Saturday, May 29, 2010

Harper to cities: stimulus must end

Prime Minister Stephen Harper, told representatives from Canada's cities and towns on Friday that the federal government infrastructure stimulus program will end next spring. In his statement he said the thousands of infrastructure projects were an important part of Canada'a economic recovery, but warned mayors and other municipal representatives that they can't expects to live on stimulus funds forever. "People can't live on adrenalin, and economies can't live on stimulus" Harper said. The $43 billion infrastructure program must end March 32,2011, to let the government being reducing the deficit and lead the recovery from last year's global financial crisis the prime minister said. He insisted Canada "will lead the way" in the coming G8 and G20 summits to push for countries to get their fiscal houses in order. "Canada was the last major developed country dragged into the recession and we will be the least affected by it and will emerge from it fastest and in the strongest position of them all" Harper said. Mayors from Canada's largest cities argued at this week's meeting that it shouldn't take a global financial crisis for municipalities to get the fiscal help they so desperately need. Also, Liberal leader Michael Ignatieff criticized the prime minister and how the current government views its relationship with municipalities. "The prime minister came here this morning and he said we're turning off the taps. The stimulus is ending, and my vision of this is we're in this for a long haul because we've got a country to build together". Ignatieff said.



I agree with Harper, Canada can't keep on living on the governments money. If the government were to keep pouring money into the economy, the economic state of our country would never really improve. It's been over a yet now since the recession hit, the government has put some effort into creating stimulus packages. The economy has improved to a point were I believe that it does not need anymore stimulus packages. If they were to keep on giving out these packages people would become dependant on them. Also the method would just give a "quick boost" to the economy. I do believe that the government has been spending money on things that are unnecessary, for example the G20 meeting. The government has spent millions on security for the meeting. I don't think it was a good idea for our country to volunteer to host this meeting. The money that was spent on it could have gone towards other things such as improving the economy. In conclusion, I believe in what Harper is doing, our country is almost to a point were it is financially strong and there is no more need for stimulus packages.


http://www.cbc.ca/politics/story/2010/05/28/harper-municipalities.html

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