Achieving Balance, Spurring Growth: A Shadow Federal Budget for 2012

Abstract:     
Canada is in the happy position of being able to address its fiscal challenges not just through eliminating deficits, but also by promoting growth in the economy and the tax base. This report takes a two-pronged approach: first, an accelerated plan to achieve budgetary surplus in three years; and second, a series of low-cost initiatives designed to foster economic growth. On top of the strategic review of direct program spending announced in last year’s federal budget, initiatives in this Shadow Budget can enhance federal cost savings, including: restraining federal employee compensation, rationalizing Canada's tax base and trimming financial assistance to Crown Corporations.

Number of Pages in PDF File: 28

Keywords: Canada, Federal Budget 2012, Federal employee compensation, tax base, Crown Corporations

JEL Classification: H60, H68

working papers series