Federal budget: Forget principles, for the Conservatives it’s all politics, all the time
OTTAWA â” Hereâ™s the story the finance minister would like you to take away from this yearâ™s budget. Because of the vital imperative of balancing the books by next year, he was obliged to tread lightly, with little room for grand initiatives. Accordingly, he has produced a cautious, even minimalist document, wholly devoted to curbing spending, keeping taxes low and protecting consumers.
As always with this government, this is at best half-true. The budget is already, to all intents and purposes, balanced: whether it comes in a couple of billion dollars above or below the red line, in a $2-trillion economy, is immaterial; whether it hits this target in any given year, let alone the particular choice of 2015, even more so. It matters only in the political sense that the government would like to be able to officially declare a surplus in an election year.
Likewise, a government that was of a mind to do big things, especially big conservative things, could find ample room within the existing spending and revenue envelopes: By closing the many useless and inefficient tax preferences, for example, it could cut marginal tax rates quite deeply â” taxes are in no meaningful sense âœlowâ â” in the same way that ending handouts to business would free up billions of dollars to be put to more appropriate uses.
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