Barrhaven denizen

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Joined 1 year ago
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Cake day: June 10th, 2023

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  • The Canadian govt is the primary creator of Canadian dollars.

    When the federal govt runs a deficit of say $1B, that’s a surplus of $1B in the private sector. $1B more spent into industry than collected in taxes. Good times for the private sector.

    When the federal govt runs a surplus of $1B, that is a deficit of $1B in the private sector. $1B more collected in taxes than spent. This is an absolute disaster for the economy.

    When you consider the above, you can see how ridiculous it is for the federal govt to run a balanced budget or surplus. A balanced budget is a strongly recessionary position, choking off economic growth in the private sector.



















  • Canada’s not as enthusiastic about that military spending because little of that money goes to Canadian companies. Even for things like shipbuilding, the rules are unfavorable to Canadian industry and a lot of the industrial benefits go to US companies. Canada tried to negotiate industrial benefits on the F-35 program, but it didn’t go well, and Canada entirely withdrew for many years.

    A GOP Senator is just a mouthpiece for US industry, they just want more Canadian spend, they don’t GAF about actual defense of Canada.