June 27, 1984

TOURISM

PC

Melbourne Alexander Gass

Progressive Conservative

Mr. Mel Gass (Malpeque):

Mr. Speaker, today I would like to address an area of concern to me which affects the tourist industry in Canada. The tourist industry is a rather seasonally based industry which is affected by many factors. To have a successful year, tourism must rely on weather conditions. Being actively involved in the tourist industry on Prince

Edward Island during the summer months, I certainly know the importance of good weather to the industry. Our particular tourist industry on Prince Edward Island relies on good summertime weather to encourage tourists to come to the area. In light of this, I would like to discuss the importance of weather forecasting to the tourist industry.

[DOT] (MIS)

There must be more emphasis placed on sunshine. I realize that weather forecasters must project the weather as it exists, but I cannot help but feel that there has always been an emphasis placed on the negative aspects of weather conditions. Emphasis should be placed on the positive aspects of the weather, such as the percentage of sunshine in a forecast.

Weather forecasters seem to deal with determining the negative factors of the weather. The probability of precipitation is determined, rather than the amount of possible sunshine for the day. For example, a broadcaster will say that there is a 10 per cent chance of rain, rather than a 90 per cent chance of sunshine. I feel that visitors to Canada would, either consciously or subconsciously, be more encouraged to travel to various locations in Canada by hearing the percentage of sunshine forecast, rather than the percentage of rain forecast. I feel very strongly that our weather forecasters should emphasize the positive rather than the negative.

Topic:   STATEMENTS PURSUANT TO S.O. 21
Subtopic:   TOURISM
Sub-subtopic:   IMPORTANCE OF GOOD WEATHER FORECASTING
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?

Some Hon. Members:

Hear, hear!

Topic:   STATEMENTS PURSUANT TO S.O. 21
Subtopic:   TOURISM
Sub-subtopic:   IMPORTANCE OF GOOD WEATHER FORECASTING
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INDUSTRY

NDP

Raymond John Skelly

New Democratic Party

Mr. Ray Skelly (Comox-Powell River):

Mr. Speaker, last Friday the Minister of Regional Industrial Expansion (Mr. Lumley) finally tabled the Government's response to the petrochemical industry task force report which was received five months ago. Five months is a long time to wait and, unfortunately, the Government has offered nothing that would give any encouragement to the industry, or to the tens of thousands of Canadians who could benefit directly through the new jobs that would be created if the recommendations of the task force were followed.

If the task force recommendations were implemented, 75,000 to 175,000 new jobs could be created by 1990. In addition, billions of investment dollars were ready to be earmarked for investment in Canada. These dollars may potentially be lost unless the Government is willing to move in a positive direction on the recommendations of the petroleum industry task force.

Neither the Government nor the Conservative Party has indicated that it is prepared to provide the positive incentives necessary to assist the petrochemical industry so that it may survive and grow in Canada. I urge the Government to reject its present shabby response to the needs of such an important

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June 27, 1984

Oral Questions

industry, and to reassess and support the thrust of the recommendations of the petrochemical industry task force report.

Topic:   STATEMENTS PURSUANT TO S.O. 21
Subtopic:   INDUSTRY
Sub-subtopic:   PETROCHEMICAL TASK FORCE REPORT-GOVERNMENT RESPONSE
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ORAL QUESTION PERIOD

FINANCE

PC

John Carnell Crosbie

Progressive Conservative

Hon. John C. Crosbie (St. John's West):

Mr. Speaker, in the absence of the Minister of Finance, the Quebec lieutenant who is out protecting his position, I would imagine, and in the absence of the Prime Minister, and in the absence of any Acting Prime Minister-

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
Permalink
LIB

Joseph Jacques Jean Chrétien (Minister of Energy, Mines and Resources)

Liberal

Mr. Chretien:

Over here.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
Permalink
PC

John Carnell Crosbie

Progressive Conservative

Mr. Crosbie:

I am glad to see that the acting sub-lieutenant for Quebec is here. My question is directed to the Minister of State for Finance. No, my question is now directed to the Minister of Finance. I have been saved by the bell.

The Minister of Finance will know that confusion compounds the lack of confidence that now exists in the Government. At Charlottetown yesterday the Governor of the Bank of Canada, Mr. Bouey, said this about interest rates:

The rise in rates has not been sufficient to prevent a significant decline in the exchange value of the Canadian dollar to the point where it presents a new risk to our progress on inflation ... it is because of the substantial inflationary risk involved that I have never favoured depreciation where it could be avoided or at least limited.

Mr. Minister, the dollar has declined 6 per cent since March 7, the time when you said you were not staying up nights worrying about the dollar being at 81 cents U.S. You do not have to worry about that any longer.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
Permalink
LIB

Gildas L. Molgat (Speaker pro tempore)

Liberal

Mr. Speaker:

I would like to assure the Hon. Member that the Chair is only remotely concerned, because I am sure that the Hon. Member knows that he is addressing the Chair.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
Permalink
PC

John Carnell Crosbie

Progressive Conservative

Mr. Crosbie:

Yes, Mr. Speaker, the Minister apparently disagrees with the point made by the Governor of the Bank of Canada about the significant inflationary impact of the depreciation of the dollar. Does the Minister disagree with Governor Bouey's statement of yesterday? If so, which view now governs Canadian monetary policy? Nothing could be more important to the country today.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
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LIB

Marc Lalonde (Minister of Finance)

Liberal

Hon. Marc Lalonde (Minister of Finance):

Mr. Speaker, I think the last person who should be talking about confusion is the Hon. Member for St. John's West. Yesterday I referred to the contradiction between the stand taken by his own Leader, who has said "Let the dollar go down", and the stand taken by the Hon. Member, who has said that this was a counsel of despair and that there was no question that such a policy should not be followed. If there is any confusion it must be

within the Conservative Party. One thing I can tell the Hon. Member is that there is no confusion in the minds of the Canadian public about the position, lack of position, or contradictory positions taken by the Conservative Party on fundamental economic issues at this time.

As far as the statement of the Governor is concerned, I had an opportunity to read the speech before it was made. That speech has my full support and agreement.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
Permalink
PC

John Carnell Crosbie

Progressive Conservative

Mr. Crosbie:

Mr. Speaker, I would set the Hon. Minister's mind at ease on this issue of confusion. In the present situation, the only possible alternatives are to have a lower Canadian dollar or higher interest rates. We opt for a lower Canadian dollar, and not higher interest rates which will ruin economic growth in this country.

Topic:   ORAL QUESTION PERIOD
Subtopic:   FINANCE
Sub-subtopic:   EXCHANGE VALUE OF DOLLAR-BANK OF CANADA GOVERNOR'S STATEMENT
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INTEREST RATE LEVELS-GOVERNMENT POLICY

PC

John Carnell Crosbie

Progressive Conservative

Hon. John C. Crosbie (St. John's West):

Mr. Speaker, my supplementary question is directed to the same Minister. The statement which was made yesterday by Mr. Bouey, which the Minister said he approved, implies that the new risk of inflation through a lower dollar will be opposed by higher interest rates. Will the Government, which has permitted three interest rate increases in the last three months, now permit additional interest rate increases, which will lose tens of thousands of jobs for Canadians and stop the piddling recovery which is under way?

Topic:   ORAL QUESTION PERIOD
Subtopic:   INTEREST RATE LEVELS-GOVERNMENT POLICY
Permalink
LIB

Marc Lalonde (Minister of Finance)

Liberal

Hon. Marc Lalonde (Minister of Finance):

Mr. Speaker, if the Hon. Member for St. John's West is correct, I must say that it will not be the first time that the poor man has had to swallow himself in the course of the last few months-between his contradictary statements and those of the Opposition Leader. I am sorry that he has lost once more in the fight with his Leader. I wish him better luck.

As far as the question of the Hon. Member is concerned, he knows very well our position in that regard. It is to have the lowest possible interest rates in this country while ensuring that the Canadian dollar is not subject to speculative devaluation.

Topic:   ORAL QUESTION PERIOD
Subtopic:   INTEREST RATE LEVELS-GOVERNMENT POLICY
Permalink
PC

John Carnell Crosbie

Progressive Conservative

Mr. Crosbie:

The Minister is saying that the Government will permit more interest rate increases. It is the old policy with the same old gang-Pierre Elliot Turner doesn't give a hang. That is what the Minister is saying. I thank him for that. Interest rates will be allowed to go up.

Topic:   ORAL QUESTION PERIOD
Subtopic:   INTEREST RATE LEVELS-GOVERNMENT POLICY
Permalink

UNITED STATES DOLLAR RELATIONSHIP

PC

John Carnell Crosbie

Progressive Conservative

Hon. John C. Crosbie (St. John's West):

Mr. Speaker, my final supplementary is directed to the same Minister. The Minister claimed yesterday that Canada's dollar had depreciated only against the U.S. dollar, and had appreciated against other currencies. The Governor of the Bank of Canada rejected the Minister's argument when he said: "We really

June 27, 1984

have to focus our attention on the U.S. dollar relationship". Does the Minister agree with Governor Bouey's statement that we really must focus our attention on the U.S. dollar relationship, which repudiates as nonsensical the Minister's own views?

Also, will the view of the Governor of the Bank of Canada prevail rather than the views of the Minister which were given to the press yesterday? Will the Minister tell us, after four years and three months of economic failures, of higher interest rates and a lower dollar, when the Government will call a halt and give the Canadian people a chance to make a choice as to who they want in charge of their affairs?

Topic:   ORAL QUESTION PERIOD
Subtopic:   UNITED STATES DOLLAR RELATIONSHIP
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June 27, 1984