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The PC party of old would be killing the Liberals in polls right now, especially in Ontario and Atlantic Canada. If we want an effective opposition in this country, one that could conceivably win a majority government, it's the Conservatives that have to adapt.
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Not with the incompetent leadership the Tories typically had.
The problem here is that the CPC has adapted. It is moving farther to the left, however as your own post proves, people are far too willing to simply hang onto that old belief that it is just the Reform/Alliance with another name. And while you may consider voters out east to be wise enough to figure it out on their own, quite frankly, I think you give them too much credit. Far, far too many people are still basing their opinions on Reform party policy, not Conservative Party of Canada policy.
Keep in mind that the best case scenario here is a Conservative minority. Even with Harper and his boogey-man image, the CPC will have to be much more centrist to hold onto power for any length of time. The CPC has spent most of the last decade adapting. I suspect people like you will never be happy until they are left of the Liberals.
Q-scout - I'm rather curious why Harper scares Maritimers so much. It's especially interesting given that the transfer deal Newfoundland and Nova Scotia got was only promised by Martin after Harper promised it first. I question whether you guys would have ever gotten any kind of deal if not for the Conservatives and Harper forcing the Liberals into making that promise last year. Though obviously there are a lot of other factors, including social policy and whatnot.