How will the parties stimulate the business sector of the economy? The Liberal party’s approach is to invest in people and research. They define “the best place to do business” as “a hotbed of research and innovation, a place that attracts investment and encourages new ventures” (Liberal Platform, p. 6). Specifically, they promise to create this favourable environment by spending “at least double” on Research and Development, while maintaining Research and Development tax credits, (p. 7), and by expanding “financing and business services for young entrepreneurs” (p. 13). This is all part of their policy package for developing a “Smart Country”. You can find out more about the Liberal’s “Smart Country” package and the policies of the other parties relating to technology and e-commerce in my article, ”Who’s Kissing the E-Commerce Baby?”

The NDP feel that the problem is that “small businesses and community-based non-proft enterprises don’t have access to capital they need” (Commitment to Canadians, p. 9). They claim they will solve this problem by expanding the BDC “so that capital can be made available for long-term investment in community-based business”, introducing “a new legislative framework so that democratically controlled financial institutions like credit unions” can play a greater role in community investment (p. 9), phasing out agencies like ACOA and redirecting federal funds to “broadly-based community economic development organizations” (p 10), and providing “investment, technical, and marketing support for entrepreneurs and community economic development groups” (p. 10).

The Canadian Alliance’s plan for creating a favourable business climate is mainly based on their tax relief measures, although their Economic Policy also states that they will ensure “a stable monetary policy”; support “essential national infrastructure in a non-partisan manner”; and encourage “medical and scientific research”.

Meanwhile, the Progressive Conservatives have chosen to target the problem of unemployment in seasonal communities. The Progressive Conservative Full Policy proposes introducing a two year Community Investment Pilot Program for seasonal communities with very high unemployment rates. The program would include “a micro-lending component to help establish new businesses or cooperatives, literacy and skills training, business and marketing advice. Funding will be redirected from within HDRC budgets.”

Summary

So what’s in this election for small business? It depends very much on how you feel about government’s role in business, and what specific business you’re in.

If you believe that government funding of research and development is important, and buy in to the Liberal’s strategy of investing in people and research to create a “Smart Country”, you’ll want to vote Liberal, especially if you’re a young entrepreneur, as the Liberals offer the most in terms of funding and programs for start ups by young Canadian businesspeople.

If you feel that government should not invest in research and development, that government interference in business should be minimized, and don’t care if there are any specific programs to encourage entrepreneurship, the Canadian Alliance is your party.

If you have a specific interest in community based economic development groups, or in starting a business in a “disadvantaged” part of the country, you may find the NDP or Progressive Conservatives appealing. Neither the NDP or the Conservatives, however, have any consistent overall strategies for stimulating the business economy.

This election, you need to ignore the daily gaffes of the leaders and the photo-opportunity posturings of various candidates and examine the policies of each party closely, to see what they’re actually offering Canadians. What will do the most for your bottom line? Is it general income tax cuts, a promise of investment, or a promise to eliminate interprovincial trade barriers? If you look at the party’s policies in terms of your needs, you’ll find something to vote for, rather than against. Then all you need to do is get out and vote on November 27^th, 2000, and let your voice be heard!

Have a Comment or Question? If you have a question you would like to ask, a topic you would like to see discussed, a favorite resource you want to share, or a comment you want to make, I'd like to hear from you. Email me at sbinfocanada.guide@about.com.