Study
| EST. READ TIME 2 MIN.Canadian Government Debt 1999
The purpose of this report on the public liabilities of Canada is to provide Canadians with an accessible account of the total indebtedness of each of the provinces and of the federal government. It is a reminder of the extent of our indebtedness, how jurisdictions compare both nationally and internationally, and how the national comparisons are changing as time passes.
Governments in Canada spend approximately 20 percent of their total revenues servicing the public debt. The total stock of direct debt fell from $853 billion to $850 billion between 1996/1997 and 1997/1998. The federal budget is balanced and most of the provinces currently, or will shortly, have balanced budgets. A constant or declining stock of debt and growing national income will release an increasing fraction of revenues from servicing debt and allow it to contribute to future budget surpluses. We face a future in which the impact of government debt upon the economy can be considerably reduced. For this optimistic future to be realized, it is essential that governments and taxpayers continue to support a regime of fiscally responsible conduct. There are constant pressures on governments to deviate from a course of fiscal propriety as the unlimited demand for government programs collides with a limited capacity to raise tax revenues.
The purpose of this report on the public liabilities of Canada is to provide Canadians with an accessible account of the total indebtedness of each of the provinces and of the federal government. It is a reminder of the extent of our indebtedness, how jurisdictions compare both nationally and internationally, and how the national comparisons are changing as time passes.
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Joel Emes
Senior Economist, Fraser InstituteJoel Emes is a Senior Economist, Addington Centre for Measurement, at the Fraser Institute. Joel started his career with theFraser Institute and rejoined after a stint as a senior analyst, acting executive director and then senior advisor to British Columbia’s provincial government. Joel initiated and led several flagship projects in the areas of tax freedom and government performance, spending, debt, and unfunded liabilities. He supports many projects at the Institute in areas such as investment, equalization, school performance and fiscal policy. Joel holds a B.A. and an M.A. in economics from Simon Fraser University.… Read more Read Less… -
Andrei Kreptul
Andrei Kreptul holds a Bachelor of Commerce degree with a specialization in Finance from the University of Alberta. Prior tojoining The Fraser Institute as an intern during the summer and fall of 1998, he worked as a client services administrator with Sun Life of Canada. In the last few years, Mr. Kreptul has had extensive involvement in public-policy issues as a participant in a number of seminars and colloquia sponsored by The Fraser Institute and the Institute for Humane Studies. His articles on public policy have been published in Next City, The Fraser Institute's Canadian Student Review and Fraser Forum.… Read more Read Less…
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