The New Government Promises Annual Deficits?

So the Liberals will form the next government in Canada. Part of it was on the platform of purposely running $10 billion deficits each year. When the government says 10 billion, it’ll really be 13 or 14. If you don’t believe that, you’re being naive. In the next few years, there will be interest rate increases. On our $700 billion debt, that’s another 7 to 10 billion a year. Plus, on average, we have a recession every five years. It may be four, it may be six. That massively reduced government revenues, so the promised $10 billion will be more like $25 or $30 billion. And that’s just each year – never mind the debt!

According to Justin Trudeau, he wants to emulate Ontario: The province now has more debt than California, which has 10 times the population. They have now set a record: They are the most indebted sub-sovereign borrower in the world. In other words: non-country borrowers.

Quebec and Ontario control election and they have a long track record of not being interested in balanced budgets. They look for programs that benefit them directly – the more spending the better. I don’t care. Majority rules and they were elected with a big majority. I’ll be dead before the chickens come home to roost. Governments can borrow almost forever before they hit the wall. And politicians want to play  Santa and promise whatever is needed in order to get elected. I don’t care. I’ll be dead before the 30 and 40 year olds will be forced to pay it all back.

I give up. They promised to reduce Old Age Security to 65 again. Financially, that’s insane when we live well into our 80s, and our population is aging. I don’t care. Thanks for the money, and I won’t be one of the people paying it. Although I would have given it up for the benefit of the country.

They’ll re-start home mail delivery. Stamps may end up being two bucks, and the government will have to subsidize Canada Post, but I don’t care. I love home mail delivery, but would have sacrificed it for the financial benefit of taxpayers. Another $150 million for the CBC to compete with private broadcasters? Go for it – I’m not the one who has to pay it back.

The Liberals will increase income taxes to the rich…you gotta hope their definition won’t include you as their need for tax revenue grows. I don’t care. I don’t make enough to get to me. The rich, whatever that means, have ways to defer or avoid some of these increases. It’ll actually make the government less money and not more as history has shown. But it sounds so easy and so great.

Oh, and they’re going to create jobs and grow the economy. News flash: Governments do not create jobs. Their proposed payroll tax increase will hit employers more than employees. That’s the opposite of creating jobs. And growing the economy comes mostly when the government stays out of the way!

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