Mr. Speaker, I am here today to voice my strong support for Bill C-38, the jobs, growth and long-term prosperity act, which would implement key measures from economic action plan 2012.
I will be sharing my time with the hon. member for Prince Albert.
In an uncertain global economy, our Conservative government has a positive, forward-looking, low-tax plan for jobs and growth, a plan that is working and has served Canadians well. Since we first introduced the economic action plan, Canada's economy has been among the strongest in the western world. Indeed, Canada's economic record has every reason to make Canadians proud. Since July 2009, employment has increased by 760,000, the strongest record for job growth among the G7 countries. Even better, close to 90% of those jobs created since July 2009 have been in full-time positions and about 80% are in the private sector. Canada's GDP is now significantly above pre-recession levels, again the best performance in the G7. These are the facts.
Our opposition colleagues do not like to listen to us share these facts, but they might want to listen to those from the rest of the world and what they are saying about Canada's economic record and how Canada has weathered this economic storm.
Both the IMF and the OECD forecast that we will be among the strongest economic growth nations in the G7 over this year and next. For the fourth year in a row, the World Economic Forum rated Canada's banking system as the world's soundest. Forbes magazine has ranked Canada number one in its annual review of the best countries for business. Three credit rating companies, Moody's, Fitch and Standard & Poor's, have reaffirmed their highest AAA ratings for Canada.
The praise from independent observers does not stop there. Indeed, listen to what Iowa Governor Terry Branstad recently told CBS News in the U.S. He stated:
...in the '80s and early '90s, a Canadian dollar was only worth 65 cents to the American dollar. Canadian financial institutions weren't as healthy as ours. And their taxes were higher. Now their dollar is comparable with ours. Their financial institutions are healthier and their taxes are considerably lower. Their federal corporate tax is only 15 percent. So I think we can learn from Canada. Not follow the European example of spending and spending and getting ourselves into such a tremendous financial mess....
Clearly, as the quote suggests, Canada's economic resilience reflects the actions of our Conservative government that we have taken to date, such as lowering taxes, investing in research and development, rebuilding Canada's infrastructure, reducing red tape and promoting free trade and innovation.
However, we all know there is more to be done and we cannot be complacent in our success.
Despite solid job creation since July 2009, too many Canadians are still looking for work. We also know that the global economy remains highly fragile, and all the more so due to the recent economic developments in Europe. That is why economic action plan 2012 focuses on the drivers of growth and job creation—innovation, investment, education, skills and communities—underpinned by our ongoing commitment to keeping taxes low and returning to balanced budgets over the medium term.
In the Waterloo region, the capacity of our economic engines has been enhanced. Our airport, our post-secondary institutions and our high-tech business incubators are all better positioned today than they were, thanks to the efforts of this government to rise above the noise and focus on the economy.
Moreover, we also know that balancing the books is important to maintaining a healthy economy, something the opposition just does not seem to understand when it is advocating for big government and bloated bureaucracies. Quite simply, eliminating the deficit in the medium term is our goal. We will maintain and enhance our Canadian economic advantage now and for generations to come so that our children and grandchildren can benefit from a strong Canadian economy. On the other hand, the opposition wants to leave our children and grandchildren a massive credit card bill.
Balanced budgets are important not for their own sake but for what they make possible for governments to accomplish. Reducing debt frees up tax dollars otherwise absorbed by interest costs, which can then be reinvested in what matters to Canadians, like health care, public services or lower taxes.
This keeps interest rates low, encouraging businesses to create jobs and invest for the future. It signals that public services are sustainable over the long term. It strengthens the country's ability to respond to economic shocks such as the recent global financial crisis and challenges such as population aging. It preserves the gains made in Canada's low-tax plan, fostering the long-term growth that will continue to generate high-wage jobs for Canadians.
Perhaps, among the benefits I have mentioned, low taxes are the most tangible evidence of our good economic governance, guided by the principle that Canadians should keep more of their hard-earned money. We understand that taxpayers willingly and honestly provide a portion of their hard-earned income to fund health care, social programs and other vital services that benefit all Canadians, asking only in return that governments manage their tax dollars wisely and everyone pay their fair share.
That is why our Conservative government is committed to taking aggressive steps to close tax loopholes that allow a few businesses and individuals to take advantage of hard-working Canadians who pay their fair share of tax. That is also why our Conservative government took key steps in economic action plan 2012 to eliminate billions in wasteful, inefficient and duplicative spending.
Specifically, economic action plan 2012 and today's act would move to ensure responsible management of taxpayers' dollars by refocusing government and programs, by making it easier for Canadians and businesses to deal with their government and by modernizing and reducing the back office.
One of the highest-profile ways we would accomplish this is by modernizing Canada's currency by gradually eliminating the penny from Canada's coinage system, something almost every Canadian agrees was long overdue. In contrast to other coins, taxpayers lose money on every new penny produced by the Royal Canadian Mint, as the cost to government is 1.6¢ to produce each new penny. The estimated cost to the government of supplying new pennies is approximately $11 million each year.
Other countries, such as New Zealand, Australia, the Netherlands, Norway, Finland and Sweden have all made smooth transitions to a penny-free economy. Again, this was long-overdue, a long overdue example of a common sense change that would benefit Canadian taxpayers.
In the words of Brett Wilson, a leading Canadian entrepreneur best known as a former panellist on CBC's Dragon's Den:
It comes down to the economics of creating these things.... If it costs a penny and a half to make a penny, the more you make, the more you lost. It is just dumb business.
These are measures that deliver results to Canadians, measures that do respect taxpayers' dollars
. I am proud to say that our Conservative government has a record that is second to none when it comes to spending tax dollars responsibility, allowing our government to keep taxes low. That is why the overall federal tax burden is the lowest it has been in 50 years. This is the lowest tax burden in 50 years.
Bill C-38 further demonstrates our government's commitment to responsible use of tax dollars. With a comprehensive and forward-looking agenda that would deliver high-quality jobs, economic growth and sound public finances, economic action plan 2012 would allow Canada to meet these challenges and emerge from them stronger than ever, today and into the future.
As my local daily paper, The Record, noted, economic action plan 2012:
... is a moderate, intelligent and visionary plan to preserve a progressive, prosperous Canada in a global landscape filled with both upheaval and promise.
And for this reason it is the most ambitious and important federal budget in a generation.
Obviously, there are so many more positive things included in economic action plan 2012, and unfortunately my time has almost run out. I would love to spend a little more time explaining all these great things to Canadians, but in the end, I urge all members of the House to support economic action plan 2012. It would be good for Canada and especially for our children and grandchildren.