The Communist Party of
| Canada has made a valid
and challenging contri-
bution to the summit of the
prime minister and the
provincial premiers. in a
six-point program to over-
come the stagnating
economy and create jobs.

The six points are con-
tained in a letter sent
January 20, by the Central
Executive Committee of
the CPC, and signed by
Party Leader, William
Kashtan. We reprint the
text in full.

ANADIANS look to the summit
meeting of the prime minister and
provincial premiers to advance
new economic and social policies to
overcome a stagnating economy and
create new jobs for a large and growing
army of the unemployed among whom
young people and women are major
victims.
The need for such new policies are
obvious. The government’s measures to
_ get out of the crisis through concessions,
subsidies and tax cuts to the corpora-
tions, and wage freezes for workers,
have worsened it: Unemployment is ris-
ing and so is inflation while the economy
_ remains ina state of stagnation despite all
false claims that Canada is on the road to
recovery. Government reliance on U.S.
recovery to overcome stagnation is not
paying off, all the more so as signs of
recession now make their appearance in
that country.

DE-INDUSTRIALIZATION AHEAD? ~

Furthermore, government policies,
which have opened wide the door to in-
creased economic penetration of Canada
by U.S. multi-national corporations, are
further distorting the Canadian
economy. U.S. control hinders
technological and balanced economic
development while the U.S. branch plant
economy which seemed to strengthen
Canada’s position has now become a
source of increasing weakness and insta-
bility for Canada. This is so because U.S.
imperialism tries to resolve its crisis at
Canada’s expense by curtailing produc-
tion or by closing down branch plants.
There isn’t a city or town in Ontario
where this is not occuring. INCO and
Falconbridge are merely the most
dramatic examples of what is taking
place, and not only in Ontario.

These developments are leading to a
de-industrialization of Canada and to a
further weakening of its independence.

Clearly, the government’s policy of
controlled growth has not overcome the
crisis. -

: For Farmers: :
Guaranteed markets
Guaranteed prices

Guaranteed incomes

=

- PACIFIC TRIBUNE—FEBRUARY 3, 1978—Page 4

JOBS! MORE PURCHASING POWER! SOCIAL NEEDS! ~

Communist Party six-point pro
at federal-provincial summit
meeting points way to:

PUT CANADA BACK TO WORK!
CUT TAXES ON LOW INCOMESI
LAUNCH BUILDING PROJECTS!

The government now proposes that
some structural reforms be undertaken
to cope with the crisis. But these turn out
to be limited to some sectors of the
economy rather than to a restructuring of
the entire economy.

Emphasizing the sector approach, the
prime minister declares that Canada’s
economy is going to remain extremely
free ‘‘as long as I am prime minister’. In
view of the well known fact that
monopoly and the multi-nationals con-
trol virtually all aspects of economic life
in Canada, this remark suggests that the
Government intends to do nothing to
curb their power, despite the fact that
they are the source of the crisis plaguing
Canada. Obviously if no basic structural
reforms are to be undertaken, the crisis
will contiriue, a crisis-of capitalism ag-
gravated further by U.S. control over the
economy; and by a capitalist-wide crisis.

This may explain why the prime minister _

could say that “‘Canada will have to face
up to a period of high unemployment”’,
and why Mr. Cullen, the minister of im-
migration and employment, who before
said the unemployed ‘‘need a kick in the
gut,” now says “‘it’s no shame to be
jobless”’.

economic summit meeting move away
from a policy of slow growth to one of
real growth and full employment. At the
same time in order to lessen the inflation-
ary tendencies in the economy price con-
trols should be instituted on food pro-
ducts, rents, energy, and over profits.
Controls over food products should not
be at the expense of the farmers but
through government subsidies if
necessary.

-DEVELOPMENT INVESTMENT FUND

PRODUCTION CAPACITIES IDLE

These declarations indicate quite
clearly that the government has no
policies to end unemployment and in-
deed, wants to maintain high unemploy-
ment so as to force wages and standards
down and thereby, it hopes, bring in-
flation down.

It is not obscene to allow a situation

_ where one million. workers, many of

them young people and women, look for
jobs which are not there while a
considerable portion of production
capacities remain idle? .

The government must put an end to its
policy of controlled growth which offers
nothing good for Canada and her people,
and embark instead on policies of
economic expansion.

Canada’s resources must be mobilized
for national development. An economic

_ and social policy is called for which is

geared to growth, not stagnation, to ris-
ing standards not a decline in standards,
to strengthening Canada’s indepen-
dence, not the undermining of its inde-
pendence.

CAN CAPITALISM PROVIDE JOBS?

- Canada’s resources were mobilized
during World War II to help defeat Hitler
fascism. Canada’s resources must be
mobilized now to end unemployment.
To argue that it cannot be done is to say
that capitalism cannot provide useful,
creative work for all who need it, that it
cannot create jobs for the young genera-
tion, except dead-end ones.

While historically speaking capitalism —

has outlived its usefulness, government
intervention through effective economic

. and social policies can do much to create

jobs and protect living standards. It is
with this in mind that the Communist
Party of Canada proposes that the

Further to this, the Communist Party
proposes the following six-point program
be implemented to put Canada back to
work, expand the homemarket, raise
purchasing power and strengthen Cana-
da’s independence.

1. A policy of all-Canadian economic
development geared to policies of full
employment. With this in mind an. all-
Canadian Development Investment Fund
should be established to carry out
Canada-wide building projects. Within
this framework, a vast low-income
housing program should be undertaken
with a target of 300,000 ‘housing units
annually. Public transportation must be
developed and modernized. An_all-
Canadian electric power grid should be

built as a step toward the adoption of a.

comprehensive Canada-wide energy pol-
icy encompassing all elements of energy
in Canada. Urban redevelopment should
be tackled with funds made available by
federal and provincial governments.
Re-establish Canada’s merchant marine
and build ships to trade with the world.

‘PUBLICLY-OWNED RESOURCES

2. Canada needs an economic strategy
which will expand the manufacturing and
processing industry and thereby create
new skills and new jobs for a growing
labor force and for the unemployed.

Such an economic strategy is essential
to help widen the home market and ex-
pand trade with the world. The resource
industries, particularly energy, which
are now controlled in large measure by
U.S. and other foreign-owned corpora-
‘tions, and which are so vital for Canada’s
independent development, should be
publicly owned through joint federal-
provincial bodies, and secondary indus-
try built at the source of these resources.

3. Canada needs a social policy directed _

to raise purchasing power and thereby ex-
pandthehomemarket.Reduced standards
for working people.in city and country-
side, which is the essence of the govern-
ment’s controlled growth policies aimed

- at assuring guaranteed high profits for the

corporations, must be ended. Instead,
through a genuine redistribution of na-
tional income, living standards must be
raised, restraints and cutback programs
abandoned and social security further
advanced. This should start with sub-
stantially increased pension payments
and family allowances, reduced taxes for
incomes below $15,000 a year, and not
least, effective measures taken to over-
come regional disparity.

e

ownership of the U.S. branch plants in —

In addition a greater proportion of the j, |
costs of education, health and welfare |
should be assumed by the federal and
provincial governments and thus relieve
the property tax at the municipal level. —

Legislation should be adopted calling
for equal pay for work of equal value”
with the federal and provincial govern
ments setting an example in its im-
plementation.

‘Emergency measures should im-—
mediately be adopted to create jobs an
training for the young people presently ~
unemployed. Retraining programs 4
trade union rates of pay should be unde
taken to help train young people for use-_
ful, creative work.

CUT HOURS BUT NOT PAY

Government policy federally and pro-.
vincially should be directed to bring
about reduced hours of work with no.
reduction in take home pay. If one
examines present unemployment it is
found that a major ‘reason for it are.
technological changes and rationaliza~
tion in industry, all carried out at the
expense of the jobs of working men and
women. These facts are hidden while the
drums are beaten claiming that high
wages and competition on the world
market is responsible for unemployment.
This claim was made in the 20s, in the
30s, in the 40s; in the 50s, in the 60s. They.
were false then and they are false now.
Increased productivity has made possi-
ble a reduction in hours of work with no
reduction in take home pay without ad-
ding to the cost of production.

4. Parity prices for agricultural produce
would enable farmers to catch up with
rising costs. :

5. To achieve the above objectives basic
structural reforms are called for. Leaving

_ it to private enterprise as is suggested by

the government means maintaining pre-
sent high unemployment. Less govern-
ment intervention as called for by
monopoly, is to hide the fact that what it
wants is government intervention in-—
favor of monopoly profits, not govern- —
ment intervention to expand the

economy, raise purchasing power , ad-

vance social security. But it is precisely

this kind of government intervention —
which is called for today. This demands
basic structural reforms through public

Canada. It is precisely through such
Canadian ownership and democratic —
control that the crisis can be coped with
and policies of economic expansion
undertaken.

CRISIS OF CONFEDERATION

Government intervention is called fo
on two other fronts‘also. The economi
summit meeting should recommend the
adoption of legislation federally and pro-
vincially which would: make it mandat
ory on companies to consult with unions
at least a year in advance when question:
of layoffs, moving of plants or plant clo=
sures are under consideration. The legis-
lation should also make it mandatory o#