Mr. Speaker, the motion we are debating today is a sign of how much the official opposition has lost touch with Canadians and how misguided the Liberals' approach to the economy really is.
While the Liberals dithered and defended tax loopholes, double-dipping and shifting the tax burden from the large corporations to working families, in just 13 short months we have made courageous decisions that are in the best interests of all Canadians. In the last two budgets and last November's economic update, this government has introduced a host of innovative, comprehensive initiatives for businesses that significantly enhance their capability to meet the demands of evolving global markets.
The Liberals have voted against and opposed measures embraced by business and recognized by experts. I would like to take a few minutes to highlight a few important examples of the measures the Liberals have opposed, specifically our comprehensive package to reduce corporate taxes and enhance competitiveness of businesses across this country.
As the Minister of Finance has noted on many occasions, our economic fundamentals are solid. We are experiencing the second longest period of economic expansion in Canadian history. Core inflation remains within our set range of one to three per cent. Our unemployment rate is at its lowest in at least 30 years, perhaps 40, with more Canadians working than ever before. We are on the best fiscal footing of any country in the G-7. In fact we are the only member of the G-7 with ongoing budget surpluses and falling debt burden.
Mr. Speaker, I would also like to note that I am sharing my time with the member for Oshawa.
This government believes strongly that Canadian businesses and entrepreneurs are the engine of our economy helping make all of Canada strong.
The official opposition is grasping at straws, trying to find doom and gloom amid all of Canada's great prosperity that we currently see. If the Liberals were really committed to an examination of tax abuses, why did they not act when they were in power? Why did they not listen to the advice they asked for?
It was hard for the Leader of the Opposition to set priorities when in power, and he is showing the same flaws in his latest musings on the economy. Advantage Canada, Canada's new government's plan, created five advantages to help set out a clear priority for a strong Canada, and the reaction was positive.
On Advantage Canada, the Canadian Chamber of Commerce said that the finance minister has recognized the importance of productivity to the long term health of our economy, business growth and Canadians' standard of living. It said that Advantage Canada “is a great road map. It's got all the elements of things we need to do”.
Budget 2007 provides a clear series of measures to secure the aforementioned advantages. It demonstrates this government's commitment to a comprehensive approach to building a strong Canada.
For example, our commitment to achieve an entrepreneurial advantage includes a plan to support our two million small businesses. They work hard. They create jobs. They make Canada work. The last thing they need is excessive government red tape and needless regulation to slow them down, the kind of red tape that the former Liberal government left in place.
The Canadian Federation of Independent Business said about our plan:
[Advantage Canada's] focus is certainly the key issues that our members say [the government] should be focused on, whether it's debt, taxes, a skilled workforce or the whole red-tape and paper burden.
For example, we are reducing the number of annual tax filings and remittances for more than 350,000 small businesses in Canada. For some smaller businesses, the number of tax filings and remittances could drop from 34 to as few as 10, a 70% decrease.
We are also strengthening Canadian businesses through building a tax advantage. This will allow us to attract and retain business investment. We are helping small businesses succeed to spur innovation and growth that will lead to more jobs and higher wages for all Canadian workers.
Budget 2007 introduced new measures that will lower Canada's tax rate on new business investment. This will encourage investment and job creation, and help Canadian businesses to compete on the world stage.
In addition, we are assisting manufacturing and processing businesses by making the major investments needed to meet the rising global competition by providing a temporary accelerated write-off of capital investments in machinery and equipment.
This government is decisively addressing the issue of helping employers meet immediate skill shortages. For example, budget 2007 proposes a series of improvements to the temporary foreign worker program designed to reduce processing delays and more effectively respond to regional labour and skill shortages. New measures include expanding the online application system, maintaining lists of occupations where there are known shortages of workers and processing work permits more rapidly. This will ensure that the process of hiring skilled foreign workers for not only large but also small and medium sized enterprises is easier, faster and less costly for employers.
On a larger scale, budget 2007 provides a number of measures that will help Canadian businesses invest, compete and win in the global marketplace.
Canada, historically, has benefited from vibrant, competitive capital markets. With the mobility of talent, capital and ever intensifying global competition, developing leading edge principles and rules to govern our capital markets is key to creating and sustaining the Canadian advantage.
In budget 2007, Canada's new government put forward a plan for creating a Canadian advantage in global capital markets. It focuses on four key building blocks: First, enhancing regulatory efficiency through a new approach to securities regulation based more on principles and tailored to the unique makeup of Canada's capital markets; second, strengthening market integrity by pursuing the highest standards of governance and by enforcing our laws more vigorously; third, creating greater opportunity for businesses and investors by pursuing free trade in securities with the United States and the other G-7 countries; and fourth, improving investor information by introducing a new principles based disclosure regime for bank investment products with complex features.
Another important initiative to support businesses is our global commerce strategy to ensure that Canadian businesses can fully participate in global market opportunities. In addition, Canada and the United States have agreed in principle to update the Canada-U.S. tax treaty to facilitate cross-border investment and commerce.
Canada is strong because our businesses, large and small, are strong. For example, just yesterday Statistics Canada noted that direct Canadian investment abroad hit $523 billion, a gain of $63.7 billion over just last year, or a 13.8% increase over 2005. That was the fastest percentage increase since the technology boom of 2000.
It is clear that this government is unquestionably committed to helping our businesses compete and succeed.
The official opposition has voted against every one of these measures designed to create a global advantage for Canadian businesses. It did not get the job done when in power, which is why its current rhetoric rings hollow.
With the implementation of budget 2007, we will have generated a significant enhanced capacity for our economy to succeed for the benefit of all Canadians.