In our section on fiscal policy we examined the main sources of the federal government's revenues, personal income taxes, corporate taxes, indirect taxes and interest income.We have examined the supply side effects of taxes and looked at the tax wedge, acknowledging that the experience in the USA during theRegan/Bush Sr.administrationsdid notlead to the promised increase in tax revenues.

Earlier in the coursestudents raised questions over the increase in taxes in order to pay back thedeficit arising from the COVID-19 Pandemic.There is public discussion of what types of taxes may be raised when it is appropriate to do so.I have selected two items for your consideration.I have placed both in our week 13 folder.The first is avery shortreport issued by the Parliamentary Budget Office on a wealth tax and the second is an opinion piece from MacLean's Magazine regarding a COVID-19 tax and repayment fundby TrevorTombeof the University of Calgary.For those of you who are interested theCanadianCentre for Policy AlternativesreleasedJuly 21, 2020theAlternative Federal Budget Recovery Planthat outlines some taxes in the section on tax fairness.

For discussion:

How would you describe your position on the Canadianfederal government budget deficit and the federal government debtnow as compared to prior to the section on fiscal policy?Forexample,have you changed your thinking?Are your less concerned or more concernednowabout the Canadian federal government debt andFederal 2020deficit?What factors have influenced your position?

Some follow up questions that may help you form a position are:

• Had you thought much about the debt to GDP ratio?
• Do you feel more informed and therefore more aware of the issues andmagnitudeof the situation?
• Does the fact that historicalgovernmentdebt loads have been reduced reassuring?
• Are you intrigued by some of the suggestions for taxes to pay down the debt in the future?
• Were you already fairly informed on the issues and have not changed your position?
• Are you starting to question some of your assumptions about the deficit?
• Are you wondering about the viability of paying down the debt in the future given the changing structure of the economy?