April 25, 2011
Canada's Federal Budget Versus Political PartyTweet
Leading up to another Canadian federal election, I thought it would be interesting to update the graph that I made in 2009 showing Canada's federal deficit against the ruling political party.
The historical data hasn't changed, of course, and neither has the current political party (the Conservative Party of Canada). But in the last two years, our budget surplus/deficit has gone from pretty good to very bad:
Attributing budgets to any one party during a transition year can be difficult, so there is a bit of room for negotiation - given the way that our federal budget cycle works. However, we can see that when Conservatives are in power, we generally can expect deficit budgets, so the country is going deeper into debt. And when the Liberals are in power, we can generally expect surplus budgets, where we end up paying down our federal debt.
The interesting question in my mind is what would our federal finances look like with a party other than these two in power? Have the two of them just been playing us all along the whole time? Covering up for each other while letting just a bit of financial scandal to leak out after every change in federal party, so that we're lulled into thinking that they're keeping each other honest?
Posted by Hammer at April 25, 2011 06:17 PM
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