But unlike Tom Mulcair's similar pledge on behalf of the NDP - widely seen as pandering to corporate and right-wing sentiment and a major contributor to the Canadian party's sharp drop in popular support - the new Labour leadership's proposal is embedded in a broader Keynesian fiscal framework which includes major infrastructure spending, social ownership, and higher corporate taxes. Crucially, the rule can also be suspended in times of crisis like the present.
Canadian economist Michal Rozworski concedes the program may not be fully realizable in open economies like the UK and Canada, but notes that it can help raise expectations and reshape the public policy debate "in a time when expectations are low and everyday ideology is dominated by the right."