the supranational level the policies and actions of these key
organizations have helped shape the economic conditions from which the NR has
emerged in the last 25 years. Furthemore. they have served to direct and influence
national policies which have sought to protect national interests as defined by the
government in power. Finally, the role of these organizations has been to influence
profoundly the prevailing ideology at the global and national levels.
The Rise of The New Right in The West
The post-World War II consensus in many advanced Western democracies
consisted of the Right settling for the welfare state, comprehensive education. Keynesian
management of the economy, and full employment, and of the Left accepting to work
within a modified capitdism (Hall l988b:M). Universai health care, unemployment
insurance. welfare payments, public education, and govenunent intervention in the
economy were, therefore, actively promoted and supported by the Left as positive steps
towards a more egalitarian society. For the Right, these changes did not threaten pope*
rights and were tolerated as necessary provisions for unpropertied classes, because social
proçrarns created the conditions for the development and maintenance of a stable labour
force (Marchak 1988: 15). As Keynes had envisaged. this reformed capitalkm with its
more egalitarian economic poiicies and expanded state economic activity was therefore
able to benefit both capital and labour and also served to mitigate against the potential
29
rnilitancy of labour (Bowles and Gintis 198757-59).
A socialdemocratic compromise was best able to adrninister this corporatist
arrangement between capital and labour. This compromise was more than an econornic
arrangement but also represented the acceptance of a particular ideology with which this
compromise could be articulated. Until the 1970s, the discourses of iabourism,
reformism. Keynesianism, and w e t f e s m dominated, but with the ensuing economic
crisis this was to be radically changed (Hall 1988b:36-37,42).
With the Western economic recession of the 1970s, this social-democratic
consensus broke d o m (Magnusson et al. 1984: 13-15, Brodie 1990: 186) and economic
and social life fell h t o crisis. The relative affluenceand stable economic growth of the
post-war period was increasingly under pressure fiom the changed nature of globalized
capitaIism and thus the economic base on which the welfare state was built began to
erode. The rise of global cornpetition in the form of the newly industrialized countries
(NICs); the growing strength of Japan and the European Economic Cornmunity (EEC);
the 1973 oil shock. decreasing production and exports, the relative decline of the U.S.
economy. unprecedented stagflation, and the switch to monetarism al1 signalied the end
of the Keynesian era of state intervention (Gilpin 1987:191-1 95, Marchak l988:2 12-2 13).
Importantly, this cnsis was not restricted to the domain of the economy but broke
across the whole social formation and threatened the dominant order. Just as the crisis of
Liberalism in the 1930s lead to the formation of the Keynesian welfare state, so too has
the demise of the social democratic consensus in the 1970s led to the emergence of a new
era in the form of the New Right. One hegemonic phase had ended and the stmggle for a
30
new hegemonic phase began (Hail l988b:37).
This was the crucial moment for the New Right (NR)which, as noted, can be
descnbed as a politicai, economic, and cultural movement which promotes an ideology
combining neo-liberal economics with neo-conservative social and moral positions. The
NR combines a belief in fiee enterprise, an ethic of possessive individdism and rugged
cornpetition, with a more traditional p a t e d conservativism to compose the highly
contradictory formation that modem conservativism has become (Hall l988b:37.
Marchak 1988:14. 187-201).
The New Right is, thus, a distinct political and ideological force with a two-fold
mission: first. to contest and disperse the p s t war consensus and the common-sense
notions supporting it; and second, to construct an alternative ideological bloc of a
distinctive1y neo-liberal, free-market, highly individualist kind, that is. to transforrn the
underpinning ideologies of the Keynesian welfare state and restore the management. and
control of capital, and thereby, clear the way for capitalist market solutions within the
context of a supportive culture (Hall 1988a:4).
The project of the New Right is, therefore, not conceived and constnicted on a
narrow economistic basis but aimed at the reconstruction of social life as a whole around
the return to the old values. Supporters of the New Right combine attacks on the welfare
state. opportunities for women, the growth and expense of governrnent, support for the
unemployed, the breakdown of the traditional farnily, and on sexual promiscuity, with
free-market solutions to these and other problems, and they believe in "restraint", or in
short, a more authoritarian society (Marchak 1988: 187-20 1 ).
31
As in other Western democracies, this new and powerfiil movement is rapidly
changing the political, econornic, and ideological landscape of Canada. The r\iR has
actively pursued the destruction of the Canadian welfare state and the ideological
consensus supporting it. The Reform Party as an expression of the NR has been at the
forefiont of this attack on equality in Canada and has been able to gain substantial
support from Canadians of ali social classes.
Ironically, many of those who voted for the Reform Party in the 1993 and again in
the 1997 Federal elections will be hurt by the implementation of Refonn-influenced
policies. This thesis, therefore, will focus on the rise of the Reform party and its
contribution to the destruction of the pst-WWII consensus.
These attacks are part of the NR's attempt for a hegemonic transformation of
society and have occurred against the background of a crisis of the state that is fiscal,
national. and cultural because it involves the relationship between Quebec and English
Canada and behveen First Nations peoples and the rest of Canada. Culturally, the New
Right has attempted to educate and discipline society into a regressive version of
modernity by reversing the liberal culturd transformations of thi s century and
substituting for them a Victorian moral code.
In addition. the New Right is a populist political force; for its adherents have
successfully presented themselves as working on behalf of the people and as taking a
leadership role in society through a combination of social discipline fiom above and of
populist mobilization Erom below - fiom the "grassroots". Stuart Hall labelled this
construction, "authontarianpopulism" in order to characterïze its contradictions (Hall
The most perplexing question that needs to be addressed, however. is how the NR
can gain support fiom those whose interests it does not represent. This question has
assumed increasing importance in light of the growth of the New Right which has
occurred in Bntain with the eiection of Margaret Thatcher in 1979, in the U.S. with
Ronald Reagan's victones in 1980 and 1984. and in Canada with Brian Mulroney's
election successes in 1984 and 1988. The spectacular electorai success of the Reform
party in 1993 and 1997 and the influence of M t ideology on the Conse~ative,Liberal
and New Democratic Parties also add support to the main argument of this thesis which is
that NR ideology has penetrated into the discourse of Canada's main poiitical parties. has
influenced a tightward shift in policy and ideology, and will have serious consequences
for Canadian society. 1 will now explore policy changes that iIlustrate the growing
influence of the NR on Canadian political parties.
Federal Government Policies in Canada: from Consensus to Continentalism
The economic crisis which Canada faced in the 1970s was increasingly identified
by monetaists and neo-liberais with high govemment spending, particularly on social
wel fare prograrns. and Keynesian econornic policies. In short, it was now argued that
social welfare prograrns. whether financed by tax increases or deficit financing, were
simply no longer affordable (Brodie 1990: 186). This histoncal juncture marked the end
of the post-WWI consensus.
The Liberal federal government's response to this crisis was to implement policies
that would decrease dependence on the failing U.S. economy. Their first such attempt
33
was through the creation of the Canadian DeveIopment Corporation (CDC) in 1971
whic h attempted to stimulate and support Canadian entrepreneurs. in 1 972, a coordinated
industrial strategy was unleashed, and the Department of Extemal Affairs worked to
diversi@ Canada's trade linkages, especiaily with the EEC and the Pacific Rim. The
Foreign Investment Review Agency (FIRA) was also established to review al1 foreign
investments to ensure that they would be of benefit to Canada. Petro-Canada. a f e d e d
governent owned oil Company. was also estabiished to attempt to regain Canadian
C
control of petroleurn development and distribution which had Iargely k e n dorninated by
foreign multinational corporations (Brodie lWO:208-212).
The Liberals had assumed, however, that Canadian economic development could
proceed on the following basis: first, that the national economy was the focus of
developrnent; second, that a strong centraiized federal power best served this strategy;
and third. that a high degree of fedenl state intervention was acceptable (Brodie
1 990204). This strategy, however, was to face serious opposition fiom the Progressive
Conservative party (PC) under the leadership of Joe Clark in the late 1970s and early
-
1980s. which was becoming increasingly continentalist focussing on the continental
market rather than the national one in tenns of econornic developrnent - and with the
increasing cornpetition for capital, has led the charge to expand north-south linkages and
decentralize federal powers to the provinces (Brodie l99O:ZO2).
The provinces were locked into a battle to retain controi of resource rents and rent
distribution and were opposed to any increase in federai intrusions into their domains.
The provinces emphasized "decentrdized interventionism" which, spearheaded by the
34
western provinces, emphasized a resource-led strategy with greater retention and control
of resource rents which the provinces could then use to upgrade their own resources and
diversi@ their econornies (Brodie 1990:2OO).
The Conservative Party in 1979, under the leadership of Joe Clark, and with the
support of powerful resource capitalists in the West, moved to end econornic nationaiism
and increase provinciai jurisdiction and control. M e r winning the federal election by
emphasizing the lack of western political influence and a centralist bias to Canadian
econornic development, the Conservatives dlowed the forces of continentalisrn now to
have a federal goverment that would more easily capitulate to their dernands. A vote of
non-confidence. however. allowed the Liberals to win the 1980 feded election. The new
Liberal economic development strategy was heavily tied to the success of the National
Energy Program (NEP)which proved to be a failure because of the rapid decline in oil
prices which made resource megaprojects economically unprofitable (Brodie 1990:2 14).
Thus 1982 ushered in the search for a new economic deveiopment strategy with
the establishment of the Royal Commission on the Econornic Union and Development
Prospects for Canada, or, as it came to be known, the Macdonald Commission (Brodie
1WO:Z 15). In 1983 proposais were made for limited sector free trade with the US. in the
face of increasing American protectionism and economic nationalisrn in the form of antidumping legislation. countervailing duties, and other non-tariff barriers. The stage was
now set for the election of the Conservatives to power in 1984 under the leadership of
Brian Mulroney, wïth a stated economic policy of forging a fiee trade deal with the US.
For the Conservative Party, an agreement which would increase Canada's reliance upon
35
resource exports, especially to the U.S., was a far more preferabte alternative to the
Liberal Party's state directed economic strategy as a way of adjusting to global
restructuring. With the election of a contînentalist party to power it was becoming
increasingly clear that the forces of continental integration were winning the stniggle to
detemine the future course of Canadian economic development.
The release of the Macdonald Commission report in the fa11 of 1985 dlowed the
Conservative Party to articulate an overarching development strategy for the first t h e .
This new neo-liberal approach was based on a fiee-market driven, decentralized economy
with a non-interventionkt state. Govenment intervention was deemed unredistic and
unnecessary and the need for increased foreign investment and a downsizing of the
welfare state was emphasized (see Warnock 1988). The report concluded that,
a market driven approach combined with a fiee trade agreement
with the U.S. \vas the oniy viable nationai development strategy available
to Canadian decision makers. Although îhere was a strong curent of
opinion arguing that free trade would destroy the Canadian economy, the
commissioners asked Canadians to disregard these arguments and 'take
a leap of faith' into the future (Brodie 1990:2 16).
Ironically, these fears that fiee trade could have potentially disastrous
consequences for Canada were, at one time, shared by Bnan Mulroney - who was later to
become the key player in selling the Free Trade Agreement to Canadians. As he noted in
a speech at Thunder Bay, Ontario in 1983. "ïhere's a real beauty for you ...there's a real
honey, free trade with the U.S. is like sleeping with an elephant. It's temfic until the
36
elephant twitches, and if the elephant rolls over you are a dead man" (Hurtig 1992:3).
The NR Ideoiogy of Free Trade
The dominance of the NR is evident within the statements of key politicai party
leaders and in party documents and is also recognizable within clear policy shifts to the
right enshrined in the new free trade agreements. These agreements include the CanadaU.S. Free Trade Agreement (FTA)(January 1, 19W), the North Arnencan Free Trade
Agreement WAFTA)(I 994), and the Multilaterd Agreement on Investrnent (MAI)
which, although currently on hold due to massive protest from civil society organizations,
is currently at the negotiation stage within the OECD (Clarke and Barlow 199727). NR
thought has come to dominate these agreements and the underlying premises on which
they stand. Neo-Iiberal economics ernphasizing effkiency. an extremely cornpetitive
individualism, and minimal governent within the context of a fiee-market are the key
principles underlying these accords. and their implementation exemplifies the degree to
which NR ideology has come to dominate Canadian politicai policy. The following
section will explore the linkages between the Canadian political economy and the NR
ideology of free trade.
The battle over fiee trade, championed by a prime minister who only months
before had opposed the idea, saw the spending of unprecedented amounts of money by
the corporate backers of the Conservative g o v e r n e n t and culminated in the victory of
the Tories in what has come to be known as the "fiee trade election of 1988". Still, this
victory leaves many unanswered questions. For example, why is it that Brian Mulroney
and his cabinet became convinced that fiee trade was the o d y solution? Second, how
37
were Canadians sold on the issue? And finally, how could an economic strategy that
would prove so costly to Canada not only be implemented but also how could an even
more extensive successor agreement in the fonn of NAFTA also be implemented?
To answer these questions it is necessary to look more closely at fiee trade as an
ideology promoted by the NR. Significantly, the adoption of fiee trade represents the
clearest indication ofjust how successful the NR has been at shifting the political policy
and ideology of Canada's major political parties.
The policy shifi to fiee trade is clearly evident with the signing of both the FTA
and NAFTA. The rationale behind these agreements illustrates the belief in both the
benefits and eficiency inherent in the fiee-market, and the inefficiency and waste that the
NR believes result fiom state intervention in the economy. Second, this shifi is
fùndamentally an attack on equality as a societal goal worthy of pursuit. Finally, it is also
clear that these trade agreements extend and strengthen private property rights by placing
them increasingly out of reach of the democratic representatives of the people. Together,
these justifications for the policy shift to fiee t n d e are grounds for claiming that the NF2
has influenced both the policy agenda and the ideological stance of the Liberal and
Conservative parties.
The Liberal and Conservative parties chose fiee trade as an economic
development strategy in the mid- 1980s. This decision was made in light of increasing
pressure to pursue a "socialist" alternative of developing a national industrial strategy
which would require a large degree of state intervention and control. (See Laxer
1986:1 19-137 for an example of such a strategy.) Thus, a fiee-market solution was
38
pursued within a process dominated by the influence of transnational capital.
Interestingly, both political parties had been opposed to the concept of fiee trade at
various points in their histories. During the early 1980s, however, this position changed
as NR elements began to gain dominance within each Party. Further, groups such as the
Business Council on National Issues (BCNI) formed in 1978 and composed of the top
150 Chief Executive Officers of the most powerfûi transnational corporations operating
in Canada began to force the corporate agenda of the NR to the forefront of the political
agenda (Hurtig 1992:196-198, McQuaig 1991:1 12-1 14). By the mid-1980's. then, both
parties were embracing the concept of fiee trade, and despite the Liberal party's rhetoric
that tliey opposed the ffee trade deal with the U.S., no serious action was taken to prevent
passage of either the FTA or NAFTA. The move to free trade represented a new
economic development strategy which was counter to the Canadian federal government
tradition of protecting key sector industries, such as trmportation, communication.
energy. and finance and banking (Wilson 1989:13). This protection had been achieved
by public ownership in the case of the first two. and the strict regulation of pnvate
investment in energy and the creation of virtual monopolies in the case of banking and
finance which enabled this sector to become powerful and a m a s large pools of capital to
promote investment (Wilson 1989:13-14).
The signing of the FTA and NAFTA represented the federal govemrnent's
abandoning of this traditional role and the tuming of many of its domains over to the
private sector. The latter included the implementation of monetarist economic policy and
its emphasis on a tight money supply aimed at bnnging inflation to zero. The Bank of
39
Canada gave up much of its control over the setting of interest rates to the pnvate banks.
and together, these policy changes resulted in the banks' making record profits while the
economy went into the worst depression since the 1930s and unernployment levels soared
(Hurtig 1992:105-108).
The concept of privatization and the efficiency of the fiee-market, both central to
the NR, were criticai to the legitimation of these agreements. Further, the efficiency of
the free-market was counterposed to the bureaucracy, inefficiency, and waste of "big"
government. The emphasis on eficiency is deemed necessary to decrease costs and cut
"waste" while removing market distortions, for example marketing boards. Paul Martin
notes that "govements have failed Canadians" (quoted in Cleo Mowers 1991:123). The
bottom iine was simply that the private sector perforrns best the necessary functions in
society (Wilson 1989:22). The Liberals and Conservatives have thus rnoved to reduce
the role of the state in providing for the economic and social security of Canadians and
have embraced an updated forrn of laissez-faire philosophy at a time when a strong
central g o v e m e n t is required to create an economy which is internationally cornpetitive
and which can presenre national sovereignty (Wilson l989:24, Laxer I986:8O).
The FTA and NAFTA are also aimed at getting governments out of the way so as
to disable the state's ability to regulate and restrict corporations (Barlow and Campbell
1993 :15- 16). Further, by placing the policing of these agreements in the hands of non-
elected bodies and trade panels, they also take away the accountability of the corporation
to a democratic electorate. Thus, standards, such as those regarding environmentai
protection, are in the hands of transnational corporations and their representatives with
40
red uced accountabili ty to those afKected by the policies impiemented (Barlow and
Campbell 1993:92-94). Thus, it is clear that the move to decreased state intervention,
largely through the mechanism of Fee trade, is an example of an increased penetration
and adoption of NR ideology and policy by the LiberaI and Conservative parties.
This link between the Conservative and Liberal parties, the NR, and the ideology
of free trade is also apparent in their moves to decrease the social welfare net, for these
reductions arc ofien framed as k i n g critical to the need to be more cornpetitive.
Medicare and higher education, for example, have seen federal spending reductions
initiated in 1986 and totalling $97.6 billion by the year 2000 (McQuaig 1993: 110). These
attacks on social welfare, including reductions in the unemployment insurance system,
are part of the NR's attempt to alter both the Canadian belief in equality and the structures
which promote and preserve it. Equality is thus k i n g undermined to bolster the strength
of the private sector by subjecting people to the vagaries of the fiee-market (McQuaig
1 993 :162-1 67). Furthemore. while it is unquestionably the Conservatives under Brian
Mulroney who were primarily responsibie for these changes, it is also critical that the
Liberal Party ha not only refrained fiom acting to prevent the implementation of these
policies (Hurtig 1992:326-329), but has actively advocated many of these positions both
while in opposition and in power. This advocacy is clearly indicated in the Liberal Party
document "Creating Opportunity: the Liberal Plan for Canada" released just prior to the
1993 dection. in which the need for efficiency and a renewed role for the private sector is
addressed.
The attacks on the social welfare net as noted above are also consistent with NR
ideology and policy in that they demonstrate the move away fiom government
intervention in the economy and the belief that the state should take responsibitity for
social welfare. Furthemore, these attacks exemplifi the NR's belief in the supenority of
the fiee-market and the right, or liberty, of the individual to have fiee choice even if that
choice involves the decision to "freeze in the dark, as neo-liberal philosopher Von
Hayek suggested. Key Liberal policy analysts Pat Latham and Dan Donovan also note:
"The challenge of moving away fiom the principle of universality wiil require a change
in contemporary Liberal philosophy and in a rather dated k l i e f that governments c m
help everyone and solve al1 problems" (Latham and Donovan 1 992:80). Liberal Finance
Minister Paul Martin's changes to social programs as outlined in his 1996 budget M e r
exempliw this change in ideology. for he outiined changes which cut education and
heaith funding. unemployment insurance f h d i n g w.I.) and seniors' pensions, and will
eventually end federal transfers for social programs (Vancouver Sun, Feb.29, 1996, A3).
Finally. these attacks on the welfare state will clearly have the effect of increasing
inequality, and this is consistent with the NR's belief in both class hierarchies and that
individuals are inherently unequal and, therefore, inequalities are both natural and
beneficial to provide incentives for achievernent in the context of a free-market system
(Hayes 1994:84-92).
A good example of the Liberals' move away fiom state intervention in the
economy is their stated policy, prior to the federal election of 1993' of supporting the
creation of a national infrastructure program (see Creating Opportunity: the Liberal Plan
for Canada 1993). Upon election, the new Liberal g o v e r n e n t very quickly killed this
42
program. citing the need to reduce the deficit as a more important objective. Therefore, it
can be concluded that the infrastructure program was used as an election strategy to give
Canadians hope in a new government which would put job creation at the top of its
priority list. In fact, the Liberals have governed as fiscal consematives and have focussed
closely on deficit cutting by taking the axe to social programs and government
bureaucracy. and by privatizing Crown corporations and decentraliurig powers
(Vancouver Sun, March 2, 1996).
Another example of decreasing state intervention in the economy is achieved
through the privitization of public corporations. According to Liberal Finance Minister
Paul Martin. the sale of CN and Petro-Canada to private interests is to be worth just under
$1 billion (Vancouver Sun, Dec.6,1995, A3). This sell-off to the private sector is also
carried out in the name of economic efficiency and in this way disguises the massive
transfer of public assets to corporate allies of the political elite.
The NR emphasis on reducing taxes for the wealthy is also evident in the Liberals'
cutting of payroll taxes in 1997 (Vancouver Sun, Apnl22, 1996, A3c). Because this tax
is largely paid by corporate Canada, it means substantid tax swings for large companies.
Furtherrnore. the Liberals rescinded their promise to remove the much hated GST
(Vancouver Sun, Apnl24, 1996, A3). The GST, Iike all consumption taxes, tends to fdl
most heavily on low income eamers, for it consumes a larger percentage of low income
earners' wages. This mode of taxation is consistent with NR ideology which in effect
justifies the shifiing of the tax burden from rich to poor, believing that the nch create
wealth and that the more they have, the more they can invest, which in turn creates
43
greater weaith. This wealth, according to NR theonsts, then "triclcies"down to enrich d l
of society.
Thus, in summary, the Liberai and Conservative parties have both shifted their
policy to the right and embraced a NR informed approach to the econornic development
of Canada. This shift includes supporting a policy of fiee trade with the U S . and
Mexico, the privatization and dismantling of govenunent programs, services, and crown
corporations; rnovement away fiom a mixed economy to a fiee-market economy, the
enshnning of private property rights within these accords. the subsequent removal of
these accords fiom the liberal democratic decision making process, and, finally, the
replacement of equality with efficiency as the new central goal to which Canadian society
should be oriented.
Conciusion
In this chapter the emergence of NR ideology, policies, and agendas have been
documented in global institutions and in Western democracies, including Canada. The
purpose of the formation of the M F , the World Bank, the U.N., and the GATT in the
1940's was to stabilize national economic and political systems and ensure the dominance
of capital through trade liberalization. These organizations al1 supported fiee-markets,
free trade. and cornpetition. The UN also served to increase the expansion of U.S.
hegemony and the capitaiist market, as well as playing a critical role in containhg
socialism and promoting the ideology of liberal democracy. The IMF and World Bank
provided the frarnework for the global administration of capital, whereas the GATT
worked to eliminate national barriers to trade and create universal regdations for the
44
global market. In Western demoçracies, the crisis of Liberalism in the 1930s had Ied to
the formation of a social-democratic consensus after WWII which emphasized the
policies and discourses of Keynesianism, labourisrn, reformism, and welfarism. This
arrangement between capital and labour was able to benefit both by increasing wages and
benefits, including public education, health care, and unemployment insurance, to
workers while also providing capital with increasing profits and a stable, well-educated
labour force. Thus ensued several decades of steady growth with relatively few
dificulties between the parties to this historic compromise.
In 1960. the OECD was forrned and worked to harmonize national policies and
continued to liberalize and expand world trade, but by the end of the decade decreasing
econornic growth. the onset of both high inflation and unemployment, the growing
strength of Japan and the NICs. and the OPEC oïl crisis of 1973 resulted in the end of the
Keynesian era of state intervention. This global economic crisis shattered the optimism
of the post-war consensus. and the GATT was clearly in serious trouble as the entire
world economy teetered on the verge of coliapse. The EEC was fonned and attempted to
shield member nations fiom the effects of this global cnsis, and its protectionist policies
threatened to split the world into huge trading blocks. In the West, this economic crisis
destroyed the preconditions on which the Keynesian compromise was constructed, and
the hegemony of social democracy began to crurnble as the NR began to dominate and
attempt to build a new consensus around the discourses of the fkee-market, debt and
def i cit reduction, social authoritarianism, and crime and punishment themes.
45
In Canada, this cnsis was dealt with by the ruiing Liberais tbrough the use of
economic nationaiist policies, including setting up the Canadian Development
Corporation in 197 1, the development of a coordinated industrial strategy in 1972, the
birth of the Foreign Investment Review Agency, and the creation of the National Energy
Program wbich included establishing Petro-Canada as a 100 percent Canadian
govemment owned national oil Company. in the 1980s, this strategy failed as world oil
C
prices ptummeted and FIRA was eliminated because of pressure fiom the GATT leaving
Canadian policy makers to search for a new national development strategy. This new
direction was forged by the Mulroney Conservatives, elected in 1984, and backed by the
Macdonald Cornmision report tabled in 1985, as well as by the h a n c i a l and ideological
power of the Business Council on National Issues (a transnational corporate lobby group)
and calied for a neo-liberal approach including a decentralized non-interventionkt state
with a free-market policy orientation featuring a fiee trade agreement with the U.S.
In the West. Margaret Thatcher's election victory in Britain in 1979 and Ronald
Reagan's triumphs in the U.S. in 1980, and again in 1984, signailed that the hegemony of
the NR had begun. Mulroney's subsequent success in Canada in 1984 and 1988, and the
policy shifi to the right as evidenced by the implementation of the FTA in 1989, also
illustrated this NR hegemony. These policies demonstrate the embracing of a new
"common-sense" which emphasizes minimal government, fiee-market economics,
efficiency. privatization, and extreme individualism. Together the enshrining of these
new political and economic policies and their philosophical underpinnings in government
and public discourse signiw the moment of the hegemony of the NR and the decline of
46
the Keynesian Welfare State
In the 1980s, as moves were being made by several nations to trade outside of the
GATT. the GATT considered focussing on the services sector as a way to expand world
trade. The growth of the EEC also threatened to split the world into huge trading blocks-
In addition. the Uruguay Round of the GATT was not completed and had to be restarted
and eventually completed in 1993. In the 1990s numerous examples of infringernent
upon domestic policies occurred. In Canada, pressure fiom the GATT to reduce barriers
to trade, lower tariffs. and diminish the role of government in subsidizing the economy.
targeted liquor control boards and marketing boards for elimination or privatization. In
1994 the NAFTA. which now included Mexico in a continental fiee trade agreement, was
implemented. and this implementation cemented the hegemony of NR policy in Canada,
for it enshrined private property rights. reduced the power of democratically elected
national bodies. and provided the structure for a fiee trade regime which emphasized the
NR discourses of efficiency, limited governrnent, and free-market economics.
The ground breaking work of key global institutions and the policy shifts to the
right by major Canadian political p h e s enshrined in the FTA and NAFTA, as illustrated
above. demonstrates the powerful influence of the NR. This influence can also be seen
ciearly in the growth of NR ideology expressed by the representatives of Canada's main
political parties and f o n d in the debates fiom the 1970s to the debates of the 1990s as
recorded in the Hansard fiom the House of Commons. 1 will now examine the NR
ideology evident in these debates.
Chapter 4 New Right Ideoiogy in Canadian Political Parties
in the mid-1970s
The key question which will be addressed in this chapter is "To what extent are
the three key NR themes - free-market economics, debt and deficit reduction, and social
conservatism - evident in major Canadian political parties during the mid-1970s?" The
answer to this question will be followed in chapter 6 by m e r analysis of these parties in
the 1990s to document their shifts in ideology,which now exhibit more NR-dorninated
key themes.
In the 1970s the Canadian fiscal situation had b e p to change because of the
changed nature of global capitalism, and the Progressive Conservative (PC, or Tory) and
Liberal parties were in the process of battiing over which ideological direction to take.
The Liberals dorninated this penod politically, and Prime Minister Pierre Trudeau
maintained a distance fkom many NR positions and continued to develop policy with a
social democratic orientation. In contrast, the Conservative Party expressed NR positions
in a nurnber of areas. However, the Conservatives remained supportive of measures to
alleviate the worst effects of a capitalist fiee-market and also recognized that
concentrations of corporate power may be damaging to the functioning of a capitalist
world market and, so, may need to be limited. NR ideology was present in the
Conservative Party and to a lesser degree in the Liberal Party in this period, but had not
as yet penetrated into the discourse of the New Democratic Party (NDP) which was still
staunchly social democratic, supporting goverment intervention in the economy.
48
New Right Ideology in the Conservative Party
During the 1970s the Progressive Conservative party expressed several positions
that resonate with those of the NR. These include positions on fiee-market economics,
debt and deficit, social conservatisrn (which includes social and mord authoritarianism,
and crime and punishment).
Free-market Economics
The Conservatives believe in the fiee-market, or quite simply, that the private
sector performs best the necessary fùnctions required in a modem capitalist economy.
Thus. in a number of areas, the Conservatives express their desire to see an increased role
for the private sector and a diminishing role for govemment, and in some instances, its
exclusion. For example, in the area of employment and job creation, Conservative
Member of Parliament (MP) Sinclair Stevens points out that "In getting our people back
to work. we consider the private sector should be the primary supplier ofjobs"; and
again, "It is the administration's task to set the atmosphere within which the economy c m
flourish. It is the private sector which should be called upon to produce the results"
(Hansard 197Y76, p. 13446). The private sector is, therefore, seen as the engine of the
economy, and the goveniment is viewed as having a supporting role to ensure that the
conditions are right for the investrnent, development, and profitability of capital. Another
example is the position of Progressive Conservative Party (PC) MP Bill Clarke who
echoes this belief in the fiee-market and asked the government to cut f e d e d spending,
decrease unemployment insurance benefits, let the private sector take over CNR hotels,
seil the CBC and Canada Post, and privatire public works (Hansard 1975/76, p. i 39 19-
49
20). Tory MP Paul Yewchuk also saw privatizing public assets as a better option, and he
suggested that Petro Canada be sold instead of cutting social programs (Hansard 1975/76,
p. 1O 194). This belief in the privatization of the public sector is illustrative of the NR
belief in the efficiency of the private sector and the inefficiency of big government.
Furthermore, it illustrates the NR belief that the free-market works.
PC leader Robert Stanfield also believed that government was getting too big and
was growing too fast. He perhaps captured the party's belief in the fiee-market best,
however, when he commented, "What we need in the post-control period is not more
government intervention but more restricted, intelligent, honest and better defmed
intervention" (Hansard 197Y76, p. 14378). The Conservative party's free-market view
was. however. tempered with a belief that although the welfare state was too big and too
expensive. it did have value and served to minimize some of the negative effects of the
capitalist system; as Stanf~eldpointed out, "Surely we are not going to revert to a preKeynesian world. 1 remember what that world was like, and 1 do not wish to go back to
it" (Hansard 1975/76, p. 14379). PC
MP Donald M w o was also concerned not to push
the burden of restraint onto the poor as he questioned the Liberal government whether
"the government [is] really comrnitted to restraint and are (sic) not asking the
disadvantaged to bear the greatest burden of the austerity program" (Hansard lW5/76,
p.10194).
However, despite these sympathetic responses fiom the Conservative Party leader
and other MPs, the Conservatives did cal1 for cuts to welfare programs and services. This
cal1 was in part a response to a mounting debt and deficit problem, but more importantly,
50
it made clear the reigning philosophy of the Conservative Party which was opposed to
welfare programs and services except in cases where people were truiy destitute. The
Conservatives believed that government intervention in this area was as inefficient and
wastefûl as in any other. Conservative MP Stan Darling criticizes the ruling Liberals,
stating pointedly thût " We in Canada are rnuch worse off because we have a government
which is welfare oriented and at the same time shockingly inefficient. It has been pointed
out time and again that our main problem in Canada today is that the government is
wasteful, inefficient. and completely out of touch with the people" (Hansard, vol. 7,
p.73 18).
The Conservatives fiee-market views were aiso tempered, however, by a
recognition that concentrations of corporate power may be darnaging to the tùnctioning
of a capitalist world market, for "it is quite possible to have concentrations of power
intemationaliy which. though not looming very large witbin Canada could have a
substantial effect. even a highly detrimentai effect, upon life in this country" (Robert
Stanfield. Hansard 1975176, p.5067). In summary, the Tories express a fiee-market
ideology tempered by a concern to mitigate the worst effects of capitalism and also to
Iimit concentrations of corporate power which may hamper the functioning of the free-
market.
Debt and Deficit
The Tory position on the issue of govemment debt and deficit can be
characterized as one of fiscal conservativism with the belief that a balanced budget
should be maintained by a responsible government. Furthemore, this baiance is to be
achieved by decreasing government spending, cutting programs and services, and
downsizing the public sector, rather than by increasing taxes or using public fùnds to
create jobs.
For example, in response to the govement's mounting debt in the mid- 1970s
Joe Clark cailed for "an immediate announcement of some substantial and ciramatic cuts
in government expenditwe" and asked the government, "Are we going to have to live
with the terribly bad example of a failure of restraint symbolized by a $5 billion deficit"
(Hansard 1975176, p. 1 1238-9). Mr. Whittaker (PC) asked, "What atternpts, if any, is the
government making to clear up this debt?" (Hansard 197Y76, p.4548). Also, fomer
Prime Minister John Diefenbaker said that "This government, under the Leadership of the
Prime Minister. has been on an orgy of extravagance" (Hansard 1W W 6 , p.95 88).
The Conservative Party thus took strong issue witb govenunent spending and debt
and issued dire warnings and proclamations in an attempt to force the Liberals to alter
their policies.
High levels of government spending on welfare. health, and unemployment
insurance were targeted as the cause of the deficit and debt and were believed to be at the
root of a whole host of problems. "One of the contributing factors to high interest rates in
Canada is the high rate of govenunent spending" (Sinclair Stevens PC MP, Hansard
1 975/76, vol. I 1, 1 18 19), including increasing spending on medicare (Howard Grafftey
PC MP. Hansard 197Y76, p. 1005). The high and growing debt toad as a function of this
spending was also exacerbated by the high interest rates.
52
The Tories emphasis on a baianced budget and their assessrnent of blame for
"crisis" on high govemment spending on health, education, unemployment insurance, and
other prograrns and services marks the party a s representatïve of several NR positions.
However, these positions were not unquaiified and do not contain the radical and harsh
solutions found within the ideological assault put forward and demanded by NR
proponents in the mid- 1990s.
Social Conservatism
The Tories also exhibit an ideology, like that of the NR, which contains elements
of social authoritarianism best expressed in their beliefs on abortion. For the
Tories, abortion is a crimiad matter and should only be available in extreme cases, where
a woman has become pregnant as a result of rape, for example. PC MP Jake Epp
epitomizes the Tory view and stands firm as being deeply opposed to the govenunent
policy of what he views as abortion on demand (Hansard 1975/76, p.5 102).
During the nid-1970s crime and punishrnent issues were largely reflected in the
debates over capital punishment with the Tories supporting the death penalty. This
support resonates with the NR belief that capital punishrnent is an effective deterrent to
crime and also emphasizes the importance of revenge and retribution to the NR's way of
thinking. The Tories, thus, view the Liberals and NDP as k i n g too soft on crime.
New Right Ideology
in the Liberal Party
In the mid- 1970s the Liberals under Prime Minister Pierre Elliot Trudeau tried to
maintain the policies and programs of the welfare state against the power of the sweeping
53
global changes nithin the new capitdist world order that were allied agaulst them. This
period also witnessed an attempt to hold steadfastly to the social democratic welfare
ideology of the past against the gowing influence of NR ideology .
Free-market Economics
The Liberal Party's view in the mid-1970s can be characterized as one o f belief in
the market tempered by government supervision and direction. An unbndled faith in the
fiee reign of the market was not yet to captivate the Liberals.
Prime Minister Trudeau saw the role of govenunent as k i n g "very important in
aiding the private sector" (Hansard 197976, p. 10621). However, he also viewed the
government as keeping watch over business and appointed the Bryce Commission in
1975 to look into corporate concentration in Canada (Hansard 197976, p.5066, 5583).
Trudeau believed that "Concentrations of corporate power in Canada must not be allowed
to take place where the result would be injury to the fair operation of the capital and
financial marketplace" (Hansard 1975/76, p.5066). In fact, the Liberals took a number of
actions to limit the effects of the fiee-market during this period.
For exarnple, as outlined in the throne speech of September 30th, 1974, the
Liberals laid out a policy to establish Petro-Canada, a publicly owned oil Company, to
enable Canadians to regain a measure of domestic control over an industry that was 99%
foreign owned and controlled. They also amended the Combines Investigation Act to
ensure that unacceptable profit levels were not k i n g realized (Hansard 1975/76. p.6) and
proclaimed that a majority of directors of federally incorporated companies must be
Canadian (Hansard 19W76, p.7). Furthemore, the Liberals expanded the Foreign
54
Investment Review Agency (HM)
to cover cultural enterprises, and they called for an
increase in Canadian processing of naturd resources (Hansard 1WW6, p. 7).
Govemment intervention was also recommended to support Canadian companies which
export in cases where those exports were prevented by foreign ownership (Hansard
1975/76. p.7).
Thus the Liberals took an approach to the market which included an allowance for
the presence of a strong federai role in ensuring cornpetition, in rnaintaining national
industries in key sectors, and in r n o n i t o ~ gforeign and domestic concentrations of
corporate power and investment in Canada. The Liberal approach, then, in contrast to the
NR's free-markets at al1 costs ideology, saw strong limitations to the play of the fieemarket.
Debt and Deficit
The Liberals at this time were faced with increasing inflation, unemployment, and
rising interest rates, and stmggled to find a strategy to deal with the mounting deficit and
debt. The Liberal approach focussed on a number of key points.
First, inflation rather than unemployment was viewed as a key problem and, as a
result, the main thnist of the budget in this period was to reduce expenditures and
exercise restraint (Vancouver Sun, c.3 June 9,1975). In his budget speech of June 23,
1975. Finance Minister John Turner targeted world inflation as a key problem and stated
that expansionary policies have not had the effect the governrnent wanted and, as a result,
hard choices needed to be made (Hansard 197W76, p.7020). The govemment made it
clear that it was taking a path that would not be protectionist and would not erect barriers
55
to trade (Hansard 1975/76, p.7021). In fact, the Likrais were entering a new era of
competition and believed that "We have to remain cornpetitive to sell, and sales are the
on1y guarantee of jobs" (John Turner in Hansard 1975176, p.7022). The Liberal response
to the nsing debt and deficit, then, was to help the economy grow while miniminng
inflation.
Reducing both inflation and rising interest rates meant imposing restraint on the
public. As Turner stated, "If Canadians generally corne to recognize that moderation and
restraint are in the interest of everyone - that will in itself dampen inflation" (Hansard
1975/76. p. 7024). And furthemore, Turner's budget attempted to show leadership in
moderation and restraint and make clear that Canadians would have to "moderate their
daims against the economy " (Hansard 1975/76, p.7025).
The control of public expenditure also figured into the Liberals deficit reduction
plans. including a $1 billion cut to programs and services, decreasing growth of the public
sector fiom 4.1 to 3.1%, decreasing salaries for public servants, and decreasing fûnding
for healthcare. In addition, the Unemployment Insurance system would become selffinancing, and benefits would be decreased (Hansard 1975/76, p.7026-28).
The Liberals were concerned, though, to maintain a balanced approach, and when
it was suggested that unemployment should be allowed to nse unimpeded to stop
inflation, Turner responded, "In human terms for me it would be unthinkabIe" (Hansard
1975/76, p.7024). He added, "1 believe the key to achieving the aim [O inflation] is to
decrease the increase of costs and prices now. The government is not prepared to do this
by deliberately putting people out of work" (Hansard 1975176, p.7038). The Liberals
56
were not willing to make a radical departure fiom previous policy, and Turner admitted
that "The govemment does not have a fixed program to liquidate the public debt"
(Hansard 197976, p.2492). However, he also pointed out that "When econornic, fiscal.
and financial market conditions are favourable, the govenunent attempts to reduce this
debt" (Hansard 197976, p.4548). Thus the Liberal Party favoured debt and deficit
reduction but recognized that this reduction was to be accomplished with as little
dislocation and pain as possible and only when the conditions were right and the
govemment was able to f i o r d to do so. This preference was at odds with the Tory
restraint plan which was too harsh for Tmdeau's liking and he refùsed to follow it
(Hansard t 97976. p. 1725). believing that the key to winning the deficit battle was to
conquer inflation and not resort to major cutbacks to programs and services (Hansard
197Y76, p. 14374).
The Liberals were, thus, intent on pursuing a market driven approach to fixing the
ills of the economy, including the adoption of a NR monetary economic policy in an
attempt to reduce inflation, the deficit and the debt. However, unlike the NR approach,
the Liberals wanted to get there slowly, rather than in a huny. and attempted to attack the
debt and deficit problem without major cutbacks which wouid inevitably cause many
people to experience major dislocation and social costs. The Liberals refusa1 to forge
ahead illustrated that a concem for people's well-being and a strong will to preserve
equality of opportunity still existed in the party. This ethic of compassion would continue
to soften Liberal policy making for aimost two more decades until global economic
pressures became too strong for them to resist.
Social Conservatism
On the question of abortion, the Liberal Party view is captured best by the
positions of Trudeau and Turner. Trudeau supported abortions in cases where the
wornen's health or life is in danger (Hansard 1975/76, p.5 102-3). For Liberal John
Turner. abortion is a personal issue and not a legal matter, and he claimed that "Criminal
law should not be used to force one mord view over another" (Hansard 1975/76, p.5 102).
The liberal view, thus, presupposes that there is an important need for abortions and that
the Iegal system is not the proper mechanism to use to decide the issue. The liberai view
also presupposes that an element of choice be ailowed in the system. Clearly then, the
Liberal view opposed that of the NR which views abortion as murder and as a criminal
matter to be decided through the legai apparatus of the state.
The Liberals were successfid during the mid- 1970s in eliminating capital
punishment as a method of punishing criminals, and their position on this issue shows an
opposition to the NR's clear support for capital punishment. Furthemore, this p e n d is
also characterized by the relative lack of debate on crime and punishment issues, and this
contrasts dramaticaliy to the key place that they hold in the heavily NR-dominated
debates of the 1990s.
New Right Ideology in the New Democratic Party
Three decades earlier the NDP had just recently been fonned and held its
founding convention fiom July 3 I st to August 4th, 1961. M e r splintering fiom the
Cooperative Commonwealth Federation (CCF), the party adopted a social democratic
ideology which contains policy positions clearly opposed to the Conservatives and the
governing Liberals, and to the ideological positions of the NR.
Free-market Economics
The NDP position on the fiee-market is that inequalities result fkom the
fimctioning of the capitalist system which creates a highly class stratified society with a
huge gap in living standards between rich and poor. This situation is completely
undesirable from the NDP's point of view, and govenunent intervention in the economy
is required to ensure a reasonable distribution of wealth and economic benefits. That is
clearly pointed out by MP Andrew Brewin who says. "Redistribution of income in the
direction of equaiity and, as Lord Keynes put it, this is on the basis that extremes of
wealth and poverty are disgracefül and also because the poor spend more of their income
than the rich" (Hansard 1975176, p. 14394). The NDP prograrn, therefore, contains many
economic nationalist measures which advocate extensive government intervention into
the economy including governrnent ownership and investrnent in key sectors. In
addition. the increasing power of multinational corporations was crîticized. and the NDP
recomrnended the increasing use of fiscal levers to deal with this power (NDP policies
1 96 1- 1 976). This recomrnendation prompted NDP support for putting some real teeth
into the Bryce Commission looking into corporate concentration. However, NDP leader
Ed Broadbent was concerned that this body wouid not have the power to effect change,
and he notes that the increasing concentration of power in many sectors of the economy
is damaging to the need for equality of opportunity (Hansard 1975176, p.5067).
Broadbent put forward a list of recommendations which identified some of the
areas where intervention was required: first, increased spending on housing; second,
59
ending the $1.8 billion in tax incentives to companies: third, ending the tax d e f e d
system for companies which has allowed for $7 billion in back taxes to go unpaid; fourth,
increasing taxes on upper income eamers; fifth, keeping the domestic price of oil below
the world price. Finally, Broadbent believed it was wrong to cut good social programs
(Hansard lWY76, p. 10163).
The NDP's opposition to fiee-markets was evident in the party's plan to lessen the
gap between rich and poor. The NDP's plan in 1975 for the redistribution of income
included tax reform, increasing pensions, incorne security, a cost of living index, and,
increasing unionization and government procurement in the economy (NDP policies
1961- 1976). In 1976, this redistribution was to include a national development policy
which recommended massive government intervention, an overhaul of the transportation
system, decreasing the power of multinational corporations, controlling investment
through tough regulations and public ownership of financial institutions, public
ownership of minerai and energy resources, targeting economic sectors for development,
govemrnent research and deveIopment, marketing boards, and cultural nationalism (NDP
C
policies 1961- 1976).
For the NDP then, the fiee-market represented an undesirable aspect of capitalism
that would threaten the weil-king of many Canadians. This threat must be dealt with
through extensive govemment intervention into the economy in order to protect nonwealthy Canadians fiom k i n g positioned at the bottom of the economic barrel, subject to
poverty and destitution. The NDP's position on the fiee-market is thus clearly in
opposition to the NR's ideology which embraces it.
Debt and Deficit
The NDP position on government debt and deficit was aiso concemed to
recognize and protect people from the inequalities inherent in a capitalist economy. This
meant that, if for example, spending to put people back to work or to maintain a high
standard of health care was necessary, it would take precedence over reducing the deficit
or paying down the debt. Furthemore, the NDP believed that getting people back to
work. increasing taxes on the rich, closing loopholes in the tax system, and paying
workers fair wages was the preferred way to resolve the deficit and debt problem.
For example, NDP MP Lome Nystrorn stated, "1 am still finnly convinced there
are many tax loopholes which some weaithy people and some corporatioils c m walk
rhough" (Hansard 1975176, p. 10057). Another NDP MP Max Saltsrnan demanded the
Liberal government spend more on the poor and the sick, on health care, and on research
(Hansard 1975176, p. 11063). NDP leader Ed Broadbent made a cal1 for an immediate
increase in the minimum wage to %3.50/hrto help poor workers (Hansard 1W W 6 ,
p. 1 1991). Broadbent also called for increased spending on employrnent projects
(Hansard 1975l76, p.202) and alternative programs to create jobs (Hansard 1975176,
p.7565-66) while Stanley Knowles MP was concerned with how the Prime Minister
would assist those over 65 who rely only on Old Age Security and the Guaranteed
Income Supplement (Hansard l97SI76, p. 1442). NDP MP Andrew Brewin questioned
the government on why they are not proceeding with a guaranteed income policy if they
are so concerned about child poverty (Hansard 197Y76, p.4154). The NDP was also
concemed that the Liberals' proposed cuts would increase unemployment and slow the
61
economy, and Lome Nystrom MP questioned the government as to whether employment
programs would be created in the near fiiture to increase employment (Hansard 1975/76,
p. 1O 1 94).
The NDP, then, did not see the deficit and debt problem in the same manner that
the Liberals. and especially the Conservative Party, did. The NDP's approach to d d i n g
with this issue focussed on increasing public and private sector spending job creation and
employment, increasing taxes and closing tax loopholes for the wealthy, and
simultaneously providing excellent weifare state programs and services. Fundamentally,
the NDP was a social democratic party in the 1970s and the penetration of NR ideology
into the Party was insignificant. Taking a social democratic stance allowed for a
powerful critique of the ruling Liberals who's ideology had already teetered under the
influence of the N R as iliustrated by Broadbent in the following comment: "In accepting
the view that al1 government spending is inflationary, 1 say with care and seriousness that
what the Liberal Party has done is to accept a mode of thinking that I thought had
disappeared from serious economic thought back in the 1930s. However, the Liberal
party has resurrected it in 1975" (Hansard 1975/76, p. 10162). Despite its growing
influence in the Liberal party, the NR would have to wait a few more years to achieve a
measure of success in fiacturing the ideological discourses of the NDP.
Social Conservatism
The NDP's position on abortion is one of fke choice and that this choice belongs
to the women involved in consultation with their doctors. This view is also clearly
opposed to the NR's view of abortion as a criminal matter.
62
The NDP believes that the best way to prevent crime, and thereby reduce the need
for punishing criminais, is to create jobs and achieve full employment. This hl1
employment economy would provide people with the economic abiIity to function in
society and would also develop a renewed sense of self-worth and self-respect in people
while eliminating the need for them to resort to criminal activities.
Table 4.1 below sumrnarizes the degree of support for the three central tenets of
NR ideology that each of the major Canadian political parties holds. The fke market
category illustrates the degree to which support is given for econornic policies which
favor a completely free market and attempt to minimize government intervention. A high
degree of support for policies in the debt and deficit category would favor economic
policy aimed at slashing government spending and taxes while transferring economic
activity to the private sector and reducing the role of the state in econornic development.
A high level of support for social conservatism would indicate that policies favouring
Victorian moral values and an ernphasis on increasing sentences and toughening the
justice systern for criminals would be favoured.
Table 4.1: Support for New Right Ideology by Canadian Political Parties: 1970s
PARTY
FREE MARKET
DEBT &DEFICIT
SOC. CONSERV.
Prog .-Conservative
Moderate
Moderate-High
Moderate
Li beraI
No
Low-Moderate
No
New Democratic
No
No
No
63
Conclusion
In the mid- 1970s the Conservatives (see table 4.1) heId a moderate position on the
fiee-market as they focussed on supporting fiee-markets and eliminating the
ineficiencies of big govenunent, but with the caveat that the poor must be protected fiom
the worst effects of capitalism and the dominance of global corporations which limit the
functioning of the free-market. The Party gave moderate to hi& support to debt and
deficit reduction and believed that a balanced budget achieved through government
downsizing was crucial. The blame for the debt problem was d s o clearly laid on welfare
state spending on social programs. The Tories also supported a rnoderate position with
respect to social conservatism as they viewed abortion as a crime and supported capital
punishment. The Liberals (see table 4.1) did not support NR positions on the fieemarket. or social conservatism. Instead. the Party gave support to government
intervention in the economy with an emphasis on ensuring that there was competition
between private firms. and supported legal abortions and strongly opposed capital
punishrnent. The Liberais did show low-moderate support for debt and deficit spending
restraint and focussed on decreasing expenditures and reducing inflation. The NDP (see
table 4.1 ) in the mid- 1970s did not support NR positions and held similar social and
moral positions to the Liberals and supported fiee choice in the case of abortion, and
stronçly opposed capital punishrnent. Furthemore, the NDP supported state intervention
and spending in the economy, which included government ownership and investment in
some sectors, and believed that fiee-markets were undesirable and needed to be
controlled aç they generated intolerable levels of inequalities. The growth of NR
64
ideology, however, was to alter the landscape of Canadian politics - as outlined in the
following chapter - with the birth of a political party which would speak to the political,
economic, and cultural experiences of Canadians in a radical way.
65
Chapter 5 The Rise of the Reform Party and its New Right Ideology
The success of Margaret Thatcher in Britain in 1979 and Ronald Reagan in the
U S . in 1980 and 1984, helped to set the stage for the election of Brian Mulroney in
Canada in 1984 and the hegemony of NR ideology in Canada. Western dienation also
played a key role as British Colurnbians and Albertans had histonc grievances against the
federal govemment. As a result, NR ideology fits well with their conception of the world
which centred on a strong individualism, a powerfùi criticism of the federal govemment
and their national policy interventions, and a belief in fiscal conservatism and the free-
market. This chapter will look at the astounding rise of the Reform Party to national
prominence and will include a brief history of its leader Preston Manning, his Party, and
the comections between Reform and the business cornmunity. The NR ideology of the
Reform Party will also be explored in detail.
Preston Manning's Influences
The son of Alberta Social Credit Premier Emest Manning, Preston grew up in a
politicai environment and was groomed in the ways of politics fiom an early age. His
father's influence was both of a right-wing and fûndarnentalist evangelical Christian
nature. As Premier for 25 years, his father fought against the public ownership of utilities
and medicare (Braid and Sharpe 1990:33),attacked the welfare state, expressed a strong
anti-socialîst stance, and embraced a wide open fiee enterprise philosophy (Dobbin
199 1:1 9-2 1). His father was also deeply infiuenced by Arnerican individualism and the
fiee-market and it was this ideology which was to play a major role in Emest Manning's
66
ability to dominate the province of Alberta. This domination was made possible by
giving American capital control of Alberta's oil and very favourable terms o f
development in r e m for assistance fiom the oil companies in ensuring that the Social
Credit Party would hold power (Dobbin 1991:86-91).
In addition, his father was a close associate of "Bible Bill Aberhart", the previous
Premier of Al berta, whose conservative. fûndamentalist Christian, and deepl y
authoritarian way of thinking was a significant influence on Emest Manning (Dobbin
1991:14-18). In tum this influence deeply affected Preston Manning who "readily
acknowledges the powerful influence of his faith on his thinking. The nature of that
conservative Christian faith - its rejection of 'collectivism', its glorification o f
individualism and free enterprise, its view of women as submissive to men and of
homosexual men and women as the 'basest of sinners' - must be reflected in 'al1 spheres'
of his life" (Dobbin 1991:1 1).
In addition, within the background of Alberta's political culture into which
Preston Manning was born is an ethic of strong individualism and a feeling of dienation,
which has prompted the rise of separatist movements which have tried to address many
issues. These have included gun control, immigration, abortion, the abolition of the death
penalty, metrification, equalization payments, the welfare state, high taxes, and
bilingualism (Dobbin 1991:12-13). Emest Manning and now Preston Manning grew up
within the influence of this authoritarian populist culture and have sewed as key players
within it and Manning's business connections bear out the similarity between his ideology
as a management and politicai consuitant and as the leader of a new political party.
For example, during the period 1971- 1986 Manning worked closely with
Alberta's oil and gas industry, and this kept him close to those most likeiy to reinforce his
views. These companies held strong, unfettered fke-market and pro Arnerican views
which Manning supported wholeheartedly (Dobbin 1991:43). In addition, Manning was
-
involved with Thompson Ramo Wooidridge (TRW) Systems one of the leading military
firms in the U S . - where he worked as a politicai strategist and researcher, and travelled
to Southeast Asia on what he called a "fact finding mission" to see "pacification" in
action (Dobbin 1991:35-38). Preston and his father aiso ran M&M (Manning and
Manning) Systems Research and consulted with both corporate clients and goveniments,
primarily on the most practical means of getting government out of the way and
increasing the role of the private sector in al1 aspects of social and economic life (Dobbin
1991 :46). That included encouraging the private sector, communities, non-governmentd
organizations, and families to resume their roles in the area of social services (Dobbin
1991 :49). Finally. Preston Manning also worked for the Canada West Foundation and
-
the Businessman's Council on National Issues both business-f'unded lobby groups and
think tanks - and wrote a paper in 1978 on the entrenchrnent of economic and property
rights in the Constitution (Dobbin 1991:50). This attempt to give corporations and rich
individuais the ability to counteract the democratic desire to put some constraints on the
use of property is one of the key demands of the NR. Thus Preston Manning's New Right
ideology is clearly evident in his consulting work with business.
The History of the Reform Party
A group of wealthy businessmen, including Stan Roberts and Francis Winspear,
68
put up $100,000 to form the Reform Party and held the founding convention in May of
1987 in Vancouver, B.C. Attendence was by invitation only, and the slogan, "The West
Wants In" was coined, although the attendees aiso voted to form a national party (Dobbin
199 1 :76-77). The Party's first breakthrough, however, came on March 14. 1989 when
Deborah Grey won a byelection in the riding of Beaver River, and shortiy thereafier on
October 16. 1989 Stan Waters won the Alberta Senate election (Dobbin 199 1:82)(Braid
and Sharpe 1 990:3 1)- These two events allowed the Party to receive major media
exposure and also gave the Party a voice in the House of Commons. In addition, "With
Grey in parliament, the Refonn Party could no longer be so easily dismissed as just
another Westem splinter group" (Braid and Sharpe 1990:30).
Electoral Success: The West and the National Push
The deep seated roots of Westem alienation have been harnessed expertly by the
Reform Party and are best captured in the slogan "The West Wants In" (Braid and Sharpe
1990:14). This slogan has been described as "brilliant", and as "the best four-word
description ever penned of the Western attitude over 150 years" (Braid and Sharpe
1990:17). The Refonn Party targeted resentments that include the positioning of the
Western economy as a support base for the national economy, whereby the West would
purchase eastem manufactured goods while the east would benefit frorn cheap foodstuffs
and resources from the West (Braid and Sharpe: 1990:20). Other Western cornplaints
included anger over the National Energy Program (NEP),the Goods and Services Tax
(GST), patronage, the Meech Lake Accord, crooks in the Tory caucus, and Quebec. "In
Alberta and B.C. fùrious Westerners flock to Reform Party of Canada meetings
69
demanding that Otbwa junk the Meech Lake deal, get tough with Quebec, and balance
the budget. Everywhere in the region, d i e s against the GST draw large, nasty crowds"
(Braid and Sharpe 1990: 10). According to former Prime Minister Brian Mulroney. the
Nat ional Energy Program aiso angered the West, as it was seen as an attempt to check the
growing wealth and influence of the region (Braid and Sharpe l!WO:8 1). Furthemore,
the Quebec language nghts bill 101 in 1988 infiinated many in the West, for it was
viewed as giving Quebec special rights and privileges (Braid and Sharpe 1990:82).
"Muironey's personality and Quebec identity boil vigorously in Westem minds to form a
potent political poison. When the Prime Minister taks about regional equality,
Westerners hear blarney: when he d w s a favor for his riding, they think they see the real
Prime Minister (Braid and Sharpe 1 990:79). According to Gary Doer, the Manitoba NDP
leader. "In Westem Canada, people now perceive that it's Quebec's fault we've got fiee
trade" (Braid and Sharpe 1990: 125). These elements of contention served to position
Reform well as not only the party of Western discontent but also as the only party to
express outright contempt for politicians and the govemment, which was exactly what
angry voters in the West wanted to hear.
At the 1989 assembly of the Reform Pam, Preston Manning, in preparing to go
national, had both any references to "The West" as well as any attacks on the banks
removed from Party literatwe and policy statements (Dobbin 1991:84). In addition,
references to the "supremacy of God" were removed fiom the 1988 policy blue book by
the Party Policy Cornmittee (PPC) with no mandate fiom the assembly (Dobbin
1991 :85). In 1990, "In Alberta and British Columbia, the Reform Party was nsing
70
ominously like the spectre of the CCF [Cooperative Commonwealth Federation] or the
early Social Credit Party, becoming a powerfbl new voice of Western protest on the
federal scene" (Braid and Sharpe 1990:95). In fact, by June 1990, the Reform Party was
the only party with any real mornentum, and Preston Manning was viewed by some as the
shrewdest politician in the West (Braid and Sharpe 1990:32). Even more importantly,
however. the Refonn Party was set to translate its largely Western message into a more
national one by focussing on severai centrai aspects of its New Right ideology.
The Ideology of Reform
This section of the chapter will focus on three key aspects of Reform's ideology.
including its position on the free-market, debt and deficit reduction, and social
conservatism. which includes social authoritarianism, and crime and punishment issues.
The Reform Party is the strongest voice for, and the most representaîive of, the New
Right ideology. and chat will be iifustrated by the closeness with which the Reform
Party's ideology matches that of the theoretical construct of the New Right. Critically,
the Party's ideology is both consistently New Right and not the result of populist policies
put forward by the constituencies, for al1 have corne fiom the Party's policy cornmittees
(see Dobbin 1991 :viii).
Free-market Economics
Importantly, "The Mannings' fiee-market ideology was not rooted in any
expressed community sentiment or shared vision; it was inspired by an imagined threat of
a lefi-wing conspiracy and supported aimost exclusively by corporate interests whose
principal goal was less government interference" (Dobbin 1991:66). It cornes as no
surprise. then, that Reform also supports a radical &-market
agenda harnessed to a
wave of popular anger and fmanced by supporters of an unfettered fiee-market (Dobbin
199f :75). The Reform Party attempts to create this free-market, in part, through the
pnvatization of medicare, student loans, pensions, and employment insurance.
The Reform Party holds a consistently fiee-market ideology, and this ideology is
illustrated by the Party's position on a nurnber of issues. First, the Reform party supports
a cheap food policy which was to satisfi the "demand of consumers for ... secure supplies
of food at the lowest cornpetitive prices" (Dobbin 1991:vii). If followed, however, this
policy could wipe out half the farmers in Western Canada and is, therefore, definitely not
a policy devetoped at the constituency level and adopted by a populist Party. Second,
Reform will provincialize the national medicare system by allowing provinces to set their
own standards and control funding for health care, which will eventually lead to a two
tiered system with one system for the rich and one for the poor (Dobbin 1991:vii). Thus,
Reform would scrap the National Health Act, Ieading Canada towards the adoption of a
private systern of health care. This focus on privatization is key to linking Reform with
NR ideology.
Third, the Reform Party is comrnitted to the weakening of the powers of the
federal government andTthus, its ability to affect the workings of the fiee-market. This
cornmitment is consistent with Ernest Mannings ideology as outlined by political scientist
Alvin Finkel: "The Alberta government ... was not so much interested in building up the
power of the provincial state ... as it was in downgrading in general the role of
72
governent in society" (Finkel 1989:148). Furthemore, this ideology was also clearly
outlined in Political Realignment (1967), which Preston Manning wrote with his father
and which called for " a party and govemment strictly guided by ideotogy and
fünctioning with the application of science - in an economy demonstrating the 'fiee
enterprise way of life"' (Dobbin 1991:33). To the Mannings this philosophy of antigovenunent was a key plank in social conservatism. "The supplanting of government by
private enterprise in as many areas of social life as possible was the key objective of
social conservatism" (Dobbin 199 1:46). Similady, the Reform Party places the utmost
emphasis on the elimination of government interference from the workings of the market,
and this strategy resonates with the NR emphasis on privatization. For example, the
Reform Party critiques of the health care system are ofien written so as to criticize the
underfunding of the system. yet really they are attacks on the public nature of the
prograrns. That is demonstrated by Reform ,'MP Keith Martin who attacks the public
system and States that people are dying and hospitals are overcrowded because of this
poorly funded system (Hansard Feb. 6,1997, p.7777).
Another example of Reform's emphasis on privatization is its cal1 for the
privatization of al1 student loans (MP Rob Anders in Hansard May 5, 1998, p.6583). The
government would then be released fiom its responsibility to cover the costs of the
student loans prograrns. Therefore, individual students, rather than the taxpayers in
general. would be held accountable for paying back these student loans.
The Reform Party also links high taxes with high unemptoyment and views taxes
as the worst form of govemment intervention into the fiee-market. Reform MP Jason
73
Kemey, in commenting on bill C-36, States, "We are authorking the government ui this
bill this evening to use the coercive powers of the state to take away the h i t s of those
people's labours" (Hansard May 27,1998, p.729 1). Furthemore, MP Monte Solberg
cnticizes hi& taxes that lead to high unemployment (Hansard Feb.7, 1997, p.7836) while
also calling for sweeping tax relief (Hansard May 13, 1998, p.6925). In addition, MP Jim
I-Iart attacks the mismanagement of the Canada Pension Plan (Hansard May 26, 1998, p.
7225) and this is another example of Reform attacking a public service in an attempt to
sway the public towards supporthg a private pension system while putting an end to the
public one. This position is supported by Reform MP Deborah Grey who claims that
business contributions to pensions are too high and too costly, and she calls for
mandatory contributions into self-directed (ie. private) retirement funds (Hansard Feb.
28.1996. p. 59).
For Reform, Employment Insurance (EL) premiums are also seen as a tax grab
which removes money fiom the economy and fiom the businesses which will invest it
into job creation. thereby stimuiating economic growth. The Party believes that these
premiums should be cut and that excess money in the fimd reflects this need to lower
premiums for both employees and ernployers (Monte Solberg in Hansard May 27, 1998,
p.7273, and again, June 1, 1998, p.7390).
Reform is also virulently anti-union (Hansard May 8, 1998, p.6703-6709) and
beIieves that there should be a fiee-market for labour where unionized and non-unionized
workers would c o m p t e side by side for the sarne positions or contracts. That would, of
course. result in a great decrease in the number of union positions in the labour force and
74
push the balance of the labour/business continuum greatiy to the right and would, thus,
heavil y favor business.
The NR ideology of the fiee-market was also evident when Reform leader Preston
Manning spoke in support of Ontario Premier Mike Harris and his "cornmon-sense"
revolution at the recent United Alternative convention on February 20th, 1999. Manning
attacked the federal government over high taxes which he claimed forced people to leave
Canada and called for the building of a home with the "freedom of the marketplace not
shackled by government regulation" (CPAC, Feb. 2M, 1999).
The Reform Party, thus, clearly holds a NR position on the fiee-market, for its
leaders and key representatives believe that the economy works best when government
stays out of the way. In addition, they also believe that taxes are a form of thefi and that
this money would be better spent by individuals and not by govemments. Finally,
Reforrn's support for privatizing Medicare, student loans, pensions, and E.I. also clearly
indicates that Reform holds a NR position in these areas.
Debt and Deficit
The Reform Party's position on the debt and deficit is a clear example of its NR
ideology and the contradictions inherent in this ideological formation. The Party has
campaigned extensively on the elimination of both the deficit and the national debt;
however, Reform has also stated that, if elected, it wouid abolish the GST (Goods and
This statement is highly contradictory, for the GST is a major govemment
S e ~ i c e Tax).
s
revenue producer. and Reform has produced no plan to replace this revenue w l d e
eliminating the deficit and debt through other means. That may explain why in party
75
literature a resolution from the Party Policy Committee suggests that Reform would keep
the tax. albeit in a different form which is striking given that Reform had risen from
relative obscurity in large part because of its forceful stand on rernoval of the GST
(Dobbin 199 1:vii). Furthermore, Reform continues to contradict its interna1 party
cornmittee by calling for the elimination of the GST ( s e Hansard Feb.4,1997, p. 765 1).
In addition, Manning has attacked Prime Minister Chretien relentlessly. criticizing
the lack of a bahnced budget plan and for increasing the federal debt fiom $450 to $600
billion (Hansard Mar.27,1996, p. 1288-89)- Furthermore, he d i s repeatecily for the
elimination of the deficit (Hansard March 20,1996, p.1420, and Feb.10,1997, p.7884).
Reforrn MP Deborah Grey also calls for deficit reduction and a balanced budget that will
allow for the paying down of the debt and the giving of tax relief (Hansard Feb. 28. 1996,
p.59).
Reform's deficit and debt elimination strategy is based on two key policies: first.
the reduction of govemment spending. and second, the lowering of taxes. MP Val
Meredith. for example, targets wasteful govenunent spending and hi& taxes as the cause
of high unemployment, bankruptcies, and many personal tragedies (Hansard Feb. 4,1997,
p. 7653). MP Dianne Ablonczy also cites the need for tax relief (Hansard Feb. 4, 1997,
p.7654j. In addition, Reform MP Monte Solberg calls for Mike Harris style tax relief
where a family of four earning $60,000 received $3,000 in tax relief fiom the Ontario
provincial government (Hansard May 6,1998, p. 6601). Furthemore, Solberg attacks the
federal government for its lack of action on the debt and high taxes, and claiming that
"This government has failed completely to deal with the issues that are the most
76
important to Canadians. It has failed to deal with the issue of taxes and debt. It has done
nothing about the debt issue" (Hansard May 27,1998, p.7293).
In sumrnary, the Reform Party holds a NR position on the debt and deficit and
focusses on their eiimination by reducing government spending and Iowering taxes. The
NR believes, first, that the private sector performs best when it is fiee to operate without
constraint and. second. according to NR theonst Robert Nozick, that taxes are a fonn of
thefi.
Reform MP Jason Kenney also believes that taxes are a fonn of theft and that the
Reform Party expresses the need for a fke-market in Canada. Third, the NR also
believes that individuals are at the centre and are the most important unit in society.
Therefore. any govermnent appropriation of taxes is viewed as theft and does not allow
for individuals to rnaximize their fieedom. This view is also in agreement with Refonn
Party principles and policies which support slashing taxes. Clearly, then, Refonn Party
policy on the debt and deficit is a clear example of NR ideology.
Social ~onservatism'
The Reform Party also holds NR positions on issues of the family and on
questions of morality. The party is, thus, in favour of stay-at-home mothers, holds a
heterosexist view of the family, is anti-abortion, believes that the age of sexual consent
should be raised, and also supports the inclusion of the Christian concept of God in the
Constitution. For example. Refonn MP Eric Lowther cIaims that the tax system
-
- -
-
See chapter 2 "The Philosophical Roots of the New Right" for fùrther explication o f this argument, or if
you prefer, see Robert Nozick's Anarchy, State, and Utopia, Basic, Boston, Mass., 1974, where the
argument is hlly developed.
77
discriminates against single income two parent families (Hansard May 5, 1998, p.6549).
It does this, the party clairns, because the tax system allows two parent families who have
both parents employed outside the home to c l a h child care costs as a tax deduction
while families with a stay-at-home mother have no tax claim. Refonn MP Reed Elley
goes so far as to Say that the Likral government forces both parents to work, and she d s o
wants the governent to support families where mothers are not employed wiùi a tax
break (Hansard May 14, 1998, p.7003).
Reform's heterosexist view of the family is made clear by Gerry R h ' s petition
that marriage can only be entered into by a single man and a single woman (Hansard June
3, 1988, p. 1445). The Reform Party is. thus, opposed to gay rights and the idea that a
maniage can be defined as anything other than a union between a man and a woman. The
Reforrn Party is also anti-abortion and views abortion as a crime against God and not as a
matter of persona1 choice for the woman involved.
Reformers also favour raising the age of sexual consent fiom 14 to 16. For
example. Reform MP Grant McNally petitioned the house to raise the age of consent by
two years (Hansard June 3, 1998, p. 1445). Reformers hold NR views on sex and not only
view marriage as the only appropriate venue for sex, but, also consider 14 to be too
young for people to make the decision to have sexual intercourse.
The Reform Party is also ctiaracterized by the NR ideology imbedded in its
policies and ideology related to issues of crime and punishment. For Reform, the current
justice system is considered far too lax, and criminals are believed to be getting off too
lightly with shortened sentences and day parole programs. Furthemore, prison
78
conditions are considered "too good" or too easy and not nearly punitive enoughReformers also believe that the Young Offenders Act (YOA) is far too lenient and needs
to be toughened up. Finally, for Reformers capital punishment is considered a viable
means to deal with criminais who commit serious offences.
The Refonn Party has been vocal in its cal1 for a victim's bill of rights. For
example, MP Deborah Grey points out that the rights of victims shodd supersede the
rights of criminals (Hansard Feb.28,1996, p.59). MP Paul Forseth also shows support for
a victim's bill of rights (Hansard May 5, 1998, p.6553).
Refonn MP Ed Harper calls for the strengthening of the YOA, the publishing of
the names of offenders, decreasing the age of application, and the transferring of serious
young offenders to adult court. He also favours the use of two sîrikes and you're out
legislation for adult repeat violent offenders whereby they would serve life in prison with
no chance of parole after having been convicted of the same offence twice (Hansard
Feb.6. 1997. p.7747). MP Reed Elley d s o supports the publishing of the names of young
violent offenders and increasing the maximum penalty for young offenders fiom 3 to 7
years (Hansard May 13, 1998, p.6929). Reform MPs John Williams and David Chatters
also presented a petition on the YOA to double maximum penalties and publish the
names of offenders following a second offence. They d s o support lowering the age limit
which defines a young person, so that the YOA will cover those between the ages of 1017. For violent crimes the MPs klieve that those 15 and over shouJd be raised to adult
court (Hansard May 26,1998, p.7 188, also see comments by Phillip Mayfieid MP in
Hansard May 26,1998, p. 7236).
79
In addition, Reform iMP Jack Ramsay questioned the Liberais on the issue of the
number of serious offences committed by youth (Hansard May 26,1998, p.7230) while
MP's Chuck Cadman. Allan Kerpan, and Myron Thompson d l raised questions in the
house regarding why the Liberals are so sofi on crimes committed by young offenders
(Hansard May 26,1998, p.723 1). MP Jack Ramsay also criticizes the justice system and
daims that 50% of the money spent on crime prevention is spent on administration
(Hansard June 3, 1998, p. 1445).
Reforrn's position on issues of crime and punishment is, thus, heavily NR, for the
Party supports an ideological stand which views harsher punishment, incfuding capital
punishrnent, as a means to discourage crime and reform the justice system. Furthemore,
the Party's focus on increasing the punishment and incarceration of children via
toughening the YOA also is indicative of a strongly NR approach to criminal justice
matters.
Table 5.1: Support for NR Ideology by The Reform Party
FREE MARKET
High
DEBT & DEFICIT
High
SOCIAL CONSERV.
High
Conclusion
This chapter has examined Preston Manning's early conservative and evangelical
Christian background which has heavily ùifluenced his ideological positions. In addition,
his close connections to business, as well as the political culture of Alberta and the
dominant Social Credit Party have been explored in order to understand their influence
80
on Preston Manning's thought. The history of the Reform Party and its electoral success
in the West has been examined and, fmally. the NR ideology of the Party has been
discussed. As illustrated in table 5.1 above, the Refonn Party gives high support to NR
positions on the free-market. debt and deficit issues, and social conservatism. Thus
Reform clearly represents a break with the social democratic ideology which had
dominated the major Canadian political parties in the mid-1970s. The thesis wili now
consider the shifts in political ideology of the major Canadian political parties in the
1990s as evidenced within the debates in the Hansard from the Houe of Cornons.
Chapter 6 New Right Ideology in Canadian Political Parties
in the 1990's
The nse of the NR has been significant, and this success is illustrated partly by the
legitimacy and electoral success of the Reform Party, but also, and perhaps even more
importantly, by the NR's ability to powerfidly influence and have its ideology adopted
into the party policy of the Conservatives, the Liberals, and even the NDP. The success
of the NR is based upon the new reaiities of globalization which have dramaticaily
increased the fieedom of capital to invest and to move production to low-wage low-cost
sites. With thk new heightened level of global competition cornes a need for each nation
to rnaximize its own comparative advantages in order to sustain economic growth and
provide protitability levels which will attract both corForate and finance capital
investment. The recipe for this growth is fiequently a substantial lowering of wages and
benefits, the cutting of taxes and, dong with these the decrease of public services and
amenities. Fundamentaily, NR proponents have k e n able to make sense of these global
changes which affect the economy, culture, and the very foundations of the Canadian
welfare state. and explain them in a way which has resonated with the "common-sense"
and experiences of Canadians. Furthennore, the NR has affected the Canadian plitical
scene in a unique way based on Canada's distinctive political, economic, and cultural
conditions. This includes regional politics, and a hi& degree of foreign ownership of the
economy. set against a background of both a fiscal crisis and a crisis in national identity.
These factors have set the stage for the rise of the Reform Party and the dramatic shifi to
the right in the policies and ideology of the other major parties. This chapter will look at
82
these shifts and discuss ihem in the context of the three key NR themes analyzed in the
previous two chapters.
New Right Ideology in the Consewative Party
The Conservative party was relegated to the unenviable position of loshg its
officiai party status afier having only two MPs elected to parliament in 1993. This defeat
\vas in part a testament to the hatred which Canadians felt for Prime Minister Brian
Mulroney, but was also based on the failure of the consensus with the Quebec wing of the
Conservative Party and the rise of the Bloc which drew other elements of support away
from the Tories. Additionally, it was also a result of the eclipsing of the Conservatives'
ideology by that of the Reform Party which came to represent NR ideology and the new
cultural force which began to dominate particularly in Western Canada. Despite the
Conservative party's current lack of political power and representation in the House of
Comrnons, it is still illustrative of the larger transition to the Right to analyze its
ideological shifi and its positions on key NR concepts.
Free-market Economics
The Conservatives in the 1990s have expressed positions which increasingly show
the influence of NR ideology. For exarnple, Elsie Wayne MP criticized the new
EmpIoyment Insurance (EI) regulations which she felt penalize people who want to w-ork
(Hansard Feb. 4, 1997, p.7653). Conservative leader Jean Charest also felt that low
income families are overtaxed and, therefore, EI contributions should be reduced for
these families (Hansard Feb. 4, 1997, p.7663). PC MP Scott Bnson clearly stated the
83
Party's free-market position on unernployment insurance when he said, "Hi& payroll
taxes kill jobs" (Hansard May 27, 1998, p.7279). These attempts to lower employee's and
employer's EI contributions follow corn the NR's belief that government intervention in
the economy is ineficient and does not allow for the same fieedom of choice that the
fiee-market would. Thus, for the NR, EI contributions shouid be voluntarily made to
either a public or private plan. dependïng on individual choice. Such a plan would also
cause EI to "adhere strictly to the principle of insurance" (Progressive Conservative Party
of Canada 1996:17) which means that EI would be a private matter where employed
workers would be responsible for their own coverage and premiums and where income
replacement rather than income supplement would be the focus.
In addition, this position also expresses the NR belief that only the pnvate sector
can create jobs and must be able to do so without the burden of high taxes which
discourage investment, and therefore, increase unemployment. PC MP Jean Dube sums
up this position when he States, "EI premiums are a tax on jobs" (Hansard June 1, 1998,
p.7393). The PCs believe that "Excessive taxation is killing jobs", and that "The level of
taxation in Canada threatens to make this country uncornpetitive with our key trading
partners". As a result, the paw calls for a 10-20 % reduction in personal tax rates
(Progressive Consewative Party of Canada 1996:7-8). The demand for a tax cut also
stems fiom the Torie's fiee-market views which support the concept of "minimalism", or
"the right of the taxpayer to enjoy the fniits of hisher own labour to the greatest possible
extent" (Progressive Conservative Party of Canada 1996:9).
The Tories' fiee-market views include fieeing "the spirit of entrepreneurship"
84
which is hobbled by high personal, business, and payroll taxes, excessive regulation and
red tape. The role of the federal governrnent shodd, thus, be redefined and delimited. for
"afier decades of looking to government as a solution to al1 their problems, Canadians
now see government as the problem" (Progressive Conservative Party of Canada 1996:2).
According to the Tories, govemment should live within its means in the context of a freemarket society which creates a "culture of opportunity". Furthermore, for the Tories jobs
are created by a vital and vigorous pnvate sector, not by govements, and therefore, job
creation should be left to the private sector with the role of government k i n g to set the
conditions where by the private sector can thrive. For example, marketing boards which
are viewed as reducing cornpetitiveness, would be removed (Progressive Conservative
Party of Canada l996:4). Finally, this new limited form of governrnent would eliminate
al1 overlap and duplication (Progressive Conservative Party of Canada 1996:2) and end
subsidies to business and special interest groups (Ibid5). As a result, only essential
government h c t i o n s and services would be maintained, and efficiency and effectiveness
according to the yardstick of cost-benefit analysis would become the new measure of
good governrnent. (See chapter 3 for the role played by NR influenced free trade
ideology in the Tory strategy of creating an efficient. limited government,)
Debt and Deficit
The Tory position on debt and deficit also contains elements of NR ideoIogy. For
the Conservatives, al1 deficit spending is unacceptable, and a responsible goveniment
must balance its budget. Furthermore, it is believed that high spending has resulted in a
massive debt which requires a high tax burden in order to bnng in enough govemrnent
85
revenue to cover the yearly interest payments on the debt. "Interest payments on this
debt will cost the federal govemment $47.8 billion in the current year. ...The national
debt is nothing more than a costly mortgage we are leaving to our children's generation"
(Progressive Conservative party of Canada 1996:6). Also, according to PC MP Charlie
Power, there has been a 50 percent increase in the number of Canadians applying for
work visas to the US. over the 1 s t 4 years, and that is due to the fact that "Our
government, continues to follow high tax policies which drive our best and brightest
south of the border" (Hansard May 12, 1998, p. 6858-59). Therefore, the Tones believe
that cutting spending would allow for the reduction of tax rates and that these new lower
rates would benefit the economy by increasing investment. Furthemore, the Tories have
laid the blame for massive deficit spending on increased costs of health, education, and
other social programs and, as a result, have targeted key programs of the Canadian
welfare state for reduction or elimination. ï h e cutting of these programs and services
clearly reflects a NR influenced policy, for it targets p r o p m s for cutting which primarily
benefit the poor. and also because the winners in the new lower tax regime are primarily
wealthy Canadians with money to invest. This policy is in agreement with NR
philosophy which is supportive of inequalities, for they are believed to be both inevitable
and beneficial because they make people work harder to avoid ending up at the bottorn of
the economic scale. Additionally, the policy supports the NR belief in "trickle down
economics," which holds that people who accumulate wealth will invest in the econorny
and create jobs, thus allowing the money to trickle down to enrich al1 of society.
The Conservatives believe that tough choices need to be made about the size and
86
cost of government to ensure that the next generation has as much fieedom as the
previous one. According to the Tories, this fieedom can be achieved only through the
elimination of the deficit and by beginning to pay down the debt. The government must
"get its fiscd house in order," and the Tories promise to eliminate the deficit in the fmt
term and balance the budget through the creation of balanced budget and taxpayer
protection legislation (Progressive Conservative Party of Canada 1996:6). In addition,
"Once the federal deficit is eliminated through spending cuts, not tax increases, specific
targets for reduction of the federai debt must be set with measurable milestones"
(Progressive Conservative Party of Canada 1996:7). The Tories, then, are following a NR
approach to the debt and deficit which lays the blame for the nation's debt problems on
excessive government spending on welfare state programs and services, and focuses on
first, the balancing of the federal budget and the elimination of the deficit, second,
mandating balanced budget and taxpayer protection legislation, third, paying down the
debt. fourth. decreasing taxes, and fifth, Iimiting the size, cost, and role of government
and decreasing spending primarily in the areas of health, education, and social programs.
Social Consei-vatism
Although the Conservative Party holds NR positions on a number of social and
moral issues. its policy material, as well as the Hansard research that 1 covered, is
characterized by the absence of discourse on issues of abortion, gay rights, or gender.
This silence may represent a recognition by the Tories that entering into these areas of
politicai discussion may prove counterproductive because of their highly controversial
nature. It may ais0 indicate, however, that the Tories are not supportive of changes to
87
esisting legislation and are content with the status quo and, in this sense, are less to the
Right than the Reform Party which calls for rightwing refonns in these areas.
The Tory position on issues of crime and punislunent has also been influenced
by the NR. ln fact, the Tory platfonn is so similar in some ways to that of the Reform
Party that Tory members of parliament are sometimes left with nothing to say and can
only agree whole heartedly with Reform party members. For example, PC MP Peter
MacKay supports the position of Reform PviP Philip Mayfield who asks "That this house
condemn the government for the deplorable state of Canada's crirninal justice system,
and the goveniment's lack of concern for public safety, as demonstrated by their refusal
to: (a) strengthen the Young Offenders Act; (b) abolish conditional sentencing for violent
offenders and ( c ) introduce a victim's bill of rights" (Hansard May 26, 1998, p.7236-38).
In the principles and policies document. "Designing a Blueprint for Canadians", it is
stated that "A Progressive Conservative Government will toughen the law with respect
to young offenders and violent crimes" (Progressive Conservative Party of Canada
199623). This toughening of the law in regard to young offenders would include
"lowering the age at which young offenders may be prosecuted from 12 to 10 years
of age: publishing the particulars of young offenders convicted of serious violent
crimes; and enacting similar provisions to the Manitoba Parental Responsibility Act,
whereby parents of young offenders rnay be held financially liable for the criminal acts
of their child" (Ibid:24). The Party would d s o work towards "creating a better balance
between the rights of victims and society, and the rights of the accused and convicted"
(Ibid).
88
Thus. Conservative positions on issues of crime and punishment reflect an increasing NR
focus which ernphasizes harsher punishment as a deterrent to crime and the prioritizing of
the rights of the victim over those of the accused. In addition, these Tory positions a h
place the responsibility for crimes committed by children directly onto the shouiders of
their parents, and that reflects NR influence. for it moves the burden of care away fmm
the state and into the private realrn of the family.
New Füght Ideology in the Liberal Party
The Liberals rose to power in 1993 with a shinning election victory. However,
the party was no longer one which embraced the same welfare state policies of the 1970s.
This new party had become NR-influenced and emphasized an increased faith in the fieemarket and tiee trade. reductions both in the size and cost of government, and a
cornmitment to the elirnination of the deficit and debt. The Liberals have also k e n
forced to respond to NR positions on crime and punishment issues which have gained
support in public discourse and, as a result, have placed an increasing emphasis on them.
Of the various NR issues that we have been discussing, though, the Liberals' move to the
Right was most dramatic on economic policy.
Free-market Economics
The Liberals' position on the fiee-market has also been influenced by the NR and
emphasizes expanding Canada's trade base, increasing foreign investment and tourism
(Throne speech. June 2,1997, I st. session, 36th parliament), downsizing the federal
government, and expanding on existing free trade deals. (For a thorough discussion of the
89
Liberals shift to the nght as evidenced by the adoption of fke trade policies see chapter
3 .) Prime Minister Chretien States that "Canada is far more dependent on exports than
any other major industrial nation" (The Prime Minister's Forum October, 1996). In fact,
the emphasis on fiee trade has become so important that the Liberals have become
supporters of a new investmeat agreement called the MAI ( Multilateral Agreement on
Investment ) which includes the 29 member nations of the Organization for Economic
Cooperation and Development and would create a regdatory regime for finance capital
and global trade. The MAI wodd give equal treatment to investors fiom any nation.
Thus, Canadian capital codd not benefit fiom any particular incentives or initiatives, as
this would be deerned discnminatory. For Canadians, tiis new agreement would M e r
restrict the ability of the Canadian government to act in the best interests of the people in
terms of preserving or creating jobs in Canada or in dealing with the dislocation and
hardship brought on by economic changes.
The Liberals have, therefore, moved to a more heavily NR dorninated position on
fiee-market economics. and this shifi is demonstrated by their having forged ahead with
the MAI, which represents an attempt to create an even more expansive fiee-market in
which the Liberals believe Canada can continue to develop its strength in exporting, but
which has the effect of Iimiting democratic control of the economy and of creating a fieemarket where labour, environmental, and social welfare standards are being roiled back
(see Clarke and Barlow l997:38,lO5- 106).
90
Debt and Deficit
The Liberal's position focuses largely on eliminating the debt and deficit which
are viewed as key threats to Canadian competitiveness in the international arena and as a
rnortgage to be paid by the next generation. For the Liberais, the key to both attracting
and keeping global investment and the jobs which are created in Canada is to provide a
stable economic environment uith low interest rates. This environment can be achieved
by increasing investor confidence in the Canadian economy through taking steps to
eliminate the national deficit and debt (The Prime Ministef s Forum October, 1996).
Jean Chretien outlined this position as a key part of his Throne Speech on June 2,
1997 when he promised to first, put the debt to GDP ratio on a permanent decline;
second, to balance the federal budget by no later than 1998-99, third, to devote one half
of the surplus to addressing the social and economic needs of Canadians and one half to
decreasing taxes and the national debt, and finally, to make changes to the CPP and the
new Seniors Benefit to ensure their sustainability (Throne speech, 1st session, 36th
parliament). The Liberals were later to rescind their promise to put half the surplus
towards the economic and social needs of Canadians, and, therefore, the Liberals were
clearly committed to NR-influenced policies which placed deficit and debt elimination as
key priori ties.
This NR-influenced approach to the deficit and debt is pointedly iilustrated in
statements by Liberai MPs in the House of Commons. For example, Karen Kraft Sloan is
certain that the people of Canada also want to elirninate the debt and deficit, stating that
"the people of Canada want fairness and balance in goveniment. Canadians know that
91
we must get our fiscal house in order but they also are committed to reducing the socid
and ecological deficit in this country" (Hansard Feb.5,1997, p. 7708). John Findlay also
called for the elimination of the deficit as soon as is reasonably possible (Hansard
Feb.7,1997, p.7829) and Jim Peterson states that "we have balanced our budget, the first
in the G-7, when we are now paying down our debt without ripping the guts out of our
social programs" (Hansard May 15,1998, p. 7064). In fact, the Liberals have decimated
transfer payments to the provinces which have resulted in major reductions in funding for
education, health care, and social services. For example, Employrnent Insurance benefits
have been skished and the majority of unemployed persons are no longer eligible for
benefits. When questioned on the need to improve Employment Insurance, Pierre S.
Pettigrew notes that "This is why our government bas put our fiscai house in order"
(Hansard May 26. 1998, p. 7235). The Minister, thus. restates the Liberals' commitrnent
to decreasing the debt and deficit, and this cornmitment illustrates the Liberals placement
of the debt and deficit as the highest priority of their government, an emphasis illustrating
their increasingly NR-influenced policy.
The Liberais, however, have been carefiil to avoid moving as far to the right as
the Reform Party in their deficit slashing and cutbacks. As PM Jean Chretien points out,
"We have managed to do that in a civilized way, in the Liberal way. It will not be by
slashing and burning or by not caring whether people are suffering in our society like the
Refonn Party would do" (Hansard March 2 1, 1996, p. 1430). While the Liberals, then,
want to avoid adopting the extreme ideological positions of the Reform Party, the NRinfluenced Liberals are also deeply opposed to the idea of any increased spending as
92
evidenced in Lynn Meyers response to the NDP's cail for $1 8 billion in expenditures.
She calls this plan "nonsense", and "irresponsible", and an "outrageous statement"
(Hansard June 1, 1998, p. 7418). The new Liberals are, thus, following a NR-influenced
course of deficit elirnination and debt reduction without taking the drastic steps that the
Reform Party would choose to implement. ï h i s approach has ailowed the Liberals to
become the champions of what is perceived by the voting public as a more sensible path
to eliminating the deficit and debt.
Social Conservatism
The Liberals' stance on social issues has also been affected by the rise of the NR
and the penetration of NR ideology. Several Liberal MPs, for example, express NR
positions on the family and traditional beliefs about sexuality. Liberal MP Paul Szabo
calls for assistance to be given to families who care for preschool children at home
(Hansard Feb.4. 1997, p.76 16). This assistance would take the form of decreased taxes
for farnilies where one parent chose to stay home and care for the children (Hansard May
5. 1998. p.6509). For Szab, the Income Tax Act discriminates against farnilies that
choose to provide direct parental care in the home for preschool children (Hansard May
15. 1998. p.7068). Behind this support for one parent to stay at home is the NR belief
that a woman should be at home to look afier the children and that for her to work is a
sign of irresponsibility. And while Szabo does not suggest this rationale, the reality of
most farnilies in Canada is that the male is the head of the household and the main
breadwimer and by providing this support for women who choose to stay at home and
perform childcare duties, these NR discourses which view a womads role as that of
93
homemaker would Iargely be reinscribed and legitimized.
Another NR discourse which some Liberai MP's emphasize is that of traditional
heterosexuaiity, and this is done by defining a marriage in such a way as to exclude
homosexuals. MP John O'Reilly, for example, refers to marriage as k i n g between a
single man and a single woman (Hansard June 3, 1998, p. 1520). Thus, this Liberal MP
has reinstitutionalized a traditionai view of sexuality through his discourse of mamage.
The Liberals have also been influenced by the NR on issues of crime and
punishment, and this influence is apparent in the increased emphasis placed upon it. In
his Throne Speech Prime Minister Chretien emphasized increased funding for
cornrnunity-based crime prevention, the development of alternatives to incarceration for
low risk, non-violent offenders, and further, he called for the integration of al1
information systems of al1 partners in the criminal justice system (Hansard, 1st session,
36th pari., June 2. 1997). In addition, Justice rninister Anne McLellan is attempting to
develop a nationai strategy to ded with young offenders under 12 who are just beyond
the reach of the law (Vancouver Sun, Sept.28, 1999, AS). The emphasis placed on this
issue by the Liberals is, in part, clearly an attempt to try to benefit politically fiom the
exposure in public discourse of this issue created by the Refonn Party.
The Liberals have, however, been carefül to maintain a distance bom Reform
Party positions on crime and punishment issues, and McLellan is quick to point out that
"We do not think the criminal justice process is the appropriate one for a child under 12"
(Vancouver Sun. Sept.28,1999, AS). MP Steve Mahoney also makes this clear when he
States, "Mr. Speaker, the Reform Party has called for extreme right wing changes to
94
Canada's criminal justice system. It favours a hvo stnkes and you're out law that would
jail young Canadians for life if they commit two relatively minor offences. Some of
Reform's extreme ideas include public scom, caning and other forms of corporal
punishment. Reform members even wanted to send a parliamentary delegation to
Singapore to witness the caning of young offenders in that counW...to the Reforrn
agenda I Say no" (Hansard May 26, 1998, p. 7224). Thus, while the Liberals have
participated in the dialogue over Canada's criminal justice system and have made some
changes to toughen the system, they have not adopted or accepted the radical NR belief
that increasing punishment in itself will serve as an effective deterrent to crime.
-
The NDP Old Politics in a New Era
The New Democratic Party (NDP),founded in 1961 out of the ashes of the
Cooperative Commonwealth Federation (CCF). has also experienced a shift in its policy
and ideology but, unlike the Liberals and the Conservatives, has floundered in its search
for a platforrn that resonates with the new economy and its cultural shifls. The socialism
of the past represented defiantly by the Waffie Manifesto of 1969 had been dismissed by
the social democratic forces within the party and, thus, the emphasis was on putting a
human face on the outcome of the capitalist economy. The early NDP mainstream was,
thus social dernocraticznationdistic, focussed on industrial specialization to achieve
global success. supportive of farmer protection and CO-opsand of state support for health
care. social security, and arts and culture (from The Federal Program of the NDP
Founding convention, Ottawa July 3 1-Aug-4, 196 1).
The NDP saw the market as good for the distribution of some products and
95
services but as woefidly inadequate for other economic and social ends. Furthemore,
foreign ownership and regional disparities were targeted through the proposed
establishment of a federal government development corporation. Secondary industy and
a diversified economy were to be encouraged through investment in scientific and
technicd research and. where necessary. a combination of public, private and co-
-
operative ventures were proposed (NDP policies 196 1 1976).
In 1974 the NDP's policy statements supported a program of state intervention in
the economy where it was deemed that private corporations in any sector were either
beyond democratic control, unaffected by regulatory agencies, or not under the control of
the marketplace. State enterprises couId fimction in sectors where no private companies
operated. where environmental injury had occuned, where new industry was requïred, or
where market failure could have senous consequences (NDP policies 196 1- 1976).
However. in 1975 despite the presence of many nationalist economic proposais, there was
clearly some recognition that the use of fiscal levers to boost the economy were
becorning increasingly problematic (NDP policies 196 1-1 976).
In the late 1970s The NDP remained cornrnitted to income redistribution and tax
reform aimed at increasing the tax rate on high income eamers and reintroducing estate
and gifi taxes. Subjecting capital gains and dividends to the same tax treatment as other
income was also official policy. The close monitoring of corporate tax evasion and the
possible legisiation of excess profit provisions for multinational corporations, as well as
limits to corporate advertising, were also part of the policy agenda. The building of
secondary industry under public ownership and democratic public direction, ending
96
monetarist anti-inflation policies, and the implementing of a national industrial strategy in
order to achieve full emgloyrnent were centrai to N D P policy (1977 NDP Convention
Resolutions).
In regard to banking, the NDP advocated state regulation of bank profit margins,
and loaning money outside of the country would only be pennitted if it was in the
interests of Canada. In an attempt to regain control of our oil ùIdustry fiom the grip of
foreign transnational capital the development of public transport and the creation of
Petro-Canada (NDP 1977 Convention resolutions) were m e r examples of the NDP's
vision of the interventionist role for the Canadian state.
By 1979, aithough much of the socialist rhetoric was gone, party policy was still
strongly interventionist and economic nationalist with an emphasis on full ernployment
and Keynesian econornic management (NDP policies 1961- 1976). However, the
drarnatic changes in the global economy and the rise of the NR would soon force the
NDP to move rightward in its search to find an ideology that would resonate with the new
economy.
Throughout the 1980s it appeared that the NDP was set to break through ont0 the
national poli tical scene, winning many seats in parliament and gaining power in Ontario
and B.C. As the strongest and most persistent critics of NR policies, including fiee trade,
95
the NDP's support reached a highpoint in the late 1980s. By the early 1WOs, however, the
ideology of the NR was to become dominant, and the NDP was not able to publicly
maintain its strong ideological opposition to the NR. The Refonn Party, on the other
97
hand. was poised to capture the "common-sense" and begin its climb towards stunning
electoral success in the 1993 Federal election, winning 52 out o f 282 seats in the House
of Comrnons.
New Füght Ideology in the NDP
While the NDP has perhaps been the least affected by the rise of the NR, there has
still been a shifi in the Party's ideology. The NDP's shift can be viewed primarily in the
areas of fiee-market economics and of debt and deficit where the party has made some
concessions to the hTR. Thus, the NDP no longer supports strong state intervention into
the economy nor the nationalization of industries. In addition, the importance of
controlling the deficit and government spending has been recognized. Furthemore, the
NDP now supports, albeit to a lesser degree, the new fiee trade agreements while also
taking issue with the lack of protection for labour and the environment, as well as the
anti-democratic nature of these supranational arrangements. It is instructive, though, to
also analyze the NDP's position on social issues and in the area o f cnme and punishment
to showcase the critical differences between a party which still contains social democratic
elements and the Conservative and Reform Parties which express ideological positions
more representative of NR ideology.
Free-market Economics
The NDP has been influenced by NR ideology in that it has moved away fiom its
traditional support for a mixed economy with large scale government intervention
to\vards one which supports a more market-based entrepreneuridkm with less emphasis
98
on govemment intervention. In addition, the NDP no longer supports the nationaiization
of industries nor believes that the Canadian economy can fimction in isolation fiom the
global economic order and, thus, has given limited support to the fkee trade agreements
while recognizing the need to address the needs of labour, the environment, and social
welfare standards within these accords.
Thus, the N D P remains critical as MP Bill BIaikie points out, of fiee-market
ideology, as demonstrated by its continued opposition to and attacks on the Liberals over
free trade, NMTA. Canada's participation in the WTO, and the Liberals' sel1 out of
Canadian culture (Hansard Feb.3, 1997, p.7569). In fact, for Blaikie, the domination of
Canadian trade policy by American business interests has resuited in the decimation of
the CBC, the sale of the RCMP's image to Disneyland, and the creation of a Disney
postage stamp (Hansard Feb.3, 1997, p.7569). The NDP, thus, rejects the new MAI, or
Multilateral Agreement on Investrnent, which is currently king negotiated behind closed
doors by the 29 member nations of the Organization for Econornic Cooperation and
Development. This deal attempts to complete the creation of a global fiee trade
agreement and would virtuaily eliminate govemment intervention in the market and
would allow transnational corporations to move their operations anywhere in the world
without restriction (The Abbotsford News, April30, 1998, A2)(see MP Nelson Riis in
Hansard May 27. 1998, p.7284-85). The MAI has k e n called a Bill of Rights for
transnational corporations, for it bestows upon them the status of nation state and wouid
grant them the right to sue any nation which acts to limit those corporations' profits.
Furthemore, disputes are to be settled by trade lawyers in secret and nations have no
99
avenue to appeai the decisions (Murray Dobbin in Teacher, M a y h n e , 1998,p.S). The
MAI represents a vast regdatory regime over f i c e capital, investment, and trade
which promises to vimially eliminate the legislative authority of national and regional
governments over these matters and places their management and control in the hands of
transnational corporations, private banks. elite investment houses, and -de
bureaucracies. Thus, the MAI handicaps goveinments and diminishes the democratic
decision-making power of the electorate. M l P MP Svend Robinson notes that "it
contains no provisions for the protection of labour and environmental standards, human
rights, or democracy" (Columbia Journal, Vol.3,No. 1, March/April. 1998). The NDP
MP's, thus, ask the Liberals to "seek an entirely new agreement by which the world might
achieve a rules-based. global trading regime that protects workers, the environment, and
the ability of governments to act in the public interest" ( M P ' s Bill Blaikie, Svend
Robinson. John SoIoman in Hansard May 5, 1998, p.6510).(Also see MF's Nelson Riis
and Biil Biaikie in Hansard June 3. 1998, p.1520.)
Another area where the Liberal governent is trying to create a fiee-market is
that of student loans which are now being t m e d over to the private banks. The NDP is
opposed to this move, and MP Libby Davies asked the govemment to "review
privatization of student loans and ensure that education is a public trust rather than a
revenue generator for the big banks" (Hansard May 5, 1998, p.6552). NDP MP Nelson
Riis also requested that the govemment eliminate tuition fees and stated that 16 out of 29
OECD countries have no tuition fees at al1 (Hansard May 13, 1998, p.6937-38). The
NDP's opposition to banks taking over control of student ioans dso extends to a fear of
1O0
bank mergers and the growing power of vast financiai enterprises (see Aiexa McDonough
in Hansard May 6, 1998, p.6598).
In addition, the NDP aiso opposes attempts to create a fiee market for labour by
using state power to weaken unions. Several NDP MPs spoke out on Reform's attempts
to push for changes to the Labour Code which would make it more difficult to fonn a
union. MP Pat Martin calis the Reforrn motions "sinister" and responded to Reform's
"right to work poiicy and philosophy" by saying,"I do not think it is any coincidence that
the Fraser Institute has just released 'Right to Work', the answer for the new millenium
for labour relations, which is k i n g flogged around the Ml. In fact, copies were delivered
to my office." And he continues, "When the Reform Party finaily gives up trying to bash
unions and trying to be shills for the right to work movernent and the Fraser Institute,
maybe we can move forward as a country in a tmly tripartite fashion" (Hansard May 8,
1998. p.6734-35). The NDP is, thus, clearly opposed to the attempts to create a fiee-
market for labour by rolling back key labour provisions.
Other fiee-market criticisms corning fiom the NDP focus on recent excessive
increases in corporate profits (see Hansard June 2, 1998, p.75 18), the need for a more
equitable distribution of income. unfair taxation, including the need for corporations to
pay billions of dollars in deferred taxes, increasing poverty and unemployment. and
finally, the need to restore slashed social programs (see Libby Davies in Hansard June 2,
1998, p.75 19-20). For the NDP the solution to these problems involves the government
playing an intexventionkt role; however, this role does not inçlude the massive spending,
nationalization of industries, nor does it advocate the state directed industriai strategy of
101
the 1970s. Instead, the federal NDP advocates the redesign and renegotiation of major
fiee trade agreements with inclusions to protect labour, environmental and social program
standards. and it is in this recognition of the need to take part in these fkee trade accords
that one can see the shift in NDP ideology.
Debt and Deficit
The NDP position on the debt and deficit has also been affected by the NR. The
NDP has traditionally supported using the government spending powers to alleviate the
hardships created by the capitaiist economy. Furthemore, the reduction of human rnisery
and suffering has also been key to the policy of the MIP. In this era of the NR,however,
even the NDP has to a degree given in to the new "cornmon-sense" of the Right.
Evidence of this change in NDP ideology will be explored after first outlining the party's
current approach to the deficit and debt.
For the NDP. the current emphasis on draconian cutbacks to welfare state
programs and services. such as health care, Unemployment Insurance, and education, are
not acceptable. Ml? Svend Robinson calls for the government to "put an end to the
destructive cuts in federal fùnding for health care to the provinces, restore that funding
and tackle the runaway cost of prescription drugs" (Hansard Feb.4,1997, p.7662). MP
Libby Davies echoes Robinson's cd1 and ask's. W i U the govemment replenish transfers
to the provinces and ease the suffering of the poorest of Canada's citizens?" According to
Ms. Davies. since 1996, poverty has increased by 17%, child poverty by an afarming
25%, and federai support for health, welfate, and education has been slashed by $3
billion (Hansard May 11,1998, p.6780). With 1.2 million more Canadians living in
IO2
poverty since 1990. what is needed, according to Ms. Davies, is a job creation program to
alleviate this rise in social costs associated with unemployment (Hansard M a y 13, 1998,
p.6926). N D P MP Louise Hardy seconds this cal1 for a job creation program, because
unemployment in the Yukon is at 17% (Hansard June 5, 1998, p. 1200).
Changes to the Employment Insurance Act G.I.),leaving many Canadian workers
wî thout access to Employment Insurance benefits, have been another area where the NDP
is at odds with the Liberai govemment's strategy and policy. NDP MP Yvon Godin
asked the govemment to improve E.I. to help those hurt by the recent Liberal changes to
the E.I. Act (Hansard May 26, 1998, p.7234). Furthemore, Godin cnticizes the Liberals
over these changes which have lefi only 40% of unemployed workers eligible to collect
E. 1. (Hansard June 1, 1998, p.7388) and he c a l s on the government to widen access to
E.I. benefits (Hansard f une 4, 1998, p. 1410). Finally, the Liberal changes to the E.1- fund
which have Iimited access to benefits are the source of a serious attack fiom the NDP, as
Godin demogstrates when he asks the minister, "Does he agree with me that this $1 7
billion surplus, is in fact, money stolen fiom the workers?" (Hansard May 27, 1998,
p.7280) And again he questions the government, "To whom belongs the surplus in the
E.I. fùnd?" (Hansard May 28, 1998, p.7359) For the NDP, then, the govemment has a
cornmitment to ensure that people are not s u f f e ~ and
g should intervene by spending
where the market is not functioning to ensure that there is equity in terrns of access to
employment, health care, education, welfare, and other weifare state services like
Employment Insurance. However, unlike the NDP in the 1970s, the party would not
support large investments in public works projects nor nationalization of industries in
order to achieve key econornic and social goais.
Social Conservatism
The NDP has been characterized as king very liberai on social issues and tends
to support gay rights, feminist struggles, euthanasia, and pro-choice positions. Bev
Desjarlais, for exarnple, supports pay equity and calls for a fair and just settlement in the
recent Bell Canada case regarding femaie employees who clairned that they were
underpaid in cornparison with male employees for equal work (Hansard June 5, 1998,
p. 1155).
The NDP1sposition on crime and punishment issues is that it supports the
proactive work of social institutions to prevent crime and views a healthy economy, dong
with a wide distribution of economic and social benefits, as key factors in reducing crime.
Furthermore. the NDP views the rehabilitation and reintegration of criminds into the
community as an important responsibility of a humane and just society. However,
aithough the party is far fiom NR positions on crime and punishment issues. it is of
interest that in B.C. Premier Clark had announced a new crime plan at the same time as
the Reform Party held a "victims' rights" rally (Vancouver Sun, March 1,1996). This
political pandering to the Right may signal the beginning of a deeper nghtward shift on
these issues.
NR Ideology in British Columbia, Ontario, and Alberta
On the provincial level, the British Columbia (B.C.) Liberal party in the lead up to
the 996 election, advocated many NR policies including: massive cuts to g o v e r n e n t
104
prograrns and services, balanced budget legislation, elimination of the corporate capital
ta... removing the schooi levy from property taxes, allowing the use of "repjacement
workers" during labour disputes. repealing the fair wage policy, p r i v a w g crown
corporations, and reducing income taxes (Vancouver Sun, Nov.4,199S,C8). Labour
activists in B.C. compared B.C. Liberal leader Campbell's policies to the cut and slash
policies of Ontario Conservative Premier Mike Harris who proposed to cut $8 billion
fiom the provincial budget.
The B.C. Liberals have become so right-wing that 6 members of the party quit in
April, 1996. One member, Chris Childs, stated that the party had "sold its soul," whereas
four other executive members of the Burnaby-Edmonds riding association said, "The
policies being put forward and the candidates k i n g nominated ... are moving the B.C.
Liberal party too far to the right of the political spectrum," and that "British Columbians
must reaiize that the right-~lngagenda put forward and endorsed by Gordon Campbell's
so-calied Liberal supporters will cause havoc for the province of British Columbia"
(Vancouver Sun, April30, 1996, B3). This strong swing to the right has k e n clearly
marked by not only the members of the Liberal party but is also clearly evident in the
content of the Party's advertisements in the Vancouver Sun which emphasize smaller
governrnent. lower taxes, and fighting the debt through slashing government spending.
The Provincial Conservatives in Alberta and Ontario have also moved distinctly
to the right with the election of Ralph Klein and Mike Harris respectively. Klein's NR
program has focussed on the slashing of budgets and the chopping of programs with
health cuts alone topping $600 million (Vancouver Sun, Jan.30, 1996). The Alberta
105
government has also held to NR positions on gay rights and has refused to extend human
rights legisiation to gays despite calls from the provinces own Minister Responsible for
Human Rights to end this discrimination which he compared to discrimination against
blacks in the U.S. Alberta is one of only two provinces in Canada not specifically to
protect gays (Vancouver Sun, Mach 22. 1996).
In Ontario. the NDP had attempted to hold power by adopting policies which the
NR has promoted and popularized as a way of grabbing hold of the new orthodoxy while
simultaneously needing to avoid losing the parties traditional supporters. Bob Rae's
NDP, inheriting a province still reeling from the effects of fiee trade, opened up
collective agreements in an attempt to put in place a new "social contract" and found his
party at odds with its traditional unionized supporters. Furthemore, his party had aiways
been at odds with big business and c o d d expect no surge in popularity, despite Rae's
attempts to move the party rightward. In the end, his party's attempt to reposition itself
fùrther right led to a humiliating election loss to Mike Harris's NR "Cornmon-sense"
Revo lution.
Conservative premier Mike Harris has combined massive cuts with sweeping
changes to labour laws. the revoking of a portion of a key environmentai bill, ending
employment equity, and the promise of a 30% tax cut to complete his NR package.
Called the biggest change in 40 or 50 years (Vancouver Sun, Nov.29, 1995, A3).
Finance iMinister Emie Eves cut $2 billion from government spending - half fiom social
assistance - in the first two weeks of the new administration taking power (Vancouver
Sun. Nov.25, 1995. A4). Total cuts are expected to hit $8 billion once the full weight of
1O6
Bill 26 is felt, with the poor and government employees feeling the brunt of the blows as
welfare roles have been slashed by 100,000 in the first year and benefits have been
reduced by 22% (Vancouver Sun, Jan., 1996). This Bill also gives the govemment the
power to impose user fees, close hospitals, amalgamate municipalities, and decide upon
medically necessary health senices (Vancouver Sun, Jan.30, 1996, A4). The proposed
Tory tax cut, a key part of NR policy, was, according to Harris, to pay for itself by
stimulating the economy and creating jobs. This plan was used by Reagan in the U.S. in
the 1980s and quickly came to be known as "Voodoo" econornics, or Reaganomics, for it
resulted in massive budget deficits (Vancouver Sun, Mar.26, 1996).
The Harris government also has moved to end ernployment equity prograns, and
this move is consistent with the W s belief that government should stay out of the way
and let the market work. The underlying message in this policy shifi, however, is that
inequality, even if based on racial characteristics, is acceptable. The Tories also
suspended part of the provinces environmental Bill of Rights which wouid force the
g o v e r n e n t to publicly disclose, through an environmental registry, laws or regulations,
or the sale of public lands that might aff'ect the province's environment (Vancouver Sun,
Jan. 18, 1996). This suspension would now allow any sale of public land that was made
to cover budget cuts, for example, to go unnoticed by the public, therefore making it
easier for the government to camy out its NR agenda including the privatizing of public
assets.
In addition, this weakening of environmental legislation is also consistent with the
NR's ideoiogy which views public land as worthless "wasteland" and as, therefore, more
1O7
open to environmental degradation. Privatinng this land, according to the NR, would
then place a value on it, and, therefore, the owner would preserve it so as to maintain or
improve the land's value. The NR ignores the reality that a h o s t al1 environmental
degradation has taken place at the hands of private land owners. Furthennore, privatizing
public land simply allows for pollution to become harder to control and police, and more
subject to legal battles launched by private owners trying to avoid paying for their
pollution. The NR also believes that land that is not in use or under "development" is
also "wasteland"and, as such, should be exploited to the full for the profit of the owners.
In regard to the Tories position on labour, Harris's government made history with
its introduction of its Labour Bill which afTected as many as 1 million workers and
created the province's first civil-service strike, resuiting in major protests in Hamilton
which saw 100,000 mach in the streets (Vancouver Sun, Feb.26, 1996, A3c). This new
Bill allowed companies to use strike breakers and ailows an arbitrator to cut wages of
provincial employees thus senously threatening the power of unions to use their ability to
strike as a senous weapon in collective bargaining (Vancouver Sun, Dec.5, 1995, A3).
Interestingly. these changes helped the Harris government to be subsequently re-elected
in 1999. These policy changes are clearly consistent with the NR's anti-union ideology
with its emphasis on individual nghts and its attempt to lirnit collective rights, which are
viewed as socialistic.
Provincially, NDP governments in Ontario under Bob Rae and in British
Columbia under Glen Clark have dabbled in NR policy, including, in Ontario's case, the
opening up of collective agreements in an attempt to create a new "social contract", white
1O8
in B.C. Clark has put in place the most s t ~ g e nwelfare
t
legislation in Canada which
forces claimants to wait 3 months before collecting their first cheque, and Clark has given
tax concessions for middle income earners and small business. In addition, Clark warned
that he would balance the budget by laying off up to half the unionized employees on the
governments payroll (Vancouver Sun, Sept. 2 1, 1996. Al). These actions exemplie the
N D P ' s moves to downsize the public sector and move closer to a NR position on the debt
and deficit by recogniPng and putting in place a program to reduce govemment
expenditure and balance the budget, which includes lessening support for social
programs.
In B.C. the NDP has adopted some NR policy options, including an anti-crime
plan. new welfare legislation, and even a tax cut for middle income earners and small
business. Premier Glen Clark's anti-crime announcement came at a time when the
Reforrn Party was attempting to make "victirns rights" their issue and held rallies in
V ~ ~ O U
places.
S
including Abbotsford (Vancouver Sun, Mar. 1, 1996). This plan was an
attempt to sted the thunder away from Reform on what had become a major public issue.
The NDP's new welfae legislation came from the Mt's policy book and imposed a threemonth waiting period on newcomers to B.C. to collect their f m t cheques. Even the NR
governments of Alberta and Ontario have not taken such extrerne measures, and critic
Michelle Des Lauriers of End Legislated Poverty stated that "1 feel so sad that this party
is giving in to what it sees as the neo-conservative tide for election purposes" (Vancouver
Sun. biov.4, 1995).
Premier Clark's dabble in Mi policy included a promise of a moderate tax break
1O9
for middle income earners and small business (Vancouver Sun, Apr.24, 1996,
A 1 ) . This policy proposal was no doubt a direct attempt to stop the Liberals fiom using a
Mike Harris-size carrot to woo the electorate. The promised tax cut, however, also
clearly iIIustrates the success of the NR in putting this issue in the minds of the voters in
such a way that even a social democratic government has had to incorporate it into its
policy package.
Conclusion
The period of the mid- 1970s to the late 1990s has been one of tremendous change
in political ideology as the major political parties have al1 been influenced by the NR and
have shified their positions to the right. (See Table 6.1)
Table 6.1: Support for New Right Ideology by Canadian Political Parties:
1990s
PARTY
FREE MARKET
DEBT &DEFICIT
SOC. CONSERV.
Reforrn
High
High
Hi&
Prog-Conservative
High
High
Moderate-High
Liberal
High
High
Low-Moderate
New Democratic
Moderate-High
Moderate-Hi&
No
The Consexvatives have become increasingly NR and focus on minimal government,
decreasing taxes, ending deficit spending and elùninating the deficit and the debt.
110
Furthermore. the Conservatives advocate both balanced budget and taxpayer protection
legislation, while cutting the programs and services of the welfare state. This policy will
result in a massive transfer of wealth fiom the poor to the nch, which the NR strongly
supports. Final1y, the Conservatives have increasingly focussed on harsher punishment,
the strengthening of the Young Offenders Act, victim's rights, and holding parents
responsible for the crimes of theu children. Thus, as illustrated in table 6.1 Conservative
Party ideology reflects strong support for NR positions on ail three key themes of NR
ideology. The Liberals have also been influenced by the NR and show a high level of
support for NR policies on the fiee-market and the debt and deficit. and focus on
decreasing the size and cost of goverment. Furthermore, they display an increased faith
in the free-market and fiee trade, as demonstrated by the Party's support for the FTA,
NAFTA, and the MAI. In addition, the Liberals have placed the debt and deficit issue as
a key govemrnent pnority and have cut welfare state programs and services drastically.
An increasing emphasis on crime and punishment issues, including strengthening the
criminal justice system while also keeping focussed on crime prevention and
rehnbilitation. marks the Liberais as having moderate support for NR positions in this
area. Several Liberal MPs also show moderate support for the NR's moral agenda by
focussing on traditionai heterosexist views on the farnily. Thus the Liberals as shown in
table 6.1 give a high level of support to the NR ideology in the area of the fiee-market
and on debt and deficit issues, but only give low to moderate support to the NR's
positions on social conservatism. The NDP has been influenced by NR ideology and has
moved to the right and shows moderate support for NR positions on fiee-market
11 1
economics and the debt and deficit as is illustrated in table 6.1. This change is
demonstrated by its movement away fiom support for a mixed economy, with strong
government intervention and the nationalization of industries, to a market-based
entrepreneurialism, possibly fostered through fiee trade agreements - although with
-
environmental and labour caveats dong with the recognition that the debt and deficit
must be taken seriously. On issues of social conservatism, however, the NDP has
remainsd staunchly social democratic and gives low support to the NR's moral agenda
and altematively supports the prevention of crime through fostering education and
empIoyrnent opportunities, the rehabilitation of criminals, pay equity, gender and racial
equality, and the prevention of discrimination on the grounds of sexual preference.
Chapter 7
Conclusion: The Shift to the Right
This chapter will focus on evaluating the transformation of the Canadian political
landscape to a more heavily NR-dominated one in light of the key theoretical concepts
employed in this thesis. Each of the main political parties will be assessed on the degree
to which they have incorporated the three major NR themes into theu own political
ideologies, and the key concepts will be evaluated as to their usetùlness in understanding
this shifi to the NR ideology. In addition, idrology has real eEects, and in this thesis
evidence will be presented to show that NR ideology has had, and will continue to have,
serious and powerfùl effects on Canadian society.
Findly, a brief outline of the
possibilities of opposing the NR and consmicting an alternative hegemonic program will
be attempted.
The globalization of capitalism has profoundly affected the once hegemonic
ideology of Social Democracy. As a result, this previously dominant ideology has been
fractured. and a consequent reorganization of political ideologies has occurred. The N R
has sought to explain this shifi which includes the moving of fuiance and investment
capital to Third World countries - with their cheap labour and minimal environmental,
health and safety regulations - the increasing complexity and availability of technology
and transportation, the nse of newly industrializing countries, and the onset of a fiscal
cnsis in the West in which stagflation brought on high unemployment, rapidly increasing
deficits and mounting debt. This crisis challenged the hegemonic ideology of
Keynesianism and the very structures of the welfare state, and the subsequent
reorganization has also impacted upon Canada's political parties and their ideologies. As
113
this thesis has dernonstrated, the political spectnim has shifted to the ri&,
and al1 the
major Canadian political parties have been impacted to some extent by these changes.
(See table 7.1 ) This shift should not be seen, however, as merely the habitua1 swing of
the political pendulum to the nght for now, and to the lefi again later on. It represents,
instead, a deeper change in Canadian political ideology which will be extrernely difficult
to reverse as the NR has constructed a new hegernony.
This new hegemony shodd not be understood as simply one world-view
replacing another, for "In societies like ours ideological contestation does not take place
between fülly formed, competing world-views - theirs and ours" (Hall 1988b:58). but
rather represents instead the result of a battle for the "heartsand min&" of the people.
This battle is never won for good, or final, and is, therefore, always incomplete. partial,
and contested. and is constantly being reformuiated to fit the situation. Hegemony is,
thus. never given as a relation between structures but is produced or manufactured by
social forces and must be continually maintained.
According to Stuart Hall, the NR has worked to create an ideology which
atternpts to become hegernonic and has tiactured and dispersed the Keynesian welfare
state ideology of the pst-WWII period. which was based on the prevailing economic
conditions in which a settlement between capital and labour brought rising wages and
benefits to workers and a stable labour force and increased profits to capitalists. Once the
economic pre-conditions for this settlement were eroded by the NR supported proçess of
globalization. however, the social-democratic consensus broke down and a new struggle
for hegemony began which included not only a struggle for new economic policies but
114
also a renewed struggle over the basic premises on which Canadian society should be
reconstructed. Clearly, the pst-war discourses of reformism, iabourism, welfarism, and
Keynesianism have been put in decline and the ideologicai discourses of the NR have
gained ascendency as the terms of the ideologicd debate have been shifted.
Viewing this shifi as one involving the construction of a new hegemonic bloc
allows one to make sense of the change in ideology in a way that is not possible using
classical Marxist theory. Specificaily, the classicd Marxist theory of ideology fails to
explain why there is a significant difference between the ideologies found within the
dominant classes and how this dominant ideology works to rupture and fiachire the
ideology of the working class. For example, in Canada, the Refonn, Liberal, and
Conservative parties have al1 embraced NR positions on the fiee-market and the debt and
deficit only after experiencing intemal stniggles and debates, and fiirtherrnore, these
parties do not embrace the same positions nor construct their discourses in the same way.
In addition, classical theories tell us nothing about how it is that Reform, for example, has
been able to penetrate into the discourses of social democracy and convince the NDP
supporter that the NR has the solution to Canada's problems. And M e r m o r e , even if
actions resulting fiom this change in discourses result in reducing wages and benefits,
pensions. or governrnent services for workers, it is assumed by the NR that this bitter
medicine will heal the patient in the end. Instead of a set ideology k i n g put in place
then, the rise of the NR ideology represents a significant shifi in thinking, and the major
parties in Canada have ail shified their ideology to the right. And it is precisely this lack
of explanatory power to account for the concrete development of consciousness in the
115
working classes which showcases the limits of classical Marxist thought in understanding
the hegemony of the NR. Furthermore, the concept of hegemony allows for an
understanding of the consent to power in a way which does not resort to "fdse
consciousness" as an explanation. Indeed, the NR is responding precisely to the red
perceived needs of people in a way which resonates both with their common-sense and
with the global changes afXecting Canada. This includes the demand for lower taxes,
more jobs, and the elimination of the debt and deficit which are real concerns of
Canadians which the NR is attempting to address. Further, the NR addresses
fundamental social and moral issues and questions of crime and punishrnent which are
also significant to voters.
In addition. hegemony captures the rise of the NR as more than an economic
phenomenon and andyzes the key ideological shifts which perhaps demonstrate even
more clearly how extensive this transition has k e n . Finally, using the concept of
hegemony allows for a critique of essentialism, for hegemony is constmcted and not put
in place already formed and without smggle, and because a socially produced
phenomenon must also be continuaily maintained, reworked, and reformed to capture the
moment and continue its domination on a broad front. Furthermore, this hegemony of
NR ideoIogy is demonstmted in this thesis by the documented penetration of the three
key elements f o n d in NR ideology into Canadian political parties, their perceptions, and
their policies. Table 7.1 illustrates just how extensive that penetration has k e n .
This thesis also demontrates how a hegemonic conception of politics captures the
growth of the Reform Party and its evolution to become the leading representative of the
116
NR and its ability to connect its ideology in a common-sense way with the real
experiences of the people. Reform has. thus, captured the common-sense of many
Canadians and this is demonstrated by the legitimacy of Reform's ideology which has
framed the discourses of the NR in a way that has made the issues of the day
understandable to a wide array of people. Furthemore, these discourses have ruptured
the cracks in the social dernocratic discourses and have continued to fragment them. For
example. in the area of the free-market the Reform Party has managed to connect its
ideology with the cornmon-sense and emphasizes an ethic of intense cornpetition without
government intervention, which resonates in the Western mind with the historical
perception that the federal government and its initiatives have often been punitive to the
West. Therefore. the Westerner's common-sense may dictate that if the "feds" would just
Ieave us alone. we will be fine. This antipathy to. and Western distnist of. Ottawa,
coupled with the mgged individualism of the tough Westerner that goes along with living
on the prairies. has allowed for the aItering of the comrnon-sense to support the radical
free-market. anti-government policies of the Reform Party. The chapter will now turn to
examine the differential adoption of NR ideology by the parties.
Free-market Economics
The Conservative Party
The Tories have been transformed fiom a Conservative party which advocated
many liberal leaning "red tory" positions to one more heavily dominated by NR ideology
in reference to its position on the fiee-market. In the 1970s the Tories expressed a free-
market ideology tempered by a concem to mitigate the worst effects of capitalism, took
117
issue with excessive corporate concentration in the economy, and called for a limit to
concentrations of corporate power which may hamper the fimctioning of the fkee-market.
The Conservatives focussed on increasing the role of the pnvate sector. excluding the
public sector fiom certain areas, privatizing public works, decreasing federd spending,
and reducing Employrnent Insurance. The Conservatives also feIt that the welfare state
was too big and too costly and called for cuts to welfare programs and services. in short,
the Party believed that the private sector perforrns best the necessary fiuictions within a
modem capitdist economy. However, despite these regressive measures, the party still
believed strongly that the poor must be protected. As a result the Tories supported
cutting government while minimizing cuts to important programs and services to people
who were tnily destitute.
By the 1990s. the Conservatives came to adopt a number of NR policies in regard
to the free-market. The party emphasized the need to cut taxes by 10-20 percent and
reduce employee and employer EI contributions and r e m the plan to a pnvate system of
insurance. Furthemore, govemment intervention was now viewed as part of the problem
and not as part of the solution. That is, all government activity was now suspect and
should be evaluated closely for possible pnvatization or elimination. The Tories also
have now corne to emphasize entrepreneurship as a means of economic renewal. This
policy change places the emphasis on individual effort as the key to success and also
rejects the notion of govenunent intervention in the area of job creation and economic
growth.
The Tories also would end subsidies to business and "special interest groups".
118
For the Tories these include many non-profit groups like the "Nationai Action Cornmittee
on the Status of Wornen" and poverty education groups. This position also reflects a NR
ernphasis, for it would M e r remove these democratic lobby groups who work on behalf
of society's disenfianchised fiom the decision-making process and woutd make it al1 but
impossible for them to wage any sort of protest campaign agauist the prevailing
govemment policy. The Tories would also disband marketing boards and let the freemarket expand into what had traditionally k e n a sector of the economy dominated by
family businesses. This policy would soon result in an end to the family farm as largescale agribusiness begins to dominate.
Finally. the Conservatives' acceptance of fiee trade as an economic development
strategy for Canada marks the party as heavily influenced by the NR for severai reasons.
First. it represents a belief in the fiee-market. Second. it is anti-democratic, for fiee trade
agreements remove critical economic. social. and environmental decisions from the
influence of the dernocratic process by placing them in the hands of unelected
corporations and supranational agencies making them unaccountable to eiectorates.
The Liberals
In the 1970s. the Liberal Party supported the role of the market in the economy,
albeit tempered by govemment supervision and direction. The governmen:'~ role was,
thus. to police and monitor business, and the Liberai governrnent took severai actions at
this time to ensure a cornpetitive marketplace was operating in Canada. These actions
included protecting national industries in key sectors. such as banking, and monitoring
foreign and domestic concentrations of corporate power and investment.
119
After the 1993 election, which the Liberais won handily, the focus on fiee trade
was clear for the Party failed to rnodiw the existing Free Trade Agreement (FTA) as
promised before the election. signed the North American Free Trade Agreement
(NAFTA) and pushed forward on the Mdtilateral Agreement on Investment (MAI) which has yet to be ratified, The Liberal policy effort was now on increasing foreign
investment. decreasing the size of government. reducing drasticaily the size and scope of
the Canadian welfare state. and playing a key role in creating a global fiee trade zone.
The Liberals, therefore, have given strong support to NR positions on the fiee-market and
have comrnitted thernselves to the dismantling of the Keynesian consensus.
The New Democratic Party
In the 1970s. the N D P believed that the inevitable outcorne of the play of the fieemarket was an unacceptable level of inequality with a huge economic and social divide
between rich and poor. As a result. the NDP supported government intervention in the
economy to ensure a fair distribution of wealth. and such intervention was to include
economic nationalism with government ownership and investment in key sectors of the
economy. In addition. official Party policy stated that the power of multinational
corporations was to be reduced. taxes increased on upper income earners, and tax
deferrals for corporations ended. The Party aiso favoured ending program cuts,
increasing pensions and unionization, increasing government procurement, and a national
development policy which would see heavy govemment spending and intervention,
including the public ownership of banks and mineral and energy resources.
By the 1990s, the NDP had changed its policy dramatically, excluding public
120
ownership but still supporting limited government intervention in the market. The NDP
a k o still has reservations about current fiee trade agendas on the basis that workers and
the environment are not protected under these agreements and neither is the governrnent's
ability to act in the public interest. The Party also has stated in the House of Commons
its opposition to the privatization of student loans and supports the concept of free tuition
fees for post-secondary education. The NDP also fears bank mergers and the power of
these vast financial enterprises and would consider legislation to limit their power. The
Federal Party also still opposes atternpts to weaken unions and roll back labour
provisions. although provincially. the Ontario NDP under Bob Rae had moved to rewrite
the social contract with labour and decrease union benefits and wages. In acidition, the
Party criticizes excessive corporate profits, the deferral of taxes. high unemployment
levels, the unfair tau system. and cdls for a more equitable distribution of income. Thus.
while the NDP remains social democratic. the party's policy has become far less
socialistic in the area of the fiee-market and now rejects government ownership, as well
as wholesde government intervention in the economy. and in this sense, has moved
rightward towards a stronger fiee-market orientation. The deeply entrenched ideoiogy of
social democracy. however. has proved more difficult to aiter in the NDP. for its
"common-sense" roots are opposed to the extreme individuaiism and lack of concern for
those lefi out of the capitalist system displayed by the NR ideology of the fiee-market
and by those who embrace it.
Debt and Deficit
The Consewative p a r e
In the 1970s. the Conservatives favoured the achievement of a balanced budget.
and decreasing government services and prograrns, rather than increasing taxes, to
achieve this goal. The Conservatives, thus, took strong issue with deficit spending during
this period.
By the 1990s. the Conservatives were committed to stopping deficit spending,
cutting governent programs and services. and rolling back the welfare state. The
Conservatives were focussed now on putting baianced budget and taxpayer protection
legislation in place. meaning that the govemment would be legaily unable to fmance
programs and services through deficit spending, thus seriously handicapping its ability to
act in the public interest. The Party concentrated intensiveIy on the elimination of the
deficit and the debt in this period and on the need to decrease corporate taxes. The Tory
obsession for lowering taxes for the wealthy, while increasing taxes on the poor and
middle class in order to reduce the deficit best illustrates the Party's shifi to a more
heavily NR-influenced position on this issue.
The Liberals
In the 1 9 7 0 the
~ ~ Liberals attempted to achieve economic growth while decreasing
inflation and practicing restraint. This attempt included decreasing public spending,
cutting prograrns and services, decreasing the growth of the public sector and public
sector salaries, making Employment Insurance self-financing, and cutting EI benefits.
The Liberals were concemed. however, to maintain a hurnane position as far as these cuts
122
were considered and had thus no fixed plan to elhinate the deficit or debt. Tmdeau
believed that decreasing inflation not major program cutting was the correct solution.
The Party, thus. still sought to protect people from major dislocation and the social costs
associated with these cutbacks. The Liberais also sought to preserve equality of
opportunity.
By the 1990s. however. the Liberals had become NR-influenced and focussed on
deficit and debt elirnination to improve competitiveness, on lowering interest rates, on
putting the debt to GDP ratio on a permanent decline, and on balancing the budget. The
Liberals also proposed to put half of any budget surplus towards heding the economic
and social costs of Canadians, whereas the other half would go to decreasing taxes and
paying down the national debt. However, they put al1 this surplus towards paying down
the debt. Finally. the Liberals proposed to reduce the Canada Pension Plan and seniors'
benefits to make them sustainable. Thus, the Liberais focus on deficit and debt
elimination as the govemment's top pnority marks them as having been strongly
influenced by NR ideology on this issue.
The New Democratic Party
In the 1970s the N D P believed that any deficit or debt concerns could be solved
by increasing taxes on the wealthy and by closing tax loopholes for individuals and
businesses. The Party also favoured increasing the minimum wage, creating employment
projects, increasing spending by both the public and private sectors, and spending on the
poor. the sick. and on research.
By the 1990s, however. the NDP no longer concentrated on increasing taxes on
123
the wealthy or closing loopholes but rather focussed on opposing draconian cutbacks to
programs and services while still calling for job creation projects. For example, the NDP
opposed changes to EI which have limited the number of unemployed persons who c m
collect benefits as well as the amount of time and total benefits that can be collected. The
NDP have weakened their stand on deficit spending and have moved away fiom their
beiief in financing large scale government intervention into the economy in favour of a
more neo-iiberal approach recognizing the need for budgetary restraint.
Social Conservatism
In the 1970s the Conservatives viewed abortion as a criminal matter and thought
that abortion should only be available to women in extreme cases. In the 1990s the
material dealing with this area of NR ideology has been too limited to make educated
comment on. In the 1970s the LiberaIs viewcd abortion as a women's choice and not as a
criminal matter. By the 1990s some Liberals began to express NR positions, however, on
the f a i l y and on traditional sexuatity. illustrating, thus, the influence of NR ideology on
the party. For the NDP in the 1970s abortion was viewed as a matter of choice for
women and not as a criminal matter. By the 1990s the NDP continued to support gay
rights. feminist struggles. pay equity, euthanasia, and continued to be pro-choice on the
issue of abortion. The NR ideology has. therefore, seemed to have made no impact on
this area of NDP policy.
In regards to issues of crime and punishrnent, in the 1970s the Consewative Party
actively supported capital punishrnent and viewed the Liberals and especiall y the NDP as
being too soft on crime. In the 1990s the Conservatives have given support to tougher
124
action on young offenders, the abolishing of conditionai sentencing, the creation of a
victim's bill of rights. and the lowering of the age limit for the YOA to include 10 and I l
year olds. The Party would also hold parents responsible for crimes cornmitted by their
children. The Conservatives hold many positions on crime and punishment issues which
are indistinguishable fiom Reform Party positions, which demonstrates the strong support
that the Conservatives give to the NR agenda on this issue.
In the 1970s the Liberals successfùlly opposed and eliminated the death penalty as
a form of punishment for criminals in Canada. This period was also characterized by the
absence of debate on these issues. In the 1990s an increasing emphasis can be found on
crime and punishment issues; however, the main focus for the Liberals is on detemng
crime. and the Liberals clearly reject the extreme NR ideas of the Reform Party.
However. the NR has been successfd in putting issues of crime and punishment ont0 the
public agenda and. thus. has forced the Liberals to debate these positions, and that has
resulted in the Liberals having to react and subsequently move m e r rightward and
advocate tougher positions for Young Offenders. for example.
In the 1970s the NDP's focus was on creating a full employment economy which
would decrease the economic need for people to commit crimes. The N D P also ploced
strong emphasis on the rehabilitation of criminais. In the 1990s the N D P policy has
changed little and continues to place a substantial emphasis on preventing crime and
rehabilitating criminals, as well as on providing for a more equitable distribution of
wealth.
125
Table 7.1: Support for New Right Ideology by Canadian Political Parties:
1970s
FREE MARKET
DEBT &DEFICIT
SOC. CONSERV.
Moderate
Moderate-High
Low-Moderate
Liberal
No
Low-Moderate
No
hrewDemocratic
No
No
No
DEBT &DEFICIT
SOC. CONSERV.
PARTY
Prog.-Conservative
1990s
PARTY
FREE MARKET
Re fonn
High
High
Prog-Conservative
High
High
Moderate-High
Liberal
High
High
Low-Moderate
New Democratic
Moderate-High
Moderate-High
High
No
The shift to the NR ideology has been established within Canadian political
parties. for the evidence presented here (see Table 7.1 above) illustrates that the three
major elements of this ideology have penetrated into the Reform, Conservative, Liberal,
and NDP parties. That the traditional base of social democratic ideology - the NDP - has
also been influenced by the NR provides further evidence that NR ideology has become
hegemonic. That is. neo-liberal and neo-conservative elements have k e n able to gain
ascendency based on the opening provided by the changed nature of global capitalism
and have fractured and hgmented the previous social-democratic consensus, and even
126
the NDP have attempted to adopt some elements of the new orthodoxy rather than risk
temg made irrelevant by the sweeping hegemonic assault of the NR. Importantly
though, the major ground on which the NR has established its hegemony is in the area of
the free-market and on debt and deficit issues. That is evident as al1 the major parties
have given a high level of support to NR ideology on those issues. However, this new
consensus on the free-market and debt and deficit issues may be fragile as it rests on the
new realities of global restmcnuing and the restructuruig of the Canadian economy both
of which are experiencing rapid change. On issues of social conse~atismthe LiberaIs
and the NDP have moved minimally to the right and still are social-democratic in these
areas. However. the Liberais have begun to focus more heavily on issues of crime and
punishrnent and the NDP has also attempted to take a leadership position in this area on
the Provincial level which may be indicative of a fùrther shifi to the right on this issue in
the future. The Conservative Party has moved M e r right on ai1 three issues of NR
ideoiogy and its positions have become almost indistinguishable fiom the Reform Party's
ideological positions. That helps to explain both why the Reform Party has become
dominant as the new key representative and leader of the NR ideology and why the
Liberals have been able to adopt more heavily influenced NR positions, whereas the
Conservative Party has virtually disappeared fiom Canadian politics.
The ascendant NR ideology most strongly promoted by the Refonn Party has
successfully won the "battle of hearts and minds" inside Canada's other major parties, and
the discourses of the fiee-market, debt and deficit, and social conservatism have come to
dominate political economic discourse. The Reform Party has successfuIly articulated
127
and placed the key NR issues and positions ont0 the political agenda and has becorne the
leading ideological force to which the other parties have had to respond. In doing su,
these parties have had to move nghtward so as to be able to articulate the new orthodoxy
in a way that makes sense of the rapid changes brought on by globalization and
experienced by Canadians.
The rise of the Reform Party and the influence of its NR ideology on the major
parties in Canada has created a political and ideoiogicai landscape, with parties
advocating policies which are not conducive to the continued existence of Canada's
middle class or the high standard of living of many Canadians. For example, the Liberals
introduced the Canadian Health and Social Transfer (CHST) in their 1995 budget This
effectively cut federal funding for post-secondary education, social assistance, and health
care by 40% over three years
(Clarke and Barlow 1997:105). The federal transfers for
these programs will end by 2004. The Reform Party has been able to influence the pxty
policies of the other major parties by putting NR issues on the table and by articulating
the interests. or "real enough" interests. of many voters while also working to change
h e m by matching up NR positions with their personal experiences and "common-sense"
and substituting these NR positions for the social-democratic discourse to which their
"cornrnon-sense" was previously attached. Thus, Reform has been able to gain support
frorn people whorn it cannot be said to represent politically or economically.
The end result of this hegemonic stniggle. however, as Gramsci pointed out is
somewhat open-ended for there is no predetennined end to the continuing refashioning of
the political landscape, and the leading ideological force is not reducible to economic or
128
political processes. Furthermore, although NR ideology has become hegemonic within
many of the world's most powerful global organizations, Western nations, and the major
politicai parties in Canada, this hegemony is never cornpiete and there are aiways cracks
in the NR discourses where there is an apparent contradiction and the discourses do not
seem to match up. There is also still opposition in the form of the NDP, global
organizations. and in the organizations of civil s a c i e l , and these organizations were
successfuI in derailing the MAI which represents a NR inspired global accord which
would be devastating to the democratic, economic, and social rights of the worfd's
citizens. An alternative hegemonic formation that attempts to contest the NR ideology
and to crack its apparent unity could be successfil, for as Stuart Hall has pointed out.
ideology is quite often contradictory. partial, non-systemic, and very ofien incoherent.
Thus. these organizations can expose the disunity of the NR i d e o l o ~
and attempt to win
back support to their alternative ideology.
Within the NR this tension exists between the outward looking nature of neoliberalism and the neo-conservative tendency to promote the values of social
conservatism and a cultural nationalism. The Reform Party, for example, promotes a
culturai nationalism which excludes people of colour and the people of Quebec. The
Conservative Party accepts Quebec and is more accepting of multiculturalism and holds
similar positions on neo-liberal economics as the Reform Party. However, the Reform
Party's attempt to form a "United Alternativewwith the Conservative Party and right wing
Liberai Party members and thereby solidi@ its hegemony has largely failed because of
their irreconciiable views on cultural nationalism. Furthermore, strains are apparent as
129
well beween the neo-liberal promotion of fiee-markets with its tendency to create an
"anything goes" type of society which emphasizes personal fieedom, and the neo-
conservative promotion of Victorian moral values and traditions. The lefi must work on
these sites of intemal contestation and expose the contradictions within them and then
reaniculate these into an alternative hegemonic ideology to combat and overcome the
NR's dominant hegemony. Furthermore, the lefk must also articulate new stniggles and
issues regarding the environment. alternative forms of democracy, and global issues in a
way that allows for inclusiveness and respect for diversity.
This thesis has demonstrated that NR ideology has emerged within the discourse
of Canada's major political parties. This emergence has had drastic implications and will
continue to result in the creation and implementation of policies which are heavily
influenced by the NR policy agenda, These policies will create a much more unequal,
class stratified, authontarian society with a large number of Canadians living in absolute
poverty. Furthermore, the transformation of the "cornmon-sense" will allow for these
policies to be implemented within the context of a supportive culture.
This project views any oppositional strategy against the NR as one which will
require the use of a hegemonic conception of politics, that is, one which confiants the NR
on the political. economic, ideological. and cultural levels. This hegemonic project will
require condensation within a political party or possibly under the banner of a broad bloc
or coalition of social forces similar to the Solidarity Coalition which opposed the Social
Credit government's NR agenda in British Columbia in the early 1980s. Critically, the
ieft must engage with the political centre in order to build as broad a base as possible
130
fiom which to confiont the hegemonic politics of the NR. That rnay involve a rethinkïng
of the actual experience that people have of welfare state programs and senrices, and
some reflection on what the NR offers people that the left bas not been able to.
Furthemore, alternative modes of fünding many of the civil society organizations will
need to be addressed as governments continue to cut gants in an attempt to stifle
opposition to NR hegemony.
Canada has been the envy of the world and has consistently placed amongst the
best countries in the worid in which to live. However, the very qualities which make
Canada such a special place - our social security net, excellent public education, public
health care, and a beautifid natural environment - are al1 under attack fiom the NR's
assault. One critical area for further research suggested by this study is to investigate the
roie and influence of right-wing think tanks. such as the Fraser Institute. This is an
important area of concern regarding the growth and dissemination of NR ideology and
the role of the transnational corporations which fÙnd and support these institutions.
Another m e r area in need of investigation is to assess the aitemative fonns of societal,
perhaps global. organization which go beyond the welfare state and the current NR
hegemony and are able to better meet the needs of the world's people, something for
which the NR and its ideology are wholly unsuitable.
Appendix 1: Research Questions
The primary research questions with which this project is concemed are:
What is ideology? How should we understand the social process by which a new
ideology is constructed? How should we understand the socid consequences of
ideology?
What are the key NR themes found within Refonn Party ideology?
What NR themes are evident in the other major Canadian political parties?
Has the success of the Reform Party's NR ideology influenced the Liberal,
Conservative, and New Democratic Party to shifi their ideology to the right?
Why do people support a political party so opposed to their own best interests?
The secondary research questions that will provide supporthg evidence for the
development of the primary questions are:
1)
What is the Canadian "crisis" and why has the Refonn Party emerged and gained
support as a leading political. economic. and cultural movement?
2)
How does ideology work to shifi the "common-sense"?
3)
How will NR-influenced policy affect Canadians?
132
Bibliography
Bariow M., Campbell B., 1991. Take Back The Nation 2: Meeting The Threat of NAFTA
Kcy Porter Books, Toronto.
Belsey A., 1986. "The New Right. Social Order. and Civil Liberties" in Levitas (ed.)
1986.
Braid D. and Sharpe S., 1990. Breaku~:Whv the West Feels Lefi out of Canada Key
Porter Books, Toronto.
1992. Storming Babvlon: Preston Manning and the Rise of The Reform Partv Key Porter
Books. Toronto.
British Columbia Teachers Federation May/June 1998. "Teacher" BCTF, Vancouver.
Brodie J., 1990. The Political Economv of Canadian Regionalism Harcourt, Brace,
Jovanovich, Toronto.
Canada.. 1985. Report of the Rovd Commission on the Economic Union and
Development Prosrxcts for Canada Supply and Services, Ottawa.
Clarke T., and Barlow M., 1997. MAI: The Multilateral Agreement on Investment and
the Threat to Canadian Sovereimty Stoddart, Toronto.
Dobbin M., 1991. Preston Manning and the Reform Partv James Lorirner and Co.,
Toronto.
1998. "The M N : down but not out" in Teacher, May/June 1998, BCTF.
During S.(ed.), 1994. The Cultural Studies Reader Routledge, New York.
133
EatweIl and Wright (eds.), 1993. Contemwrary Political Ideolopies Pinter Pub., London.
Femia J., 1993. "Marxism and Communism" in EatwelI and Wright (eds.) 1993.
Flanagan T., 1995. Waiting: For The Wave: The Reform Partv and Preston Manning
Stoddart, Toronto.
Friedan J..and Lake D.. 1991. International Political Econornv:~ers~ectives
on Global
Power and Wealth (second edition) St.Martin's Press, New York.
Gamble A., 1988. The Free Economv And The Stronp State: The Politics of
Thatchensm MacMillan Educ. Itd., London.
1986. "The Political Economv of Freedom" in Levitas (ed.) 1986.
GATT 1993. GATT Activities in 1992 General Agreement on Tariffs and Trade, Geneva.
1991. GATT Activities in 1990 General Agreement on Tariffs and Trade, Geneva.
1989. GATT Activities in 1988 General Aareement on Tariffs and Trade, Geneva.
1985. GATT Activities in 1984 Generai Ameement on Tariffs and Trade, Geneva.
1983. GATT Activities in I 982 General Ameement on Tariffs and Trade, Geneva.
1974. GATT Activities in 1973 Generai Ameement on Tariffs and Trade, Geneva.
Gill S. and Law D., 1988. The GIobal Political Economv: Pers~ectives.Problems and
Policies The Johns Hopkins Univ. Press, Baltimore.
Gilpin R., 1987. The Political Economv of International Relations Princeton UnÎv. Press,
New Jersey.
Golt S.. 1978. The GATT Neeotiations. 1973-79: The Closine Stage British North
Amencan Cornmittee, Montreal.
1974. The GATT Neeotiations. 1973-75: A Guide to the Issues British North
Arnerican Cornmittee. Montreal.
Green D.. 1987. The New Right: The Counter-Revolution in Political. Economic, and
Social Thought Wheatsheaf Books. Britain.
Grossberg L ..Nelson C., Treichier P..(eds.). 1992. Cultural Studies Routledge, New
York.
Hall S., 1988a. The Hard Road To Renewal: Thatcherism And The Cnsis of The Lefi
Verso, New York.
1988b "The Toad in the Garden: Thatcherism among the Theorists" in Nelson and
Grossberg (eds.) 1988.
Harrison T.. l995. Of Passionate Intensitv: Right-Wing P o ~ u l i s mand the Refonn P a r t y o f
Canada Univ. of Toronto Press, Toronto.
Harvey, D., 1989. The Condition of Postmodernitv: an Inauirv into the Origins of
Cultural Change Basil Blackwell. Cambridge. Mass.
Hayes M., 1994. The New Riaht in Britain: An Introduction to Theorv and Practice Pluto
Press, London.
Hebdige D.. 1994. "From Culture to Heaemonv" in During S. (ed.), 1994.
Hurtig M.. 1992. The Betraval of Canada (second edition) Stoddart, Toronto.
King D., 1987. The New Riaht: Politics. Markets. and Citizenshi~MacMillan
Educ.. London.
Larraine J., 199 1. Mamism and Ideologv Gregg Revivals. England.
Laver G., 1989. Open for Business Oxford Univ. Press, Toronto.
Laver J.. 1986. L e a ~of Faith: Free Trade and the Future of Canada Hurtig Publishers,
Edmonton.
Levitas R.(ed.), 1986. The Ideologv of The New Rkht Polity Press, Cambridge.
Magnesson etal. (eds.), 1984. The New Realitv New Star Books, Vancouver.
Marchak P ., 1988. Ideological Perspectives on Canada (third edition) McGraw-Hill
Ryerson. Toronto.
McBride S., and Shields J.. 1993. Dismantlin~a Nation: Canada and the New World
Order Femwood Publishing, Halifax.
1997. Dismantiin~a Nation: The Transition to C o m r a t e Rule in Canada (second
edition) Femwood Publishing, Halifax.
McQuaig L., 1993. The Wealthv Banker's Wife Penguin Books, Toronto.
Mowers C. (ed.), 1991 . Towards A New Liberalism: Re-creating Canada And The
Liberal Partv Orca Book Publishers. Victoria.
Nelson C.. and Grossberg L.(eds.). 1988. Marxism and the Intemretation of Culture Univ.
of Illinois press. Chicago.
New Dernocratic Party of Canada 1977. NDP Poiicies in 1961-1 976 NDP, Ottawa.
Nozick R., 1974. Anarchv. State. and U t o ~ i aBasic, New York.
Procaccini M., 1998. "MAI dicta tors hi^" in Columbia Journal. Vo1.3, No. 1, MarcWApril,
1998.
Progressive Conservative Party of Canada 1996. Desimine a BIuemint for Canadians
The Policy Advisory Cornmittee, Ottawa
Stone F.: 1987. Canada. the GATT and the International Trade Svstem The Institute for
Research on Public Policy. Quebec.
Teeple G.. 1995. Globdization and the Decline of Social Refoxm Garamond press,
Toronto.
Turner G., 1990. British Cuitural Studies: An Introduction Unwin Hyman Inc.,Cambndge
Mass.
Warnock J., 1988. Free Trade and the New Rkht Agenda New Star Books. Vancouver.
Wil liarns G., 1986. Not For Export: Toward a Politicai Economv of Canada's Arrested
Industrialization McClelland and Stewart, Toronto.
Wilson H.T.. 1989. Retreat From Governance: Canada and the Continental - International
Voyageur Publishing. Hull. Quebec.