canadian income tax

High and increasing personal income tax rates discourage people from working, saving, investing, and being entrepreneurial—activities that form the basis of a thriving economy.

Tax hikes—particularly on upper earners—tend to bring in less revenue for governments than expected because people change their behaviour in ways that reduce the impact of the tax hikes on their tax bill.

The appointment of Bill Morneau as minister of finance is particularly interesting because of his involvement in the world of public policy think-tanks. In recent years, the Fraser Institute and the C.D. Howe Institute (where Mr. Morneau recently served as Chair) have both produced important research that provides insights that can help guide the policy decisions of the new finance minister on a number of different files. This series of blog posts will highlight a number of key policy areas where Mr. Morneau’s think-tank experience can be especially useful.

There are clear parallels between the campaigns and governing approaches of President Obama and the Trudeau Liberals.