Debt by a million giant novelty cheques.

I read this story today and it had me thinking: CTV News: Canada’s oilpatch subsidies said to total $2.8B.  The gist was that we should eliminate these subsidies to which I agree (even though I work in the oil patch).

$2.8B is a drop in the bucket.  Have a look at the Government of Canada Current Accounts Transfer Payments for 2009 and some of the highlights:

  • $920,000,000: Agriculture Subsidies (mostly corporations)
  • $637,000,000: Subsidies to Provinces (why not just let them tax and redistribute?)
  • $360,000,000: Atlantic Canada subsidies
  • $1,188,000,000: Canadian Heritage (just read the 17 pages of handouts)
  • $342,000,000: Economic Development Agency of Canada for the Regions of Quebec
  • $14,000,000,000: Equalization Payments (welfare) to Provinces (MB, NS, NB, ON, PEI, QC)
  • $6,600,000,000: General Motors bailout
  • $360,000,000: Western Economic Diversification

It is basically tax dollars used to buy votes.  Each line item is small in the big picture but when you add them all up it gets pretty ugly.

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3 Responses to Debt by a million giant novelty cheques.

  1. CTD says:

    First let me start by saying this is a great website you have started, and I hope you can get your message out to everyone who thinks the same way but has nowhere to communicate with like minded people. I can relate to most of the issues posted. I too am starting to feel oppressed by all the government rules, regulations, and taxes, from federal to municipal. The sense of having liberty & freedom is being manipulated by the government while they are padding their own pockets and traveling in luxury, civil servants my behind. It was great to stumble upon this site and I will be visiting daily. Thanks for the many great reads.

  2. RKO says:

    After 35 years in the oilpatch and running several operations, I thought I knew everywhere I could save a few bucks by applying for government assistance–you know, just like all those involved in agriculture.

    Dan, you’re in the ‘patch; tell me where there are $2.8 billion in subsidies made to the oilpatch. Please. Even my accountant can’t tell me about any subsidies.

    • Dan says:

      As mentioned in the article:

      “The development institute finds 63 remaining subsidy programs in Canada — mainly a mix of tax breaks and royalty reductions meant to increase exploration and development.”

      No politician would dare grant a true ‘subsidy’ to the oil industry. All business should be treated the same – either you bailout / subsidize / grant / what every you call it everyone or no one at all. My point was the oil industry is an easy tartget to point at and say ‘look at the breaks theyare getting!’ when in reality is that other sectors of the economy get much bigger breaks from Government but those will never make the news.

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