Main menu:

History of RPE Thought

Posts by Tag

RSS New from the CCPA

  • Report looks at captured nature of BC’s Oil and Gas Commission August 6, 2019
    From an early stage, BC’s Oil and Gas Commission bore the hallmarks of a captured regulator. The very industry that the Commission was formed to regulate had a significant hand in its creation and, too often, the interests of the industry it regulates take precedence over the public interest. This report looks at the evolution […]
    Canadian Centre for Policy Alternatives
  • Correcting the Record July 26, 2019
    Earlier this week Kris Sims and Franco Terrazzano of the Canadian Taxpayers Federation wrote an opinion piece that was published in the Calgary Sun, Edmonton Sun, Winnipeg Sun, Ottawa Sun and Toronto Sun. The opinion piece makes several false claims and connections regarding the Corporate Mapping Project (CMP), which we would like to correct. The […]
    Canadian Centre for Policy Alternatives
  • Rental Wage in Canada July 18, 2019
    Our new report maps rental affordability in neighbourhoods across Canada by calculating the “rental wage,” which is the hourly wage needed to afford an average apartment without spending more than 30% of one’s earnings.  Across all of Canada, the average wage needed to afford a two-bedroom apartment is $22.40/h, or $20.20/h for an average one […]
    Canadian Centre for Policy Alternatives
  • Towards Justice: Tackling Indigenous Child Poverty in Canada July 9, 2019
    CCPA senior economist David Macdonald co-authored a new report, Towards Justice: Tackling Indigenous Child Poverty in Canada­—released by Upstream Institute in partnership with the Assembly of First Nations (AFN) and the Canadian Centre for Policy Alternatives (CCPA)—tracks child poverty rates using Census 2006, the 2011 National Household Survey and Census 2016. The report is available for […]
    Canadian Centre for Policy Alternatives
  • Fossil-Power Top 50 launched July 3, 2019
    What do Suncor, Encana, the Royal Bank of Canada, the Fraser Institute and 46 other companies and organizations have in common? They are among the entities that make up the most influential fossil fuel industry players in Canada. Today, the Corporate Mapping Project (CMP) is drawing attention to these powerful corporations and organizations with the […]
    Canadian Centre for Policy Alternatives
Progressive Bloggers

Meta

Recent Blog Posts

Posts by Author

Recent Blog Comments

The Progressive Economics Forum

Distributional impact of Tory Income Splitting

I recently posted on the CCPA’s “Making it Count” blog covering election 2011 issues. In that post, I calculated the distributional impacts of the “Family Tax Cut” proposed by the Conservatives that would allow couples with children under 18yrs old to split up to $50,000 of their income. The “Making it Count” post is meant for popular consumption, but I figured readers might be interested in the full shebang so below is a more complete breakdown of who would benefit from the “Family Tax Cut” and by how much.

You’ll note that my estimates put the total cost at $2.7 billlion slightly higher than the Conservatives at $2.5 billion but the most important piece is how strongly the distribution of benefits skews to the wealthiest families.

(Click on thumbnail to see the full table)Distributional Impact


Enjoy and share:

Comments

Comment from Iglika Ivanova
Time: April 1, 2011, 9:40 am

Wow.

Nice work, David. What dataset did you use for this?

Comment from David Macdonald
Time: April 1, 2011, 9:44 am

Largely the census data for the number of families. As for distribution of household earnings the Library of Parliament study on income distribution was useful. From there I constructed a simplified tax model to calculate before and after savings.

Comment from Joan
Time: April 1, 2011, 3:00 pm

What is also very interesting is the source of this bizarre policy to come into effect if and when the budget is balanced. Yesterday I heard a spokesperson from that most religious, right, American of institutions, the Council for Marriage and Families, state that he has been advocating this for the 5 years since it has been welcomed into Canada by our most religious, right government. This is very concerning, especially as, if given a majority, this particular group will be given ever more influence on the way our country is governed.

Comment from Kathleen Lahey
Time: April 3, 2011, 1:23 pm

Joan — See my comment in the Apr. 2 2010 Ottawa Citizen on the genealogy of income splitting in Canada. The Institute on Marriage and the Family Canada is just the tip of the iceberg. They plus Harper plus Mintz have created the claim of a ‘movement’ in support of this issue; in reality, this is just an old Reformer dream. (Of Harper’s?)

Comment from Angela Browne
Time: April 4, 2011, 12:42 pm

… and even if the shoe were on the other foot and my husband were the sole earner, I would not be staying at home, as nobody gave me any kind of financial guarantee for my marriage. Something can happen to him and we are both S-O-L, or he can decide to trade me in for a newer model, while I stayed home most of the time and thus, no job skills … I grew up in a household like that. My father earned great money and my mom stayed home; they divorced when I was eight, and she spent several years in poverty until she was able to finally secure a job in the civil service. A policy like this encouraged and aids and abets child poverty in the future, and is certainly not acceptable to me.

Write a comment





Related articles