Analysis · Debate reply · beta

Jean-Denis Garon

249 words · 13 sentences · 16 clauses

Replying to Jim Bélanger (Conservative)
“Mr. Speaker, my impression is that we do not share a common understanding of the situation. If I understand correctly, the question is whether tax rebates go directly to consumers. My understanding of the oil market is that the base price is determined by New York Harbor and by global market forces. Then taxes are added. For each distribution centre, there is a base nominal price on oil that is set every day. Various applicable taxes are then added, followed by the GST. In my opinion, yes, the savings go directly to consumers.”
Statement grade
B–
71 / 100, held down by Relevance
A score under 50 is red. Choose a measurement to see where it lost points and why; choose it again to clear.
Reasoning 32%The question 3%Claims 56%Aside 9%

This view breaks the statement into its steps and names what each one does.

Mr. Speaker, Reasoning · 34 wordsmy colleague is right.Off point This market has a unique structure. The question is not whether the GST and QST are added. The question is what the price would be if there were no taxes. The question · 7 wordsDoes the member understand what I mean? Claims · 115 wordsThere are statistical methods for determining whether, when a tax is imposed, the producer has passed it on to consumers or whether the producer has absorbed part of it by lowering their own price before tax.1 On the CBC website, there is an interesting map where people can see the gas stations in a given neighbourhood.2 For example, I can see that, in my neighbourhood, in my riding, some gas stations are charging five cents more a litre, whereas others are charging six cents or three cents more a litre. There is some leeway because retailers know their customers, especially in agricultural areas, and supply and demand plays a role in the final retail stage. Reasoning · 46 wordsWhen we are talking about five cents or four cents on diesel and 10¢ on gas, retailers at the final retail stage definitely have some leeway to assess the situation and they may not lower the price by an amount equivalent to the excise tax discount.3 Claims · 24 wordsThat is what the data show, that is what we are seeing in the United States and that is what we have seen historically.4Partly on point Aside · 23 wordsI would invite my colleague to take an economics course. He is shaking his head no, Asidebut I think he could use one.Mockery

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