According to The annual Fiscal Monitor report via the IMF Canada will have the distinction of running the largest Public Sector deficit among all countries, worse than the United States – October 23, 2020,

If you read his post after the Canadian economy crashes, I want to remind you that my purpose for writing this, was to teach you how to fix it!

The Canadian government doesn’t have the world’s reserve currency, however, the current Canadian government via Justin Trudeau(Liberals), Jagmeet Singh(NDP), and Annamie Paul(Green Party of Canada) have now officially bankrupted Canada. a reminder that the public sector debt or public spending revolves around the idea that the investments made or the money spent by the government will bring the government back more money than it lent out.

Justin Trudeau has made it a priority to kill Canada’s economic golden goose known as our fossil fuels industry, which for the most part SERVICED public sector debts, well, Covid-19 has been an economic disaster, I keep trying to remind people that the housing market in Canada actually crashed, it was saved via The Canada Emergency Response Benefit (CERB) now The Canada Recovery Benefit (CRB) which has to be repaid, mortgage deferrals have to be repaid, current government workers and those retired have to be paid and the public sector has shrunk and Justin Trudeau has also added on more regulations.

Provincially and municipally COVID-19 is a regulation, all of these regulations are a barrier to entry into the Canadian market, which means if this deflationary crash happens and the Bank of Canada and Justin Trudeau deem it wise to flood Canada with even more Canadian dollars, the Candian dollar will be debased and Canada will be forced into austerity measures and/or higher interest rates.

Now, as I’ve been stating for years, it’s unlikely Canada’s central bank will raise interest rates, I believe the Bank of Canada will go negative and what Canadians don’t understand about negative interest rates is that your country needs to have a vibrant economy to pull it off, well, as most Canadians know Canada doesn’t have a vibrant economy, we have a big ole government and I like to remind Canadians that Crown Corporations and private entities whose existence rely on the Department of Canadian Heritage monopoly are all part of the public sector.

Socialism collapses once the cash flow is out of whack, I call what Canada is going to experience late-stage-socialism! The only way to solve “Late-Stage-Socialism” is austerity measures and based on the ignorances of the Canadian public, I see some serious challenges ahead for the Canadian economy!

 

Jack M. Mintz: In government spending and deficits, we’re now No. 1 in the world | financialpost.com

Interesting time ahead!