The Prime Minister tells us the recession won't be coming back, despite business confidence dipping substantially. I sure hope he's right. The "tax switch" will take $2 billion out of the economy in increased GST revenue and pump $4 billion back in decreased income taxes.
I suspect it will take some time for the changes to trickle through, and the retail sector is going to go backwards in the short-term. Expect flat retail sales for Christmas as everyone tries to avoid higher GST and keep more of their tax cut. That means more empty shops on Queen St, Broadway and Lambton Qy.