Quote:
Originally Posted by Ark2
The idea is to retain corporations and attract new ones while encouraging them to further their investment. Taxing them will only encourage them to conduct more of their business out of country, which will result in job loss. You listen to Layton and all he talks about is taxing the rich to spare poor families a couple of hundred dollars a year. Well, that's great, but why would these corporations be inclined to continue operating in Canada, especially when other countries are lower their corporate tax rates? So, begin to move their operations elsewhere and guess what, that poor family that got a couple hundred bucks back from the government is now unemployed.
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I get that, but were talking about scarce resources. Its not like they are making production uneconomical, they are just limiting the amount of surplus value that the company will see. And with the Scarce markets the companies know full well that they need the resources that they are feeding off of(like oil or mining).
I think the idea is flawed because the trickle down doesnt work, i get you want to increase investment but as long as you keep your taxation competitive i dont see why raising it is so bad.