When taxes on investment returns are very high, the negative consequences, compounded over time, can be dramatic.
Government Spending & Taxes
Pipeline expansion project may generate $50 billion in government revenue over 20 years.
The theoretical or “ideal” carbon-pricing system has never been implemented.
Kinder Morgan stopped all “non-essential spending” on the $7.4 billion project due to regulatory, legal and political barriers.
The decline in foreign direct investment since 2007 totals an almost unimaginable 74.9 per cent.
If firms don’t collude, and there are lots of them around, wages will rise until they’re equal to worker productivity.
The Ontario government plans to spend more than $190 billion on public infrastructure.
The PBO projects a cumulative federal deficit of $85.6 billion over the next five years.
Private-sector investment is slated to fall again this year—the fourth consecutive annual decline.
According to the PBO, provincial cooperation with the federal carbon floor may reduce the size of Canada's economy by 0.5 per cent in 2020.
Subscribe to the Fraser Institute
Get the latest news from the Fraser Institute on the latest research studies, news and events.