PAGE 8, WIIITY FME PRESS, WEDNESDAY, MAY 8,1991 Worries expressed about udgt efict By Milce Kowalsi Last week's Ontario budget has received an overal thumba down» fromn local officiais. With a couple of obvious oxcep- d tons, those surveyed by The Free Press feel Treasurer Floyd Laughren erred in adding a record-setting $9.7 billion te Ontario's accumulated debt. * They question the New Demo- * cratic Party governmont'a deci- sien te, spend its way out of the economic malaise 110W gripping the province. Ini 1991-92, Ontarie's firet socialist goyernment will spend $52.8 billion in a bid te fight the recession. For overy dollar collected in provincial tex this year, about 12 cents will be spent on interest on the deficit, wvhich will jump almost 330 per cent fromr the current $3 billion. * The record $9.7 billion deficit, triple the former Ià beral govern- ment's total of last year, wil make Ontario's overaîl debt a staggring $5 1.7 billion. Witby Chamber of Commerce president Bob Stanley found few Positive signa in the gevern- ment's maiden budget. His initial impression waa that the budget is just thé opposite of what is required, but upon dloser * examination, "It's a lot worse than I anticipated,» said Stanley * For exemple, Stanley feels th eonent a decision te «law- back» a _porcentage of small busi- ness deductions is essinine. «Selbusiness is one* area you look at te croate jobs, basi- cally it's an 11 per cent tax incroase across the bo,4rd,» said Stanley. Even tbough lho disagrees with Leugbren'a 'strategy» of fighting the recession with more apend- ing, if it must occur, thon .Laugb- ren is going about it the wrong wey, Stanley said. Every single thing they did doesn't *meke sonse, teees nothing to stimulete the ecenomy,» said Stanley. Although provincial funding of capital pocts will increase $*1. 09 b ili'îon'e$4.29 billion, Stanley said this is not suffi- cient.- Hosaeid most' of the deficit comes from increesed operating costs (including *soft services aucb as social assistance) which will jumnp to $48.4 billion from $43.3 billion last year. Stanley said that if Laugbren wented te' buck tbe fiscal re- straint policies new practised by Ottawa and the other provinces, hoe bed an bistorical precedent to follow. During the 1930s, United States president Franklin Roose- velt'a «New Deal" prograin of massive government spending helped pull t bat country eut of the Depression, said Stanley. "Ho built roads, bospitals, bridges ... I tbought the NDP, being a socialiat government, niigbt do the samne. %ut tbore's little money for public worka, be's createdebugog., deficit and is doing notbing witb it. Most of it is going te social services."» Stanley said there is no justifi- cation for Leaugbren increasing Ontario's accumuleted debt from $40 billion te *51.7 billion. Even tbough Ceneda's deficit has aise grown during the Mul- "We- will have a massive debt to pay off for the rest of our lives", roney years tney said there is a distincet di er n e Ottewe's debt is rising due te côsta incurred in paying off the deficit, it is net the reut of new spending, seid Stanley. «r one province in North America te figure it will turn the econ9my around, I don't know how'tbey will do it. Everytbing in it is ageinat growth.» Stanley said tbe budget does not follow any semblance of l ogic. «They>re not figbting tbe reces- sien, tbey're keeping it geing. We will bave a massive debt to pey off for the rest of our lives." Stanley said Leughren mey regret extending the controver- siel «gas guzzler» tex te cever more vehicles. The tex is besed on a slicling scele fer fuel-inefficient cars. It ranges from $200 for cars tbat use 8.5 te, 8.9 litres per 100 km. te *7,000 fer cars under 18 litres per 100 km. Some modela ef the Oshawa- built Buick Regel and Chevrelet Lumina are being hit for the firat tume. Although ho is not ageinst the tbr Cali now to book your appointment for a FREE consultation. BE VEB [Y HEIX 223 BROOK.ST. N. WHITBY 666-5050 OSHAWA 436-2122 philosophy behind the tax -- pro- tecting the onvr*onmont and con- serving ener . --' Stanley said it should ba pjfec!derenitly. «Why flot malco fuel-efficient cars tax-free? Evontho smallest, fuel-efficient caris have some kind of tax." Sta2nley. agrees with $7,000 being alapped on'a Rolls-Ryce, for example, but: draws the lino at hîtting the ;average North- «Thirty-oe miles, per gallon is not really a gas guzzler, that's flot too bad at all. Durham Centre MPP Druni- mond White, not surprisingly, defended his government s budget. "I don't think people sbould be dipagppointed with it at ail," said "ltes a socially and economi- cally esponsible bdget.» Wiepointed to additional funding for pay equity, measure . to combat wife assault and sexual violence, and creation of an employeo wage protection fund." HoeeBd theso progranis cost mono ýut challenged critis to point out which onea are not needed. .White alsodismissed business criticism, thet Laughen erred i addinq another $9.7 billion te. Ontario's accumulated debt. "I didn't hear 'theni saz that about the federal deficit, said White, who strossed that even without ne w progranis tho debt would still have grown. *U Simply te maintain the ser- vices Wo' already had it would havo been an $8.2 billion doficit,'ie said WVhite. According te White, there wero two strikes againat Le'Lughren even before ho started. SA' récession fuelod by. tho federel government's economic policies and a reduction in trans- fe ayenta froni Ottawa te the provinces te assist i heelth, education and social assistance paymenta. «Foderal cutbacka are coating us $1.5 billion up front ana another half-billion te, corne,» a&id White. "The federel deficit is passed on -te the provincial jgovernment and thon they complain when wo assiat workors, who lose jobs because of free trede and layoffa.n SEE PAGE 9 Stores are 'Side by Si de' Sheila Loney, owner of Sheilas Hous of Fashien, bas openedi another store in Pearson Lanea. 'Side by Side,'9as the name suggests , ia ocated next te, Sheile's 'in the former Illey Endurables location. While many of the clothing linos werekept in place, Side by Side has eddod a larger selection ef "dressy" casual wear for mon and women. Quality professional service is the key te, a succesaful business, according te Loney. "We fbave even acoepted re- turna from people who purchasod items frem the provious ewner- ship" Loney said. "We don't bave te but we want te impresa te, our custemers tbat we care.' The window bas been professionally dressed, and staff have been carefully selected te, provide service. tbat today's eus- tomera demand. Every reprosentative bas knowledge of the designers and their clothes. Side by Side aIse effers the complote package in t ho upsale look of fashion wear. While many people enter the store net realizing it bas cbenged ownersbip, . visitera are impressed with clothing offered. the varietyof Sheli dealers' hold fundraiser Seil dealers from Oakville te O)shawa will donate, two -conta from evely litre of gasoline seld Frday, May 10 te Sick Cbildren's Last yeair, at a similer - customer appreciation day, 175' participeting dealers reiSed $35,000. They hope te top that. this year te belp Sick Kids meet'its $2.3 million goal. 'Business After Hours' ,on May 29 The iVitby Chamber of Com- merce will hold,.'Business After Hours,' a displey by local buainesses, on Wednosay, May 29, 6 te 9 p.m., etHeydensbere Pavilion. Jecksons' Touch of Clasa is sponsor of the event. Admission is free. Ail are welcome. 4Jones, Gable & Co. q-Ltd.,* Investment DeaLers, JONES, GABLE.& COMPANY LIMITED I 111 BROCK ST. N., WHITBY - LI N 4H3- (416)430-.2252I