A research director at the University of Calgary says both Newfoundland and Labrador, and Alberta have similar pasts of unsustainable spending.
Dr. Bev Dahlby is a Research Director at the School of Public Policy. He gave a presentation titled “Lessons for Newfoundland and Labrador from Alberta’s Experience” at the Reasonable Solutions to NL’s Fiscal Reality conference on Tuesday.
Dr. Dahlby says both provinces have received a lot of resource revenues in the past that led to higher and unsustainable spending, which resulted in large deficits when resource revenues declined.
He says Alberta’s UCP government has outlined a reasonable path towards balancing the budget without raising taxes. He says it’s not an easy thing to do.
The provincial deficit has grown over the last year due to factors like a decline in oil prices and Dahlby says part of the adjustment to a balanced budget would have to be expenditure restraint.
He says in order to make the public aware that there is a problem, like with spending, a good deal of research has to be done.
Dr. Dahlby says it’s important to have conferences and events where ideas and research are discussed. He adds an independent panel of experts to provide government and the public with a road map on how to achieve a balanced budget is a good idea also.
