No, I do not think that increasing the capital gains inclusion rate is the right move. I've already spoken to the direction of its effects. The magnitudes are tough to calculate, but there's no way you can argue it's going to do anything good.
Because the luxury tax came up earlier, I'm going to mention that we've had a few tax changes in recent years that to me seem more motivated by maybe populist objectives than economic logic or the government's need for revenue. I put the capital gains tax change into that category. I think one of the difficulties we have in Canada right now when it comes to economic confidence is that people see the tax system being used in ways that really make revenue-raising a secondary consideration and put other goals more to the fore. The luxury tax is in that category. Some of the taxes on financial institutions are in that category. The capital gains inclusion rate increase is in that category.
I think Canada needs to have a change of direction that would give people a bit more confidence that the tax system will be broad-based, fair, have lower rates and not be subject to changes in the direction of the political wind. That makes people think twice about any kind of investment.