If there ever was a reason to get the Ontario government out of the liquor business, this is it. While taxes on booze will drop on July 1, thanks to the introduction of the province’s new Harmonized Sales Tax, the price of your favourite poison will actually increase because — wait for it — the government doesn’t want to turn you into an alcoholic.
[. . .]
Actually, the whole modus operandi of the LCBO is counter-intuitive. At the same time that it preaches social responsibility, the LCBO inundates Ontario households with glossy brochures that take lifestyle advertising to new heights. The latest one cheekily invites customers to take “French lessons”, and features winsome couples in various states of embrace (hey, aren’t the French always making out?). A concurrent radio campaign features a sexy French-accented female voice extolling the virtues of Bordeaux. You get thirsty just listening to her.
Such campaigns are designed to make Ontarians drink more, not less, of course, funneling more cash into LCBO coffers and keeping its employees on the public payroll at juicy union wages. All fuelled by taxes and a staggering mark-up of 71.5% on that latest imported bottle which pairs so well with flank steak and frites.
This kind of hypocrisy is but one reason why the government shouldn’t be in the liquor business. The others include higher prices, less consumer choice, and the general inefficiency inherent in any monopoly business, whether public or private.
Tasha Kheiriddin, “Lower taxes, higher prices, courtesy of your local LCBO”, National Post, 2010-05-13
May 13, 2010
QotD: Because your government cares about your health
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