2.1.2 Economic Strategies

The national debt is the money that our government owes to its own citizens or to foreign lenders.  Reducing this debt helps boost the economy by lowering the amounts of principal and interest repayments. Governments aim for balanced or surplus budgets to keep inflation and interest rates low, and to improve the economy.

The Canadian government periodically reviews and revises personal and corporate income taxes, making taxes more equitable and reasonable (affordable) for consumers and businesses.

A well-educated population contributes to a strong economy. It appeals to foreign and domestic investors because, as more people are qualified to contribute to the workforce, less support is needed from government for income subsidies.

Active collaboration among governments at all levels ensures equitable federal transfer payments and wise expenditures of government revenues. Collaboration helps to develop coherent and competitive tax structures. Business investment also can be accelerated by promoting a strong, national common market.

Strengthening multicultural trade and global investment ensures that Canada remains competitive, and this strengthens its favourable political and commercial relationships around the world.

Environmental stewardship (such as membership in the Paris Accord) benefits Canada by attracting those investors, customers, and skilled workers who make their trade decisions based on the environmental responsiveness of their trading partners.
                Innovative approaches to environmental issues also serve to boost private sector productivity.

Smart spending of those funds collected through taxes helps pay for the range and quality of public services important to Canadians. Spending money on infrastructure (such as improving transportation routes between major trading centres), can increase business. The long-term result is an increased GDP.

Lifelong learning supports an innovative economy. Increased access to education has inspired projects such as online learning. Higher standards of education, increased functional competence, and improved skills lead to increased productivity and higher standards of living.

Reducing the barriers that immigrants face to full participation in Canadian society helps attract individuals who can contribute to Canada's economic, social, and cultural prosperity. Effective immigration strategies (including more efficient ways to recognize foreign qualifications), help new immigrants participate fully in the Canadian community.