by Eldric Vero
December 31, 2024
This is a CotD presentation of the Government of Canada historical deficits and debts.
The following articles are relevant to this CotD:
1) The Post Millennial December 14, 2021 
(see link: https://thepostmillennial.com/breaking-canadas-2020-21-deficit-now-projected-at-327-7-billion ). As per the article: Finance Minister Chrystia Freeland announced “This economic and fiscal update provides Canadians with a transparent report of our nations finances, it also includes targeted investments that will ensure we have the weapons we need to finish the fight against COVID-19,” said Freeland, naming pediatric vaccines and booster shots for Canadians as examples. Freeland said that moving forward, the federal government would be “mindful of elevated inflation” and its impacts on cost of living.
2) Financial Post December 17, 2024 “Canada Runs Deeper Deficits as Finance Minister Resigns” (see link: https://financialpost.com/pmn/business-pmn/canada-runs-deeper-deficits-as-finance-chief-resigns ). From the article: Prime Minister Justin Trudeau’s government ran a deeper deficit than projected and broke a fiscal objective outlined by his finance minister, who resigned the day she was set to unveil new spending and revenue estimates. A C$62 billion deficit in the last fiscal year blew past former Finance Minister Chrystia Freeland’s pledge to keep the shortfall at or below C$40.1 billion. Trudeau’s nearly decade-long fiscal legacy has been characterized by running deficits that have helped boost consumption and expanded social expenditures, but not markedly increased economic growth in the medium or long term amid a dearth of business investment and a productivity crisis. The document includes no plan to balance the budget.
Panel 1
This graph presents the government of Canada annual deficits contributing to the overall cumulative debt. Note the extreme deficit of $327 billion in 2021 alone which is over 15 times the average annual deficits over the previous 10 years. This is unconscionable to say the least. The question is “where was the objection to this cyclopean deficit?”
Panel 2
This is the graphical presentation of the government of Canada cumulative debt since 1960. The LGBQNDP (Liberal-Green-Bloc Quebecois-New Democratic Party) Regime subjugated democratic rule starting in 2015. Since 2015, the debt has essentially doubled in less than 10 years and is forecast (via the Budget) to increase another $200 billion by the year 2030.
Panel 3
This is the same government of Canada cumulative debt since 1960 presented on a semi-logarithmic plot. The green line represents an average debt increase of 7.0 percent per year.
Panel 4
The “source” of inflation is from a country’s central bank, in this case, the Bank of Canada (BoC) and M3 Money Supply. The “Selected Monetary Aggregates and their Components” can be accessed via the BoC website: https://www.bankofcanada.ca/rates/banking-and-financial-statistics/selected-monetary-aggregates-and-their-components-formerly-e1/#table. Note the parallel nature of monetary Inflation via the BoC and the government of Canada’s cumulative debt above – both have averaged in the order of 7.0 percent per year over the long-term. Also note that in the early 1970s, the CPI began an extremely high rate period of 9.7 percent per year which continued into the 1980s…are we entering into an analogous period in 2025 (high-lighted yellow)?
“The last official act of any government is to loot the treasury” George Washington
“The ultimate outcome of socialism is tyranny and serfdom” The Road to Serfdom
