Spend, Spend, Spend: Klein and his Tories Love to Spend

In what surely will become the ultimate undoing for Alberta’s economic future, the provicial Tories have continued their downward spirl into fiscal irresponsibly. With the new free spending budget, the Tories seems hell bent on spending the money as soon as it comes in, and at the same time ignoring the need for additional tax cuts.

More money for education, health, policing

In its first budget as a debt-free province, Alberta boosted its spending, saved a little, but didn’t reduce income taxes or eliminate health-care premiums.

Calling it an investment budget, Finance Minister Shirley McClellan said the province is heading into its second century with “an unparalleled opportunity to build on all the strengths Alberta has to offer.”

She defended the level of spending - an almost 10 per cent increase over last year, and five times the rate of inflation - saying they simply listened to Albertans. [emphasis added]

As I’ve said before,

..the true test of a government isn’t whether they can balance a budget or sustain positive economic growth - although some provinces who’ve had difficulty doing both may argue otherwise - but rather how you perform after you’ve managed to slay the debt and you suddenly find the government coffers in surplus.