I'll believe it when I see it. The government will be trying to buy votes in Ontario this time around, so Ontario will get all the investments with our tax dollars once again. Thats where 'the votes are'. Harper needs some of their MP's so he can stay in power Jan 27th, and not ours.

Forget about spending money for 'infrastructure'. That'll just induce further 'inflation', not a return to 'prosperity'. Use the same amount of funding to provide rebates to Consumers ~ all of us ~ on every retail purchase of all goods and services.

Here's the deal. The government makes a covenant with every merchant that he will show his profit on turnover, (not on capital), as a separate item in his accounts. And that he will try to maintain an appropriate average rate of profit on turnover for the type of business he's in. That he won't jack his prices up to 'profiteer' unduly, in other words. Though they may rise if his 'costs' have risen first.

The products he offers are priced just as now. The customer, after making a purchase at that price, is provided with a "proof of purchase" voucher which he takes to his Bank and his account is rebated, or credited back with, say 25% of the purchase price. Effectively lowering the prices to the consumer by 25%, while leaving the merchant's profit on each sale unchanged.

With 25% more money in the hands of consumers, economic activity is stimulated as products in 'real' demand now have an ability to sell due to the increase in 'effective' demand. Merchants do a greater turnover, more factory orders are placed, and if the government collects the same, or even a smaller rate of income tax on this increased volume of business profit it can easily fund any genuinely needed infrastructure on a "pay as you go" basis. Rather than further loading us up with debts and taxes and increased prices and never ending interest charges we'll never get rid of.

There is no 'inflation', since the product's price is always determined by its original cost plus the merchant's usual mark-up. Rather than what will happen when the government spends money for infrastructure, and retail prices will rise rapidly due to an increase in the amount of money available.

You may ask, where is the Bank going to get the 'money' to credit each consumer a 25% rebate on every sale? At the end of each month the Bank of Canada will reimburse the chartered Banks for the amounts so credited. Plus a fee for the services rendered.

The Bank of Canada is the nation's central bank, which like all nation's central banks, has an unlimited overdraft facility with itself. The 'money' it creates is based on the 'real credit' of Canada ~ the actual capacity of the whole country to produce and distribute real goods and services as, when and where required. By more fully utilizing 'existing' productive capacity not now fully utilized, the 'real credit' of Canada is increased, and financial credit can be issued against the full amount of this increase, and cancelled in just the same way as now, as production moves through into final consumption.