Wednesday, December 23, 2009

$$$

How big is the government surplus/deficit?

Depending on where you get your news, it could be a deficit of $512 million, $602 million, $592 million, almost $600 million or a surplus of $221 million.

So who has got it right?

Well, everyone. It just depends on how you count it.

$512 is the core operating deficit and counts the $110 draw from the rainy day fund + the $20 million for debt retirement

$602 is also the core operating deficit but does not take in account the draw and debt retirement

$592 is the summary deficit which includes the bottom line of core government operations and crown corporations

$221 is the positive balance based on the four-year rolling average of summary results under the new balanced budget legislation

Now, how is the average citizen supposed to understand all this?

2 comments:

  1. Q: How is the average citizen supposed to understand all this?

    A: by reading Never Eat Yellow Snow! Good summary.

    I would prefer that the media use the 602 number, as that's the truest measure of the government's fiscal performance IMO.

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  2. You can't be funding every major project in Winnipeg and manitoba without running a deficit.

    Unless, the oil taps keep flowing in Calgary and we keep sucking at their nipples for cash.

    Mr.Nobody

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