This post summarizes recent developments in the Fiscal Monitor data to help Canadians better understand recent developments in public finances. In addition, we use the monthly data to construct projections for total federal revenue, expenses and the budget balance by the end of the fiscal year. Read this articleThe federal Fiscal Monitor data for January 2023
The Canada Recovery Hiring Program (CRHP) is a 50% wage subsidy for employers and the new centrepiece of federal job support programs. CRHP is targeted at employers who hire new workers or expand hours worked – which should make it better targeted than the previous federal wage subsidy. But the restriction of the program to private corporations, and the lack of guardrails to prevent abuse, could be a problem. We propose reforms that would make the program more cost-effective in increasing employment and raising workers’ pay. Read this articleCanada’s new wage subsidies: Better targeted, or just better hidden?
In the end, it is not only how much or how little you spend but what you spend it on and what you get for it. Canadian health care is not bad, but it could be better, given the amount of money being spent. Read this articleCanada is a big spender on health care but we lag behind countries in results
Canada’s innovation policy framework could be changed for the better. Unfortunately, not all the measures proposed in the Conservative platform offer clear-cut improvements. Read this articleThe Conservative Party’s innovation platform: a mixed bag of good, bad, and indifferent policies
The NDP and the Liberals have both announced promises to set a zero interest rate on student loan debt. The idea is to help former students who are struggling to repay their loans. But this will not help those most in need — borrowers in the Repayment Assistance Program (RAP) who already pay zero interest, as well as borrowers in default who are at risk of financial penalties. Read this articleThere are better ways to help student loan borrowers than zero-interest loans
The scale and speed of the COVID-19 recession and the fiscal policy response has been remarkable. This commentary shows what has happened since the beginning of the pandemic and discusses the implications for future fiscal policy choices in Canada. Read this articleFiscal policy in the COVID recession: An early assessment
