Pandemic exposes weaknesses of government intervention

The response of governments was heavy-handed, lead-footed, wrong-headed and inept

Pandemic exposes weaknesses of government intervention2020 forever will be associated with the coronavirus sweeping Canada and the world. However, its impact on the economy was much greater than on our health. Far fewer people were stricken by the virus than the initial apocalyptic warnings from health care experts, while its impact on incomes, jobs and government deficits was larger and…

Canadian business growth stymied by governments

Red tape, rising taxes, tax reform, increasing minimum wages and other policy initiatives all smother business investment

Canadian business growth stymied by governmentsPersistently weak investment is a major reason why Canada’s growth has lagged in recent years. And governments carry some of the blame, having increasingly failed to encourage a positive business climate. The importance of business investment to economic growth is widely acknowledged. Investment boosts productive capacity and embodies new technologies that raise productivity and living…

It is a myth that Canada has a retirement income crisis

Even after deducting debt of $1.8 trillion, Canadians are left with an accumulated net worth of $7.8 trillion outside the formal pension system

It is a myth that Canada has a retirement income crisisThe federal and provincial governments will soon meet in Vancouver to again discuss a possible expansion of the Canada Pension Plan and increase in mandatory contribution rates. There are several reasons to hope that wiser heads will prevail in opposing an expansion. After all, the statistical and intellectual arguments to expand the CPP are weak.…

Canada Pension Plan is not ‘low cost’

Despite its reputation, the cost of the CPP is actually above the average for comparable plans

Canada Pension Plan is not ‘low cost’By Philip Cross and Charles Lammam The Fraser Institute A recent meeting of Canada’s finance ministers rightly put the brakes on the federal government’s proposal to expand the Canada Pension Plan (CPP). After all, the evidence shows such reform is unnecessary and is, in fact, counterproductive. But as the broader debate over government-mandated pensions persists,…

Duration of slow economic growth greatly exaggerated

Pessimism over growth an overreaction to the current economic environment

Duration of slow economic growth greatly exaggeratedThe idea that we are trapped in a “new normal” of slow economic growth has gained currency with many analysts. Proponents list a number of factors allegedly restraining the trend of growth, including the lingering impact of the 2008 financial crisis, an aging population, and even a slowdown in the underlying rate of innovation and…