So the budget came out today in the House of Commons. It’s always exciting to see the political juices flowing. Here’s my reactions to the new budget.
No tax increases
Many economists and Canada’s Budgetary Officier have said that raising taxes will become a reality. You either have to cut vital serivces, such as health care and education, through transfers to the provinces or raise taxes. We need to freeze taxes for those who can’t afford a raise (ie, lower and middle class Canadians) while slightly raising taxes for those who can sustain the blow. Corporate taxes and taxes for the richest Canadians need to go up.
No cuts in major transfers to people and provinces
I was honestly scared of cuts to health care and education, two of the most vital services for Canadians. However, I am releaved today. We can’t go down the slippery slope of cutting services. Canada’s health care and education systems needs to remain public, so that we all have the same standards, regardless of socio-economic status.
Reduced Growth of Spending in Defence
I was really hoping for an actual cut in this department. In a time where we need to tighten our belts, why does the government choose to fund violence, bloodshed, and death? It makes no sense. This should have been the first place to cut in a recession situation.
Reduced Growth of International Aid
This does make sense, however this is a global recession. We need to help out other countries if we want to get out of this. I think we should forgive debts to Canada from developing nations and freeze international aid spending at the levels they are at now.
Closing tax loopholes
I agree that we should crack down on those who abuse the system for their personal benefit. It’s no fair to those who legitimately pay into the system. My question is: where was the government on this issue four years ago?
Wage freeze for prime minister, MPs and senators
If the citizens of the country have to tighten their belts, so should the politicians. Again, this should have been one of the first cuts in a recession situation. Cut all politicians’ salaries by $50,000, we save more than $20 million. If we need to suffer, they should have some discomfort too.
Departmental operating budget frozen until 2013
Notably expempt are pensions and other benefits. I also agree with this one too. The government is at least showing modest effort to tightening their belts in a recession. This spending would’ve been harder to cut, and I understand that.
$22 million in funding over 2 years for ‘Own the Podium’
It’s good that they are supporting sport in this country, and doubling their contribution. However, will it create jobs? No
$222 million over 5 years for nuclear and physics research
Very good! Shift the burden from the Chalk River reactor for medical isotopes. Creates jobs, solves health care issues, and is a productive use of money. That’s the kind of spending we need in a recession.
$300 million in tariff savings for business
We could’ve spent that money to create industries for machinery and manufacturing in Canada.
A new red-tape reduction commission
Even though people get pessimistic about government commissions, if it’s done correctly, it’s a good idea. Examine things we can cut and move forward from there.
$2 million for a community war memorial program
Supporting veterans is a good thing, plus it could create some jobs.
$80 million more for an eco-energy retrofit program
I like it, but it should be a little more extensive than that.
$87 million over 2 years for border security
If they use this money to create jobs, then I’m good with it. However, if we just use it to process passports or something, then no.
$28 million over two years to CSIS
In a world where we are in a constant fear of terrorism, I can understand this.
New longer-lasting bank notes in 2011
A bit of a stretch, but it may just be crazy enough to work.
Hits:
-No cuts to health care or education
-Continuation of spending to create jobs
-Creative job creation spending (nuclear and physics research, memorial program, etc.)
-Energy retrofit funding
-Red Tape Commission
Misses:
-Most new spending minor; need more major stimulus
-No corporate tax increases
-Tariff elimination
-No cuts in military or politicians salary
-Isolated recession thinking; no debt forgiveness for developing nations
-No funding for seniors, child care, or aboriginals
-No poverty elimination plan; social housing increases
What Would I Do:
I would make some amendments for some of my minor objectives. Salary cuts and increases in spending would be the major amendments. If these passed, I’d vote FOR the budget.
No comments:
Post a Comment