The Legend of Zero

The corporate tax debate is ratcheting up to a new level among some opinion-makers: Since lower corporate taxes increase economic growth, why not cut them to zero? After all, economy theory has it that corporations don’t pay taxes anyway. They only pass on the costs, in the form of higher…
Read more

Jeffrey Simpson Walks the Party Line on Corporate Taxes

Yesterday’s Jeffrey Simpson column was entitled, “Walking the Line on Corporate Tax Cuts.” Incredibly, he walks the narrow 1.5% line between the Liberal and NDP proposals. To his credit, Simpson takes an open-minded look at the evidence, which indicates “no discernible links” from corporate taxes to employment or investment. On…
Read more

Canada’s Caribbean Tax Holiday

There has quite rightly been a lot of discussion about corporate taxes during this election campaign, but very little discussion about cracking down on tax avoidance, whether by legal or illegal means. Harper of course has a big get tough on crime platform, but the white collar bit is focused on small…
Read more

Debt By 1000 Tax Cuts

Stephen Harper knows he can’t come right out and reveal his radical agenda to downsize government. But if he gets his majority, expect Harper to slash and burn on the pretext that the federal debt and deficit requires massive an evisceration of government. Since he welcomes a future fiscal squeeze…
Read more

The Consequences of Austerity

With the federal Tories vowing to enact billions in spending cuts in a bid to eliminate the deficit a year earlier than forecast, it might be a good time to ask what the consequences of all this austerity might have on the Canadian economy. Thankfully, we have a concrete example…
Read more

Economists and Corporate Tax Cuts

The Prime Minister continues to use the line that all credible economists support further cuts to the corporate tax rate. Jim Stanford’s fabulous piece put out by the CCPA yesterday makes it clear that there is a huge debate among economists on the linkage from corporate tax rats to rates…
Read more