Let's grit our teeth and stay tuned

The 2009 Canadian budget probably makes many of us cringe and cry foul. I am no economist, but red ink is red for a reason, and deficits are a Tory's worst nightmare. Stephen Taylor, however, puts the issue into perspective far better than I ever could.

At gunpoint one can choose a honorable death while making a brave last stance or try to save one's own neck. Having missed a great majority opportunity in October, the Tories would have probably been destroyed at the polls had they delivered a designed-to-irritate budget. A paradigm shift occurred in the Cabinet (at long last, in my opinion), abandoning childish poking at the opposition and embracing a more mature form of legislative action.

Looking through some provisions of the Budget I noted, naively maybe, a definite conservative streak. The support for the forestry sector, for instance, is heavily focused on innovation rather than just temporary support. FPInnovations is no union-dominated morass seeking a bailout. Homeowner incentives are geared towards consumption (spend and thou shalt receive).

I have a qualm regarding social housing investment. Surely once completed it will allow the low income earners and pensioners to reduce their rent costs. However it may also create ghettos, with the risks associated with social housing estates in the long run for the community. I would have preferred support for people to maintain their current status as tenants, with allowances for moving to less expensive properties. However removing tenants from the rent market may spell disaster for estate companies and buy-to-rent landlords, who will find themselves with no rent income and a depreciated house. Social housing estate-induced community deterioration could be avoided with eventual ownership prospects, so occupants will be encouraged to maintain a neat, safe and attractive environment. If you're going to own it, you'll want it kept nicely.

Ultimately, it is a gritted-teeth Budget. We have not succumbed to the hand-out mentality of the Liberals and expect more from the money we pour into the economy than mere continuation of the status-quo. We are sending out a message that reads "if you wanted to invest or buy, the time is now". Admittedly, we couldn't do more.

This is a Budget which has Canada's present and future at heart, and a good campaign Budget too. Should the Liberals decide to vote it down they will have to bear the ire of voters who would have taken advantage of the stimulus provisions. And there's definitely more of those than coalition fans. One never knows, Jim Flaherty and Stephen Harper may yet turn out to have delivered a political masterpiece and a great economic experiment.