5 Billion added to deficit

Topaz · November 13, 2012

Adding 5 billion more to the deficit which will climb to 26 BILLION and this is because the minister says it the global slow down. So where did they spend this 5 billion, I think Canadian should know. http://ca.news.yahoo.com/deficit-rise-5-billion-26-billion-flaherty-170948760--finance.html

cybercoma · November 13, 2012

That's only a 25% increase from the projected deficit. That's the stable part of the CPC majority at work.

It's the "world economy" that's eroding government revenues. Pay no attention to all the tax cuts and credits behind the curtain.

Edited November 13, 2012 by cybercoma

Smallc · November 13, 2012

It is though, though, the economy that has changed the forcast, and not the tax cuts.

Canuckistani · November 13, 2012

Yep. When revenues go down, it's the fault of the world economy. When they go up, it's because the conservatives are such good managers of the economy.

Smallc · November 13, 2012

You won't hear that from me.

Canuckistani · November 13, 2012

OK. Certainly the CPC will make that sort of argument, but to be fair, so would any other party in power.

Flaherty says he has contingencies in place for the US fiscal cliff and the euro crisis. I hope so, maybe also have some to spare for the slow down in China.

CPCFTW · November 13, 2012

Adding 5 billion more to the deficit which will climb to 26 BILLION and this is because the minister says it the global slow down. So where did they spend this 5 billion, I think Canadian should know. http://ca.news.yahoo.com/deficit-rise-5-billion-26-billion-flaherty-170948760--finance.html

Um they spent it on health care transfers and other entitlements?

Smallc · November 13, 2012

Topaz, they didn't spend $5B more, they have less revenue, because growth is less than forcast.

cybercoma · November 13, 2012

It is though, though, the economy that has changed the forcast, and not the tax cuts.

The opposition had been claiming their numbers were bunk already. That their tax cuts and spending made their forecast impossible. And behold. It's not possible.

dre · November 13, 2012

It is though, though, the economy that has changed the forcast, and not the tax cuts.

You have to look at both sides of the balance sheet.

DFCaper · November 13, 2012

Has Europe or the USA done worst than expected this year? I thought, as well or better than I predicted. Have they done that much worst than what the experts predicted? How rosey were the Canadian government predictions that the current is way worst??? What would happen if things around the world go as bad as some predict? Are we setup to go bankrupt?

Smallc · November 13, 2012

A ) most private sector economists thought the government would be ahead of forcast, as the economy was doing better.

B ) federal spending is flat to down.

Smallc · November 13, 2012

Yes, Europe is that much worse.

jacee · November 13, 2012

You have to look at both sides of the balance sheet.

Ya let's look at cutting back on $5b of corporate welfare until ... you know ... we can afford it ... when the economy is better.

Topaz · November 13, 2012

Less revenues? Yes I agree, more people unemployed , less money coming in through income tax and the corp.taxes, bring in less revenue. It seems the only thing growing is the unemployed and so how is EI going to survive, more increase in premiums for those that work? There is one more item growing and that is the billions of dolllars that business is keeping and lately the Feds have been commenting on business to start and help the economy.

Shady · November 13, 2012

Could be worse. We could have Obama as PM. That $5 billion would turn into $50 billion.

Smallc · November 13, 2012

Employment and the economy are both growing Topaz, just slower than expected. Facts are important.

Smallc · November 13, 2012

Oh yes Shady....pfft. It would be little if any different. In fact, US spending under Obama grew far slower than Canadian spending under Harper.

Sleipnir · November 13, 2012

Could be worse. We could have Obama as PM. That $5 billion would turn into $50 billion.

Comparing a country with 35 million people with 300+ million.

cybercoma · November 13, 2012

Less revenues? Yes I agree, more people unemployed , less money coming in through income tax and the corp.taxes, bring in less revenue.

Then they cut taxes on top of that. More than 250 tax cuts, according to their website.

Smallc · November 13, 2012

But that isn't the problem that caused the current deficit. It did erode fiscal capacity, but it didn't put us in deficit.

Merlin · November 13, 2012

The US is running $1 trillion deficits for four straight years yet you all supported that guy. Seems like everyone is fiscally conservative when it suits their agenda.

Smallc · November 13, 2012

That guy is less a cause I'd those deficits than Harper is of these.

Argus · November 13, 2012

Adding 5 billion more to the deficit which will climb to 26 BILLION and this is because the minister says it the global slow down. So where did they spend this 5 billion, I think Canadian should know. http://ca.news.yahoo...0--finance.html

This is one of the dumbest opening posts I think I've ever seen. It's almost a cliche of the mindless partisanship one finds on FOX, ironically.

I mean, it's not like there is ANY doubt about the global slowdown, or the effect this has had on commodity prices, and thus royalties, profits and taxes.

Argus · November 13, 2012

A ) most private sector economists thought the government would be ahead of forcast, as the economy was doing better.

B ) federal spending is flat to down.

No one really predicted this big a fall in commodity prices, though, particularly oil and gas.