Manhattan Institute for Policy Research.
search  
 
Subscribe   Subscribe   MI on Facebook Find us on Twitter Find us on Instagram      
 
 
   
 
     
 

NewMajority.com

 

Less Obama, Less Debt

May 21, 2009

By David Gratzer

Back in February, I noted that Washington could learn a thing or two from Ottawa in its handling of the recession. (See: “Looking North for Ideas”) Whereas Congress seems eager to spend first and ask questions later, the Canadian government has been more restrained: modestly increased spending (unlikely to significantly change debt-to-GDP ratio over the next half decade) and some tax cuts.

Earlier this week, three economists expanded on the argument in a Washington Post op ed, pointing out that Canada is busy cutting government, debt, and taxes — while the United States does the opposite.

While Americans like to believe that the United States has a small government, particularly when compared to more socialist countries like Canada, the reality now is that government spending as a percentage of GDP is roughly the same in the two nations — especially amazing given that in the early 1990s, 53% of the Canadian GDP was swallowed up by the public sector. And the trend can’t be ignored: Washington is overseeing a welfare state buildup; Ottawa isn’t.

Over at the Cato website, economist Chris Edwards, one of the co-authors, considers some of the “economic policy advantages” seen in Canada.

Not all his points are so persuasive — alas, some seem like recycled talking points from the Cato press releases — but the list is worth considering. Absent, however, is mention of Canada’s greatest economic policy advantage: President Barack Obama lives south of the 49th parallel.

Original Source: http://www.newmajority.com/ShowScroll.aspx?ID=c4f1d272-7a54-4fcd-b023-f5a5f2cbadd3

 

 
PRINTER FRIENDLY
 
LATEST FROM OUR SCHOLARS

Reclaiming The American Dream IV: Reinventing Summer School
Howard Husock, 10-14-14

Don't Be Fooled, The Internet Is Already Taxed
Diana Furchtgott-Roth, 10-14-14

Bad Pension Math Is Bad News For Taxpayers
Steven Malanga, 10-14-14

Book Review: 'Breaking In' By Joan Biskupic
Kay S. Hymowitz, 10-10-14

Neo-Victorianism On Campus
Heather Mac Donald, 10-10-14

Charter Center Advertises for More English Language Learners
Eliza Shapiro, 10-09-14

Workers Interests Are Ill Served By ‘Tipped Wage’
Diana Furchtgott-Roth, 10-09-14

Knowledge Makes A Comeback
Sol Stern, 10-09-14

 
 
 

The Manhattan Institute, a 501(c)(3), is a think tank whose mission is to develop and disseminate new ideas
that foster greater economic choice and individual responsibility.

Copyright © 2014 Manhattan Institute for Policy Research, Inc. All rights reserved.

52 Vanderbilt Avenue, New York, N.Y. 10017
phone (212) 599-7000 / fax (212) 599-3494