Economists stress it’s important that fiscal policy doesn’t stimulate demand in the economy at a time when the central ban is trying to slow it down.
According to the parliamentary budget officer’s most recent forecasts, the federal deficit is expected to be $36.5 billion for the 2022-23 fiscal year.But with economic growth slowing, government revenues are at risk of taking a hit. The government’s 2022 fall economic statement indicated it plans to introduce more measures to support Canada’s green transition and stay competitive with the United States on clean technology.
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