It is refreshing to see that Canada's national newspaper supports government spending in infrastructure and community services as a way making sure that we are competitive in our ability to attract business investment. An editorial in todays edition points out that Canada already has one of the most competitive business tax rates among G7 nations and cautions against assuming that lowering tax rates further will entice more business investment.
They cite a KPMG report that says, among other things:
On average, companies say that tax makes up only one-fifth of their "location-sensitive" costs
The Globe editorial points out the need for government investment, supported by a strong tax base, in things like transportation infrastructure and health care. They also mention quality of life indicators like crime rates and public schools.
There are other things that need to be added to this list of features help business to attract and retain employees. These include affordable housing, childcare, and the myriad of services that result in healthy, livable neighbourhoods. These also require substantial government spending and are investments in strong and prosperous communities.