Ontario on track to eliminate deficit next year, Wynne says


Tecumsehsbones
#31
Quote: Originally Posted by Jinentonix View Post

Correct me if I'm wrong but is not servicing the debt part of the deficit?

You're wrong. Servicing the debt, and any other expenditure, is only part of the deficit if expenditures exceed revenues. To say that any particular item of expenditure is "part of the deficit" ain't economics and ain't accounting, it's just politics.

Not that I blame you, mind. Just pointing out that you're as biased as mentalfloss, to the point where you fail to grasp the fundamentals.

Here's a primer: when expenditures exceed revenues, you got a deficit. Which particular expenditures you choose to blame for the deficit is irrelevant. Money is fungible.
 
lone wolf
Free Thinker
#32
On track.... How appropriate for this train wreck of a government....

Union Pearson Express can’t break even at lower fare, report finds - The Globe and Mail

Just gimme back my Northlander....
 
Mowich
Conservative
+3
#33
Wynne's Liberals addicted to spending


By Christina Blizzard, Queen's Park Columnist First posted: Tuesday, July 19, 2016 09:55 PM EDT | Updated: Tuesday, July 19, 2016 09:57 PM EDT


TORONTO - It’s like giving irresponsible teenagers a credit card with no limit.

This province is hemorrhaging red ink. We’re so deep in debt, in four years our accumulated debt will be $350 billion — $50 billion more than it is now.

This government, with its total disregard for fiscal prudence, lied to us when they said they’d balance the books by 2017-18.

It ain’t gonna happen — not unless they sell off the LCBO and Ontario Power Generation, and turn Queen’s Park into condos.

The Liberal government of Kathleen Wynne spends wildly on everything and anything.

You want full-time kindergarten? Sure. A subway to Vaughan? No problem. Take one to Richmond Hill as well.

Waste a billion on eHealth here, scrap a couple of gas plants for another $1 billion there. Throw cash at every problem that crops up.

Lavish massive pay hikes on your union buddies. Sprinkle cash like pixie dust. Squander millions on the Ornge air ambulance scandal.

Spend like there’s no tomorrow.

That’s the picture painted of the province’s debt by Financial Accountability Officer Stephen LeClair in a report released Tuesday.

We’re drowning in debt.

The credit card is maxed out. We need another credit card just to pay the interest on the first one.

Interest rates are at historic low rates right now. If they rise, our borrowing costs will soar. If credit rating companies view us as a risk, our credit rating will be downgraded — and we’ll pay even more to borrow.

LeClair points out the third biggest expense for the province after health care and education is debt servicing.

If we had a Ministry of Debt, it would be the third largest in government — ahead of post-secondary education. All our universities and community colleges combined cost less than the money we’re piddling down the drain to service the debt these clowns have racked up.

PC critic Vic Fedeli points out this province is the largest sub-national borrower in the world. What an achievement.

The province is selling off assets, such as Hydro One, to artificially balance the books, Fedeli said.

“He (LeClair) also confirmed what we’ve been saying for months — the government is using one-time money from asset sales, contingency funds and tax increases to artificially balance the budget in an election year.”

So the kids have sold the TV to pay off the credit card. What next?

LeClair, a career civil servant, couched his report civilly.

Yet it was scathing in its politeness.

He said it’s the province’s 12-year, $160-billion capital spending spree that’s driving us into the red.

Wynne’s ministers are on a summer spending bonanza, dropping big bucks on costly programs in the hope voters will be bought — and re-elect them in 2018.

No matter what measure of indebtedness you use, the figures are alarming.
  • At 39.4%, Ontario’s debt burden, measured by ratio of net debt to GDP, was second only to that of Quebec (50.1%) in 2014-15.
  • Ontario’s net debt per person was $20,806 in 2014-15, compared to $22,591 in Quebec. In contrast, net debt per person was $8,387 in B.C., and net assets per person were $3,168 in Alberta in 2014-15.
Finance Minister Charles Sousa insists investing in infrastructure spurs economic growth and increases GDP.

“Experts around the world have affirmed the positive impact that strategic infrastructure investments such as ours have on economies,” he said in a written statement.

What’s that about addiction? To find a cure you first have to admit you have a problem. This government is addicted to spending.

Admit you have a problem. Cut up the credit card, minister.

cblizzard@postmedia.com
 
petros
+1
#34
Quote: Originally Posted by lone wolf View Post

On track.... How appropriate for this train wreck of a government....

Union Pearson Express can’t break even at lower fare, report finds - The Globe and Mail

Just gimme back my Northlander....

I'd elect you Premier of Western Ontario.
 
SLM
No Party Affiliation
#35
Quote: Originally Posted by petros View Post

I'd elect you Premier of Western Ontario.

Woo hoo! I'm in Western Ontario. Southwestern that is, which is still western!

In your face Eastern Ontario!
 
10larry
+2
#36
Our financial accountability watchdog does not paint a rosy picture for mcwynnes 'charge it' approach to matters financial.
“They’re very focused on short-term political goals,” she said. “There is no long-term strategy to address the needs of Ontarians and balance out on where they’re spending money.” This is so true of trudeau and wynne the darling duo of spend til you drop will ring up a insurmountable mountain of debt that will if not eliminate will greatly reduce social services for my kids n' gkids and they get stuck paying the mad duos bill.

http://www.torontosun.com/2016/07/19...r-years-faoOur
 
Mowich
Conservative
+2
#37
Quote: Originally Posted by mentalfloss View Post

Sorry conbots.

The numbers can't lie.


Ontario on track to eliminate deficit next year, Wynne says

First quarter results for 2016 show the Ontario economy growing at an annualized rate of three per cent, the highest in Canada and all G7 countries.

Premier Kathleen Wynne says the province's real gross domestic product grew by 0.8 per cent in January to March, following similar growth in the fourth quarter of 2015.

Wynne says the first quarter gains were driven by higher exports and household spending, and predicts Ontario's economy will remain one of the fastest growing in Canada over the next two years.

She also says the Liberal government is confident the growing economy will allow it to eliminate a $5.7-billion deficit next year as promised.

The premier says she's very encouraged by the momentum of Ontario's growth, especially with so many uncertainties in the global economy.

Wynne says stronger than expected economic growth means more jobs, and points out Ontario's unemployment rate fell to 6.4 per cent in June, the lowest since 2008.

Ontario on track to eliminate deficit next year, Wynne says - Toronto - CBC News

Kelly McParland: Ontarians face a heavy price for Liberal-crafted budget noose

Even the most determinedly disinterested taxpayer should be alarmed by two recent reports assessing the state of Ontario’s provincial debt, and the rapid increase in electricity rates.

The reason Ontarians should take note is simple: The reports indicate the province is in a highly precarious position that could soon have a dramatic impact on household budgets and public programs. The Ontario Liberals have built a financial structure so perilous it could easily be tipped into crisis by forces outside any Canadian’s control, with painful consequences to the very programs people most value.

The first of the two reports has to do with debt, an issue that is often discussed but rarely addressed, and, quite frankly, bores a lot of people who’d rather not think about it. The Financial Accountability Office, a watchdog agency forced on Kathleen Wynne’s Liberals as part of a political deal, spelled out in simple terms just how deeply the province has fallen into hock. According to analysts Diarra Sourang and Peter Harrison, Ontario’s debt is among the country’s highest by any of the four most common means of measurement.

This is important to understand, because the Wynne government goes to great lengths to hide the reality behind actuarial smokescreens and political spin.

By FAO calculations, Ontario’s debt, at almost $300 billion, has grown almost 90% since 2008-9 alone. The province has $2.40 in debt for every dollar of revenue it brings in. Ontario owed $20,806 per person in 2014-15, compared to $8,387 in British Columbia. Although Liberals argue they need public “investment” to promote growth, 56% of additional borrowing since 2009-10 went to financing the existing deficit, while just 26% went to capital spending.

Interest on the debt, at almost $1 billion a month, is the third highest expense in the budget. Ontario spends more on interest payments than it does on post-secondary education. While the Liberals may manage to use accounting tricks and one-time sell-offs to present a balanced budget in time for the next election, the FAO says the reality is that annual deficits will continue through 2021, pushing the total to about $350 billion. FAO officer Stephen LeClair says the government also continues to hide information from him as he tries to get a grasp on the true state of affairs.

This is frightening because interest rates are at record lows, and even a small rise will push the province’s obligations — and corresponding payments — to even higher levels. According to the report, a one percentage point increase would add another $350 million a year to repayments, more than the budgets of the Ministries of Labour and Aboriginal Affairs.

The situation puts the Liberals in a perverse squeeze. A stronger economy would almost certainly produce higher interest rates, tightening the noose they’ve made themselves. In effect, the government — while professing to seek growth — needs a slow economy to keep its interest payments manageable.

Meanwhile, the province continues to jack up power rates that are already bumping along the top of the Canadian scale. Bank of Montreal chief economist Doug Porter reports that “in the past seven years, nothing has risen faster than electricity prices.”

Prices leapt 15.7% in the past year alone, about eight times faster than overall inflation, and have increased an average of 7% since 2009. In most other provinces the increases have been closer to 2%. Even price hikes for cigarettes, a favourite of finance ministers in need of additional taxes, trail the relentless increase in Ontarians’ power bills.

The price of power is a key ingredient in investment decisions. Ontario has suffered a well-documented loss of manufacturing during the 13 years of Liberal rule, as firms find they can get a better deal elsewhere. The Liberal reaction has been to promote subsidies for investors, at public expense, rather than simply providing a grid system that offers affordable power.

It’s symptomatic of the government’s propensity for devising programs that encourage the opposite of their aim. In turning the province into a costly location chained to a hefty debt repayment schedule and expensive subsidies it creates a financial stranglehold on itself. As debt costs rise it must economize elsewhere, a dilemma already evident in its bitter confrontation with doctors, its cutback to inspections of nursing homes, and its ongoing effort to retain labour union support while claiming to be cost-conscious.

It can only increase as the debt grows, along with the cost of repaying lenders. Ontario is living on its credit cards, and they’re close to maxed out. The Liberals may eventually pay the price in terms of voter anger, but Ontarians will be paying, and paying heavily, long after that.

Kelly McParland: Ontarians face a heavy price for Liberal-crafted budget noose | National Post
 
mentalfloss
-4
#38
It's only people who live in the country side that have expensive electricity.

Get out of the comfy cottage and move closer to the city you useless curmudgeons.
 
Mowich
Conservative
+1
#39
Quote: Originally Posted by mentalfloss View Post

It's only people who live in the country side that have expensive electricity.

Links? A little proof of that statement would be nice.

Quote:

Get out of the comfy cottage and move closer to the city you useless curmudgeons.

That's your solution? Move to the all ready overcrowded cities? Good grief man get a frickin' grip.
 
lone wolf
Free Thinker
#40
Quote: Originally Posted by mentalfloss View Post

It's only people who live in the country side that have expensive electricity.

Get out of the comfy cottage and move closer to the city you useless curmudgeons.

Speaking of useless....

How quickly would you walk away from home? Please give a real-time example....
 
mentalfloss
#41
Looks like I obviously hit too close to home.

Get out of your comfy cottages if you can't afford them.
 
lone wolf
Free Thinker
+3
#42
Toronto people have cottages. We have homes - homes that your saint is endangering in her lust for money ... and yes, even yours.

Pedigree too, when you're not looking
 
Walter
#43
Quote: Originally Posted by Mowich View Post

Links? A little proof of that statement would be nice.



That's your solution? Move to the all ready overcrowded cities? Good grief man get a frickin' grip.

Analfloss just keeps finding more Clingons with his analfloss and then he posts what he finds.
 
Cannuck
No Party Affiliation
#44
Too bad all the Lefties aren't as excited as MF.

Ontario's Economy Is Kicking Canada's Ass Right Now

Quote:


However, the New Democrats said the Ontario economy wasn't quite as rosy a
picture as the Liberals are painting, and warned the government plans to
eliminate the deficit by slashing health-care services.

"Their promise is to balance the books by overcrowding our hospitals, firing
thousands of health-care workers, and creating a $3-billion backlog in critical
repairs to hospitals,'' said NDP finance critic Catherine Fife.

 
mentalfloss
+1
#45
I'm not a leftie.
 
Cannuck
No Party Affiliation
#46
Quote: Originally Posted by mentalfloss View Post

I'm not a leftie.

...and I'm not really here.
 
Walter
+2
#47
Quote: Originally Posted by mentalfloss View Post

I'm not a leftie.

You just made me laugh so hard my drink came out my nose.
 
Jinentonix
No Party Affiliation
+2
#48
Quote: Originally Posted by mentalfloss View Post

It's only people who live in the country side that have expensive electricity.

Get out of the comfy cottage and move closer to the city you useless curmudgeons.

Windsor is cottage country? The Waterloo Region is cottage country?
Every day I come here wondering if you're going to say something even dumber than the day before and you rarely fail to deliver. This is one of those days in spades. You've never seen a hydro bill, have you.
 
taxslave
Free Thinker
+2
#49
Quote: Originally Posted by mentalfloss View Post

I'm not a leftie.

ANd the sun doesn't rise in the east.
 
Jinentonix
No Party Affiliation
+1
#50
Quote: Originally Posted by taxslave View Post

ANd the sun doesn't rise in the east.

And the Pope isn't Catholic, bears don't sh*t in the woods and Hillary Clinton didn't have a private e-mail server, and she certainly didn't receive any classified material on it and she definitely didn't destroy any of those e-mails that were subpoenaed as evidence.
 
10larry
#51
This is a small house sheltering two geezers that don't use much electricity, when I moved from mississauga my bill was around $40-$50 a few years ago here.

on peak 17.36
mid peak 9.10
off peak 20.72
delivery 35.58
reg charges 2.78
hst 11.12
total 96.66

I'm about three miles from adam beck power generators and the $35 delivery charge for this short hop is insane, for rural folks the delivery charge is nothing short of criminal.
 
darkbeaver
Republican
+1
#52
Quote: Originally Posted by 10larry View Post

This is a small house sheltering two geezers that don't use much electricity, when I moved from mississauga my bill was around $40-$50 a few years ago here.

on peak 17.36
mid peak 9.10
off peak 20.72
delivery 35.58
reg charges 2.78
hst 11.12
total 96.66

I'm about three miles from adam beck power generators and the $35 delivery charge for this short hop is insane, for rural folks the delivery charge is nothing short of criminal.

They want to eliminate the rural folk cuz they don,t shop enough and have anti social ideas, like borders.
 
mentalfloss
-1
#53
Quote: Originally Posted by Walter View Post

You just made me laugh so hard my drink came out my nose.

That's funny coming from a leftie like you.
 
taxslave
Free Thinker
#54
Quote: Originally Posted by 10larry View Post

This is a small house sheltering two geezers that don't use much electricity, when I moved from mississauga my bill was around $40-$50 a few years ago here.

on peak 17.36
mid peak 9.10
off peak 20.72
delivery 35.58
reg charges 2.78
hst 11.12
total 96.66

I'm about three miles from adam beck power generators and the $35 delivery charge for this short hop is insane, for rural folks the delivery charge is nothing short of criminal.

How about just go down there with a bucket and buy a few electrons?
 
Jinentonix
No Party Affiliation
#55
Quote: Originally Posted by Tecumsehsbones View Post

You're wrong. Servicing the debt, and any other expenditure, is only part of the deficit if expenditures exceed revenues.

Well duh! Which is why then the $11 billion debt servicing is part of the deficit. We're not running a f*cking surplus here, or did you miss the title of the thread?
Never mind the fact they're lying about the size of the deficit to begin with. The Ontario Finance Minister announced not too long ago that the deficit was $5.7 billion. In the first quarter of the 2015-16 fiscal year, Ontario posted a deficit of $8.5 billion. Now the province is suggesting that the deficit is down to $4.3 billion.
Now, considering the record of these a$$clowns, I have very grave doubts that they reduced the deficit by HALF in just over a year. And that's because they didn't. They are not counting the debt servicing payments in that calculation which, since we ARE running a deficit, would be part of that deficit. So the reality is, that $4.3 billion deficit is actually a $7.5 billion deficit.


If you have doubts that interest payments on debt aren't part of the deficit in Ontario, feel free to look up the Ontario Ministry of Finance fiscal outlook for 2015-16. It CLEARLY shows those payments as part of the deficit.
But thanks for playing and demonstrating what as a$$ you are.
 
10larry
#56
Quote: Originally Posted by taxslave View Post

How about just go down there with a bucket and buy a few electrons?

OPG spends big money on tv ads warning folks to stay clear of water in motion for this very reason, liberating electrons directly from adam beck would short circuit wynnes cash cow.
 
lone wolf
Free Thinker
+1
#57
Quote: Originally Posted by mentalfloss View Post

That's funny coming from a leftie like you.

Has it come down to "I-know-you-are-but-what-am-I?" What are you ... like twelve? Get a life ... preferably in reality
 
mentalfloss
-1
#58
You don't know what a leftie really is.

It's actually someone like Wally.
 
lone wolf
Free Thinker
#59
...we all know what a moronic dweeb is
 
mentalfloss
#60
Let me know when you finally earn the dweeb part.
 

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