The recession of 2008-09 and the following global economic uncertainty have drawn people’s attention to the importance of sensible fiscal policy. With many Canadian governments currently mired in debt, sound fiscal policy is needed now more than ever to ensure the country’s long-term economic success. Sound fiscal policy requires that political leaders prioritize, not simply increase, government spending; ensure balanced budgets; and avoid imposing a tax burden so heavy that it becomes a disincentive for people to work hard, save, invest, and be entrepreneurial. The economic record shows clearly that these factors are necessary for a return to stable economic growth and prosperity.
This Fraser Alert is designed to help Canadians hold their provincial political leaders accountable for the relative performance of their fiscal policies. In this second edition of Measuring the Fiscal Performance of Canada’s Premiers, we provide an objective, empirical assessment of how Canada’s premiers have managed the public finances of their provinces and whether they have pursued sound, long-term economic policies.