Manitoba's top politicians are torquing the debate over subsidies for Schneider into a question of fairness and equality. The $9.2 million package by the province and the city is a rotten deal for Manitoba taxpayers.

"A level playing field" was apparently all that was at stake. But how level is the field for the tens of thousands of Manitoba businesses that pay through the nose in taxes but get nothing in subsidies? If government is to be even-handed, then every Manitoba business should be awarded a taxpayer concession - a proposition that would surely bankrupt the province.

Some groups, environmentalists for example, describe the subsidy package as an NDP sell-out to business. But the act of pillaging the productive private sector and redistributing the fruits of its labour to select businesses is a classic case of socialism for the rich. Economist Milton Freedman understood that a true free enterprise economy is the only way " to keep the [so-called] capitalists from having too much power."

The pork-barrel handouts lead one to conclude - not unlike Orwell's Animal Farm - that all businesses are equal but some businesses are more equal than others. The two-tier tax system confers tax breaks and grant privileges to select businesses while ordinary taxpayers are saddled with a lopsided burden of shouldering the cost of government services.

Winnipeg Mayor Glen Murray says the deal must provide "a net benefit to the taxpayer." How thoughtful of the Mayor to look out for the little guy.

What's puzzling is how does the average taxpayer benefit in any tangible way by subsidizing Schneider? Do they get any corporate dividends? Usually not.

Will taxpayers pay less at the super market for Schneider meats? Not likely, since subsidies tend to distort the market, erode productivity and drive prices up. But given the choice, most consumers will end up buying their bacon from the major pork processors. After all, they already paid for it with their taxes once before in subsidies.

Will property and business taxes be affected? Yes, because a subsidy or tax break for one business comes at a cost to the other businesses and individuals in the same property tax base. A tax cut or subsidy to Schneider makes it all the more difficult for governments to say 'no' to the growing queue of businesses expecting the same privileged treatment. Broad-based tax relief for property and business is the first casualty.

A "net benefit to the taxpayer" is realized only when the city issues lower property tax bills this year than last year.

You can't fault Schneider for trying to wring concessions out of our politicians. Their job is to maximize shareholder earnings. Besides, they were right to demand lower property taxes and utility charges. They are grossly too high. But everyone should share in the same fortune.

To the Premier's credit, the province's package for Schneider is $4 million less than the amount the last government gave to Maple Leaf, but still $7 million too expensive. It's like pulling taxpayers' bacon out of the fire - only to put it back in the pan.

Government has no business singling out select businesses like Schneider to keep their production costs competitive. Leave that to the free market. But our top politicians seem to have put more faith in the dead hand of corporate welfare.

Government cannot successfully build an economy on taxpayer handouts and concessions. The city and province should adopt an economic development strategy that attracts business based on lower taxes and utility charges for all Manitobans.

Prior to the election, the NDP committed to erasing $20 million in business subsidies. Now the Premier wants an inter-provincial trade agreement to outlaw corporate welfare altogether. With the Western Premier's meeting scheduled for May, Manitobans will hold the Premier to his promise.