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“If the government wants to expand the economy forcefully, it will cut both corporate and personal income tax rates significantly,” said David Rosenberg, chief economist and strategist at Toronto-based Gluskin Sheff + Associates Inc.

A four per cent cut in the corporate tax rate would be “doable and at no cost” if the government backed off other “pet projects,” Rosenberg believes.

Government finances suggest there’s room for some cuts, Porter said. The deficit is running at $9 billion below the projected $18.1 billion for the current fiscal year, and though that will adjust in the coming months, it’s unlikely to blast above projected levels, he added. That in mind, tax cuts might provide just the gentle stimulus the slowing economy needs.

But that doesn’t mean it will happen.

“There’s certainly a case to be made for cuts, I just don’t think it’s on this government’s agenda,” Porter said. “I wish I were wrong because personally I think the number one priority is still to strengthen our competitiveness. But I don’t think so.”

What’s more, the Liberals are already facing criticism for abandoning a pledge to run annual shortfalls of no more than $10 billion and eliminate the deficit by 2019 in favour of lowering the net-debt-to-GDP ratio. And though the debt-to-GDP ratio has been “gently” declining, a broad-based tax cut could derail that, Lavoie said.

“To cut taxes, the government will need to show a debt to GDP ratio going through the roof and I don’t think they want to do that with the economy now going the wrong way,” Lavoie said.