Liberal deficit set at 18.4 billion

[Topaz]

The Liberals have stated the deficit is set at 18.4 bil. but may not be the total by the time their spending is done. The |Tories are coming out against and I suppose so will the NDP. The Tories say now is not the time to spend, so what is the government suppose to do, nothing? The Tories left around 930,mil. but I'm wondering if that came from the emergency fund that they were going to borrow from for their tax cuts to families? I think it would be hard for any party right now not to run deficits, especially when we are funding a war. I'm not sure how the Liberals are going to get out this one by the next election. http://www.msn.com/en-ca/news/canada/morneau-deficit-now-projected-at-dollar184b/ar-BBpNT9L?li=AAggNb9&ocid=SK2MDHP

[Boges]

I'm sure the election result would have been the exact same had they campaigned on such deficit projections.

[Smallc]

I'm sure the election result would have been the exact same had they campaigned on such deficit projections.

This is the Harper deficit with only Liberal changes so far (refugees and tax changes) included. That means that Harper would have run a deficit of more than $15B using his own plan. The Liberal deficit in the budget will be $25 - $30B.

[Derek 2.0]

I'm sure the election result would have been the exact same had they campaigned on such deficit projections.

Just wait until they add their new spending.........and to see which promised groups don't get a piece of the action

Edited February 22, 2016 by Derek 2.0

[Spiderfish]

I'm sure the election result would have been the exact same had they campaigned on such deficit projections.

As I mentioned in your status update, Finance Minister was quick to offer reassurance to Canadians after this announcement that they made the right choice on October 19th. That should put everyone's mind at ease, right?

Unfortunately, this is deficit projection is likely not accurate as it is based on oil at $40/barrel, and does not include promises like implementing recommendations in the T&R Commission and other spending plans to be unveiled in the March 22 budget.

[Shady]

Lol, twice what they said! No surprise. It'll be even worse next year. Grab your wallets.

[Smallc]

Lol, twice what they said! No surprise. It'll be even worse next year. Grab your wallets.

This is before 90% of Liberal spending measures - this is with Harpers current plan and only the things the Liberals have done so far. That's mostly the tax changes and the addition of 25,000 more refugees.

[Big Guy]

Budgets are strange animals.

During the last election campaign, the Conservatives and NDP ran on the promise of balanced budgets - no surplus and no deficit. I would like to see the leaders of each of the losing parties point out what the Liberals are spending on that they would not spend on.

I still have the standard and guaranteed solution;

Cut military spending from $20 billion to $15 billion a year. That will, save $5 billion a year.

Legalize marijuana immediately. An estimated $5 billion a year on taxes using the Colorado model.

Rescind yet another Harper mistake - the 2% cut to the HST. That would bring in another $14 billion a year.

Just those three moves bring in an additional $24 billion a year. Instant balanced budget and an future surpluses.

[Smallc]

Unfortunately, this is deficit projection is likely not accurate as it is based on oil at $40/barrel,

That is the current average price projection for the time included in budget 2016 - 2017, and seems reasonable (current prices don't matter to that projection).

[Smallc]

Just wait until they add their new spending

Well, at least we know that Harper was lying when he said he'd run a surplus next year.

[Spiderfish]

This is the Harper deficit with only Liberal changes so far (refugees and tax changes) included. That means that Harper would have run a deficit of more than $15B using his own plan. The Liberal deficit in the budget will be $25 - $30B.

Quite a change from projection of $3.9-billion and $2.4-billion shortfalls forecast just three months ago. This government appears completely incapable of projecting anything with any degree of accuracy even a couple of months ahead, it's disappointing but not unexpected.

I am hopeful that the budget will in fact "balance itself", because it is becoming obvious that this current Government sure as hell won't.

[Smallc]

Quite a change from projection of $3.9-billion and $2.4-billion shortfalls forecast just three months ago. This government appears completely incapable of projecting anything with any degree of accuracy even a couple of months ahead, it's disappointing but not unexpected.

So the month before the fiscal update, when Harper was predicting a $5B surplus, was he incompetent, or lying?

I am hopeful that the budget will in fact "balance itself", because it is becoming obvious that this current Government sure as hell won't.

If the government spends as they promised, without new measures in further years, the budget will in fact balance itself.

[Spiderfish]

Well, at least we know that Harper was lying when he said he'd run a surplus next year.

Interesting response...Liberal's are projecting the deficit to be 2-3 time higher than projected in November..."Harper's a liar."

When will we start holding the Liberals accountable?

[Smallc]

Interesting response...Liberal's are projecting the deficit to be 2-3 time higher than projected in November..."Harper's a liar."

When will we start holding the Liberals accountable?

Either both were lying, both were incompetent, or the situation has changed so much in that short time, that no one could have foreseen it. You can't have it both ways.

Canada is in a worse position than in 2009, and we have the previous government and the world economy to thank for that. You go ahead and blame the Liberals - it's not their fault.

[Spiderfish]

If the government spends as they promised, without new measures in further years, the budget will in fact balance itself.

Believe me Smallc, I hope you're right. But considering they promised to run short term deficits of less than 10 billion in each of the next two fiscal years, their spending promises from this point on (or any promises) are suspect at best.

[Spiderfish]

Either both were lying, both were incompetent, or the situation has changed so much in that short time, that no one could have foreseen it. You can't have it both ways.

I don't want it both ways...I just want someone who assures us they are "going to do it differently than their predecessors" to keep a promise. I guess it's too much to ask.

Edited February 22, 2016 by Spiderfish

[Derek 2.0]

Well, at least we know that Harper was lying when he said he'd run a surplus next year.

How do we know that? The Liberals projections are the ones that are off, likewise, taking into account the further sliding Canadian economy since they have taken office.

[Smallc]

Believe me Smallc, I hope you're right. But considering they promised to run short term deficits of less than 10 billion in each of the next two fiscal years, their spending promises from this point on (or any promises) are suspect at best.

The baselines is what has eroded.

[Spiderfish]

The baselines is what has eroded.

In 2 months? Sorry, I'm calling BS.

[Smallc]

I don't want it both ways...I just want someone who assures us they are "going to do it differently than their predecessors" to keep a promise. I guess it's too much to ask.

See this is the thing for me.

Trudeau promised $10B deficits with about $15B in additional spending. With the baseline being $20B worse than that, he either has to break one promise or the other.

Harper promised balanced budgets with about $2B in additional spending. With the baseline being $20B worse than that, he either had to break one promise of the other.

Now, why would I blame the Liberals for something that was beyond their control?

[Derek 2.0]

When will we start holding the Liberals accountable?

Its the tale of the three letters .......we'll know this Government is onto the second letter with the first cabinet shuffle

[Smallc]

In 2 months? Sorry, I'm calling BS.

Finance Canada made the estimates - the same department whose estimates Harper was going off of. The PBO didn't have such bad numbers in November. We'll have to see if they've changed as well.

[Smallc]

How do we know that? The Liberals projections are the ones that are off, likewise, taking into account the further sliding Canadian economy since they have taken office.

If it were me, I'd release numbers that were worse than the actual, as governments always do. Then I'd run a slightly smaller than projected deficit and look like a hero - if it were me.

It looks like Harper's balanced budget going forward was completely made up.

[Spiderfish]

It looks like Harper's balanced budget going forward was completely made up.

We're beyond that, Harper is not in charge anymore. Keep telling yourself this if it makes you feel better, but it won't help our current situation.

Now, why would I blame the Liberals for something that was beyond their control?

Why would you keep telling yourself that it's okay because.... Harper??

[Derek 2.0]

If it were me, I'd release numbers that were worse than the actual, as governments always do. Then I'd run a slightly smaller than projected deficit and look like a hero - if it were me.

They will look like a hero by not keeping their spending promises? PSAC is already gearing for a fight over sick leave and death benefits......the Liberals can't blame Harper for broken promises and choices they make forever