Sunday , May 9 2021

Bill Kelly: Trying to Understand the Federal Budget Hyperbole – Hamilton

Finance Minister Bill Morneu handed over the decline in the government's economic recovery on Wednesday. For all purposes and purposes, this is a mini-budget, minus the details.

I will not bore you with all the numbers you turn to because, frankly, these things have become a white noise for most Canadians.

Canada has the "capacity" to cope with a recession despite the continuing deficit: Morneau

But the political gaming leadership that accompanies budgets is always quite interesting.

The government tells us yes, they are increasing the deficit, but it is giving Canadian companies a better chance of attracting foreign investment and being competitive with their US counterparts.

WATCH: Cover of the autumn economic update

History shows that we have tried this little bit with little success, but what the hell let's give him another shot.

Of course, opposition conservatives denounce the budget and the railways against the government because of the current deficits.

But that's more than a bit hypocritical, as Harper's government gave us ten years of deficit and raised public debt to the highest level in Canadian history.

In this era of political hyperbole and unstable fiscal policy, nobody has a morally high place when it comes to country finances and promises of campaigning.

Conservatives are quite right when they blame the Trudo's government for failing to meet their promise of eliminating the deficit, but with the lowest unemployment rate of 40 years and an increase in profits and business growth, this spoiled promise pays big dividends.

This may not be the most prudent long-term fiscal plan, but most Canadians are more concerned about the present and now, and in this context, so far so well.

Bill Kelly hosts the Bill Kelly show at Global News Radio 900 CHML

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