The latest report courtesy of the Fraser institute appears to debunk the notion that Canada’s wealthiest one percent is gaining at the expense of the poor.
Over a 19-year period, the study showed income levels increased for most Canadians, with low income Canadians seeing their income levels jump much faster than those at the top of the income ladder.
Herbert Grubel authored the study and told AM640’s John Oakley show it’s “not fair” for Canada’s wealthiest earners to be taxed higher than their low income counterparts. “They are at an age when they have to pay for their families, their parents, their children and their retirement.” Grubel said. “Then the money they paid in extra taxes go to young people who have none of these obligations”.
The study finds 23-percent of Canadians considered low income earners in one year are no longer “poor” the following year.
As for high-income earners, Grubel argues the realty is most of Canada’s top one per cent of income earners are highly educated professionals and entrepreneurs who have invested heavily in their education. Their wealth is based on having achieved high incomes by providing people with goods and services they want.