Wednesday, 26 February 2020

Five Hopes for the New Federal Government

Given the calamitous state of our provincial politics in Alberta, it appears that our Federal government - those unsung heroes of yore - must once again assert itself within our borders to the greater good of all.

In the recent Federal election, a massive groundswell of support for the Conservatives in Alberta and Saskatchewan proved utterly incapable of unseating Trudeau and the Liberals. It did, however, almost complete blue-wash those two provinces, but for the NDP hold in Edmonton. Now, if the recent actions of the Conservative governments in Ontario and Alberta are any indication, we should thank our lucky stars the rest of the country saw sense. Why? Because just like when all of Canada got healthcare, we find ourselves again in the situation of a Liberal Minority government. Albertans may not have voted in any way for it, but we may benefit greatly from it.

Today I would like to look at some proposals that would definitely benefit the province of Alberta, stolen liberally from the various parties in the House, that I think might disproportionately help us.

1. Tax-free maternity leave

This proposal from the Conservative Party of Canada would help Albertans (and Saskatchewanians) more than the residents of other provinces simply as we have the highest birth rate in Canada. Also, as pre-leave incomes are also the highest in the country, one can assume here that would stand to save a fair amount of money. Support for this proposal would probably come swiftly from Quebec, whose own birthrate is increasing and nearing ours, and who also lacks such a policy.

2. A National Childcare Program

This NDP idea would expand the recently terminated Alberta provincial program, lowering cost and increasing access to everyone needing childcare (eventually). Again, as Alberta has the highest birthrate in the country, and the highest concentration of young people, we would benefit from much of the national budget. Not to mention, a program such as this would unleash much locked down economic potential within the province. The fact that a child's care costs as much as a mortgage - or more (outside Quebec), should make this concern greater than it already is. However, opposition from the Conservatives (as state childcare is well outside their value system) and the Bloc Quebecois (as Quebec already has such a program) may sink it. Luckily, combined, they may not have the power to decide whether this goes forward or not.

3. Free Post-Secondary Education
This Green Party proposal would help out Albertans greatly. We have a large cohort of university aged Canadians, and Albertans pay - or will soon pay - the highest tuition rates and fees in the country. Again, potential opposition may come strongest from the Conservatives, who believe in "user-pay" and the Bloc, since Quebec's tuition rates are the lowest in Canada.

4. A Wealth Tax
This NDP proposal would, in spite of the high incomes in Alberta, in all likelihood affect the "old money" provinces of Ontario and Quebec much more than Alberta. It may even be a significant revenue source when taking into account the fortunes of the millionaire homeowners of Vancouver. Though wealth taxes are criticized pretty fairly for their effectiveness, it is undoubtedly necessary given the income inequality problem within Canada (and Earth). Further, this would serve to shift the tax mix in Canada away from its massive reliance on income taxes, which is the whole reason "Alberta pays too much into equalization!"

5. Changes to investment rules and taxation
During the election, the Green Party proposed Canada generate the revenue for the "Green Shift" from a mixture of new tax sources. Tobin Taxes (a tax on every investment transaction) have been proposed for ages, and are theoretically sound - raising significant revenue while diminishing the negative attributes of speculation. Changing the rules to capital gains taxes would also serve to help Canada fix it's income inequality problem and deficits - and further, changing the tax code to go after wealthy investors would also shift the Federal tax mix away from its Alberta-centric income-tax system.

So, as can be seen, Alberta could benefit from a number of new government programmes without seeing its income tax bill skyrocketing. It is not necessary that Alberta pay the bills for the rest of Canada's programs - as false a premise as that was. Instead, we can shift government programs and taxes to the benefit of Albertans if we look at the demographics our Federal policies don't assist or address. New or expanded federal government programs aimed at helping young people and famiilies help Alberta more than most. We need to acknowledge that and work pragmatically to improve our province, and the country.

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