Foreclosure rates in the US just hit a new record last month, so I would suggest we are far away from a certain recovery. Yes the financial speculators were bailed out for getting us to this point in the crisis, but the man on the street has been left holding the bag and that will have long term consequences.

What however is certain is that tens of Billions of dollars that should be invested in Canada are not, because all the 'political parties' have sold out Canadians for the benefits they incure from their special interest friends. This money now being spent by the conservatives is pocket change when one looks at the big picture of tax avoidance.

In Canada at last count I heard we had 75 billionairs in Canada and only a couple of dozen pay taxes. We have 4 million 'expats' with Canadian citizenship that pay no taxes, but recieve the full deal for social safety net benefits who's cost is picked up and subsidized in full by the average working class Canadian.

People like Stronach and the Irvin families (and millions of others) use the tax loopholes diverting tax dollars away from Canada and our governemnt... this has been legal now for 40-years.

Step one is to leave Canada as a tax resident and pay a one time departure tax of 25% on all capital other than on a personal residence or Canadian based corporation.

Step two is to place residency in a tax haven and all capital run through a trust at arms length by trusties (family in tax haven).

Revenue Canada regards all income from these 'trusts' as non taxable even when the profits are sent back to a Canadian tax residence for distribution in purpetuity, as long as the individual is not involved directly in the administration of the 'trust'. The profits are deemed a distribution of capital and not earnings by the Canadian government.

This is a policy that robs Canada of tens of billions of dollars in tax revenue every single year. An American on the other hand would pay a 35% tax rate when trying to repatriate capital from a tax haven. This policy encourages the wealthy Canadians to leave the country with their investments to avoid paying taxes.

A Canadian cashing in their RRSP at retirement here in Canada can pay a third or more in taxes, but if they transfer those RRSP assets to a place like Ireland they can lower their departure tax to only 15% and cash it in with no further tax penalty from the Irish or Canadian governments... a Canadian keeping their capital in Canada pays a 20% tax penalty over those that use foreign tax avoidance techneques. Furthermore the tax avoider can then grow their capital tax free in purpetuity, still stay in Canada (when its not winter) for 180 days a year, and return when their health goes south for expensive health care costs like cancer treatments and such.

At minimum anyone applying for a tax departure should also have to forfiet their citizenship. The whole process undermines the Canadian economy for the benefit of the elite and is the biggest drag on the Canadian economy... as all funds not paid for earnings made in Canada have to be made up for by law abiding tax paying Canadians, which in effect increases the cost of taxes for all of us that pay our taxes.

IMO the HST could be eliminated entirely if off shore tax haven loop holes were closed once and for all... but all political parties will not allow a solution for this, because they are all involved in the abuse. It makes a hypocrite of everything else the politicians do involving the economy and taxation IMO.

Sooner or later (and I think it is going to be sooner rather than later) all of this debt that Governments, businesses, and consumers, are piling on in this country Jay is going to smack us right square in the kisser, and it is not going to be very pretty.

Could you please shine a light on Canada's "dirty little secret" one of these weeks in your column and add up all the Government, business, and consumer debt in Canada, and the unfunded liabilities for Medicare, the Canada Pension Plan, the Old Age Security Program, and let us know what the grand total is.

I agree 100 percent charles!
One day in the not too distant future, we will likely wake up to a bigger mess than the one we just came through!
I would like to think otherwise,but my guts tell me otherwise!
Poof!

Charles and Andy hit it right on the head of the nail. That is exactly what I think and feel as well. We can not continue on this path for long and the every shrinking middle class (tax payers) can not keep up to the costs. Well said!