Your Food Costs More Because Government is Taxing it More
The government illogically continues to deny that the carbon tax affects food prices.
Think about it from a common sense perspective. If you tax the farmer, tax the trucker, tax the processor, tax the distributor, and tax the retailer – those taxes are going to get baked into the final price.
And the proof can be found at the food banks. Last year, food bank use rose to over two million monthly visitors, up 32% year over year. This year that increase is expected to be an additional 18%.
The April 1st increase in the carbon tax by 23% is very likely to cause another uptick in the inflation rate, and that in turn will discourage the Bank of Canada from dropping interest rates.
Remember that this year’s inflation rate is over and above last year’s inflation rate (as it is measured year over year). Last year’s inflation is already baked into the base number, so when the government trumpets a lower inflation rate, it really means that prices are rising a little less quickly than last year. But they aren’t falling.
This carbon tax needs to be repealed.
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Review the Official Hansard transcript.