Waiting for the Trudeau Jnr 40 billion deficit

[August1991]

At present, the US federal deficit is about $400 billion. In Canadian terms, that means $40 billion.

Trudeau Jnr? Obama? What's the diff?

Under Trudeau Jnr, our federal government will soon borrow collectively on our behalf about $1,000 each year for each one of us. In my family, we are four, so he's adding about $4,000 to my family's "credit card bill" - each year.

Except: Trudeau Jnr does not borrow on my behalf at credit card interest rates. He borrows at government bond rates.

====

Note to Obama and Trudeau Jnr: I (my kids) can pay the interest on this debt that you are borrowing on my behalf at your advantageous rates if you do things that increase my (their) income. But if you spend this borrowed money foolishly, then my income will not rise, and my kids will be poor. They will not be able to pay this debt that you are creating.

You gotta love America: "A billion here, a billion there. Soon, you're talking about real money." US Senator Everett Dirksen.

Edited December 15, 2015 by August1991

[eyeball]

Oh c'mon, the planet including Canada was well past the point of being on a sustainable path long before Trudeau was even born.

[bush_cheney2004]

At present, the US federal deficit is about $400 billion. In Canadian terms, that means $40 billion.

Trudeau Jnr? Obama? What's the diff?

The difference is that America gets more "jets", submarines, guided missile destroyers, aircraft carriers, coast guard boats/cutters, helicopters, roads, bridges, rocket ships, space probes, spy satellites, GPS navigation, food, drugs, climate change research, education, health care, national parks, retirement/disability payments, and food stamps (EBT) !

Edited December 15, 2015 by bush_cheney2004

[On Guard for Thee]

The difference is that America gets more "jets", submarines, guided missile destroyers, aircraft carriers, coast guard boats/cutters, helicopters, roads, bridges, rocket ships, space probes, spy satellites, GPS navigation, food, drugs, climate change research, education, health care, national parks, retirement/disability payments, and food stamps (EBT) !

Ah, you were going OK until you mentioned healthcare.

[Topaz]

For our American friends on the panel, I came across this article about banking, the US and Greece and its only because of the "powers that be" the US didn't end up like Greece. http://www.zerohedge.com/news/2015-12-14/big-banks-caught-using-credit-default-swaps-destroy-nations

[bush_cheney2004]

For our American friends on the panel, I came across this article about banking,

For our Canadian friends on the panel...the Liberals are back...and so is the Canadian peso.

[Big Guy]

I have a few suggestions:

Legalize marijuana and tax at Colorado rate - $500 million a year

Increase GST by 1% this year and 1% next year - $15 billion a year

Cut military spending from 19 to 14 $billion a year - $5 billion a year

This would increase government income by over $20 billion a year. That could go a long way to improving the quality of life for Canadians.

This government is slowing wiping out the faulty legislation of the Harper government over the years. Be patient. Unless this government uses omnibus bills (like the Harper governments) then to unravel all those social knots will take as long or longer than it did to create them.

[overthere]

Legalize marijuana and tax at Colorado rate

You can only laugh at the naivete. What do you think happens when the govt gets into the recreational drug business? Prices will go up in the short term as everybody piles on a tax.. Growers will dust off their hydroponic lights and get back into direct comptetition with govt. Government will raise taxes. Less people will buy govt weed. Govt hires joint inspectors to make sure people are smoking approved weed......... and so on.

Increase GST by 1% this year and 1% next year - $15 billion a year

Why not just crack it up to 20% VAT right now like in Europe? We can create a workers paradise overnight. What could go wrong?

Cut military spending from 19 to 14 $billion a year - $5 billion a year

Why not go to zero $? We have no enemies and the respect of the whole world now that Trudeau is PM. We can dump NATO. They'll be our allies for free. Maybe they will move their HQ from nasty Brussels and over to Trois Rivieres.

This government is slowing wiping out the faulty legislation of the Harper government over the years. Be patient. Unless this government uses omnibus bills (like the Harper governments) then to unravel all those social knots will take as long or longer than it did to create them.

Not to worry, the switch to preferential ballots(surely the #1 priority for Trudeau)- means he and you will have all the time there is.

[CITIZEN_2015]

I have a few suggestions:

Legalize marijuana and tax at Colorado rate - $500 million a year

Increase GST by 1% this year and 1% next year - $15 billion a year

Cut military spending from 19 to 14 $billion a year - $5 billion a year

This would increase government income by over $20 billion a year. That could go a long way to improving the quality of life for Canadians.

This government is slowing wiping out the faulty legislation of the Harper government over the years. Be patient. Unless this government uses omnibus bills (like the Harper governments) then to unravel all those social knots will take as long or longer than it did to create them.

Very good suggestions for sure (with the exception of legalizing marijuana which I don't agree with liberal plan).

Especially increasing the GST. Those who buy big items (can afford to buy big items) should pay more. The Harper Cons of reducing the GST twice was stupid and to the benefits of their rich core support not the majority of the nation. Increase it back to 7% and all deficit issues will be resolved.

[Keepitsimple]

Very good suggestions for sure (with the exception of legalizing marijuana which I don't agree with liberal plan).

Especially increasing the GST. Those who buy big items (can afford to buy big items) should pay more. The Harper Cons of reducing the GST twice was stupid and to the benefits of their rich core support not the majority of the nation. Increase it back to 7% and all deficit issues will be resolved.

Services provided by the provinces are more valuable to taxpayers - think Healthcare - including Long Term Care, how about more money for cities, public transportation - both the responsibility of the provinces? So why not have the provinces increase their Sales Tax by two percent instead of re-bloating the Feds?

[Big Guy]

...

Not to worry, the switch to preferential ballots(surely the #1 priority for Trudeau)- means he and you will have all the time there is.

Justin will do what he thinks is best for Canada the same as Harper did what he thought was the best for Canada. I will continue to support consumer taxes over income taxes, decreased spending on a military which is busy buying new toys and using them on American wars and an electoral system that can be facilitated, is acceptable by most Canadians and more representative than FPTP.

I live near to an aboriginal reserve so am quite informed of what tobacco taxes have done.

As to my suggestions, I was getting a little tired of reading posters bashing JT but with no new suggestions.

If the Canadian people are unhappy with what JT (and his government does) we will vote them out in 4 or 8 years. This government has lots of Harper initiated legislation to overturn and it may be a while until it will again be safe and protective to wear Canadian flags on your lapel when you travel to other parts of the world.

Edited December 15, 2015 by Big Guy

[Argus]

You can only laugh at the naivete. What do you think happens when the govt gets into the recreational drug business? Prices will go up in the short term as everybody piles on a tax.. Growers will dust off their hydroponic lights and get back into direct comptetition with govt. Government will raise taxes. Less people will buy govt weed. Govt hires joint inspectors to make sure people are smoking approved weed......... and so on.

I see a booming new business for native reserves. They can expand their cigarette operations!

[Smallc]

Yes, the system now, where organized crime makes all the profit, is far better.

[overthere]

Justin will do what he thinks is best for Canada

What he thinks is best is a new electoral system that guarantees Liberal Majorities. I know that meets with your approval too.

If the Canadian people are unhappy with what JT (and his government does) we will vote them out in 4 or 8 years.

Won't happen when the system is rigged. 18 months.

This government has lots of Harper initiated legislation to overturn and it may be a while until it will again be safe and protective to wear Canadian flags on your lapel when you travel to other parts of the world.

Hilarious, you haven't been anywhere have you? In a lifetime of international travel, my observation is that only the utterly clueless ever wear lapel pins or flags on their luggage. Wearing or displaying the Canadian flag abroad is like having a facial tattoo that says "Hi, I'm a goober". It doesn't get and never got anything special except from other goobers.

[Big Guy]

I have travelled in the past and found nothing but happy acceptance when wearing my Canadian flags. I was happy that it kept me from being taken for an American. Any time family members travel we usually take hundreds of those small government of Canada lapel flag pins and share them with foreigners when in social settings. Although you have to be more careful now.

I am sorry that you feel that self identification as a Canadian is a problem. Perhaps it is not the pin but the personality wearing the pin.

I have always believed that minority governments were in a position for better governing than majority governments. I also believe a more representative or ranking system will better reflect the political philosophy of Canadians than an FPTP system.

If/when the Conservative (or perhaps the Progressive Conservative - we may rename it) Party matures to a vision more acceptable to the majority of Canadians then a proportional rep system will get us a ruling minority.

Edited December 15, 2015 by Big Guy

[overthere]

I am sorry that you feel that self identification as a Canadian is a problem. Perhaps it is not the pin but the personality wearing the pin.

When I travel internationally I have a passport hat identifies me clearly as a Canadian citizen. I rarely run into anybody else who cares. Maybe it matters in a trailer park in Florida or Phoenix.

I agree wholeheartedly with your second sentence. It takes a special level of insecurity to rely on waving the flag to make a positive impression. How very American......

I recall a trip to Burkina Faso, when a gent identified me as American. I gently corrected him by saying I was Canadian . His response was short and accurate: "same thing". And from his perspective he was right. There was no need for him to differentiate, we all look, act and are the same from his side.

[CITIZEN_2015]

Services provided by the provinces are more valuable to taxpayers - think Healthcare - including Long Term Care, how about more money for cities, public transportation - both the responsibility of the provinces? So why not have the provinces increase their Sales Tax by two percent instead of re-bloating the Feds?

Provinces raising their sales tax doesn't address the more than expected Federal deficit though we appear to both agree on raising sales tax rather than income tax or cutting spending. Not to mention with so many provinces governing by various parties it may be hard to have consensus among all provinces so best to raise GST and the Feds know how to best distribute it fairly among provinces.

[Wilber]

Very good suggestions for sure (with the exception of legalizing marijuana which I don't agree with liberal plan).

Especially increasing the GST. Those who buy big items (can afford to buy big items) should pay more. The Harper Cons of reducing the GST twice was stupid and to the benefits of their rich core support not the majority of the nation. Increase it back to 7% and all deficit issues will be resolved.

Why do you think the GST is for rich people and big items? It applies to everyone and almost everything unless you are poor enough to get a rebate.

When carbon taxes are introduced, you will be paying GST on that as well because GST on fuel is calculated after all other taxes have been added.

[CITIZEN_2015]

Why do you think the GST is for rich people and big items? It applies to everyone and almost everything unless you are poor enough to get a rebate.

When carbon taxes are introduced, you will be paying GST on that as well because GST on fuel is calculated after all other taxes have been added.

The main part of GST tax is from big items is what I meant. I pay say $5 on GST on a shirt ($100) I buy once a month, or $2 on small electronics ($40) like a fan or a night eating out ($50) but whoever can afford to buy a car ($20,000 to $100,000+) or furniture ($1000 to $10,000+) or heavy electronics like TV ($1000 to $5000) pays 5% of the price that is thousands of dollars.

[Wilber]

The main part of GST tax is from big items is what I meant. I pay say $5 on GST on a shirt ($100) I buy once a month, or $2 on small electronics ($40) like a fan or a night eating out ($50) but whoever can afford to buy a car ($20,000 to $100,000+) or furniture ($1000 to $10,000+) or heavy electronics like TV ($1000 to $5000) pays 5% of the price that is thousands of dollars.

It's 5% of almost everything you consume including a hair cut.

[CITIZEN_2015]

It's 5% of almost everything you consume including a hair cut.

Yes I realize that but I am saying is that a hair cut xost $20 and 5% of that is a single dollar but a car is $20,000 at least and 5% of that is $1000 a thousand times more. So lowering GST by 2% saved me only 40 cents but it saved the rich $400.

[drummindiver]

This government has lots of Harper initiated legislation to overturn and it may be a while until it will again be safe and protective to wear Canadian flags on your lapel when you travel to other parts of the world.

Ridiculous hyperbole. There were numerous articles showing Canada is the most respected country in the world while Harper was pm.

[Argus]

The main part of GST tax is from big items is what I meant. I pay say $5 on GST on a shirt ($100) I buy once a month, or $2 on small electronics ($40) like a fan or a night eating out ($50) but whoever can afford to buy a car ($20,000 to $100,000+) or furniture ($1000 to $10,000+) or heavy electronics like TV ($1000 to $5000) pays 5% of the price that is thousands of dollars.

But people buying cars and houses and furniture are what help drive the economy. The higher the price for those goods the more likely people will be to put such purchases off which means the economy suffers.

[Wilber]

Yes I realize that but I am saying is that a hair cut xost $20 and 5% of that is a single dollar but a car is $20,000 at least and 5% of that is $1000 a thousand times more. So lowering GST by 2% saved me only 40 cents but it saved the rich $400.

Do you you only get a hair cut every ten years or so? The GST is on nearly every good and service you buy. It basically reduces the amount you can spend by 5%. This is going to mean less to a rich person than it will to the average Joe because they can afford it.

[Argus]

Yes I realize that but I am saying is that a hair cut xost $20 and 5% of that is a single dollar but a car is $20,000 at least and 5% of that is $1000 a thousand times more. So lowering GST by 2% saved me only 40 cents but it saved the rich $400.

Every universal tax increase will cost the rich more in absolute dollar terms, and every universal cut will save them more in dollar terms.

But it costs the poor/middle class much more as a percentage of their disposable income. You are paying 2% on just about everything you spend, and it adds up.