Yesterday - CBC News reported that a study from the MacDonald-Laurier Institute concluded that without changes -- the Europe debt crisis could be coming to Alberta and Ontario sooner that those provincial politicians think
The study cited unsustainable fiscal policies in a number of provinces including Alberta and Ontario with repercussions to include the spectre of debt crises, damaged credit ratings, and federal bailouts if corrective steps are not taken.
The study also cites a indirect link between bad fiscal/debt policies of the provinces and territories of Canada and how this may affect Canada's fiscal position in the world
The study also says Alberta/Ontario at the most at risk of defaulting while Quebec with the highest debt load, per province, has the lowest risk of defaulting
The study also says health-care costs are the chief factor in whether or not a province could default on its' debt obligations
While BC does currently have a debt load of $60 Billion, it is still small compared to other jurisdictions like Ontario/Quebec who has debt sitting in the hundreds of billions. A strong economy & a strong BC Liberal government, going forward, will ensure that BC eventually will begin the long road of paying back its' debt obligations
Finally - I would not be in favour of Ottawa bailing out a province, especially if the crisis was of their own making
Read the story here
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