Shhh!. Stephen Harper, economist extraordinaire, is speaking! Let's all listen:
Canadian Prime Minister Stephen Harper said today he will balance the federal government’s budget after the recession ends without reducing program spending or raising taxes.
Harper also said he will “never” cut money transfers to provinces, which are largely used to fund health care spending. He spoke to reporters in a televised press conference in Quebec City.
“At the end of this recession, we will go back to a balanced position and there is no need to cut program spending or increase taxes in order to accomplish that,” Harper said. “The Conservative government will never cut transfers to the provinces.”
So, if you're scoring at home, Harper is promising a budget deficit that his government vastly underestimated (and still does), a structural deficit that pre-dates the downturn, will be magically balanced without raising taxes, without cutting program spending, and without cutting transfer payments.
Either Harper, who is an economist don't you know, has some sort of economist budget balancing magic wand, or he's planning to get the hell outta dodge before the bills come due. Recommend this Post on Progressive Bloggers