Quote:
Originally Posted by rubecube
To be honest though, if you're going to spend money on fixing up infrastructure and whatnot, conventional wisdom says that a recession is the time to do that. I get that a lot of people think cuts need to be made in the public sector, and maybe that's the case. I just don't think that the level of cuts that need to be made, while still keeping an acceptable level of servants is going to drastically alter the amount of spending the government does, especially if we're talking lower or mid-level employees.
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Agreed, a downturn is the ideal time to capitalize on cheap labour costs.
And I don't disagree that the royalty and taxation model is broken. They just approached it in a very damaging way, by not having a finite schedule and plan.
I also think the way the provinces are setup to compete against each other is counterproductive. The federal government should be looking at model similar to Norway, who have socked away one hell of a nest egg. Such talk will be scary to most westerners however, because it sounds like NEP 2.0.
We need a federally mandated royalty regime IMO, with revenues still controlled provincially, and fairly distributed via provincial transfer payments.