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Analysis

Will Mark Carney’s budget finally reveal where the prime minister is taking Canada?

The Liberals won the election on Carney’s promise to “win” the trade war with Trump. So now what?

Updated
5 min read
mark carney ballingall analysis.JPG

Prime Minister Mark Carney speaks with reporters as he makes his way to an APEC dinner with leaders in Gyeongju, South Korea on Oct. 31, 2025. 


Alex Ballingall

Alex Ballingall is the Deputy Ottawa Bureau Chief for the Star. Email him at aballingall@thestar.ca

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    1. Comment by Michael.

      PM Mark Carney is 100% right of his budget,

      1. generational investments to make Canada the No 1 global energy supervisor

      a. oil reserves : second largest

      b. natural gas reserves : 4th largest

      c. infrastructures from the resource rich heartlands to the West and East

      d. diversify trade selling to Asia including China and India and European nations

      2. build affordable houses across the country

      3. finance investment by cutting spending and deficits

      Given the economic crisis resulting from the ruptured trading relations with US, I am 100% confidence PM Mark Carney is 100% right of this budget.

      All Canadians should be proud and grateful of his extraordinary leadership in time of crisis !!!

    2. Comment by KD.

      To the average Canadian voter, the term "deficit spending" is just some nebulous phrase routinely tossed about by opposition parties whose job it is to make a big deal of such things.

      The most important question, I think, is: will voters notice that "deficit spending" at the grocery store or when trying to find housing? Because, ultimately, those are the two main concerns that are top of mind for the vast majority of Canadians.

      If the Carney budget doesn't make them worse or better still, provides some relief, then Carney wins them over. In that scenario, the opposition parties can whine all they want about "deficit spending" but I doubt that their objections would land. And if the opposing parties trigger an election over it, the electorate would likely take them out to the woodshed...figuratively speaking.

      Honestly, I think most Canadians understand the necessity of stimulating our economy with some deficit spending to spur growth and support our own major industries. And given the hostile, economic reality preferred by our neighbour to the south, I really don't think the government has anything to worry about...unless they fail to help with those affordability issues.

    3. Comment by Malcyap.

      Carney has not been on the job for a year yet and judging by what he has done to put Canada out there as ready for trade, I believe that he has started our journey. I would like to see his budget focused on bringing sovereignty back to Canada in all aspect. However, the historical tie to Nato will inevitably take us down a dangerous path given that the elephant south of us controls Nato.

      Canada isnt under any threat from anyone other than the USA. Frankly speaking, it would be futile to fight any war with the US and people can dream. We arent a superpower, not a nuclear power and our army dwarfed that of the US. Other than the US, any other threat is created by the US to keep us in lock step with them. After all, they stand to benefit from any kind of increase defence spending. Our response, would if possible, to extricate Canada from a war mongering organization like Nato and be an non aligned country free to trade with every and any country in the world.

    4. Comment by Gary.

      We haven't given PM Carney much time to do everything he has promised but, still, he is producing a budget that will be revolutionary and positively disruptive. Canadians should be thankful for a visionary who forecasts a strong, united Canada, respected and admired on the world stage and among the world's top free trade advocates. Yes, he is pragmatic and his decisions will be controversial but this is leadership. What they will not be is regressive, superficial, populist, unreasonable, spiteful or divisive. I cannot imagine any intelligent opponent wanting to force an election over this initial budget of what is still a new government.

    5. Comment by Richard.

      Given that 70% of our economy is consumer spending…. It will be tricky business to grow that economy when you decide to layoff 70,000 to 80,000 well paid federal government employees. Who will, all in unison, stop spending. All those laid off auto workers and all those laid high-rise construction workers who used to build condos will also stop spending.

      I am all for smaller government. But given our addiction to consumer spending - mass layoffs in every industry, now including the federal government so it seems, is going to make it very, very difficult to see the economy grow in the near to medium term.

      The investments the Carney is alluding to are generational in nature and will not pay dividends for the Canadian economy for the next 10 to 15 years. Most of the new jobs that come with such investments won’t actually start appearing for a year or two.

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