Fiscal Policy Trends: Commentary for the Provincial Budget March 22, 2018

Abstract

Since the Notley government was elected in May 2015, total government expense has increased 14.3 per cent, well in excess of the growth of population and inflation - 8.9 per cent. Capital spending and grants have increased by a whopping 40 per cent, all of it financed by selling off financial assets and issuing new debt. Total debt servicing costs have increased from $776 million to $1.355 billion, an increase of $579 million - larger than the increase in the education budget and second only to the increase in the health care expense.