There are plenty of the minds of the federal government as far as Canadian economy is concerned. They are looking at ways and means of raising the necessary fiancé to fund the Trans Mountain pipeline project extension. They are facing many economic barriers that might put off the investors.
The former finance minister Joe Oliver says that one of the main reasons for the present state of the Canadian economy is due to the significant reductions in the taxes in the United States. There is no response from Canada for the tax reduction stand by the USA so far. Oliver feels that Canada must also have a competitive tax regime to the new US taxes to sustain its economy and to see growth.
The C.D. Howe Institute’s Bill Robson said that Canada must be thinking along the similar lines of the US and look to come out with a reduction of corporate taxation to up to 23%. He feels that the anti – business tone for the federals is doing no good for the economy. He feels that the government is only talking lots about pipeline project and taxation, but nothing is happening in reality.
There is a chance for the U.S. to get better capital investment than Canada due to the new taxation rates for businesses.