Canada's sagging economy took centre stage at this week's federal debate on Hamilton Mountain as incumbent Chris Charlton led off by attacking her rivals' prescriptions for steering the country in troubled times.

The NDP MP accused the governing Tories of offering more of the same with $50-billion in corporate tax cuts that will do "nothing to stop the hemorrhaging" of well-paying manufacturing jobs.

Her party will cancel the cuts and use the money to invest in job creation, infrastructure and green industry, she said, charging the Liberal platform will meanwhile cost $38 billion more than either the NDP or Conservative plans.

The Liberals will have to rely on their Green Shift plan's carbon taxes to make up for the shortfall, Ms. Charlton told a sparse gathering at Hill Park Secondary School.

"Not only does that mean the carbon tax won't be revenue neutral as they claim, but greenhouse gases would actually have to go up to cover the cost of their promises," she said.

"It's bad for the environment; it's bad for Canadians. No wonder (Liberal leader) Stphane Dion has stopped talking about carbon taxes."

But Liberal candidate Tyler Banham said his party is offering a "prudent and responsible" platform that will cut overall taxes, reduce carbon emissions and provide money for job creation and green technologies.

A $70-billion national infrastructure program will invest in roads, sewers, recreation facilities and other municipal needs, he said.

"Two and a half years ago, Hamilton had one of the lowest unemployment rates in the country. We can be there again," said Mr. Banham, who accused the Tories of squandering budget surpluses left by the preceding Liberal government.

The labour lawyer said the Conservatives have chosen to give companies developing Alberta's oil sands $8 billion in tax breaks rather than maintain a $3-billion rainy-day fund for unexpected crises like the SARS outbreak.

"They're already wealthy," he said of the oil companies. "They don't need tax breaks."

But Conservative candidate Terry Anderson said Prime Minister Harper has provided strong economic leadership and now isn't the time for "a risky" carbon tax or to "spend billions of dollars on government programs we cannot afford."

Corporate tax cuts create the environment for job creation, he said, including by providing money for research and development.

The former Ward 7 councillor said although the ongoing financial upheaval in the United States and global stock markets is a concern, Canada can "weather the storm" because of its record of balanced budgets, reductions in the national debt and positive tax climate.

"We are the one country that has not had the difficulties that the other countries have had," Mr. Anderson said.

"All the experts make it very clear that our banks are not in the same situation as the American banks. Our regulations are in place to ensure that doesn't happen."

But Green Party candidate Stephen Brotherston said Canada will likely be hit with a recession as a result of the turmoil south of the border and the Conservatives have left "no room" to deal with the problem because of large tax cuts.

"Further tax cuts will likely mean the country will be in a deficit or a very, very risky situation," the retired business owner said, agreeing oil companies don't need tax breaks.

"The oil sands is the one area of the country that is keeping our dollar high and our interest rates higher. We need to slow that down."

Mr. Brotherston said his party will use carbon taxes to eliminate income taxes on people earning $20,000 or less and dedicate one per cent of the GST to infrastructure and green technologies.

"Right now these jobs are ending up in places like Michigan and Europe," he said. "We've got to change that."

"All the experts make it very clear that our banks are not in the same situation as the American banks." - Terry Anderson