A new Parliamentary Report today by the Finance Committee shows just how entrenched deficits and debt are in this country.
This report is intended to give advice to the Minister of Finance ahead of his first budget later this month . The report is 132 pages , 56 recommendations . There were 10 MP’s on the Committee and 15 other MP’s involved. There were 92 individuals and organizations that submitted ideas to the Committee.
The first recommendation talks of deficits and debt and just wanting to see the debt kept at a certain ratio of the GDP. This has become the mantra of liberals and progressives the world over. The talk and goal to eliminate the debt is gone .
There seems to be no understanding that each deficit increases the debt , and then this increases each year the debt charges.
Another early recommendation recommends that the supply management system remain with the industries that presently use that system . This system has brought criticism from Global Trade organizations over the years.
Many of the other recommendations would involve more spending but without the specifics . So there is no way of knowing if the additional expenditures would fall even within the deficit GDP ratios being espoused.
The press story coming out of this report was ideas about a guaranteed annual income , and smal business taxes remaining the same.
The press , like just about every one else , have accepted the notion of spending more than is earned as a viable approach as long as it is kept within some ratio of the GDP. Of course, this idea is one that can become very flexible depending on who is involved and their interest in receiving funds from the Govwrnment .
Thankfully, there were four MP’s who submitted a supplementary report pointing out the dangers inherent in taking such a flexible fiscal approach and also pointing out that the Government was hinting already that there own parameters for keeping within $10 billion deficit would be broken.
Celebrity and promising everyone what they request is popular now, but some of us have learned and experienced that this not a pathway to success , but rather more government and less individual choice and liberty.