The Archive · 1923

Many Big Debts

The vital necessity of obtaining immigrants is not only due to the loss of population, but also to the need of their helping to increase the revenues, and to reduce the deficits on the Canadians National Railways. These deficits are on operating expenses, so their seriousness can be appreciated in the light of the price of coal, the demands of labour, and so on; and as to increased revenues being absolutely required, it is only necessary to say that the National Debt in 1914 was some $340,000,000, whereas now it is over $2,000,000,- 000, Whether all this is likely to encourage immigration is a moot point.

It must be remembered that, some years ago, people, especially British people with smal] settled incomes, were attracted to Canada because it was "a cheap country to live in." They came with their families, and perhaps indulged in a little farming which enabled them to save money. Their children received free education at the public schools, and eventually entered various occupations, some going to the Universities as well, where they were trained for the professions. If, however, comparisons are made with those days and) these, it will be found that the cost of food, fuel, clothing and rent has more than doubled, while of course taxation now is very heavy. Be fore the war there was no Dominion income tax, now there is a severe one, and the Provinces and municipal ities impose additional ones. It is interesting to see that this subject is engaging the attention of the Dominion Government: it has been found that British people thinking of coming here, and investers thinking of - employing capital in this country, are looking into the question of taxation and asking themselves if they cannot do just as well at home. The Government, it is said, contempt lates doing away with the Provincial income tax, but, as it will then have to pay additional subsidies to the Provinces out of the income tax which it receives, it does not look og if taxation would in reality be reduced, as.of course the Dominion income tax would have to be increased to cover these subsidies.

Text read from the printed page and cleaned; old type leaves the occasional error.

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