According to Jack Mintz, one of North America’s pre-eminent economists, Layton’s tax hike plan would be devastating to Canada’s fragile economic recovery.Yup, that would tank our economy and that's not even figuring in cap and trade and Bloc mail.
Mintz, director of the Palmer Chair at the School of Public Policy at the University of Calgary, says raising corporate taxes to 19.5 per cent would cost Canada about $75 billion in lost capital expenditures and a whopping 300,000 jobs. But that’s not all.
“By raising corporate tax rates, you’re not only hurting capital investments and jobs, but you’re also hurting technological advancement,” in terms of investment into new machines, research and, therefore, productivity.
Layton, who clearly detests big business, says he’ll cut small business taxes instead.
“Despite all the rhetoric,” explains Mintz, “studies show that lowering the small business tax rate encourages a lot of new small businesses to be formed, partly because people are avoiding personal income tax, but actually, there’s very little growth of the small firms.”
Layton wrongly believes that raising corporate taxes will give him more revenue so he can spend, spend, spend on lots of big, new, shiny social programs. And, of course, to stay in power and woo all those Quebec voters, Layton has already promised the mayor of Quebec City some $25 billion in projects like a new professional hockey arena, a tramway and a high-speed rail line between Quebec City and Windsor, Ont. Ignatieff has promised the same. The separatist blackmailing is just beginning and the coalition hasn’t even been formed yet!How do you like that? Plus there would be instability in the coalition, which would cause instability in the markets and generally in our economy. Why take the chance? I think I'll go for PM Stephen Harper and the Conservatives who have over the past five years even with all the obstacles they've had to endure have provided stability, steered us through a very bad recession very well in that we are the envy of the world and if returned to office with a majority would provide the right conditions for Canada to prosper and flourish even more.
Layton has also vowed to impose a moratorium on oilsands growth and bring in a cap-and-trade system on greenhouse gas emissions, which will devastate Alberta, the engine of Canada’s economy. Layton is a likable fella and he’s run a good campaign, but that doesn’t mean he should be leader of the Opposition or, heaven forbid, prime minister. It’s not likely he will gain the keys to the PM’s official residence, but if he did, the speed at which he will destroy our economy will leave us all gasping.
Are the Conservatives perfect? No but think of of the alternative. The coalition of the losers with PM Jack Layton with economic chaos and instability that would turn Canada into a third world banana republic or a Conservative majority with PM Stephen Harper at the helm with stability and prosperity. Those are your choices folks.
"With wise and knowledgeable leaders there is stability" Prov 28:2