THE CANADIAN PRESS
SASKATOON - For the princely annual salary of a single loonie, 11 eminent Canadian business leaders and academics have answered a call to arms from the federal finance minister to advise Ottawa on next month's federal budget and the deteriorating economy.
Among the members of Jim Flaherty's economic advisory council are former B.C. finance minister Carole Taylor, billionaire businessmen James Irving and James Pattison, as well as University of Calgary professor Jack Mintz, the former president and CEO of the C.D. Howe Institute.
"I called them all personally and I said, 'Your advice is needed for your country,"' Flaherty told a news conference Thursday in Saskatoon.
All of them said, 'Yes.' And they've all said yes to a meeting just before Christmas, too, which I very much appreciate."
That meeting is scheduled for Tuesday in Toronto.
Flaherty also said he and Bank of Canada Governor Mark Carney will meet with the CEOs of the country's biggest banks in January to ensure they are taking steps to make more credit available to average Canadians.
"I expect (the banks) to make it evident to us that they are taking steps to make that more available in Canada," he said.
Liberal finance critic Scott Brison welcomed the advisory council, saying federal finances might be in a better position to weather the economic storm had the governing Tories and Flaherty sought the counsel of its members during their first term in office.
"If he'd been taking advice from them over the past three years, he wouldn't have spent the cupboard bare during the good times, reducing government's capacity to help Canadians now during the tough times," Brison said in a telephone interview from his Nova Scotia riding.
He said he suspects the business leaders wouldn't condone company ledgers that book revenues for asset sales that have not yet occurred - as Flaherty has done with his fall economic statement.
Brison said his main concern is that Harper won't accept the advice of his economic council.
"It is doubtful that a prime minister who doesn't take advice from his own ministers will take advice from outside counsellors, on the economy or anything else."
Brison's Liberals will have to decide whether to support the Jan. 27 budget that Flaherty will bring in or defeat the minority Conservatives and attempt to form a coalition government with the NDP, supported by the Bloc Quebecois.
Flaherty said the advisory council's advice is not binding on the government, and politics did not play a role in selecting the members.
"I did not look through party ties when I went through the list."
Flaherty expects the council will continue to give him advice through a difficult 2009.
Following a meeting with provincial and territorial finance ministers Wednesday, Flaherty said a budget deficit is certain for next year.
Papers later released by the Finance Department painted an even darker economic picture that includes at least four years of deficits.
Flaherty said he formed the advisory council so he would have a permanent group to rely on. He said he wants advice on economic stimulus, taxation matters, spending and credit availability.
He said the lack of loans for families and small and large businesses is an issue that has been raised by several of his provincial counterparts.
Craig Wright, chief economist at Royal Bank of Canada, said the advisory group's roster is impressive.
"Nobody has the absolute correct answer given the unprecedented uncertainty we're seeing, so I think at a minimum, people discussing and coming at it from different viewpoints should be viewed as a step forward," Wright said.
Meeting with ordinary Canadians is also on Flaherty's agenda. Town hall meetings will take place in several different cities across the country in the new year.
"I look forward to hearing from Canadians directly and in person what their concerns are and what their advice is."
The Finance Department has also set up an online forum for suggestions from the public.
"Thousands of people have already sent in their views to the website of the Department of Finance," said Flaherty. "And we look at those carefully and review them as we prepare the budget."
Flaherty was to spend most of Thursday sitting down with business and academic leaders in Saskatoon as part of ongoing cross-country consultations to prepare for his January budget.
16:57ET 18-12-08
