Friday, November 24, 2006

Flaherty's Economic (Under)Statement

Well I must say Finance Minister Jim Flaherty's economic statement yesterday was a bit of a let down.

Yes, he did outline a prudent fiscal agenda for the next few years, and yes he promised to eliminate the net debt (whatever that means) in 15 years, and yes he promised the interest savings on the lower debt would translate into income tax cuts.

But where was the boldness that this government likes to display when it comes to things like pandering to Quebec nationalists?

I was hoping for some grand announcement on tax cuts or on reductions to government spending.

But there was nothing.

As Terence Corcoran writes in today's Financial Post, "By creating this great smoke machine, Mr. Flaherty appears to be hiding the fact that Canada's New Government has the same old problem -- high taxes and spending levels that will remain high."

1 comment:

Miles Lunn said...

The problem here is how would they pass major government cuts. Whether you are for or against them, it is a minority government so unless the government wants another election it would be silly to any further than what is possible.