Our friend Don Martin this morning has a column saying Stephen Harper has joined Jean Chrétien as only the second prime minister to govern while the country is $500 billion in debt. Stephen Gordon, over at his aptly-named blog, puts this in some desperately needed perspective. Both Harper and Chrétien come out looking better than in Don’s column. First, a half-trillion dollars is a lot less, in constant dollars and in share of GDP, than it was in 1995. Second, 1995 represents a peak for debt by either measure, because Chrétien inherited a runaway debt train and, within three years, those curves had sharply reversed. Stephen’s graph on this is telling.
Inkless Wells
Paul Wells on all the latest out of Ottawa—along with the occasional post about jazz. Follow Paul on Twitter: @InklessPW
Categories: Capital Read, Inkless Wells
The half-trillion-dollar debt club and other random constructs
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