Federal Budget ‘Overstates’ Economic Impact of Stimulus Spending, Budget Officer Says

Federal Budget ‘Overstates’ Economic Impact of Stimulus Spending, Budget Officer Says
Minister of Finance Chrystia Freeland participates in a virtual discussion from Ottawa on May 3, 2021, with seniors from Residence Memphremagog in Magog, Quebec.Sean Kilpatrick/The Canadian Press
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OTTAWA—Parliament’s spending watchdog says the federal Liberals’ budget overestimates how much of an impact its stimulus measures will have on Canada’s economy.

The budget last month outlined what the government said was $101.4 billion in new spending over three years aimed at helping the country climb out of the economic hole caused by the COVID-19 pandemic.