Government finance
Next week, the 13 premiers and territorial leaders will meet in
St. John's, N.L., with fiscal issues dominating the agenda. It is not going to be pretty.
Studies and background work over the past few months have drawn the fault lines between the provinces with stark clarity. Every provincial and territorial leader knows down to the last dollar which combination of options is of greatest benefit to his province or territory.
OTTAWA – Selon une étude rendue publique aujourd’hui par le Centre canadien de politiques alternatives (CCPA), la concurrence interprovinciale au titre des réductions d’impôt serait le plus important facteur responsable du prétendu déséquilibre fiscal – et non les coupures fédérales dans les paiements de transfert.
OTTAWA—The largest contributor to the so-called fiscal imbalance, is interprovincial tax cut competition—not federal cuts in transfer payments, says a study released today by the Canadian Centre for Policy Alternatives.
The study, by CCPA Research Associate Hugh Mackenzie, shows that federal cuts in transfers to the provinces had little real impact on provincial finances as most of the cuts were simply passed on to local governments.
Most Canadians, if asked, would probably view the issue of the “fiscal imbalance” as a good cure for insomnia. That’s too bad because it is an issue that could fundamentally reshape what it means to be Canadian.The term “fiscal imbalance” is a loaded one, a pejorative used to imply that balance must be restored to Canadian federalism.
OTTAWA—A new study from the Canadian Centre for Policy Alternatives warns that solving the alleged “fiscal imbalance” runs the risk of becoming a downsizing exercise for the federal government.
The study, authored by CCPA Senior Economist Marc Lee, breaks the “fiscal imbalance” code. Different definitions of the term “fiscal imbalance,” in a context of federal-provincial fights over cash and partisan politics, have muddied the waters of the debate.
Would someone please forward me a copy of the memo? You know, the one
that banishes the term "tax cuts" in favour of "tax relief". In the
lead-up to the 2006 federal budget, its seems like all of the tax
cutters - from the dozens of groups representing business interests to
the mainstream media to the government itself - were all on message
about the need for "relief" from the horrible "burden" known as taxes.