Stephanie Kelton, in her book The Deficit Myth, maintains that government deficits don't matter. She's wrong
By Morris Dorish Research associate Frontier Centre for Public Policy Author Stephanie Kelton’s main point in The Deficit Myth is that federal deficits are not only harmless but highly desirable as devices to accelerate economic activity and resolve economic inequality. She’s wrong. Government finance is not like other finance, she maintains. Governments are issuers of…
The government must craft a credible short-term plan to eliminate the budget deficit
By Steve Lafleur and Jake Fuss The Fraser Institute The Ford government released Ontario’s 2020/21 third quarter fiscal update last week. As expected, the numbers were ugly. The Department of Finance now anticipates a $38.5 billion budget deficit for this fiscal year. Moreover, the Financial Accountability Officer projects that while the deficit will decrease substantially…
There’s only one way for Albertans to get a fair deal in Canada: fight for it
Prime Minister Justin Trudeau has made one thing clear: he’s not going to hand Alberta a fair deal on a silver platter. There’s only one way for Albertans to get a fair deal: fight for it. The next step in our fight for fairness is this year’s equalization referendum. The equalization referendum on Oct. 18…
A growing class divide between those who receive a government paycheque and those who pay it
Last year was a surprisingly good year financially for Alberta bureaucrats, unless you were one of the unlucky rubes who doesn’t work for the government. Even though the private sector was shedding jobs by the thousands, many Alberta bureaucrats received pay raises during lockdowns, courtesy of Mr. and Ms. Taxpayer. If that doesn’t seem fair…
As Canadians watched this week’s presidential inauguration and the immediate aftereffects (which include a scuttled Keystone XL pipeline), many wonder what a Biden administration will mean for Canada. And for good reason. A dramatic change in governance in the United States will likely have significant implications for Canada so Canadian policymakers in both the private…
The good news? Pandemic under control. The bad news? Very slow growth, high debt, higher taxes, high unemployment
The future is imaginary, said philosopher Baruch Spinoza. We don’t and can’t know what will happen in the future and last year certainly demonstrated that. Nevertheless, the desire to see what the new year will bring always overcomes the future’s inherent mystery. We peer into our crystal balls and bravely prognosticate, knowing full well that…
Our politicians are asking Albertans to make massive sacrifices, but most don’t seem willing to make the same sacrifice. Premier Jason Kenney recently announced that Alberta will be heading into its second lockdown and specifically spoke to those it would hit hardest. “I know how devastating today’s announcement and these measures are for tens of…
Dedicated CBC radio listener that I am, it was hard to hear through the why-everyone-in-Alberta-is-going-to-die narrative that launched the national morning news throughout last week. But thanks to my heritage, I have an ear for loose change. In her fiscal update, federal Finance Minister Chrystia Freeland tossed a happy-hour special onto the bar of the…
By Jason Clemens, and Milagros Palacios The Fraser Institute Since its election, the current federal Liberal government has consistently demonstrated its disinterest in targeting spending to those in need and limiting debt accumulation. Despite expected deficits of $381.6 billion this year and $121.2 billion next year, and that the national debt (adjusted for financial assets)…
By Jason Clemens and Jake Fuss The Fraser Institute Since coming to power in 2015, Prime Minister Justin Trudeau and his finance ministers have characterized their management of federal finances as “prudent,” an adjective meaning to act with or show care and thought for the future. Acting prudently would mean being judicious about borrowing and debt.…
By Morris Dorish Research associate Frontier Centre for Public Policy Author Stephanie Kelton’s main point in The Deficit Myth is that federal deficits are not only harmless but highly desirable as devices to accelerate economic activity and resolve economic inequality. She’s wrong. Government finance is not like other finance, she maintains. Governments are issuers of…
