Trudeau Continues Deficit Spending With Canada's Annual Budget
- Author: Zachary Reyes Mar 29, 2017,
Mar 29, 2017, 17:22
Everyday folks who work hard to provide for their families are anxious about the future, Morneau said in his speech to the House of Commons as he tabled the 2017 federal budget, the second since the Liberals formed a majority government in 2015.
The budget that Canadian Prime Minister Justin Trudeau's government released on 22 March lives up to his promises to emphasize innovation, and to encourage links between industry and academia.
The plan promises to establish "Innovation Canada" a new central platform to co-ordinate and simplify support for Canadian entrepreneurs.
The federal government has promised $1 billion in spending to boost innovation over four years for industries, including mining, and it will create a new five-year Strategic Innovation Fund.
The budget commits $287.2 million over three years for a pilot project created to test how to make it easier for adults for qualify for Canada student loans and grants.
The government plans a bunch of modifications to the way the employment insurance system works, in the hope of giving people who are out of work much better access to benefits and programs.
"The tri-councils get something every year for cost of inflation".
In preparing the document tabled Wednesday in the House of Commons, Morneau said, he rejected multiple spending asks from cabinet ministers because they couldn't leverage private investment, although he provided no specifics. "It sends the wrong message, especially with what's going on in the United States". Instead, the Trudeau government has delivered a plan that's heavy on rhetoric, and light on action. Although the $300-billion budget describes several proposed commitments related to innovation, Canadian entrepreneurs will have to wait for clarity to emerge as many of these new investments or programs will be further defined in the months to come.
BIOTECanada looks forward to working with the federal government over the months ahead, offering a coordinated set of recommendations and mechanisms for the announced programs.
"This will mean a slow and steady pace of longer term investments towards continued northern housing", the statement said. Two million dollars is "about right" for the job, says Kathleen Walsh, executive director of the non-profit science-advocacy group Evidence for Democracy in Ottawa.
Tax rates weren't tinkered with, the capital gains tax was left as-is and there were no changes to the accelerated capital cost allowance for writing off a portion of investments in new technology. There is Can$80 million to replace the ageing Sidney Centre for Plant Health, which was rescued from closure under the Conservatives in 2012. The Canadian Institute for Advanced Research will receive $93.7 million to "launch a Pan-Canadian Artificial Intelligence Strategy". Though this comes from a pre-established pool of money, the positions will help to attract top researchers to Canada from overseas, says Davidson.
The 2017 federal budget is a stand-pat budget that primarily fleshes out spending announced previously; though it adds little new spending, the country's debt increases and hard decisions are postponed. "The number of hits on our job site has doubled since November". However, the general framework for President Donald Trump's fiscal and economic policies are consistent with those of Republicans in Congress.
To improve consistency across the tax system, the Budget also proposes to eliminate the deduction in respect of employee home relocation loans, and remove the tax exemptions for non-accountable expense allowances paid to members of provincial and territorial legislative assemblies and to certain municipal office-holders.