Government Spending

Indigenous Spending in Budget 2022

— Jun 28, 2022

Indigenous Spending in Budget 2022 finds that the federal government’s recent substantial increase of Indigenous spending—which will reach a projected $35.5 billion in 2026-27—is mainly due to judicial settlement payouts.

The Accumulated Debt and Economic Performance of Industrialized Countries during COVID

— Jun 21, 2022

The Accumulated Debt and Economic Performance of Industrialized Countries during COVID finds that Canada had the second-highest increase in gross debt (as a share of the economy) out of 33 countries from 2019 to 2021 while actually underperforming economically compared to most of the same countries.

Understanding the Changing Ratio of Working-Age Canadians to Seniors and Its Consequences

— May 26, 2022

Understanding the Changing Ratio of Working-Age Canadians to Seniors and Its Consequences is a new study that finds as Canada’s population ages, the number of working-aged Canadians relative to the number of seniors has declined from 5.4 in 2000 to 3.4 in 2022, which means government spending related to seniors is increasing at the same time that the growth in tax revenues is declining.

Polling Canadians’ Support for New Federal Government Programs

— May 3, 2022

Polling Canadians’ Support for New Federal Government Programs is a new study, based on a Leger poll commissioned by the Fraser Institute, that finds support for national dental care, pharmacare and $10-a-day daycare drops significantly when tax increases are included, specifically GST hikes. In fact, 4-in-10 Canadians (or less) support the new programs introduced or committed to in the recent federal budget if the GST were increased in order to pay for them.

The Size of Government in Canada in 2019

— Mar 17, 2022

The Size of Government in Canada in 2019 is a new study that finds the size of government across Canada was on the rise even before the COVID-19 pandemic and recession. In fact, relative to the size of the provincial economies, the size of government increased in all but two provinces over the 2007 to 2019 period.

Ottawa’s Pattern of Excessive Spending and Persistent Deficits

— Mar 1, 2022

Ottawa’s Pattern of Excessive Spending and Persistent Deficits is a new study that finds between 2015/16 and 2019/20, the federal government ran five consecutive deficits, causing the federal debt to rise by $112.2 billion—all prior to the COVID-19 pandemic, weakening federal finances as Canada headed into it.

Recent Government Spending Commentaries and Blog Posts

Spending sprees by governments across Canada help fuel inflation and high interest rates

Jake Fuss, Grady Munro

Appeared in the Ottawa Sun, December 6, 2023

Between 2024/25 and 2027/28, the federal government has increased projected spending by $30.7 billion more than previously forecasted.

Saskatchewan’s surprise deficit should serve as warning for Alberta

Tegan Hill

The provincial government revised its $1.0 billion projected budget surplus to a $250.5 million projected deficit.

Ottawa’s red ink leaves little room for defence spending commitments

Alex Whalen, Jake Fuss

Appeared in National Newswatch, November 25, 2023

The federal government wants Canada’s military to cut $1 billion from its budget.

Federal government points to misleading debt rankings to justify debt explosion

Jake Fuss, Grady Munro

Appeared in Business in Vancouver, November 23, 2023

In reality, Canada’s government debt is high relative to other comparable countries.

Federal government maintains high levels of spending and abandons fiscal anchor

Jake Fuss, Grady Munro

Projected federal spending from 2024 to 2027 is now $30.7 billion higher than previous forecasts.

Federal government poised to pile on more spending and debt

Jake Fuss, Grady Munro

Appeared in the Financial Post, November 16, 2023

Since 2014/15, federal government debt interest costs have nearly doubled.

Quebec’s tuition hike punishes out-of-province students, rejects spirit of federal cash transfer

Grady Munro, Jake Fuss

Appeared in the Toronto Sun, November 2, 2023

The province will receive an expected $1.37 billion from the Canada Social Transfer in 2023/24.

PBO report underscores Ottawa’s irresponsible spending spree

Jake Fuss, Grady Munro

Appeared in the Toronto Sun, October 18, 2023

Federal spending in 2023/24 will increase by $5.6 billion more than the government’s previous projection.

Time for governments to boldly reduce government spending

Matthew Lau

Appeared in the Toronto Sun, October 4, 2023

There’s nothing peculiar about letter delivery, trains, television and radio programs, or alcohol sales that justifies governmental operation.

Prime minister’s threat to grocery chains won’t solve food price problem

Jason Clemens, Milagros Palacios

Appeared in the Financial Post, September 21, 2023

A serious approach to food inflation would focus on reducing costs to producers and encouraging greater supply.