Monday, April 27, 2015
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A $50-billion deficit: the next useful crisis

The principal explanation behind the $50-billion deficit: the huge tax cuts made by the federal Liberals and Conservatives since 1995.

Photographs by Jake Wright, The Hill Times

VANCOUVER—It is astonishing given all the commentary and news stories about the "sudden" $50-billion federal deficit there has not been a single story in the mainstream media that focuses on the principal explanation: the huge tax cuts made by the Liberals and Conservatives since 1995. First it was finance minister Paul Martin with his $100-billion income tax cut over five years starting in 2000; then it was Jim Flaherty in 2007 with $60-billion over five years. Add to that the $12-billion lost each year by lowering the GST from seven per cent to five per cent and the $50-billion is no mystery—it was an inevitability whenever the next recession hit.

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A $50-billion deficit: the next useful crisis

The principal explanation behind the $50-billion deficit: the huge tax cuts made by the federal Liberals and Conservatives since 1995.

Photographs by Jake Wright, The Hill Times

VANCOUVER—It is astonishing given all the commentary and news stories about the "sudden" $50-billion federal deficit there has not been a single story in the mainstream media that focuses on the principal explanation: the huge tax cuts made by the Liberals and Conservatives since 1995. First it was finance minister Paul Martin with his $100-billion income tax cut over five years starting in 2000; then it was Jim Flaherty in 2007 with $60-billion over five years. Add to that the $12-billion lost each year by lowering the GST from seven per cent to five per cent and the $50-billion is no mystery—it was an inevitability whenever the next recession hit.

  

Parliamentary Calendar
Monday, April 27, 2015
HILL LIFE & PEOPLE SLIDESHOWS
Vickers honoured at Douglas C. Frith dinner April 2, 2015

The Hill Times photograph by Jake Wright
The Château Laurier Ballroom was packed on Tuesday, March 31 for the Canadian Association of Former Parliamentarians dinner.
The Hill Times photograph by Jake Wright
The evening began with RCMP Cpl. Craig Kennedy's rendition of O Canada.
The Hill Times photograph by Jake Wright
Ambassador to Ireland Kevin Vickers was recognized as an honorary member of CAFP for his heroism as the Sergeant at Arms during the Oct. 22 shooting.
The Hill Times photograph by Jake Wright
Peter O'Brian, Liberal MP Carolyn Bennett and Steve Paikin.
The Hill Times photograph by Jake Wright
Rob Nicholson and former Liberal MP Sue Barnes.
The Hill Times photograph by Jake Wright
Conservative MP Dean Allison.
The Hill Times photograph by Jake Wright
Kevin Vickers and Conservative MP Ray Boughen.
The Hill Times photograph by Jake Wright
International Union of Operating Engineers' Steven Schumann and Canadian Labour's Nathan Rotman.
The Hill Times photograph by Jake Wright
House Deputy Speaker Joe Comartin.
The Hill Times photograph by Jake Wright
Mary Dawson, Senator David Smith, and Sharon Sholzberg-Gray.
The Hill Times photograph by Jake Wright
Senator Art Eggleton and Conservative MP Earl Dreeshen.
The Hill Times photograph by Jake Wright
Independent MP Brent Rathgeber in conversation with TVO's Steve Paikin.
The Hill Times photograph by Jake Wright
Andrew Cardozo, Pearson Centre president.
The Hill Times photograph by Jake Wright
Conservative MP Jay Aspin and Kevin Vickers.
The Hill Times photograph by Jake Wright
Lobbyist Leo Duguay.
The Hill Times photograph by Jake Wright
TVO host and author Steve Paikin gave an impassioned speech on what he's learned about the allure of public life.

MICHAEL DE ADDER'S TAKE