Taxation levels are very complicated for Canadian citizens. I believe that Canada will economically break free when taxation levels become less onerous.
Government regulation hits our pocketbooks as surely as taxes do, but there is little information available about its cost. At a time when deficit spending is out of favour, and there is little appetite for tax increases, this lack of accountability makes regulation a tempting way for governments to achieve their goals without increasing their spending. Between 1975 and 1999, over 117,000 new federal and provincial regulations were enacted, an average of 4,700 every year. Over this twenty-four year period, federal and provincial governments have published over 505,000 pages of regulations contained in volumes that measure 10 stories when stacked.
The cost of complying with government regulation totaled an estimated $103 billion in 1997. The cost of regulatory compliance is borne largely by consumers since business pass on much of the cost of regulatory compliance as higher prices for goods and services. In 1997, regulatory compliance cost individual Canadians approximately $13,700 per family of four. The embedded cost of regulatory compliance exceeds spending on every item except shelter in Canadian households' after tax budgets.
One of the consequences of regulation not captured by measuring its direct cost (administration and compliance) is the severe limits it can impose on people's freedom to make their own choices based on their individual circumstances and tolerance for risk. Government regulation also dampens innovation, delays development of products, stifles entrepreneurship, restricts competition, and slows growth of productivity.
For example, today, taxes are imposed on just about everything that a Canadian does, or purchases. Smokers could be a good example of this. Taxes impose severe limits on people's freedom to make their own choices by raising the price of cigarettes by a large amount of tax. Also, gasoline is severely taxed in today's economy. High gas prices suspend citizens from traveling as much as they may wish.
Freedoms within Canada do not rely on tax regulations, alone. They rely on many other regulations of our every day lifestyles. For example, the increased use of surveillance cameras shows this. In cities like Calgary, transit buses now have security cameras installed. Naturally, bus fares keep going up to pay for all the added costs. Therefore, a regular bus fare is $ 2.75. This is very unaffordable for...