Jokes abound about the wise guy who heads for the washroom at a restaurant just before the bill arrives. Picking up the tab grows tiresome and once the laughs inevitably stop it can be a pretty tough conversation to explain to one who leaves the table that either he chips in – or the party must end.
We wonder if the Prime Minister is gearing up for just such a conversation, starting in St. John’s, Newfoundland and heading west. It has been made clear in no uncertain terms that spending will be squeezed in the coming months. The deficit path the country is on must end and since the Conservatives have no interest in raising taxes, cuts will be necessary.
It is lamented in some circles that the GST cut would have provided some extra cash once the economy starts to run better again. That argument can be countered with the idea that the recession may have languished longer and started sooner if that consumption tax was not shaved when it was. In many respects, managing the economy is like driving with only the aid of a rear view mirror – and a bit of luck. It is not so easy.
As we suggested in the New Year’s editorial, which seemed to gain some traction with readers, there are serious choices that need to be made this year. It will be interesting to see if the courage exists on the part of politicians to truly question programs, services, and where the wisest spending for government exists.
It will be interesting to see if Canadians will pick up on the challenge and educate themselves about the issues faced by leaders.
A big case in point would be Premier McGuinty’s announcement of full-time, day long kindergarten. We have heard three sides to that debate already. That is a $1.5-billion expense that will only increase over time. Teachers’ unions immediately praised the idea, as did many parents of kids who will use the service. Parents with older children and seniors were just as equally unimpressed. This is but one example in a list of items where costs rise without an offsetting reduction in spending elsewhere.
Federally, stimulus funding for projects that require provincial and municipal investment has plunged the country back into deficit budgets. Along the way, the lower tier levels of government have now placed themselves in burdensome circumstances to come up with their share of all that spending, causing us to wonder aloud, if left to their own devices would those projects have moved ahead? The answer, in most cases, would be no.
In the final analysis, everyone needs to recognize that bills need to be paid. The dine and dash that has been the political custom for decades must end – and we suspect that conversation will be a tough one indeed.
