deficits Tag

08 Jul 2020 Counting the Cost of COVID Part IV: Forecasting our Financial Future

by Levi Minderhoud In the last two blog posts on the financial effects of COVID, I compared the current deficit to past deficits and critiqued government spending in response to government-mandated lockdown. Now it is time to anticipate the future financial impacts of COVID. Will this recent spending bankrupt our country? The short answer is… no. At least, not yet.Will this recent spending bankrupt our country? The short answer is… no. At least, not yet. This year’s federal deficit is currently projected to be $343 billion or 15.9% of GDP, although that number will...

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02 Jul 2020 Counting the Cost of COVID Part III: Evaluating Canada’s Current Deficit

Updated July 8, 2020 by Levi Minderhoud My previous blog post in this series compared Canada’s current deficit to the deficits in Canada’s past. At $343 billion, or 15.9% of GDP, Canada is spending more money to combat COVID than any other war or major disaster in Canada’s history except for during the Second World War. This begs the question, should the federal government spend so much to combat this virus? A Couple of Caveats Before answering the question of how much money the government should spend, I must address a couple of caveats. First,...

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24 Jun 2020 Counting the Cost of COVID Part II: Comparing to Past Crises

Updated July 8, 2020 by Levi Minderhoud In the first blog post in this series, I delved into the wisdom and morality of government debts, deficits, and aid from a Christian perspective. I concluded that incurring debt is often unwise and sometimes even immoral, but as long as the government has the ability to repay their debt, and the norm is a balanced budget, debt can justifiably be incurred. The Bible also teaches that individuals, families, and churches – not just governments – have significant roles to play in assisting the financially...

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