Short Summary:
Quebec’s population is aging and the pressure on public spending, especially that of the Health Ministry, requires significant funding. In the coming decades, the aging of the population will lead to slower economic growth and consequently, slower growth in government revenues. This text explores how changes in taxation, at zero cost today, could help lessen the slowing growth in revenues for our governments. After analysis, it appears that a shift from income taxes to consumption taxes would make it possible to generate long-term autonomous revenue gains for the Government of Quebec (over a 40-year horizon).
Publication Authors: Bertrand Achou, Yann Décarie, Luc Godbout, Pierre-Carl Michaud, Julien Navaux and Suzie St-Cerny.
Number: 21-02
Year: 2021