Friday, April 22, 2011

The Shrinking deficit

The federal deficit is going to be a lot smaller than originally predicted. $11 billion smaller. I'm sure the grits will gnash whatever is left of their teeth. Strong growth is shrinking the deficit. More good economic news for the last week of the campaign.

OTTAWA — The federal government may be on pace to pull Canada out of the red earlier than expected, according to a Finance Department report released on Thursday.

The monthly Fiscal Monitor indicated that the federal deficit grew by $600-million in February, after gaining $300-million in January.

With one month remaining in the fiscal year, the federal deficit sits at $28.3-billion — well under the $40-billion deficit for 2010-11 that Finance Minister Jim Flaherty projected last month.


oxygentax said...

So let's see if I have this right...

The PBO has been screaming all along that the deficit is bigger than the Government has been saying it will be. The Opposition parties have been beating the Conservatives over the head with this for the last year. The true numbers come out for the first 11 months, and the numbers show a much smaller deficit than even the Government has been projecting, and yet somehow the PBO has credibility on anything it says?

rltripp said...

I think the deficit is a global issue of our times and we are unavoidably affected by our huge U.S. neighbor, which is experiencing astronomical debt beyond comprehension. In this regard, it matters little which of our parties governs in Canada, but a Conservative Majority is much preferred over any alternative, particularly the baseless Coalition of Stooges, in part comprised of a separatist, regional party, ie. The Bloc, which should not even be a federal party; but that is a whole other discussion. The U.S. deficit is staggering, and ours will be a mini-model of that, a fact of life as disconcerting as the culmination of all things, which it seems to signify.

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