Liberals mislead Canadians as Tories DID leave 7.5 BILLION surplus!

See Endnote for CBC link.

See Endnote for CBC link.

There is no nice way to say this but the Liberal Government under Justin Trudeau and Finance Minister Bill Morneau have repeatedly misled the Canadian public when they claim the Conservatives left a deficit for the year 2015/16 which ended not long ago on March 31st, 2016.

In fact, according to the Fiscal Monitor from the Finance Department, the Conservatives under PM Stephen Harper left a 7.5 BILLION dollar SURPLUS. (H/T NewsWatchCanada)

Yet, as Bill Curry writes in today’s Globe and Mail: On April 19th, 2016, in the House of Commons, Liberal Finance Minister Bill Morneau said in response to Conservative Opposition Leader Rona Ambrose’s claim that the former government left a surplus: “In the last month of the year, revenues go down and expenses go up. The Conservatives left us with a deficit, as we will see.

And, Curry says Mr. Morneau continues to stand by that view today in spite of the fact that his “budget also included some new spending in the 2015-16 fiscal year, which should be considered as part of the debate.”

In other words, after all is said and done for the 2015/16 year, Liberal spending between November 2015 and March 31, 2016, after they took over governing, will eventually be blamed on the Conservatives (which would likely include bringing 25,000 Syrian refugees to Canada).

So, what that means is if there turns out to be a deficit for the year ending March 31, 2016, it will be because of Liberal spending

The crux of the matter is that the Conservative Government of Stephen Harper left the federal government with a significant surplus, just as they promised throughout the 2015 election campaign.

Endnote: Re Featured Image, for CBC link, click here.

3 thoughts on “Liberals mislead Canadians as Tories DID leave 7.5 BILLION surplus!

  1. The Liberal deficit fails on so many fronts. For those saying we need it to stimulate our economy, we may be growing slower than we have historically but with our declining labour force and aging demographics this is to be expected (just look at Japan which has the highest median age and has had stagnant growth since 1998 while the debt to GDP ratio has exploded from 20% to 200%) so there was absolutely no need to run such a big deficit. We might be alright if none of the three things below happen, but if any do we are in trouble.

    1. We go into another recession requiring stimulus and thus the deficit explodes
    2. Interest rates rise so borrowing becomes more expensive so much like his father servicing the debt eats up a bigger part of the budget.
    3. We get a credit downgrade also making borrowing more expensive much like Alberta and Ontario.

    There are basically three schools of thought on deficits and Trudeau meets none of them.

    1. Only run one during a recession and we are not in a recession.
    2. Run one when growth is below average so that would justify running a deficit now but only around $10 billion, not the $30 billion he is
    3. It’s okay to run a capital deficit (otherwise one time expenditures that have strong returns), but not an operating deficit and Trudeau is running the latter.

    There is also maintaining debt to GDP ratio, but that is only possible if we don’t experience another recession since it will almost certainly rise during the next recession and unless deficit is below economic growth during growth periods it will mean long term rising debt to GDP ratio. Never mind little was spent on infrastructure, most was spent on programs which whether good or bad, will not provide any boost to the economy.

    Otherwise in sum, it’s Trudeau and Morneau’s fault for the large deficit, not Harper’s.

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  2. My bad I forget one, that is Gerald Butts. Let’s remember he is our real prime-minister in terms of pulling the strings.

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