Our governments’ action plans to support Canadians during the pandemic have generated huge deficits ($250B at the federal level). These are legitimate deficits as we could not allow thousands of unemployed people to fall into poverty and hundreds of businesses to go bankrupt. However, our governments will not be able to withdraw these programs overnight and reduce their deficits immediately, since the pandemic has caused damages far exceeding its time length.

This article is a follow-up to a Part 1 available here.