Michael Campbell comments: Reduced income tax does not necessarily translate to lower government revenues. When B.C. reduced income taxes by 25% in 2001 government revenues went up. B.C. and Alberta have had the lowest level of personal income tax and have also had the strongest economies. In the US a comparison between the nine states with the highest income tax rates and the nine with the lowest – shows that those with the lowest income tax rates have seen economic growth in the last decade increase over 45% more than their counterparts with the highest income tax rates. B.C. balanced its budget starting in 2003 with dramatically lower provincial income tax rates – they only entered deficit again during the massive economic downturn after the credit crisis.
Michael Campbell’s P.S. I hate to spoil a good political rant with facts but Vancouver has lost 5000 students since 2000 and now according to the Vancouver School Board there are 8000 excess spaces. Each of the schools that may be closed are more than 60% empty with three of the schools more than 70% empty. It has nothing to do with government finances and everything to do with declining enrollment.
Michael Campbell’s PPS B.C. – like every other province in the country is spending record amounts on healthcare according to the just released Canadian Health Institute Report.
….read other’s comments on the article Gordon Campbell’s intelligent appeasement