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MNI: Trudeau Deficit Unlikely To Fix Canada's Vibecession

Budget experts discuss prospects of turning around Canada's job and housing markets before election due by next fall.

MNI (OTTAWA) - Prime Minister Justin Trudeau’s expected boost to deficit spending Monday is unlikely to cheer up Canadians roiled by expensive groceries and vacations, a housing squeeze and a shaky job market, budget experts told MNI, a view buttressed by the resignation of his own finance minister just hours before she was due to deliver the fiscal plan. 

An update due after 4pm EST Monday is set to see the budget swell to at least CAD47 billion from the April “guardrail” of CAD40 billion, and it's now unclear who will even present it after Chrystia Freeland resigned this morning as finance minister. Freeland recently cited the government's challenge in turning around a "vibecession" for Trudeau's Liberals ahead of an election due by the fall of 2025.  

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MNI (OTTAWA) - Prime Minister Justin Trudeau’s expected boost to deficit spending Monday is unlikely to cheer up Canadians roiled by expensive groceries and vacations, a housing squeeze and a shaky job market, budget experts told MNI, a view buttressed by the resignation of his own finance minister just hours before she was due to deliver the fiscal plan. 

An update due after 4pm EST Monday is set to see the budget swell to at least CAD47 billion from the April “guardrail” of CAD40 billion, and it's now unclear who will even present it after Chrystia Freeland resigned this morning as finance minister. Freeland recently cited the government's challenge in turning around a "vibecession" for Trudeau's Liberals ahead of an election due by the fall of 2025.  

Keep reading...Show less