Madam Speaker, the member raised the very important issue of the significant investment in Canada in social infrastructure aimed at producing bright, talented young people who ultimately choose to live in other jurisdictions if we do not reduce our tax burden. That represents a huge loss of potential and a huge loss of investment for Canadians and for Canada. If we take into account the cumulative effect over the person's life of the bright young talent that we lose, it is immense.
I agree with the member. We have to address tax issues if we are to benefit from the type of social investment we spoke of. He referred to the same studies, Dr. Fraser Mustard's studies on early childhood intervention, which is very important and very innovative.
In terms of a tax break which would benefit specifically the high tech sector, I agree with the hon. member that we do not need a more complicated and Pavlovian tax code that encourages one behaviour and discourages another. We need significant broad based tax reform aimed at providing all Canadian industries and individuals with a heightened level of competitiveness.
I guess in Canada all sectors are high tax sectors, but we should be fostering and supporting our high tech sector. I would argue that the tax system should not be used to encourage or discourage one type of behaviour or another. I am in complete compliance and agreement with the hon. member that we need broad based tax reform effort aimed at reducing corporate and personal income taxes, at simplifying both of them, and at moving our tax bases from the taxing of capital and income on capital.
In a global sense and in a competitive sense we have to move toward a consumption tax base. We can have a consumption tax base that is progressive. There are ways to ensure movement toward a consumption tax which need not sacrifice the progressivity that is important to Canadians as part of our tax code.