Liberal plan to raise top-earners’ taxes will hurt economy

Poorly conceived personal income tax changes could result in the loss of more entrepreneurial high-income earners

Liberal plan to raise top-earners’ taxes will hurt economyThe new Liberal government plans to raise personal income taxes on the top Canadian income-earners to fund a tax decrease for the middle class. According to Statistics Canada, to be in the top 1 per cent in 2013, a tax-filer needed to have a total income of at least $222,000. To be in the top 10…

Trudeau shouldn’t follow Obama’s economic path

Canadians should hope the clear parallels between Obama and Trudeau don't translate into economic performance

Trudeau shouldn’t follow Obama’s economic pathBy Jason Clemens and Niels Veldhuis The Fraser Institute Canadians should hope the clear parallels between U.S. President Barack Obama and Prime Minister Justin Trudeau don't translate into economic performance. The parallels between the two-term president and Canada's new Liberal prime minister range from superficial (campaign slogans) to substantive (focus on redistribution, increased government spending and…

Memo to Finance Minister Bill Morneau

Canada faces stiff economic headwinds and your largely uncosted election promises could easily amount to many billions of extra dollars

Memo to Finance Minister Bill MorneauMemo to Finance Minister Bill Morneau: Congratulations on your election to the House of Commons as the MP for Toronto Centre and your appointment as minister of Finance. Business leaders across Canada wish you well as you come to grips with the economic challenges that lie ahead. Canada appears to have entered a period of…

Canada counting on US consumer for economic growth

How Canada fares in 2016-17 will hinge, in large part, on developments in the United States

Canada counting on US consumer for economic growthAs Justin Trudeau and his euphoric Liberal colleagues get ready to form a new government in Ottawa, they have reason to worry about the macroeconomic picture. But good news south of the border could have a ripple effect in Canada. In recent weeks, several forecasters, including the Bank of Canada, have (again) downgraded their growth…

New economic vision needed for Canada

To increase productive growth investment, the government has to start with the banks

New economic vision needed for CanadaIt’s taken some time to get there, but even the Tories admit (reluctantly) that the Canadian economy is in recession. The big question for the electorate is: can government do anything to improve the situation? All of our party leaders have plans to stimulate the economy; regrettably, they’re offering up the same tired old corporate…

A balanced budget no miracle cure for ailing Canadian economy

Proposing a balanced budget reflects a failure to grasp the modern economic role of government

A balanced budget no miracle cure for ailing Canadian economyThe 2015 federal election will go down in history for establishing a new record and confirming a reality check. First, it will be recorded as the longest campaign in Canadian electoral history. Our political campaigns used to be a sprint to the finish line. This time, it is a marathon of perpetual political bashing and…

How the Canadian economy can get out of the mess it’s in

The Canadian economy is vulnerable today because ‘markets’ couldn't care less about Canada's, or anyone’s, standard of living

How the Canadian economy can get out of the mess it’s inAs Stephen Harper prepares for the real election campaigning to begin after the Labour Day long weekend, he must be praying for some good news on the economic front. The news so far has been pretty miserable. With a year of falling oil prices, month after month of stagnant (or worse) GDP growth and a…

Interest rate cut underscores Canada’s gloomy economic prospects

The Bank of Canada is acknowledging that the energy-related downturn is worse than expected

Interest rate cut underscores Canada’s gloomy economic prospectsWhat are we to make of the Bank of Canada’s recent decision to trim its short-term policy interest rate by another 25 basis points, taking it to a near record low level of 0.5 per cent? The Bank is frankly acknowledging that the energy-related downturn in capital spending and exports in Canada has been greater…

Canada flirting with recession

Slumping oil prices taking their toll on Canada’s energy-centric economy

Canada flirting with recessionThere is a cloud over the country’s economic outlook for 2015. Statistics Canada reports that real gross domestic product (GDP) fell at a 0.6 per cent annualized rate in the first three months of the year, considerably worse than even pessimistic forecasters were expecting. It is clear that the slump in global oil prices is…

Changes to Foreign Worker Program could strangle Canadian economy

Changes could also lead to rise in illegal workers

Changes to Foreign Worker Program could strangle Canadian economyCanada’s recent changes to the Temporary Foreign Worker Program (TFWP) are slamming the door on low-skilled workers trying to come to Canada, and in some cases to stay in the country. To some, this might not seem to be a bad thing, but a shortage of low-skilled workers will have consequences in both the short…