MLI Newsletter
Vol. III, No. 5






Northern Light: Lessons for America from Canada's Fiscal Fix


The Canadian Century 



Fearful Symmetry   







 Check out MLI's short video
 on what led Canada to the huge fiscal reforms of the 1990s, the payoff they had, and what needs to be done so that we continue to reap the rewards of reform for years to come!












In this edition...
Fiscal Sanity and political success: Canada proves you can have it all
Northern Light: Lessons for America from Canada's Fiscal Fix
Economic indicator to provide advance warning of economic changes
MLI launches Inside Policy and announces L. Ian Macdonald as Editor
Barriers to competition hurt innovation, MLI study says
MLI recognised for outstanding performance by the largest international think tank prize program
Paul Romer and Linda Nazareth join MLI as Senior Fellows
MLI's Great Canadian Debates
More MLI in the media
Fiscal sanity and political success: Canada proves you can have it all 

The American Enterprise Institute and the Macdonald-Laurier Institute jointly held an event in Washington, DC on September 18th on how the Canadian fiscal turnaround of the 1990s was done. Former Canadian Prime Minister Paul Martin, who served as finance minister during the turnaround, was keynote speaker. Panelists included AEI's Andrew Biggs, former Alberta Treasurer Stockwell Day, University of Calgary's Ron Kneebone, and former Saskatchewan Finance Minister Janice MacKinnon. Click here for more information and to view video from the event.


The Wall Street Journal and The Globe and Mail covered the AEI/MLI event and MLI's Brian Lee Crowley wrote about it in the Calgary Herald, Vancouver Sun and The Hill Times. In addition to this coverage, The Wall Street Journal's Mary O'Grady wrote about the event and "how Canada saved its bacon."

New MLI Book! Northern Light: Lessons for America from Canada's Fiscal Fix

Canadians and their governments wrote the book on how to tame deficits in the mid-1990s - and American politicians should look north in their 2012 election for guidance as they struggle for public support to balance Washington's budget. In a new book published by MLI, Brian Lee Crowley, Robert P. Murphy and Niels Veldhuis examine the lessons Americans and their political leaders might draw from Canada's fiscal reforms.


Since the release of the book, MLI's Brian Lee Crowley and Robert P. Murphy wrote an op-ed in The Globe and Mail, Crowley published an op-ed in Roll Call, and the book was highlighted in columns in The Wall Street Journal, The Globe and Mail, Toronto Star and iPolitics. Click here for more details.

MLI's new economic indicator to provide advance warning of economic changes

With its new monthly Leading Economic Indicator series, MLI will provide unique and valuable insights into the future course of the Canadian economy - giving advance warning of recessions and upturns. The index sums up performance of nine components that track developments in key sectors such as financial markets or manufacturing to signal upcoming changes in the business cycle.

The inaugural Leading Indicator rose 0.1% in August after four consecutive months of 0.2% gains. The slow, steady growth of this indicator suggests the Canadian economy will avert a downturn in 2012.

The Globe and Mail, Reuters Canada, Toronto Sun, and Ottawa Citizen covered the release of the new Leading Indicator. It was also highlighted in the Financial Post and in a NASDAQ and 4-Traders article.

MLI launches new flagship magazine, Inside Policy, and announces L. Ian Macdonald as its Editor

MLI is pleased to launch its new national bi-monthly magazine this month, Inside Policy (IP).

The inaugural issue of IP marks the 25th anniversary of the Canada-US Free Trade Agreement (FTA). It includes a 25-year economic impact study by Douglas Porter, Deputy Chief Economist of BMO Capital Markets, and a Q&A with former Prime Minister Brian Mulroney on the impact of free trade on Canada. Contributing writers also include Kevin Lynch, Robin V. Sears, Jeremy Kinsman, Patrice Dutil, David MacKenzie, Martin Goldfarb, Stephen Blank, and Jennifer Jeffs. To subscribe to IP's print or digital edition, click here.

The release of IP has attracted the attention of The Globe and Mail, Montreal Gazette, Ottawa Citizen, Calgary Herald and iPolitics. For details, click here.

Barriers to competition hurt innovation, MLI study says

Canada can better boost innovation and productivity by simply encouraging more competition. In Public Policies to Encourage Innovation and Productivity, Professor Steven Globerman says reducing barriers to market entry in Canada will facilitate the emergence of new firms and introduce new products that will foster competition. According to Globerman, "There is abundant evidence that competition promotes commercialization of new products as well as adoption of new production and organizational processes. The empirical evidence documents a strong link between the openness of an economy and productivity growth."

MLI recognised for outstanding performance by the largest international think tank prize program

MLI has won the 2012 Templeton Freedom Award for Special Achievement by a Young Institute. The award recognises outstanding performance by an institute that is less than five years old and is presented by the Atlas Economic Research Foundation. MLI is the only Canadian think tank recognised by the international prize program this year, and one of only two young institutes worldwide to be recognised for outstanding achievement. Click here for more information.

Paul Romer and Linda Nazareth join MLI as Senior Fellows 

MLI is pleased to attract two distinguished individuals this fall. One of the world's most prominent economists, Paul Romer, has joined MLI as Senior Fellow in Urbanization and Economic Development. Romer is doing path breaking work in this field and we look forward to making his contributions better known to audiences in Canada and abroad.


MLI is also pleased to announce that one of Canada's best known media commentators and economists, Linda Nazareth, is joining the institute as Senior Fellow for Economics and Population Change. Nazareth is well-recognised for applying her extensive economics background to illuminating the issues of the moment in a way that both informs and entertains.

MLI's Great Canadian Debates

On October 4th, MLI hosted its first Great Canadian Debate of the season, Resolved: Canada no longer needs the CBC, to a sold-out crowd at the Canadian War Museum! Ottawa Citizen columnist and one of Canada's leading political commentators, Andrew Coyne, took on Mark Starowicz, Executive Director of Documentary Programming for CBC Television, in a lively and intelligent debate. To watch the debate again courtesy of CPAC, view photos and read the opening statements published in the Ottawa Citizen, click here.

Our next debate, Resolved: The War of 1812 has been over-hyped, will take place on November 7th at 7 PM at the Canadian War Museum. Join us as The Globe and Mail's Jeffrey Simpson and Canadian historian Jack Granatstein debate whether the War of 1812 was a pointless conflict not worth commemorating or a foundation stone for today's Canada and the United States that deserves a place of honour in our respective national memories. Debate includes a Q&A session followed by a private reception and access to the Museum's special exhibit on the War of 1812. For more information and to get your tickets today, visit our website.

A special thank you to our sponsors: Ottawa Citizen, Certified General Accountants, iPolitics, coverage provided by CPAC, The Great Waterway, City of Brockville, St. Lawrence Alliance, Free Thinking Film Society, and The Dorchester Review.

More MLI in the media

In his columns for the Ottawa Citizen, Calgary Herald and Vancouver Sun, MLI's Brian Lee Crowley discusses how the EU prize says much about the Nobel committee, why CEOs shouldn't only have eyes for China, why we should worry about inflation, and how PQ governments come and go

In the Financial Post, MLI's Philip Cross writes about raising interest rates and the relationship between Chrysler and the Canadian Auto Workers union. He also outlines the serious errors in Mark Carney's 'dead money' comments.

In The Globe and Mail, MLI Senior Fellow Linda Nazareth writes about Canada's options if the economy slows, wage growth, the implications of smaller households, and why university offers best return on investment,

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The Macdonald-Laurier Institute is the only non-partisan, independent national public policy think tank in Ottawa focusing on the full range of issues that fall under the jurisdiction of the federal government. It initiates and conducts research identifying current and emerging economic and public policy issues facing Canadians.

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