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Originally Posted by saintjohnirish☘
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I don't think it's as simple as saying it's Irving's fault. Forcing the Irving's to pay full taxes on a less than profitable venture would only take cash from them that would have to be taken away from somewhere else, ultimately causing lower employment and/or a reduced tax base anyway. A private business, or even a publicly financed business has to survive on it's balance sheet.
You might argue that if there was a larger diversified business sector that forcing the Irving's to pay wouldn't be such a potential sacrifice in the end. But that is not dealing with the situation that exists.
Everybody is living in a reduced profitability situation and manufacturing is not likely to return to anywhere in North America unless we start selling labour at Chinese prices. Even Donald Trump supporters in their quiet moments are questioning his ability to bring back any jobs that have left the US. I know because I have my ear tightly to the ground on what those people are thinking. Those that think otherwise, and there are probably too many, are not looking at the large picture.
Public sector jobs provide politicians reliable votes for the most part and make the largest money with the least negative lifestyle side effects. This is where the vast majority of all the money printed in the last 9 years resides. This is why now the top 5 wealthiest counties by median family income in the US are basically suburbs of Washington, DC.
https://en.wikipedia.org/wiki/List_o...e#First_Decile
Government sucks the prosperity out of the private sector businesses. It's broken down by city for Canada but the results are the same:
https://en.wikipedia.org/wiki/List_o...ties_in_Canada
One thing I do want to point out that is a plus for Saint John on that list is - Saint John is # 20 while Toronto is # 21. As hard as you may find it to believe, Toronto is a business dependent city that has been surviving the last 9 years as well. And they pull in a lot of immigrants that are low skilled. The highest electrical rates in at least Canada and the highest non sovereign per capita debt in the world have not helped the big sucking sound caused by jobs going to China, etc. Calgary's position on that list is a bit of a question mark. Their unemployment rate is getting close to 10%. So if they are # 2, I think there is something else going on there. North American salaries can't compete with the labour rates of the developing economies. Something eventually has to cave.
So you can continue to say you don't need public sector jobs in significant quantities, but all the current most successful economic areas are examples that the opposite is true. There is nothing else wrong with the economy of the area other than the fact that there is no recession/depression safety net like the one that public sector jobs provide. And that can only be cured by a different attitude than the historical neglect shown by provincial and federal governments.