House of Commons Hansard #23 of the 41st Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was economy.

Topics

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

I ask the member opposite to please be polite.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

London North Centre Ontario

Conservative

Susan Truppe ConservativeParliamentary Secretary for Status of Women

Mr. Speaker, I would like to ask my hon. colleague what a good measure would be in our economic action plan.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, in the economic action plan and the movement forward that we have, in the field that I have looked at, there are several initiatives that are supporting the economy. Whether it is extending the accelerated capital cost allowance, enhancing or extending programs to help businesses keep workers, like the work share program, or the hiring credit for small businesses, all of these initiatives are essential to growing our economy and ensuring our employers can employ more individuals, creating jobs in Canada so we can ensure every Canadian has a job.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

NDP

Lysane Blanchette-Lamothe NDP Pierrefonds—Dollard, QC

Mr. Speaker, the member opposite said it is important to put the numbers we are citing into context, and I fully agree with her. The problem is that we can make the context suit the numbers. I notice that comparing our situation to any situation that is worse than our own is a classic argument that is used quite often by my Conservative colleagues.

What if we were to put the numbers into context by comparing ourselves to ourselves and stop turning a blind eye to the things that are not going so well? Is my colleague aware that the unemployment rate has gone up, that there are more part-time workers and that household debt has never been as high as it is right now?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, we are focused on creating jobs. Since July 2009, this government has put forward a plan, a plan that is working and that has created over 600,000 new jobs, any per cent of which are full-time jobs.

We are working toward ensuring more Canadians are employed. Whether it is through the new hiring tax credit, the work share agreements, extending EI pilot projects to ensure there are relationships between employers and employees and ensuring employees are attached to the labour market, we have a plan and it is working. That is very different from the NDP tax hike that would eliminate jobs and have more people either with a part-time job or no job at all.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

Conservative

Daryl Kramp Conservative Prince Edward—Hastings, ON

Mr. Speaker, the official opposition seems to continually wish to bite the hand that feeds. It seems to be continually railing against our corporations and our businesses that make a few dollars here and, of course, pay their taxes back, whether they are municipal, provincial or federal, and provide the basis for a sound and caring society.

I can give members two local examples. Kellogg's spent over $100 million investing in our riding in the last year and a half, the first time outside of the United States since 1986. Procter & Gamble just came in and spent over $100 million and is planning on spending $100 million to create more jobs in our economy.

Do members suppose that these companies would invest in Canada should they not have a reasonable opportunity to get a return on their investment?

Our economic action plan provided for accelerated capital writeoffs and provided for a lower tax base. They would not be here without that. There are net gains for Canada. Why is the opposition opposed to that?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, the member raises a good point about how well we are doing compared to our international competitors.

Canada has the lowest debt to GDP ratio in the entire G7. The prestigious magazine, The Economist, has named Canada the best place to invest and do business in the next five years.

We are focused on creating jobs. We have a plan, the plan is working and we will continue with that plan.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:35 p.m.

NDP

Claude Patry NDP Jonquière—Alma, QC

Mr. Speaker, my question is for the hon. member. At home in Saguenay—Lac-Saint-Jean there have been many job losses and plant closures. What is more, our population is aging. Many people are asking us whether immigrants are going to come settle in the regions.

How do the Conservatives treat newcomers, doctors from other countries for instance? There is a doctor shortage in Canada. What are the Conservatives doing to help foreign doctors integrate into the system more quickly and come work in Quebec? What is the Conservative position on that?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:40 p.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, as I have mentioned a few times today in the House, our government is focused on creating jobs.

There are many organizations in the province of Quebec that do support this. I will read what the Montreal Board of Trade said. It said, “Budget 2011 also includes some positive measures to increase the productivity of Canadian businesses and to better support them on international markets. Generally speaking, the budget acts on requests made by the board in this area. It contains some of the good measures for life sciences and information technologies. Moreover, the $100 million over two years for clean energy research and development could benefit the ecotech Quebec cluster”.

The Quebec Employers Council said, “We believe that the federal government's budget 2011-2012 is a responsible plan that stays on course regarding orientations announced in the previous years. The tax cuts for businesses already planned are not questioned, which should encourage private investments in our country, ones that are needed. This budget creates an environment that promotes economic development without reducing transfers to individuals, businesses or other governments, and without raising taxes or tariffs”.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:40 p.m.

NDP

Dany Morin NDP Chicoutimi—Le Fjord, QC

Mr. Speaker, I would like to inform you that I will be sharing my time with the member for Argenteuil—Papineau—Mirabel.

I would first like to thank the member for Parkdale—High Park for her excellent motion that summarizes the NDP's positions very well and contrasts them with the Conservatives' values and priorities. I would also like to remind my Conservative colleagues on the other side of the House that Quebeckers gave the NDP a strong mandate to represent them over the next four years. They must take this into consideration.

In discussing this motion, members are making many references to the uncertain financial and economic situation in Canada in the next few years. A number of financial institutions are concerned about the economy. I am referring to the International Monetary Fund, for example, which is forecasting that Canada's unemployment rate will rise again this year. Therefore, it is very problematic that the Conservatives are telling us that Canada's economy is in good shape, that we should not worry, and that we should have faith in them. We see that it is not true.

The International Monetary Fund also indicated that the economy would grow much more slowly than forecast. That is another sign that greatly worries the NDP. The organization also revised downwards its forecasts for Canada's economic growth, now estimated at 2.1% for this year and 1.9% for next year. Those watching know very well that the cost of living is increasing at a higher rate, which suggests that there may be another recession. It is very worrisome because we have not yet bounced back from the 2008 recession.

That is why the NDP believes that the absolute priority must be to not cut stimulus funding, but instead to invest in the Canadian economy. This would be carried out in two main ways, although there are others, including investing in infrastructure.

I will speak a little about my region, Saguenay—Lac-Saint-Jean. My riding includes nine municipalities. During the spring and summer, I met with some of the mayors, and many of them talked to me about their tremendous infrastructure needs. My region is not particularly urban. It is primarily rural. Many small municipalities have limited administrative and financial means. That is why it is important for the Conservative government to invest in small municipalities across Canada, Quebec and Saguenay—Lac-Saint-Jean. It would be very welcome.

However, I get very worried when I see that the Conservatives want to cut stimulus funding. In Canada, infrastructure is very important, and I am concerned.

Other organizations agree with the NDP's calls for the Conservatives to maintain stimulus funding. BMO's chief economist, Sherry Cooper, said that this is not the time for the government to adopt austerity measures. I completely agree with Dr. Cooper. I remember a few years ago Canada was in a good economic position and had a surplus. That was the time to reduce our debt, to reduce our deficit. Today, we have still not yet recovered from the 2008 recession. So it is very important to continue to invest in infrastructure and worker transition programs, and to invest money in targeted sectors where employment can be stimulated. All of these measures will strengthen the Canadian economy in the coming years.

Sherry Cooper added that the misplaced belief that the road to economic prosperity is paved with near-term fiscal tightening, as espoused by our own Prime Minister and the British Prime Minister, shows we have learned nothing from Herbert Hoover's inappropriate response to the Great Depression.

The NDP is not alone in calling on the government to think again about its second phase of Canada's economic action plan. TD Economics has also said that any unexpected downward shift in the markets could plunge Canada into another recession.

That is worrisome. I can just imagine what Canadians at home who lost their jobs during the recession are going through. If they are lucky, they found a job that is likely less stable and lower-paid and now they see all these economic leaders announcing that they might have to relive everything they have gone through in the last few years. That is very troubling. I urge the Conservatives to take this into consideration and remain flexible in their economic stimulus program.

What is more, Scotiabank has said that “we're faced with the distinct possibility that the Canadian economy could be the first to stumble”. I do not really understand why the Conservatives tell us from time to time that the economic situation in Canada is good, to trust them and that they received a strong mandate from the Canadian public. Canadians and Quebeckers are not blind. I would kindly ask the Conservatives to review their economic action plan and to take into consideration not only what we in the NDP are saying, but also what Canadian economic leaders are saying about this.

Scotiabank has also published a report saying that the Canadian economy could enter a recession even without a further unexpected drop in the U.S. economy. We know that the U.S. economy has already had many problems with regard to economic recovery, which is very slow. Again, according to Scotiabank, even without a decline in the U.S. stock market and real estate market, Canada could enter into another recession. That worries me greatly. In my region we have a high rate of unemployment. Many of the jobs are not secure. I am really worried about Canada's economic situation.

Then there is the Conference Board of Canada. Glen Hodgson indicated this week, at a meeting of the Standing Committee on Finance, that this is not the right time for the government to cut spending. He emphasized the fact that the government should remain flexible in its approach. That is what the NDP and I are asking of the Conservatives. He also repeated a number of times that tax expenditure—in other words, the inefficient tax cuts the Conservatives are giving to corporations—should be included in the scrutiny of government spending.

The Bank of Canada is very reputable. I encourage the Conservatives to pay attention to what the Bank of Canada is saying and what it is doing. The Bank of Canada is also very worried about Canada's economic situation. And for that very reason, it recently decided not to harm the economy by reducing demand. Thus, it kept interest rates low. It is very important for the Canadian economy that interest rates remain low to encourage spending and exports.

However, the government really needs to be doing its part by investing in the Canadian economy and in infrastructure. Private investments are limited right now because private companies are worried about the same things that concern the NDP when it comes to the Canadian economy. Companies are not yet ready to invest their hard-earned money for fear that another recession is coming and they will lose money. That is why it is so important that the Conservative government set an example and fund infrastructure programs.

I want to share some key numbers. I know how much the government likes numbers. I will tell it like it is; I will read out the real numbers.

The number of officially unemployed Canadians is still 1.4 million. If we include those who are discouraged or underemployed, that number is closer to 2 million. So, 2 million people in Canada are out of work. That is very worrying.That is the reason the NDP wants so much to stimulate the economy. We want the government to invest in small business. We spoke about that last spring. It is important for us that the government cut the small business tax rate by 2%. Small businesses in Canada create more than half of all new jobs. By investing in this sector rather than in large corporations, Canada will be able to create jobs, sustainable jobs. It will solve the problem of the Canadian economic crisis and instability.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:50 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, I have a question for the hon. member opposite. He has spoken at some length about the fragility of the economy and of his concerns.

Yesterday the European Commission proposed, for the 27 European Union countries, a new financial transaction tax. This is an extra tax for every citizen in the European community. It would be imposed on every banking transaction and every financial transaction. That means, when a citizen would go to an ATM, a transaction fee would be imposed.

This is an idea that the NDP has traditionally supported. It impacts every individual in the country. Indeed, the NDP industry critic and deputy national caucus chair, the member for Burnaby—New Westminster, has previously introduced a bill specifically for a financial transaction tax in Canada.

Given the context of the commentary of the member opposite, why does the NDP support a financial transaction tax? Does the hon. member think it is a good idea?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:50 p.m.

NDP

Dany Morin NDP Chicoutimi—Le Fjord, QC

Mr. Speaker, the Conservative member's question leaves me a little perplexed because, to my knowledge, this is not Europe. Unlike the Conservatives, who refused our request, we in the NDP want to reduce the tax rate for small business. We do not want to raise taxes; we want to lower them for small businesses. Instead of 11% for small businesses, we would like to reduce that by 2 percentage points to 9%. This 2% difference would give small businesses the flexibility they need to hire new employees. This would do a world of good, especially in small towns. Anyone who is just starting up a small business does not want a high tax rate. The first five years are already difficult enough.

In short, this is not Europe and the NDP wants to lower taxes for Canadians who own small businesses.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:50 p.m.

Liberal

Kirsty Duncan Liberal Etobicoke North, ON

Mr. Speaker, in 2009 the government invested $3 billion in green stimulus spending. Germany invested $14 billion, the United States invested $112 billion and China invested $221 billion in green infrastructure and in the process created thousands of new green jobs.

The government should accept intergenerational responsibility and develop a national sustainable energy strategy to position Canada to succeed in the global economy, to continue to build the country and to create a significant number of jobs.

Could the hon. member comment on how national targets for the development of low-impact renewable energy could achieve economic jobs and sustainability goals?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:55 p.m.

NDP

Dany Morin NDP Chicoutimi—Le Fjord, QC

Mr. Speaker, I thank the hon. Liberal member for this excellent question.

For many years now, the NDP has been focusing on a green economy. Personally, I truly believe that we need to focus on the green economy for Canada's economic future, and there are several ways we can do so, unlike the Conservatives who are stubbornly clinging to the world of the 20th century and continuing to encourage the use of oil and gas.

We need to support green energy in every way we can. Quebec strongly supports hydroelectricity, a renewable energy source. These positive measures will ensure the sustainability of Canada's economic and energy future. I agree that we need to invest in the green economy. I simply do not understand why the Conservatives do not realize that if they want Canadians to get ahead of other nations, the government needs to invest in green energy sources like wind, geothermal and hydroelectric power. I think it is very important for Canada to invest in green energy every way it can.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

12:55 p.m.

NDP

Mylène Freeman NDP Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, it is an honour for me to rise in the House in support of the NDP put forward by my hon. colleague from Parkdale—High Park in order to address a matter that is foremost in my thoughts and is a pressing concern for the people of Argenteuil—Papineau—Mirabel.

In particular, the motion states that the government should:

—take immediate action to promote job creation and address the persistently high unemployment rate among Canadian workers...take immediate action to ensure all Canadians can rely on a stable and guaranteed pension as they plan their retirement in a period of record household debt and declining stock markets...

These are major concerns in my community. I represent a large, beautiful, rural riding where, sadly, too many members of my community are un-waged or under-waged. Many people living in my community who are in poverty are over retirement age.

Low-income women always outnumber low-income men in Canada. Two out of every three poor adults are women, yet women do two-thirds of the world's work, receive 10% of the world's income and own 1% of the means of production. This disparity is most egregious when we look at aging populations. According to the Conference Board of Canada, under the Conservative government, between 2006 and 2009, Canada saw an increase of 128,000 elderly people living in poverty. Among them, 70% were women.

The reality of senior women living in poverty is not an incidental or marginal issue. It is a major concern. Indeed, it is a crisis. This crisis will only increase as the baby boomer generation in Canada moves closer and closer to retirement. These are the people who will suffer the most if we do not invest in our economy.

There are upstream causes to older women living in poverty. In Canada almost half of all poor families are supported by a single woman whose average income is about 30% below the poverty line. There is no one reason why women are so much poorer than men, rather there are many and they are all systematic. Data from 12 industrialized nations found that formally employed women worked about 20% longer hours than men, yet women comprise the majority of the poorest in these countries. Most women are still responsible for the unpaid work of child rearing and taking care of sick people and elderly people. Poor women who are fortunate to have jobs are therefore stuck in low-paid part-time work because they must split their time between work and caring for their family.

The government must take action to promote job creation, good jobs, immediately in order to support these families. According to the publication entitled, “The Dollars and Sense of Solving Poverty”, released yesterday by National Council of Welfare, an independent body established to advise the federal government, there is a correlation between poverty and the lack of investing. The report shows that investing to reduce poverty actually benefits the entirety of our society. In fact, it would save Canada billions of dollars.

I would particularly like to point out that the report finds that child and senior benefits provide secure, non-stigmatizing incomes broadly in society and that these have benefits well beyond individual recipients because the improved well-being of today's seniors enables them to remain active in our communities.

Too many of the jobs created by the government are under-waged and part-time. It is a weak job market. That unemployment is at 7.3%, that full-time permanent family-supporting jobs remain extremely difficult to find and that ongoing uncertainty regarding Canadian retirement savings plans are factors that are increasingly threatening our economy. This is why New Democrats are proposing strategic investments to promote economic growth.

We need to take immediate action to ensure that all Canadians, especially those who are most vulnerable like those I have mentioned, women, elderly people, especially elderly women, and children, are taken care of and not left behind by a threatening recession. We need to ensure that all Canadians, especially these people, are protected in hard economic times.

This is why I urge all members of the House to support the motion. It is rather simple why we should support it. It is a reasonable way to help families in Canada.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, I would like ask my hon. colleague opposite a question.

She talked about hard-working Canadian families, yet the NDP wants taxes to go up. As I said to my other colleague, the NDP wants transaction fees to go up. Financial transaction fees are things that impact hard-working families that can ill afford to pay them.

The NDP is on the record supporting these tax increases. This does not make sense to me if those members are truly worried about hard-working families. Would the hon. member please explain?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1 p.m.

NDP

Mylène Freeman NDP Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, I will repeat something and I hope my colleague can deduce how the economy works from it. According to the National Council of Welfare, investing would save Canada billions of dollars.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1 p.m.

NDP

Peggy Nash NDP Parkdale—High Park, ON

Mr. Speaker, I thank my colleague for her very passionate intervention about the growing inequality and those who really need the benefits of government spending.

The members opposite are erroneously saying that we want to increase taxes. That is absolutely not the case.

Given that the majority of Canadians did not support the government or its direction, would she comment on the growing inequality in Canadian society? Would she comment on how what we are calling for, strategic investments in physical and social infrastructure, can help decrease that growing economic inequality gap?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1 p.m.

NDP

Mylène Freeman NDP Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, my colleague from Parkdale—High Park is doing great work.

Investing in Canada and strengthening our economy are important especially in these hard times. She is right that investing in social and physical infrastructure will help support all families.

The government is leaving behind the poorest of the poor. It is increasing the inequality in our country. It has forgotten too many families. The government needs to remember that this House represents all Canadians.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:05 p.m.

Liberal

Ted Hsu Liberal Kingston and the Islands, ON

Mr. Speaker, I congratulate the NDP on a fine motion today. I would like to go beyond that a bit and address an answer to a question that was posed to the member for Parkdale—High Park. I was not quite happy with that answer.

The member for Parkdale—High Park was correct in making the connection between the behaviour of the Conservative government and the behaviour of Herbert Hoover leading into the Great Depression.

Another thing that happened in the Great Depression was that there was trade friction between Canada and the United States. Countries put up trade tariffs.

I am wondering if my hon. colleague would care to comment about the buy American policies that the U.S. job stimulus proposal has and the position of the Ontario provincial NDP which now has a buy Ontario policy. Perhaps she could comment on the danger of a tit-for-tat trade war, just as there was in the Great Depression.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:05 p.m.

NDP

Mylène Freeman NDP Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, there are a few parts to that question.

In answer to the first part, the member is exactly right that the government has not learned from the mistakes of the past. The second part referred to the Ontario election, on which I will not comment. However, we absolutely need to learn from the mistakes of the past and invest while we still can before the recession takes hold in order to save the most vulnerable people in our society and save our economy.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:05 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Mr. Speaker, it is my pleasure to speak to the opposition motion. It is always a pleasure to speak in the House of Commons. It is one of the honours of being elected as a member of Parliament. Something we all hold dear to our hearts is the opportunity to express how we feel about issues.

Today is an opposition day. For those who do not know how it works, a certain number of days are allocated to the opposition parties and they are able to bring forward motions on topics which they think are important regarding what the government is or is not doing. We are debating an opposition motion today.

I am interested that the NDP brought forward a motion regarding the economy. I have been in the House for five years now and it is hard to remember when the NDP wanted to talk about economics in the House of Commons. The mover of the motion, the member for Parkdale—High Park, has been in the House for some time and I do not recall her mentioning economics, but she is now which, from our perspective, is the right thing to be doing.

We have been talking about jobs, economic development and making sure that this country is able to withstand the economic turbulence that has affected not just Canada and the United States but countries all over the world. We see the very drastic changes that are happening in Europe. People have come to the conclusion that this is the priority. It has been the priority of this government for many years.

We have dealt with the economic shocks that have affected Canada over the last number of years. We brought forward a plan to maintain and increase jobs in Canada. That economic development and support has been helping Canadian families survive the very difficult recession over the last number of years.

I need to point out that before the recession, it was this government that took action on the debt. I should remind everybody what debt is. Debt is an obligation to future generations. It is money we have borrowed as a country which needs to be paid back. We cannot just not pay it back. We see the situation in Greece where debt issues are so extreme Greece is at risk of not being able to pay its debt. We cannot ignore debt. We cannot say it is someone else's problem or that we will deal with it on another day, in another Parliament, in another decade. We need to deal with it now.

We like to deal with facts. Our government paid down $38 billion of debt before the recession hit. This put our country in a much better position to deal with the issues facing our economy during the recession. It was a prudent way of positioning ourselves. We are a leader in the G7 in terms of being ready to put in place the difficult processes that are needed for us to handle any downturn in the economy. When there was a downturn in the economy and the recession hit, we had to put a plan together to make sure that we created jobs and continued economic growth here in Canada.

That is why we created Canada's economic action plan. It was not an overnight plan. It was not something we did one day and then forgot about it. It is taking a number of years to implement that plan to ensure growth, jobs and family security. It is not something we had for just a day, a month or a very short period of time. It is something we can build on as a country. We are doing better than our G7 partners coming out of the recession. All of the significant economic players around the world are congratulating Canada on its role. The economic action plan has played a significant role in the survival of our economy and the progress of our economy in Canada.

That plan is still in action. We will be seeing part two of our economic action plan, another year of it. We passed a budget in this new Parliament. As we do every year, budget implementation requires two segments. We did one in June which implemented some parts of the budget. Next week there will be another budget implementation bill to implement the rest of the budget. There were so many good things in the budget passed in the spring we had to break it into two parts to make sure the proper legislation was in place to make. That will happen next week.

If the NDP and our Liberal friends are really serious about economic development, job creation and moving the economy forward, they will support the budget implementation bill next week to implement the second part of the budget. On May 2 voters certainly supported it by sending us back to the House of Commons with a majority government. They want us to implement it. Canadians asked us to make sure that we implemented our commitments on the economic action plan. We intend to do that. Based on today's motion I cannot see why the opposition parties would be opposed to implementing the second phase of our economic action plan.

In the past the NDP members have voted against many of our measures, maybe all of our measures. I cannot think of one measure they supported. I do not have a perfect memory, but I cannot remember any of the economic policies or legislation that we put forward to improve our economy being supported by the NDP. I am glad to see that today the NDP members are making the economy a priority in the first opposition day motion of this session. I am hopeful they will move away from their past non-support of these policies so we can continue to create jobs and come out of the recession in the best position of any industrialized country in the world. That is what the economic action plan will do. That is what it delivered in the past, and it is what it will do, if we are able to continue with the second phase, which we plan to do.

Fortunately in the election on May 2 the Conservative government was returned with a majority, so we will be able to continue with that plan. Some people may say that it is not good enough. Opposition members have voted against everything we have been attempting to do. I do not know why it would not be good enough. There is always more to be done. However, we have created 600,000 new jobs and 80% of them are full-time jobs. The economic action plan is working and is moving this country forward. I am hoping there will be support for that next week when our budget implementation bill comes forward.

I want to talk about what the economic action plan has meant for Burlington, the riding I represent. It is an urban riding just outside of Toronto on the west side. It has a fairly diverse economy. There is not one big employer. The largest employer in Burlington has about 1,000 employees. The rest are small- and medium-size businesses and enterprises, entrepreneurs who are making a difference, creating jobs, investing in our economy, investing in our youth, making sure that the quality of life in Burlington is progressing.

Our role through the economic action plan is to make sure that economic development continues and that we support it, not through higher taxes as the opposition members are advocating today, and not from a bunch of bureaucratic processes that would slow things down. We made a commitment in the economic action plan to deliver on infrastructure for communities that were willing to move projects forward, to be able to spend some money and leverage that to create jobs in our communities. I will provide some examples of the success we have experienced this past week.

I was at an opening for the donors of a new performing arts centre in the city of Burlington. It did not have one before. Prior to being elected to the House of Commons, I was a city councillor and had been working on establishing a performing arts centre in Burlington since 1999. That new performing arts centre is about to open because the members of the community came together. We looked at what was required in terms of this infrastructure project and through the use of the economic action plan we developed and will soon open the $36 million facility. We are proud of that accomplishment.

I am not a member of the transportation committee but filled in for one of its members at a meeting yesterday. Being from the GTA, I have an interest in public transit, which was the subject the committee was studying. There was an indication that $4 billion had been invested into new transit through the provisions contained within the economic action plan. Some of that money had been designated for Burlington. We have a new transit centre there.

We have participated with our partners, the Ontario government as well as municipalities like the City of Toronto, in the GO train investments that were made. Those are ones I am familiar with.

We are making long-term investments through the economic action plan. That has created jobs. It has also left a legacy of infrastructure that will service the cities and communities I am familiar with for many years to come. That infrastructure will allow people to transport themselves to and from work. It will make businesses more productive by allowing them to transport their goods and services more efficiently. By providing people with alternative forms of transportation, it will reduce the amount of vehicles on the road, which in turn will be better for the environment.

I am proud of the economic action plan that was put together by our Minister of Finance and our Prime Minister, which members have supported in the House. It will enable job creation not just in theory or in study but through the provisions it has put in place. In conjunction with our municipal and provincial partners, we have used those provisions to make investments to react quickly to issues.

Of course making those investments will affect the deficit. However, there was an agreement made with our G7 economic partners that a certain percentage of our GDP would be used as investments to help stimulate the economy. Based on what I have heard and have read regarding other countries, Canada has been the most successful in terms of leveraging that investment into jobs, economic growth and the stability we have needed throughout this recession. We managed to do that without increasing taxes.

I will now speak to the measures we have put in place to ensure people have money in their pockets rather than having to rely completely on our government for economic growth.

Part (d) of the motion would have members believe that government is the only engine capable of driving economic growth. However, we on this side of the House do not agree with that position.

We believe the private sector, whether businesses or individuals, is a real partner in our economic growth. Tax savings for a typical family are now just over $3,000. Those savings include taxes such as the GST, which in some provinces is the HST. We have lowered the GST from 7% to 5%.

We have introduced the employment tax credit to help employers and ensure people have jobs. We have introduced others such as the working income tax benefit and the child care tax credit. We have been actively ensuring that Canadians have opportunity.

One program devised by the Minister of Finance and the Prime Minister that I am thankful for is the tax free savings account, TFSA. It has made a significant difference in my riding. People remind me daily of the importance of this new savings tool which did not exist before we took office. For many years not much had changed to give Canadians an opportunity to save money. As is the case with taxed money, this money would not be further taxed in future. Canadians can invest it and use it for their own growth. The expenditures coming from these tax free savings accounts will bode well for our economy in the future. It also bodes well for those who are trying to save now.

We are encouraging people to save money. There has been much discussion in the media as well as in the House regarding personal debt levels. The Conservative government has devised a piece of legislation that will change the financial system in this country. As well, it is helpful with respect to promoting personal savings.

Since we have taken office, tax freedom day comes two weeks earlier than it did when the Liberal government was in office.

Our economic action plan is taking this country in the right direction. It is the right mix of legislation in terms of its ability to stimulate the economy as well as to help people invest in their own enterprises or their communities. We have been taking the appropriate approach. Canada has been recognized for that by many nations and many economic organizations around the world. However, there is no doubt that we still have more to do.

What led us here in the first place is that we are proper stewards of the public coffers. We understood that debt was an issue and we needed to get our minds around that first. We must continue with the process we have in place. We have not completed the economic action plan process. It needs to continue. We are coming forth with legislation to do that.

We must return to our principles and values of ensuring that our debt is manageable. To ensure we have balanced books, we must reduce our debt as soon as possible.

There is no doubt we must keep an eye on the issues happening in Europe. The Minister of Finance, the governor of the Bank of Canada, and the Prime Minister have spoken to Canadians about that. We must ensure that stabilizes because what happens in Europe will affect us in the end. It is hard to believe that what happens in Greece will affect people in Burlington, Ontario. If the European countries are unable to resolve their debt issues or pay their bills, Canadian companies will lose customers. We are a trading country. We need those customers to ensure a stable, progressive economy that will produce sales for our people, whether they be in Burlington or elsewhere across the country. I wish those European countries well.

I hope all members of the House will support the continuation of the economic action plan through to its fruition.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:25 p.m.

NDP

Denis Blanchette NDP Louis-Hébert, QC

Mr. Speaker, I would like to thank the hon. member for his speech.

I am pleased that he recognizes the importance of investing in infrastructure but I would like him to stay with me a bit longer if he would.

One of the areas in which Canada is very weak is in investing in research and development and, finally, in innovation, the biggest driver of economic growth. We are currently investing little or nothing in these areas, despite the huge amount of cash that is currently flowing in these markets.

What does the hon. member think about our weakness in the area of innovation?

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:25 p.m.

Conservative

Mike Wallace Conservative Burlington, ON

Mr. Speaker, the member sits on the government operations committee with me and I have enjoyed our short time there.

I like to deal with facts in the House. If we look at the facts, this government has actually invested more in science and technology and innovation than any other Canadian government in history. I cannot hold my colleague across the way responsible for voting against it because he was not here. However, he is here now. Therefore, I expect the member and the NDP, the opposition party, to support the money we are investing in science and technology and innovation.

I have listened to the questions today as they relate to this question. They talk about the many billions of dollars that are in the pockets of corporate Canada that have not been invested and that they are sitting on large cash reserves. Adding taxes to the corporate sector will not get that sector to invest one single cent in the economy. It would take money away from those who create jobs, the entrepreneurs who understand supply and demand, and would give it to government, which I am not sure is the greatest steward of tax dollars. We want to ensure that taxes are reduced so that the entrepreneurs and families who control their own pocketbooks can make those decisions.

Opposition Motion—Canadian EconomyBusiness of SupplyGovernment Orders

1:25 p.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

Mr. Speaker, the problem with the speakers on the government side is that they talk as though nothing has happened since the budget was first presented in February. Even if one assumes the budget in February was perfect for the conditions of the day, and I do not make that assumption, the fact is the world economy has worsened dramatically in the last six months. What may have been appropriate in February, some six to eight months ago, is no longer appropriate today given the weakening of the world economy. This is exactly what the IMF has said, what Sherry Cooper has said and what the economists have said.

Why do those members behave and speak as though the world is still tranquil and great when indeed it is not?

As well, I may have missed it, but is the government for or against this motion?