Government Spending

A Review of Electric Vehicle Consumer Subsidies in Canada

— Oct 31, 2023

A Review of Electric Vehicle Consumer Subsidies in Canada finds that government subsidies for electric vehicle purchases are an extremely costly way to try to reduce greenhouse gas emissions in Canada.

Missed Opportunity: Federal Spending Increases Prevent Real Tax Relief for Canadians

— Sep 14, 2023

Missed Opportunity: Federal Spending Increases Prevent Real Tax Relief for Canadians is a new study that finds had the federal government self-imposed some meaningful spending restraint since 2015/16, it could have provided $18.7 billion of tax relief to Canadians while running a surplus of $4.6 billion this year (2023/24).

Spending Growth Is the Cause of BC’s Coming Debt Boom

— Aug 10, 2023

Spending Growth is the Cause of BC’s Coming Debt Boom is a new study that finds from 2000-2017 per person program spending in BC increased by 8.4 per cent (adjusted for inflation), but more recently, and in a much shorter time period from 2017 to 2022—even excluding COVID spending—per person spending increased by 25.9 per cent.

New Brunswick’s Divergent Finances: A Possible Opportunity for Tax Reduction

— Aug 10, 2023

New Brunswick’s Divergent Finances: A Possible Opportunity for Tax Reduction finds that as a result of the New Brunswick government’s recent spending restraint, the province is now positioned to introduce meaningful tax relief, which if current government revenue and spending growth continues, could reach over $3,600 per taxpayer by 2032/33 without jeopardizing the province’s balanced budget.

No Sign of Significant Debt Reduction or Tax Relief in Ford’s Spring 2023 Budget – It’s All Spend, Spend, Spend!

— Jul 5, 2023

No Sign of Significant Debt Reduction or Tax Relief in Ford’s Spring 2023 Budget—It’s All Spend, Spend, Spend! is a new study that details what the current Ontario government could have achieved in terms of lower taxes, surpluses and debt relief if it had maintained the spending levels of the previous Wynne government. Instead, the current government has increased spending by $9.5 billion above the average (inflation adjusted) annual spending of its predecessor, and is forecasting a $1.3 billion deficit this year.

Fiscal Waste During the Pandemic in Canada and the United States

— Jun 27, 2023

Fiscal Waste During the Pandemic in Canada and the United States is a new essay in the Fraser Institute’s series on the COVID-19 pandemic. It finds that the total cost of the Ottawa’s wasteful COVID spending—money that was poorly targeted or sent to ineligible recipients—will eclipse $110 billion by 2032/33, partly as a result of higher debt interest costs. In the United States, the total cost of wasted COVID spending will exceed $1.5 trillion over the next ten years.

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Recent Government Spending Commentaries and Blog Posts

Spending sprees by governments across Canada help fuel inflation and high interest rates

Jake Fuss, Grady Munro

Appeared in the Ottawa Sun, December 6, 2023

Between 2024/25 and 2027/28, the federal government has increased projected spending by $30.7 billion more than previously forecasted.

Saskatchewan’s surprise deficit should serve as warning for Alberta

Tegan Hill

The provincial government revised its $1.0 billion projected budget surplus to a $250.5 million projected deficit.

Ottawa’s red ink leaves little room for defence spending commitments

Alex Whalen, Jake Fuss

Appeared in National Newswatch, November 25, 2023

The federal government wants Canada’s military to cut $1 billion from its budget.

Federal government points to misleading debt rankings to justify debt explosion

Jake Fuss, Grady Munro

Appeared in Business in Vancouver, November 23, 2023

In reality, Canada’s government debt is high relative to other comparable countries.

Federal government maintains high levels of spending and abandons fiscal anchor

Jake Fuss, Grady Munro

Projected federal spending from 2024 to 2027 is now $30.7 billion higher than previous forecasts.

Federal government poised to pile on more spending and debt

Jake Fuss, Grady Munro

Appeared in the Financial Post, November 16, 2023

Since 2014/15, federal government debt interest costs have nearly doubled.

Quebec’s tuition hike punishes out-of-province students, rejects spirit of federal cash transfer

Grady Munro, Jake Fuss

Appeared in the Toronto Sun, November 2, 2023

The province will receive an expected $1.37 billion from the Canada Social Transfer in 2023/24.

PBO report underscores Ottawa’s irresponsible spending spree

Jake Fuss, Grady Munro

Appeared in the Toronto Sun, October 18, 2023

Federal spending in 2023/24 will increase by $5.6 billion more than the government’s previous projection.

Time for governments to boldly reduce government spending

Matthew Lau

Appeared in the Toronto Sun, October 4, 2023

There’s nothing peculiar about letter delivery, trains, television and radio programs, or alcohol sales that justifies governmental operation.

Prime minister’s threat to grocery chains won’t solve food price problem

Jason Clemens, Milagros Palacios

Appeared in the Financial Post, September 21, 2023

A serious approach to food inflation would focus on reducing costs to producers and encouraging greater supply.