IMF Counters Dion's Claims

[jdobbin]

No the revenue taxes are lower. That's it. It's the very specific tax on investment that is specifically working to discourage job growth. I'm focusing 100% on this tax because it is the most important one determining whether or not it's worthwhile to invest in new facilities and equipment. These are the things that create new jobs to replace ones being lost and they also encourage companies to modernize and innovate so they're not closing down later. It also discourages companies from LEAVING because if they have a lot of money invested they're less likely to leave it all behind.

Perhaps you can answer the question about why Ontario is being ignored on the issue of transfers. McGunty has said repeatedly that the province is being treated unfairly and when Quebec got additional funds from the Feds, they cut taxes. McGunity has said all this election, fairness would ensure Ontario can do similar things.

Why hasn't that happened?

You say Ontario has to cut taxes. Quebec cut taxes when the Feds increased transfers.

Because it's a zero-sum game. Alberta and Ontario have ALWAYS had a huge fiscal imbalance in equalization payments. To give more money to one province means giving less to another province. The whole system is imbedded in the Consitution now thanks to Trudeau's Canada Act which made it Atlantic Canada's and Quebec's 'right' to receive the bulk of equalization payments because of their have not status. Thank Trudeau for that, not Harper. Around the same time, the Trudeau government 'agreed' that Ontario would be excluded from receiving equalization payments altogether.

Actually Harper increased transfers. He won't even address the issue with Ontario. You are saying that there is nothing to do? Your answer is the blame Trudeau even when Harper has the power to make changes?

How are you even trying to blame this on Harper? It's a Liberal policy which has been in place for 30 years which was also supported and maintained from 1993-2006. While I don't know enough for sure, amending the formula at this point would probably be a mess of federal and constitutional law.

Are you trying to say that Harper can't do anything? Is that really what you are saying? You don't have to amend. May I give the example of what Harper did for Nova Scotia.