Hi, I am very new to the forum. I recently(well 4 years ago) got interested in the politics. So I was looking for a Canadian forum today. And I am wondering about Canadian fiscal policy. So here is my perception and my question...
Liberal party held power from 1993-2006, 13 years. Under Chretien Canada got budget surplus and never lost it giving heritage of surpluses to Conservatives. Conservatives used budget surplus as a tax break since then, also they were committed to 3 billion per year of debt pay off each year. While they kept the promise for 2(3?) years, next budget projects rather low surplus. So I want to ask a question, were tax breaks wrong? If not what led to shrinkage of Canadian surpluses? Simply pre-recession in US? Or because conservatives didn't lower spendings, but increased it? Thank you.
Liberal party held power from 1993-2006, 13 years. Under Chretien Canada got budget surplus and never lost it giving heritage of surpluses to Conservatives. Conservatives used budget surplus as a tax break since then, also they were committed to 3 billion per year of debt pay off each year. While they kept the promise for 2(3?) years, next budget projects rather low surplus. So I want to ask a question, were tax breaks wrong? If not what led to shrinkage of Canadian surpluses? Simply pre-recession in US? Or because conservatives didn't lower spendings, but increased it? Thank you.