Conservative leader Stephen Harper mocks Liberal Leader Justin Trudeau's plan to run 'tiny little deficits' for the next three years.

ELECTION 2015: Economic slump dominates campaign

Justin Trudeau's plan to run deficits for infrastructure spending changes focus for Thomas Mulcair, Stephen Harper

Sliding stock markets and sagging natural resource prices have raised the stakes for the Oct. 19 federal election, as parties try to position themselves as the best choice to deal with an economic slump.

Statistics Canada’s release of data showing small contractions of the Canadian economy in the first two quarters of the year sparked a prolonged exchange between party leaders over whether the country is or was in a recession.

Economists such as Central 1 Credit Union’s Helmut Pastrick have mostly agreed the downturn is primarily based on low oil and gas prices, and isn’t a full-fledged recession. Central 1 forecasts continued slow economic growth for southern B.C. based on the low Canadian dollar and improvement in the U.S. economy.

Conservative leader Stephen Harper noted that the statistics showed a return to economic growth in June, and he accused Liberal leader Justin Trudeau of over-reacting to “a couple of months of weak data” to commit his party to up to three years of deficit spending.

Trudeau’s abrupt change of position on running deficits of up to $10 billion a year has redefined the debate. Trudeau unveiled what he called the biggest infrastructure plan in Canadian history, doubling the current Conservative budget from $5 billion to $10 billion in the next two fiscal years and continuing to increase it over 10 years.

Touring the Okanagan, NDP leader Thomas Mulcair touted his plan to reduce small business taxes and provide tax breaks for manufacturing, while balancing the budget in the first full year of an NDP mandate.

Mulcair’s promises of tax cuts and spending control prompted both the Liberals and Conservatives to accuse the NDP of creating a huge revenue hole that could only be filled by spending cuts or new tax increases.

The Conservatives estimate that Mulcair’s plans for a national daycare program, increased foreign aid and other spending leave a gap of $8 billion in the first year. The Liberals estimated the NDP budget gap at $28 billion over four years, not counting unspecified increases for veterans and home care.

NDP candidate Andrew Thomson called the Conservative calculation “deliberately misleading,” inflating the NDP’s housing plan cost by more than five times.

Harper has mainly run on his government’s record, including an increase in the Universal Child Care Benefit and cutting the Goods and Services Tax. The Conservatives estimate their measures have benefited the average family by up to $6,600 a year.

 

Just Posted

Radio reporting legend Angelo Iacobucci dies at age 60

Iacobucci developed a reputation for teasing competing reporters and loved to dominate media scrums and press conferences

Police chase ends in two arrests

Suspects in stolen truck evade RCMP from Alberta border to Clearwater area

Barriere family airlifted to Vancouver due to carbon monoxide exposure have now returned home

A family of five from Barriere was transported to Vancouver for medical… Continue reading

TNRD renews Dangerous Dogs Contract for area

Highlights from the Thompson-Nicola Regional District (TNRD) Board of Directors’ meeting of Nov. 22

Milobar wants to see details of NDP’s Clean BC Plan

Jessica Wallace Kamloops This Week Environment advocates call for action from Prime… Continue reading

VIDEO: Ex-NASA engineer pranks mail thieves with glitter bomb trap

Package thefts are common this time of year, but YouTuber Mark Rober used his engineering skills

Canada ranks 16th on annual gender gap list

This is the second year Canada has placed 16th in the World Economic Forum’s list

VIDEO: Tornado rips through city west of Seattle

Reports indicate five to seven homes damaged in Port Orchard, Wash.

Trial date postponed for man charged with killing Abbotsford police officer

Oscar Arfmann’s trial pushed back from January to May 2019

Privacy watchdog says legal cannabis buyers should use cash, not credit

Some countries could bar entry to individuals if they know they have purchased cannabis

‘A start:’ Alberta critical of Ottawa’s $1.6B package for ailing energy sector

A further $150 million is to be used for clean growth and infrastructure projects

New B.C. Lions coach DeVone Claybrooks adds eight to coaching staff

DeVone Claybrooks has filled out his staff for the 2019 season

Two-year-old attacked by cougar near Mission, B.C.

Boy not seriously injured in incident on Monday afternoon

Trump signs order to create US Space Command

President Donald Trump signs an executive order to create a U.S. Space Command.

Most Read