With P growing economy, the deficit has shrunk and thats according to the very grit friendly td bank. perhaps they are trying to warn iffy. Wonder if they will lend the grits any money. The grits really want an election?
Flaherty's budget surprise could be a far smaller deficit, says TD Bank
By: Julian Beltrame, The Canadian Press
OTTAWA - Finance Minister Jim Flaherty could have a big surprise in store for Canadians on March 22 — a much smaller deficit than predicted.
A new analysis by the TD Bank says Ottawa's fiscal position is in much better shape than it reported last fall, thanks to a stronger economy and higher tax revenues in the second half of 2010.
That means the deficit is likely to come in at $39.5 billion this fiscal year — $5.9 less than projected.
As well, should the economy continue to expand as the current rate, next year's deficit — the 2011-12 fiscal year — could shrink to $21.7 billion, $8.1 billion less than projected.
"The story is that the economy has been perking up lately and this is going to deliver a nice benefit to the short-term revenue performance," said Derek Burleton, TD's deputy chief economist and one of the authors of the report.