Perma-SIF

As I noted back on Monday, one of the basic dynamics we see in Canadian public finance is the long-term deterioration of provincial finances and the long-term improvement of federal ones, mainly due to changing demographics and the cost of heath care. Take a look at the projections from the Parliamentary Budget Office from their 2018 Fiscal Sustainability Report, which shows this trend rather clearly: long-term provincial government debt numbers are off the charts, while the feds are on a continuous path to zero net debt. More...