Budget 2018: a recovery built to last, was tabled in
the Alberta legislature by Finance Minister Joe Ceci on Thursday,
March 22, 2018. The government stated that its focus and basis of
the plan was being framed around three pillars: Diversifying the
Economy, Protecting Vital Public Services, and Returning to
Balance. The Government's proposals in the context of each of
these pillars is analyzed and summarized in this short report.
Analysis
Lack of clarity for the Return to Fiscal Balance
While the government named a return to balance as one of their
key pillars, specific strategies to reach this goal are unclear.
With no increases to personal or corporate taxes and no
introduction of a sales tax, new sources of revenue to achieve this
goal remain largely undefined amidst numerous spending promises.
While corporate income is up, it is lower than it has been
historically which indicates private investment is lagging.
