Close Encounters of the Thirties Kind, by social policy expert John Stapleton, is a blow-by-blow account of the similarities between Ontario circa 1930s and today.

“Life was definitely harder back in the Great Depression but the similarities between the types of struggles then and now are eerily familiar,” says Stapleton. “Instead of learning from history, our governments are making many of the same mistakes.”

The report finds 11 similarities between the Great Depression and the Crash of 2008:

1. Both downturns were caused by unplanned economic crashes;
2. Hugh stock market upticks followed both crashes, fuelling debate about the length and shape of the downturn;
3. One year after the crash, governments suffered from ‘optimism bias’;
4. The welfare to wage ratio was, and is, at historic lows;
5. Prior to each crash, the Ontario government ordered a study of social needs – the 1930s reports helped shape future social service programs;
6. Both Ontario governments championed the value of community mobilization;
7. The impulse to blame the victims of recession was equally strong;
8. Immediately following the crash, the federal King government was as silent on the need for help then and as the federal Harper government is now;
9. Workfare existed then and now, but rarely at any other time in Ontario history;
10. The provinces were scared, running deficits and struggling to pay the bills;
11. Then, as now, cash-strapped municipalities bore the brunt of demand from desperate citizens without adequate help from senior governments.

The report, available here in PDF format, calls on senior governments to take the lessons of the 1930s and act swiftly to minimize Ontario’s current recession.

The strategy provides a framework for addressing the needs of those most vulnerable and those at risk of falling into poverty, while promoting the prosperity necessary for Nova Scotia to grow.

The vision for 2020: to break the cycle of poverty by creating opportunities for all Nova Scotians to participate in the prosperity of the province and enjoy a better standard of living.

The four main goals of the strategy are:

• Enable and reward work
• Improve supports for those in need
• Focus on our children
• Collaborate and coordinate

Download the government strategy in PDF – Nova Scotia’s Poverty Reduction Strategy: Preventing Poverty, Promoting Prosperity or visit their site.

Hit and Miss: Ontario’s 2009-10 Budget - PDF, 188 Kb.

The story of how we got into this global economic mess, and how we will get out, is inextricably bound up with the story of rising income inequality. After all, it was triggered by the interlocking fates of subprime mortgage holders – people who didn’t have enough money to get a regular mortgage – and their lenders. Every part of the ensuing cascade of calamity was linked to the pursuit of ever greater returns, a promise of prosperity fuelled by easy money and reckless bets.

Tax cuts are the worst possible economic stimulus with Bank of Canada interest rates heading to zero, and may well have a negative effect on the economy, says a report released today by the Canadian Centre for Policy Alternatives (CCPA).