Lo and behold:
Former deputy prime minister John Manley told Liberal party members on Monday that Canada has lacked a "fiscal anchor" since knocking off the deficit, and as a result, Canadians are paying too much tax, and Ottawa is spending too much money.He said it is time for a policy that benchmarks federal spending to a percentage of economic output.
Manley was one of a series of speakers at a conference sponsored by the Liberal party to develop its economic policy.
Manley, who at various times held the industry, finance, and foreign affairs portfolios under former prime minister Jean Chretien, said Canada has lacked an economic focus, or "fiscal anchor" since the Liberal government eliminated the deficit in 1997. After that, the federal government has lacked a big-picture economic goal and, as a result, recorded large surpluses and boosted program spending.
"We are collecting too much tax, and it is time to benchmark spending as a percentage of GDP," Manley said.
No one would ever accuse John Manley of being fiscally irresponsible, but his decision to speak out so forcefully on this is encouraging.
This would be a great time for a non-partisan ad hoc committee to sprout up, comprised of both Liberals and Conservatives, to push for deep tax cuts in the upcoming fall budget. Some public pressure could go a long way here.
Who's game?
