Prog Study Warns of Canada's Coming Debt Crisis

[Herman]

In addition to hiding spending as investments, Conman Carney also listed the Canada Pension Plan as an asset of Canada. It's not. It's owned by Canadians, not Canada.
Cover-up Carney is doing what global bankers do best. They cook the books, pull fast ones, and try to hide all debt.

[Herman]

How is the next generation of Canadians going to afford to pay off all this Liberal debt?

[Herman]

The Conman has no conscience about the debt burden he is leaving young Canadians. He don't care. He will be in New York or Europe in four years.

[Herman]

Man, Conman likes wasting our money.

[DKG]

The Liberals of the nineties like John Nunziata, John Manley, Dan McTeague, and Tom Wappel now support the Conservatives because the Liberals under under Trudeau and Carney have abandoned fiscal responsibility, transparency, and incentivizing investment.

Creative accounting for Mark Carney in five easy stepsCreative accounting for Mark Carney in five easy steps

Step one: Balance half the budget 
Cutting $78 billion from the budget is hard. And caucus gets whiny about cuts to pet projects.   

So, here's a simple solution: Split the budget and only balance one side.   

Key step: Don't tell Canadians you aren't balancing the other side of the budget because their kids and grandkids will have to pay interest on all that extra borrowing. 

The key ingredient is confusion. Use jargon about a "fiscal anchor" that's based on something vague like "balancing day-to-day operating spending" by 2028.   

With luck, Canadians won't notice the operating budget could be balanced next year just by freezing spending.   

DISCLAIMER: Taking this advice will not actually diminish the billions in interest charges by a single cent.   

Step two: Come up with a snappy slogan 
Now let's pen a slogan to explain the borrowing in the other half of the budget.   

"Taking on more debt to spend more on capital." 

Scratch that, it's too clunky and honest.   

Try this: "Spend less to invest more."   

DISCLAIMER: Slogans don't change the math. As another Liberal prime minister once said, "The quicksand of compound interest is real." 

Step three: Re-label spending
Pay close attention: Don't cut spending, just re-label it as "capital investment."   

How many people know that operating subsidies for businesses shouldn't count as capital spending for governments?   

How much can you re-label? A lot.   

Try taking $94 billion of operating spending and re-labelling it as capital investment.   

It's a win-win. It looks like a cut to "operating" spending, but you just crammed it in under "capital."   

DISCLAIMER: The parliamentary budget officer may call you out for using an "overly expansive" definition of capital that goes "beyond the current treatment in the Public Accounts and international practice." 

Step four: Cut spending ... tomorrow  
Canadians despise wasteful government spending.   

So, make sure your budget has "$60 billion in savings over five years," written in big bold letters.   

Of course, you don't actually spend less. 

Vaguely highlight how you'll save money in the future. Then bury the government's overall spending and debt numbers in the annex, 239 pages into the budget.   

You can even increase spending by $100 billion over five years. 

Just keep promising to save money — tomorrow. 

DISCLAIMER: Eventually, soaring interest charges force actual spending cuts. Just ask Saskatchewan's New Democrats, who made "dramatic cuts" and closed dozens of hospitals.   

Step five: Change the guardrails
Use sleight of hand to switch the fiscal anchor. 

Switch the anchor from reducing the debt-to-gross domestic product (GDP) ratio to reducing the deficit to-GDP-ratio.   

Deficit and debt sound the same and you can baffle the few who notice the difference. 

Tell Canadians the government has "the lowest net debt-to-GDP ratio of the G7" and this "strong fiscal position" gives the government the "fiscal space" to borrow billions.   

Happily, those stats obscure the facts of Canada's debt. For example, net debt treats the money in the Canada Pension Plan as an asset that politicians can raid when in a pinch. 

DISCLAIMER: Eventually, credit rating agencies will release a statement like this: "Persistent fiscal expansion and a rising debt burden have weakened (Canada's) credit profile and could increase rating pressure over the medium term ... Federal finances run a high risk of further deterioration." 

Bonus step: Muzzle the watchdog 
Independent budget watchdogs are the worst. They always publish reports on the true state of your finances. The standard procedure is trotting out competing talking heads to muddy the water.   

If that doesn't work, put up a job posting for a new budget officer, calling for "tact and discretion." That should send a chill. You want a budget lapdog, not a watchdog.   

Conclusion 
Creative accounting is so easy that even a rookie politician like Prime Minister Mark Carney can implement this five-step plan.   

DISCLAIMER: All of this assumes Canadians are ignorant and won't notice the soaring debt and interest charges — that is a significant risk for this strategy. 
https://torontosun.com/opinion/columnists/terrazzano-creative-accounting-for-mark-carney-in-five-easy-steps

[Herman]

While dickheads like Conman Carney and Ford waste folks money watching manufacturing jobs leave Canada according to Deloitte and the Manufacturing Institute thanks to Trump's America First agenda the US will create 3.8 million new manufacturing jobs by 2033.

[DKG]

It is not just Ottawa and the federal Liberals that are digging a deeper debt hole.

A new report from the Canadian Taxpayers Federation paints a stark picture of Ontario's mounting debt, showing it has nearly tripled over the past two decades while interest charges continue to climb.

Ontario's debt has nearly tripled in 20 years and is on track to surpass $500 billion.

The report finds government debt has grown from $154 billion to $459 billion this year, a 200% increase. If debt had only risen with inflation and population growth, it would be $182 billion lower today.

Rising spending has been the main driver, with total government outlays climbing 164% between 2006-07 and 2025-26, from $101.5 billion to $267.9 billion, compared with 51.5% inflation over the same period.

Debt interest charges have surged from $8.8 billion to $16.2 billion in 20 years, adding roughly $300 per person annually.

Ford is a red Tory. He is almost as irresponsible as his predecessors Kathleen Wynn and Dalton McGuinty.

[Mark Carney]

It is not just Ottawa and the federal Liberals that are digging a deeper debt hole.

A new report from the Canadian Taxpayers Federation paints a stark picture of Ontario's mounting debt, showing it has nearly tripled over the past two decades while interest charges continue to climb.

Ontario's debt has nearly tripled in 20 years and is on track to surpass $500 billion.

The report finds government debt has grown from $154 billion to $459 billion this year, a 200% increase. If debt had only risen with inflation and population growth, it would be $182 billion lower today.

Rising spending has been the main driver, with total government outlays climbing 164% between 2006-07 and 2025-26, from $101.5 billion to $267.9 billion, compared with 51.5% inflation over the same period.

Debt interest charges have surged from $8.8 billion to $16.2 billion in 20 years, adding roughly $300 per person annually.

Ford is a red Tory. He is almost as irresponsible as his predecessors Kathleen Wynn and Dalton McGuinty.

Doug and I have a bet on who can bankrupt their government first.

[Herman]

This finance guy sure likes wasting our money.

[Herman]

Conman Carney is wasting billions more of our money on something with not much economic return.

The high cost of high-speed rail
https://www.canadianaffairs.news/2026/01/09/the-high-cost-of-high-speed-rail/?mc_cid=ea4578a685&mc_eid=e2848b983b
Experts worry about the trade-offs from spending around $80 billion on high-speed rail, and the decades-long path to break even

Canada is moving ahead with Alto, a high-speed rail network that will link Toronto and Quebec City, a corridor of about 1,000 kilometres where trains can go up to 300 km/h.

The new line would mean a trip between Toronto and Montreal, Canada's two largest cities, would take about three hours, instead of the usual six with Via Rail.

For supporters, Alto is a long overdue initiative that will bring Canada in line with other advanced economies. But critics worry the project's enormous costs cannot be justified by the expected returns.

"There are just so many places where we need investment," said Matti Siemiatycki, director of the Infrastructure Institute at the University of Toronto. "This project feels like a nice to have, not a need to have."

"We're running huge deficits," he said. "We need to make sure that [Alto] doesn't go forward just on nostalgia, or on hope and ambition  ... and that [the project's] benefits outweigh the cost."