$400 to $600 Help: Is the Promise Still Valid?

Despite inflation remaining high and Canadians suffering, Ottawa chose not to put more money on the table — or very little. Now is the time for more concrete measures rather than basic universal support measures.

while revealing some targeted measures for to help the lowest paid workersThe minister devoted much of his speech to talking about the challenges facing the Canadian economy after the recession has ended, although it has not yet officially begun.

In fact, inflation has become a bit of history for Chrystia Freeland. The same cannot be said for his Quebec counterpart.

“Our economy is slowing,” Finance Minister and Deputy Prime Minister Chrystia Freeland said in her economic statement.

Photo: The Canadian Press/Cole Burston

Curse and rebel

Despite the criticism received when the previous check was sent, Quebec Finance Minister Eric Girard insists and points out that the vast majority of Quebec taxpayers will receive new direct assistance for Christmas, ranging from $400 to $600.

While Minister Freeland announced last Thursday new spending averaging $3.7 billion annually, the Legault government in Canada will spend $3.5 billion on this measure alone — and in Quebec alone. This is without taking into account other obligations under the financial framework CAQ It is expected to be announced in the minister’s economic and fiscal update on December 8.

This new fee will certainly make a difference to many taxpayers, but it will also have consequences. In addition to widening the deficit, which worries experts who believe such aid is fueling inflation, the Legault government also risks undermining the balance of power it is trying to create with its federal counterpart on health care transfers.

It’s not money that’s missing in provincial systems, if they’re sending checks to people who need them lesspleaded with Justin Trudeau on Tuesday.

The next day he added: If the government chooses to send checks to citizens rather than invest in the health care system, that is a choice that must be justified to citizens.

The three opposition parties in the National Assembly echoed these criticisms, accusing the government of casting too wide a net. It seems so [François Legault] He wants to pull the ship of the Central Bank trying to fight inflationdescribed the new Liberal financial critic Frédéric Beauchemin.

Bank of Canada building in Ottawa.

The Bank of Canada began tightening its key interest rate on March 2, 2022.

Photo: Radio-Canada / Jonathan Dupaul

A long-planned plan

The idea of ​​sending a second check to Quebecers, which was made public in May, was floated a while ago, when the Bank of Canada had just started raising its key rate and inflation had not yet peaked. We will never know if the government would have made the same decision today if it had not made this new payment a formal election commitment.

If inflation continues, the context changes rapidly. New concerns are emerging as the spread of universal financial aid comes under increasing criticism. Here, as abroad, governments are reviewing their plans and tightening their purse strings.

Eric Girard himself knows that soon it will be time to turn the page on such large-scale events. 2022,O.K.? 2023,ce qui va dominer les préoccupations des Québécois, des gouvernements, des entreprises, c’est le ralentissement de l’économie”,”text”:”L’inflation, c’est vraiment un enjeu pour2022,O.K.? 2023,ce qui va dominer les préoccupations des Québécois, des gouvernements, des entreprises, c’est le ralentissement de l’économie”}}”>Inflation is really a problem for 2022, huh? A slowdown in the economy will dominate the concerns of Quebecers, governments and businesses in 2023he admitted at the press conference.

If the Quebec minister follows through on his government’s repeated campaign promise, we wouldn’t be surprised to see him soon follow in his federal counterpart’s footsteps and sing a new refrain.

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