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Swift pointed to two reasons why | the current jobless recovery is taking place. "First of all, official statistics don‘t reflect what‘s happening. For example, consumer spending has increased, but the government funding tax base has decreased. The reason for this is the growing underground econâ€" omy which threatens the livelihood of businesses and individuals. And once people become accustomed to doing business underground, they don‘t go back to declaring income." The second reason for this jobless recovery is that the policies enacted by government have penalized employâ€" ment. "Contributions towards Canada Pension Plan and Worker‘s Compensation have risen, which has dramatically increased the cost of employing extra persons," Swift explained. "There has also been an explosive growth of homeâ€"based busiâ€" nesses because of increased taxes and regulations for businesses on separate premises." Trends small and mediumâ€"sized businesses should be aware of low interest rates which Swift predicts will remain low; a low inflation rate which "Proponents of higher corporate taxes believe corporate income tax is the only tax paid," said Swift, "but there are payroll taxes, sales and local The federal government must freeze unemployment insurance rates, change the GST and allow small busiâ€" ness more access to capital, according to Catherine Swift, senior viceâ€"presiâ€" dent of administration with the Canadian Federation of Independent Business. She made the observation Tuesday at a special Mayor‘s Business Breakfast. The two major impediments busiâ€" nesses have to face, according to Swift, are tax burdens and the jobless recovery, which she attributes, in part, to the explosion in underground ecoâ€" nomic activity. taxes, which means smaller and mediâ€" umâ€"sized businesses face higher tax levels than their larger counterparts." By SHELLY SANDERS GREER Special to the Beaver Canadian Federation of Independent Business believes Ottawa must give small business a break has been achieved at a great cost to the Canadian economy; and a more comâ€" petitive dollar which has meant a slowing of crossâ€"border shopping. One of the strongest concerns facâ€" ing the business community is the high ratio of offshore debt. "Over 30% of our national debt is held outside the country," said Swift. "This limits room to manoeuvre from a policy perâ€" spective. A principle objective has to be getting a grip on finances so we don‘t increase unemployment. A "What we have to say to governâ€" ment is don‘t just do something, stand there," Swift said. "A back to basics government is long overdue. The silâ€" ver lining in all this, however, is that many Canadians realize we can‘t vote every fourth year and ignore what‘s in between... There are a lot of reasons to think some progress is feasible if there is the political will to go through with healthy job climate won‘t prevail until we have a healthy debt situation." * SHELVES * WOODEN TOYS * STORAGE CHESTS * BLANKET BOXES * DEACON‘S BENCHES * GRANNY TRUNKS READY â€" TO â€" FINISH FINISHED FURNITURE * ROCKING CHAIRS * SPOON RACKS * WINDSOR BENCHES * CORNER CABINETS * SECRETARY DESKS * WARDROBES * BOOK CASES * ARMOIRES * ENTERTAINMENT UNITS * DRESSERS * ROLL TOP DESKS * TABLES CHAIRS CUSTOM ORDERS FINISHING AVAILABLE 825â€"9665 2425 MARINE DR OPEN SUNDAYS WE DELIVER TO HALTON PEEL