Compare Liberals to sound fiscal approach of Harper government

Re: Ontario’s finances: Bleaker is better for Ford and friends — Sept. 25

A recent editorial assertion that the 2015-16 federal budget was balanced artificially with accounting tricks is surprisingly at odds with the December 2015 parliamentary budget officer report. The PBO found a $1.2-billion surplus.

It’s important to note that this surplus was the PBO’s own assessment without the “sleight of hand” mentioned in the editorial.

The PBO didn’t say this billion-dollar surplus came from any unrealistic inflation of oil revenues, as the editorial suggested. Even the Trudeau government didn’t attribute reduced oil revenue to any “sleight of hand,” instead blaming changing market conditions. That’s exactly what contingency funds are for.

The PBO didn’t say this projected billion-dollar surplus came from artificially high employment insurance premiums, as the editorial suggested. Even the Trudeau government noted that unemployment remained stubbornly high, with higher outlays, the justification used for freezing premiums.

The closest suggestion of “sleight of hand” was an accusation of the Trudeau government, not the Harper government. The PBO said the Trudeau government produced overly optimistic assessments of its medium-term plans, ignoring significant downside risks and overestimating revenues. Trudeau suggested he would achieve surpluses in 2019-20 and 2020-21, wildly misleading estimates long since abandoned.

The December 2015 PBO report is the best evidence. We can’t equate the sound fiscal approach of the Harper government with the dishonesty of provincial Liberals, or the Trudeau government.

Stephen Woodworth

Kitchener