Friday, January 06, 2006

Conservatives Promise To Raise Income Taxes

The Truth Hurts: Canadian Political Blog
Alright, I have never liked the Conservative's promise to cut the GST - it is an efficient tax. If you scrapped it altogether at least business people would be spared the burden of the paper work. But a cut, and this is the economist coming out in me, is bad policy. Now it is revealed that the Tories' plan to finance this cut in the GST, at least in part, by raising income taxes on the lowest tax bracket and lowering the basic exemption (click here to read the story). So now I have to write about this. Income taxes need to be lowered. I would rather see the GST raised to lower income taxes than raise income taxes to lower the GST. I know there is no way around this for the Conservatives in the middle of the election (and in their defense, they claim this is not anything new, it was released as part of their policy on the GST). So, stick to your guns if you must, though you are going to pay in votes for this one, but let it die in Parliament if you form government. Bring it as a separate item, put it to a vote, and after it is defeated never speak of it again.

Articles I am working on for:

- A new comprehensive seat forecast, though it will be back dated to Friday (the poll it is based on was released late).

- A new daily forecast. Since this will be based on an updated comprehensive forecaster it will be based on the latest voting patterns that have developed.

- With a comprehensive seat forecast in hand I will be able to update the riding by riding predictions. I intend to provide a prediction for each and every riding as well as the percentage vote for each of the main candidates. I have said this before, these are from the worksheets of the comprehensive model, so the accuracy is not great - it is more for information than anything else.