Harpernomics 101: Fiscal Management

Recently, Steven Harper and the Conservatives have run ads claiming that they are the sole purveyor of good financial management.  In other ads they have portrayed the Liberal green shift proposal as economic Armageddon.

Before you cast your ballet, it would serve you well to know some FACTS.  You can check these for yourself at http://www.fin.gc.ca/purl/afr-e.html

Historically, the idea that Conservatives have been the fiscally responsible party has shown itself not to be true.    The fact is that between 1984 and 1994 under the Conservative, Canada’s National debt went from about $200 Billion to more than $500 Billion.  Up until 1994, the Conservative Federal Government was running a DEFICIT of almost $40 Billion annually.

When the Liberals took over they managed to balance the budget in 1997.  From 1997 to the end of Liberal rule in 2005 the Government ran a surplus and was able to reduce some of the nation’s accumulated debt. 

Since Steven Harper’s Conservatives have come to power, the finances have remained in surplus, but only due to a substantial increase in revenues.  Now, for the first time since 1997 Canada looks to be heading towards a DEFICET after recording one in the first quarter this year.

Remember, during the 2006 election, Steven Harper vowed not to increase spending more than the annual rate of inflation (2-3%).  However, the Conservatives have increased overall spending at a rate of 7.5% annually.

Don't believe the spin, trust the facts.  If Harper wins a majority our country will be in DEFICIT by the end of they year. We will have started down a path of deregulation and  free for all, for the powerful and greedy that will have us attaining the economic fortunes of our neighbours to our south.