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It’s easy to think that government debt doesn’t matter. A prime example is the surprising lack of widespread media coverage of the federal government’s recent long-term projections of its finances over the next 40 years. The analysis found that under existing policies and a set of assumptions, Ottawa can expect to run deficits every year from now until 2051, racking up at least $900 billion in new debt. If changes in government policies lead to higher spending, then the government would accumulate even more debt.

While there are many reasons to worry about these findings, we mustn’t overlook the tangible and immediate costs that government debt currently imposes on individual Canadians and their families. After all, they are significant.

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tap here to see other videos from our team. Try refreshing your browser, or Just the interest on government debt now equals $7,000 a year for a Canadian family of four: Fraser Institute Back to video

For context, first consider the more than half-a-trillion-dollar increase in government debt since 2007/08, when government debt in Canada started to climb. The federal government alone has added $211 billion in new debt. Throw in the $315 billion in new debt collectively added by the provinces and Canada’s federal-provincial debt now totals $1.4 trillion. Based on the latest budget plans of the federal and provincial governments, debt is set to soar even higher in the future.