Government Spending & Taxes

10:12AM
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It’s easier for governments to increase spending than bring it back down

Governments can find themselves at a new baseline spending level far in excess of revenues.


1:31PM
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Higher interest rates associated with government borrowing act like an implicit tax

Default risk and exchange-rate risk increase for foreign lenders as they increase their holdings of any government’s debt.


9:36AM
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Ontario’s mini-budget shows provincial deficit will increase

Provincial government debt-service costs are set to reach $13.2 billion this year.


6:36PM
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Trudeau government plan would have undermined Opposition ability to hold government to account

The principle of no taxation without representation is central to the concept of democracy.


10:19AM
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If history is any guide, COVID-19 will transform Canada in heretofore unknown ways
When the First World War began, there was no expectation that it would spawn an entirely new tax system.

3:42PM
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Trudeau government’s COVID-19 fiscal response avoids major mistakes

Ottawa will spend up to $27 billion supporting individual Canadians and businesses.


5:48PM
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Alberta budget includes relatively small spending reductions

Alberta saw spending reductions of 20 per cent during the reforms of the 1990s.


11:18AM
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Throne speech ignores realities of federal finances

The unemployment rate rose to 5.9 per cent, in the biggest one-month jump since the 2009 recession.


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