A conversation I overheard recently (employee to his former boss) – “You know we didn’t always see eye-to-eye but at least you were always honest…”

A low-profile news item this week was the announcement by Garth Turner , that he was no longer interested in running as a Liberal candidate in a Federal election. Since it looks like we’ll go a while longer before another election the announcement was not really news but, his reasoning for abandoning his efforts to secure the blessing of the Liberal HQ made it interesting, to me.

From his statement:

“My hope in returning to Parliament was to help clear the path to a viable economic future. Stephen Harper’s $56 billion deficit and profligate spending are massive threats. But also threatening is a lack of debate about viable options and an honest conversation with voters and citizens on the looming consequences… “

“Looming consequences” is not a turn of phrase that most politicians would dare utter. “Viable options” aren’t sexy and “honest conversations” are plain uncomfortable for the “Elect Me” set.

“ Therefore it’s hard to see what the coming election will be about if we’re not prepared to discuss the options in the wake of the Harper fiscal disaster. Economic growth alone won’t wipe out an historic debt load or the need for spending cuts and tax hikes. The looming HST in Ontario and BC is likely but a taste of medicine to come. This is what Canadians need to understand.”

Handing out cheques makes a politico a hero. Telling the voters that they and their party will create jobs is good press, the kind that wins votes.

The next election (if we all stay dumb) will go something like this:

Conservative Candidate: “We cannot afford a Liberal government. They will raise taxes on businesses and stop investment. Their policies will hurt ordinary Canadians.”

Liberal Candidate: “We cannot afford another Conservative government. They will continue to favour big business and this hurts ordinary Canadians.”

Blah, blah, blah…

The looming consequences that Mr. Turner wants Canadians to understand is that the future is going to bring some tough decisions. So far our Federal Government has run up a $56 Billion deficit (never mind the deficits being run up at the provincial levels). Governments don’t just get to print money. All those oversized cheques that have been ceremoniously handed out need to be backed up with real dollars and those dollars have to be borrowed in the form of bonds and loans. Bonds and loans have interest attached to them. Bonds and loans have to be paid back, with interest. We the people will be paying that bill for a long time.

I’ve been to a couple of these cheque presentations. There’s lots of talk about “jobs” and “investment in our future” but, I have never heard mention that spending this money now is going to cost us down the road.

“In my financial books and writings I’ve warned of the need for families to invest wisely, use debt carefully and live within their means in an uncertain world. Rather than tell voters interest rates and taxes won’t rise nor spending fall, leaders should guide us all into realistic choices. Sadly, that doesn’t win elections.

If you’ve read Garth’s blog you’ll understand why “Iggy” and the red kool-aid drinkers weren’t interested in having Mr. Turner around. He’s a political “party-pooper”. His blog reminds readers everyday that the ”lowest interest rates in history” will go back up and how foolish it is to borrow huge amounts of money against a single asset (a home) and to base one’s future on borrowed money is more foolish. Mr. Turner goes out and tells Canadians these things in his books and speaking engagements. He makes perfect sense and that makes poor politics.

That’s unfortunate because that’s the kind of honesty we need from our leaders. The hue and cry over the HST is only the beginning. Honest and morally strong leaders would tell Canadians that getting out of this crisis is important but, (and this is the part they keep leaving out) getting out by spending money we don’t have means we will need to make sacrifices in the future.

Wait until all the budget deliberations start at all government levels. Across the board revenues are down. People are unemployed – less income tax collected, fewer purchases have led to lower sales taxes collected. Companies are holding back on hiring and new investment – fewer taxes and fees collected. Companies and individuals are broke – can’t afford to pay taxes . Governments at all levels have made commitments to spend big bucks. Governments at all levels will be pressed to pay for all that committed money. You will be pressed to pay in the form of fewer services and higher taxes – get used to it.

To save our future we need leaders now that will be honest and fair and lead by example and prioritize based on the people’s and the nation’s future, not the next election. We need leaders with the guts to tell the truth and get the people involved. We need leaders willing to scale down our world.

Remember, scaling down is not an option. It is the most desirable direction we can take into the future. In all facets we will have to live smaller. We can have a longer future living smaller or we can continue to live big for a short time and then…