Rein in spending!
Posted Mar 16, 2011 12:41 pm.
This article is more than 5 years old.
The Canadian Federation of Independent Business is warning governments across the country to rein in spending or they’ll be finding themselves on the road to financial ruin.
Chief Economist Ted Mallett says governments like Alberta’s have to be vigilant when it comes to getting out of deficit spending.
“A quarter of a trillion dollars in new debt over the next ten years, simply by growing government at the rate of growth of the economy, is pretty scary stuff,” Mallett tells 660News. “So that’s why we want people to know that we’re just too close to a tipping point to be able to be complacent about government in the economy.”
The CFIB placed the provinces into three categories: the good, the bad and the ugly.
Alberta is in the bad category, along with British Columbia and Manitoba, all provinces running deficits that could be eliminated purely through economic growth.
But Mallett says that doesn’t mean there isn’t an upside.
“We think that the potential is there,” Mallet says of a turn-around by the Alberta Government. “It will take some discipline, but let’s not see those three provinces move into the ugly category by squandering an opportunity. Because they’re not as worse off as many provinces in the country.”
The ugly category is a tie between New Brunswick and Ontario.
