Details of Huddle with Finance Minister to Be Released
By 250 News
Tuesday, January 13, 2009 03:59 AM
Prince George, B.C.- The Prince George regional team which met with Federal Finance Minister Jim Flaherty yesterday will go public later this morning with the details of their meeting.
The group, which included Mayor Dan Rogers, Northern Development Initiatives Trust, a bank representative, Aboriginal Business Development Centre, reps from Initiatives Prince George and the publisher of the Prince George Citizen.
The group’s session with Flaherty focused on some of the major projects which could be launched in order to kick start the economy. One of the infrastructure projects is the Boundary Road development.
While there appears to be plenty of pressure on the Federal Finance Minister to introduce a budget that will pump money into infrastructure upgrades and to go ahead with deficit spending, the Fraser Institute is saying that is the wrong way to go.
The Fraser Institute says , the most effective way for the federal government to help the Canadian economy is to reduce government spending and permanently decrease personal income and business taxes.
Niels Veldhuis, Fraser Institute senior economist says Canadians would benefit from tax relief aimed at improving incentives to work, invest, and engage in entrepreneurial activities. “Increasing government spending –whether it’s on bailouts for inefficient industries or increased unemployment benefits – will lead to a deficit that will saddle Canadians with higher taxes in the future. There’s no need for Canada to run a deficit other than a politically motivated desire to do so,” Veldhuis said.
Instead, he highlights reductions in government spending and permanent tax reductions as key to economic recovery. “There is certainly room to trim wasteful spending. A recent study by European Central Bank economists found approximately 25 per cent waste in Canada’s public sector. Our government needs to follow the lead of many Canadian households and begin by trimming the fat, not taking on more debt.”
Meantime, according to ReNew Canada, an infrastructure renewal magazine, a Prince George project is one of 100 top projects in the country the magazine says should go forward for 2009. The magazine lists the $200 million dollar Cariboo Connector as number 59 on the list which will be officially released tomorrow. The list also includes the expansion of the Prince Rupert port as a major project which should move forward.
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I'm happy to see our Federal Finance Minister is traveling the country, getting some opinions on the road we must travel in the next few years, to deal with the financial turmoil about to envelope us. I think PG was just a convenient stop for him, on his way from Alberta Oilsands project area to Vancouver, nevertheless, it is still significant.
Tories are really trying to stay in power, and I'm sure they're just loading their guns now, preparing for the arguments in the House, which will start shortly.