Ignatieff: Another hand in your pocket

It didn't take long to see the true colour of Iggy, as found in a report by Canadian Press on Thursday.

Last week, Ignatieff initially appeared to suggest that tax hikes are inevitable to eliminate massive budget deficits currently being racked up by the Conservative government in a bid to stimulate the sputtering economy.

Sigh...

Another politician/douchebag that did not pay attention in economics class and now fails to understand how Keynesian economics is supposed to work. Deficit spending is an inevitability in a recession, since GDP and tax revenues decline. Increasing taxes during a recession will only prolong the agony, as most Ontarians witnessed in the 1990's. The upside is that the path of recovery brings increased GDP and tax revenues and if the government is reasonably competent we all enjoy a surplus budget. In a perfect world, the boom-time surpluses equal the recessionary deficits, and presto - long term balanced budgets!

We don't need a tax hike, and I'm not suggesting so because I'm a heartless money grubbin' conservative. We don't need a tax hike because as our economy recovers and begins to grow, tax revenues will be increased anyway. Hopefully at the same time, government spending will decrease...yeah, sure.

However, the poll suggests Ignatieff’s tax talk went down well in Quebec, where 29% of respondents said they’re more likely to vote Liberal and only 10% said they’re less likely.

Of course. Federal tax and spend policy always goes over well in Quebec...it always does. Any chance of increasing the amount of funds available to toss down that hole is welcomed there with open arms.

Thirty per cent of respondents to the Canadian Press Harris-Decima survey said they’re less likely to vote Liberal in the next election as a result of the party leader’s reflections on taxes last week.

Those results only a week out of the gate with this policy is not good news for Iggy and the Libs, when compared to the initial warmth and fuzziness the Dion's Green Shaft generated.

...and we all know how well that worked out for him.