Ly ANDREWS, N.B. (CP) — The Canadian govern- ment, locked into a system of automatically eecalating transfer payments to the provinces, has few options in ts fiscal management, says a diretor of. the Economic Council of Canada. . “The room for maneuvering in fiscal Management is narrow‘. indeed," said Dr. David Slater in a paper presented Monday to the sannual meeting of the Investment Dealers Ausociation of Canada. : “Canadian "government undertakings are more Indexed with’ -He said it would be unrealistic to expect an increase in the rate of per- ' Page 12, The Herald, Tweedy, May 39, 1079 Gov’t sai higher In Canada thes in the “tale United States, and Canadian savings decline. Business savings also are unlikely to grow faster than national deficits" would be hard to used. cut to free more money for investment. Forelgn in- keep deficits high. Premier Richard Hatfield of New Brunswick told the meeting that while economic activity in his province is growing, the growth rate has, yestment closely and unlikely to grow in proportion to’ total in- ‘vestinent. Dr. Slater forecast con- * is monitored tinuing pressure on govern: been sleirer thenhe would: will probably ments to spend more money on servicea and he said he was concerried by a new cost the growth of the peed te interven in ie vaillng gross ‘need to rvene ‘pre’ product. ternational money markets “Resistant government to stabilize currency DOW . " Onuing and These pressures would like because of national and © international conditions, . “Because of the rather difficult economic. situation in ‘the country “over the: last two or thres years and in ‘spite of con-- custained effort, it has pen iditfeult to en courage or new or et- panding industries to locate: . New Brunswick when there were so few. new it- - dustrial locations for - plant expansions in Canada." Pe tention in part capactiy ' ny he’ sees eee panto capa ‘the ngar fy view: of ee cotton for change which rt to day xt few years we iba Ptrnmaporta in cheula paced ing and tt capa on infrastructure fanless el a bree Companies | see taxes low here are now ont pigee f more emphasis, on * geet encouragement to. indus Brunswick's. economic Btrategy is currently Un- derway. ’ ST. ANDREWS, N.B. (CP) - —.A senior -officlal of ,the ° ’ federal. finance ~ department ‘says “Canadians ‘pay. only . - Sibeitly more personal in- ‘come tax. than residents of the United States and cor-. porate taxes In Canada are » algntficantly lower, T.. Neuféld, : “ ganlstant deputy minister of ” the tax policy and legislation branch of the department, | ' spoke bere Monday to the - antital, meeting of the In- -vestment ° Dealers Association of Canada. Canadian personal income taxes average 32 per cent of ” the’ gross domestic. Product, a. compared with about 30 _, cent in the U.S.,' Ne eid sald. The difference is more ‘than ‘accounted. for: by. the: ‘cost of ‘state-run’: medical’ “ care insurance which’ the © _ U.S, does not have, he sald. -Mos{ Canadian.taxpayers, * with the exception ‘of high in- - come earners who do not have working spouses, were "He sald a review ‘of New ito keep more of the ‘earded -: yere vaolpe making similar oe ’ amiounts in nthe U. & Neufeld. said. “Pop corporations, . the effective tax rate hhs been. five to six points lower in . Canada than ‘in the U.S., - mainly because of incentives * built vinto the ‘Canadian "system," “All industries | except transportation, com- munications, utilities. and wholesale trade enjoyed a ~ lower rate in Canada than in the U.S. In 1973,,.. The tax “rate In manufacturing was He] percent lower. in Can- ‘Neufeld sald that necause ‘the two tax systems . are ‘different, comparisons are _Septons and striking .. ex- ons can be found. average of 111 tax _ amendments - have been a id ty : ” departments have been etek firms ment important ¢ source grow cont significant part of this complexity in the result of in- ntives for particular ac- > tivities and preferences. for . certali sectors,"’ he said. . "So we face a difficult tradeoff between minimizing tax complexity and using the - taxsystem to achieve a wide range of rather specific ‘objectives. . - Greece is in the market ‘now oe '- ATHENS (Reuter) — - Greece formally signed with the European Economic Community’ on Monday: a. ' treaty. of accession which will make It the Common Market's 0th member in . . 1061, ‘Watched by premiers and "foreign ministers from the other Market countries, Greek Premier Constantine - ’ Caramaniis signed: the freaty in the marble Zap- peicn hall in-the shadow of the 2,500-year-old Acropolis, -French President Valery ‘Giscard D’Estiang signed: the treaty of accession ‘on . behalf of ‘the community, _ Also present were the prime ministers of Belgium, Italy, ‘Ireland and Luxembourg - _and the foreign ministers of - Britain, Denmark, ° the " Netherlands and West Ger- many, The two main opposition : parties in Greeca, the Pan- ” Hellenic Socialist Movement of Andreas Papandreou ‘and the pro-Moscow Greéek Communist party, both refused to attend the signing, They claim Greece will be... subjugating itself to atrong ' monopolies and cartels inthe .- other Market countries by. jolning the community,” | ()) perstan 70 aD Keep Canada - Beautiful .