Table of Contents
Chairman's Foreword
CHAPTER 1 - The Challenge of Canada's Debt and Deficits
- The Debt Conundrum
- The Mathematics of Debt Interest
- International Debt Comparisons
- A. The Maastricht Criteria
- B. Canadian vs. American Targets
- Reducing Canada's Debt - Increasing Canada's Choices
- Canadian Debt Held Offshore
- The Added Burden of Provincial Debt
- Debt vs. Deficit Targets
CHAPTER 2 - Options for Debt and Deficit Reduction
- Guidelines for the Way Forward
- A. Deficit and Debt Targets Must Be Met
- B. Deficit and Debt Reduction Should Be Incremental
- C. Economic Assumptions Should Err on the Side of Caution
- D. Avoid Replacing Fiscal Debt With Social Debt
- E. Budget Choices Must Reflect our Vision of the Future
- The Options Available
- A. Growing Our Way Out
- B. Reducing Interest Rates
- C. Using Tax Policy
- Personal Income Taxation
- Corporate Income Taxation
- D. Other Approaches
- E. Cutting Spending
CHAPTER 3 - Budget Recommendations
- The 2% Target
- Prudent Economic Assumptions
- Future Uncertainties
- A. Interest Rates
- B. Recession
- C. Political Uncertainty in Canada
- The Contingency Reserve
- Additional Fiscal Options
- A. Possibilities for Tax Increases
- Tobacco Taxes
- Lotteries
- Gasoline Tax
- Corporate Loss Carryovers
- B. Options for Additional Spending Reductions
- Defence
- Retirement Income
- Business Subsidies
- C. Possible Tax Reductions
- Income Averaging for Individuals
- Charitable Donations
- Employer-Provided Medical and Dental Benefits
- The Canada Health and Social Transfer
- The Goods and Services Tax
CHAPTER 4 - Helping Canadians to Help Themselves
- Jobs and Work
- A. Unemployment
- B. Equipping Canadians for Jobs of the Future
- C. The Importance of Innovation
- Work Opportunities
- A. Small Business and Self-Employment
- The Role of Banks
- Labour-sponsored Venture Capital Funds
- Micro Businesses
- Facilitating the Transition out of Dependence
- Direct Selling
- B. Tourism
- C. Housing
- Residential Rehabilitation Assistance Program
- Home Investment Program
- Expanded use of RRSP Funds
- Changes to the Interest Act
- D. Interprovincial Trade Barriers
- E. Trade Promotion
- F. Investment Promotion
- G. New Approaches
- Other Measures
- A. Community Foundations
- B. Volunteers
- C. Cost-Recovery
- D. Sustainable Development
Appendix A - List of Witnesses
Appendix B - Submissions
Dissenting Opinion of the Bloc Québécois
Dissenting Opinion of the Reform Party