Nate Jackson / August 31, 2015

Think Canada Is a Model? Think Again.

Taxes outweigh the cost of living.

Some presidential candidates have pointed to Canada as a model for things like single-payer health care. (That would be Donald Trump, for those keeping score.) Of course, to keep a single-payer system running costs a lot of money, and that money has to come from somewhere. Or nearly everywhere, as it turns out. Reuters reports, “Canadians spend more on taxes than on food, clothing and shelter combined, according to a report released on Thursday, as increases in an average family’s tax bill have outpaced the cost of basic necessities in the last five decades.” The Frasier Institute report says the average Canadian family brings in about $60,000 (in U.S. dollars), of which 36% goes to cover basic needs and 42% is confiscated by the government. Fifty years ago, those numbers were 56% and 33%, respectively. Oh, and by the way, Canada is now arguably in recession. Call us old fashioned, but the new model doesn’t sound like the one best for America.

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