Growth necessary to sustain expenses

Robert Asselin believes there are several big expenses on the horizon that could strain public finances in the coming years without a big bump in economic growth. He lays out the positives and negatives of the fiscal and economic update in a story by the Canadian Press.

“I give a lot of credit for the government overall on COVID. I think they’ve provided the support that was needed both on businesses’ side and on the income-support side.  But they have also spent a lot of money on structural spending that is not COVID-related, and that will be hard to sustain over time without huge growth coming in.”