July 02, 2004

Frum Replies to DeLong

Mustafa Hirji (email) at 12:37 AM

David Frum replies to Brad DeLong's accusations.

Now look at what happened from the point of view of the average Canadian family. Between 1993 and 2003. (These numbers come courtesy of the Fraser Institute, Canada's leading free-market think tank.)

In 1993, the average Canadian household had cash income of $44,375 and paid $18,815 in taxes of all kinds. In 2003, the average household had cash income of $58,286 – and paid $28,415 in taxes.

In other words, cash incomes rose by about $14,000 per household over the period, while taxes rose by almost exactly $10,000. You can see why people would be feeling restless.

Now to give DeLong his due, this tax number accumulates all federal, provincial, and municipal taxes. On the other hand, the federal government collects more taxes than anybody else, and especially more of the highly visible direct taxes on incomes. In other words: the lions are hungry.

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