TORONTO, April 15 /CNW Telbec/ - The majority of Canadian households
enjoy a higher quality of life because the public services their taxes fund
come at a solid bargain, according to a new study by the Canadian Centre for
Policy Alternatives (CCPA).
Canada's Quiet Bargain: The Benefits of Public Spending responds to
incessant calls for tax cuts and concludes public services make a significant
contribution to the majority of Canadians' standard of living - worth at least
50% of their income.
"What passes for a tax cut debate in Canada is really only half a
debate," says economist Hugh Mackenzie, the study's co-author and CCPA
"Our taxes pay for services that are extremely valuable to Canadians. The
suggestion we often hear, that taxes are a burden, hides the reality that our
taxes fund public services that make Canada's standard of living among the
The study shows middle-income Canadian families enjoy public services
worth about $41,000 - or 63% of their income. Even households earning
$80,000-$90,000 a year enjoy public services benefits equivalent to about half
of their income.
The study also shows 80% of Canadians would be better off if the federal
government hadn't cut the GST; 75% would be better off if their provincial
governments invested in public services instead of broad-based income tax
cuts; and 88% would be better off without federal cuts to capital gains taxes.
"Tax cuts are always made to sound like they're free money to
middle-income Canadians - they are anything but," says Mackenzie. "We're far
better off with the public services our taxes fund than we are with tax cuts."
For further information:
For further information: Kerri-Anne Finn, (613) 563-1341 x 306; Visit
www.policyalternatives.ca or www.growinggap.ca to download the report and
calculate the value of your family's public services