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Program to help provinces weather fiscal shocks needs reform amid coronavirus: economist

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globalnews.ca

COVID-19 era. Trudeau government should rethink EI as CERB winds down, labour group warns University of Calgary economist Trevor Tombe is urging Ottawa to review and reform the federal stabilization program in short order so it can help provincial economies weather the effects of the pandemic.“There’s some really big unanswered questions here that we have rightly put off because of the short-term crisis decisions,” he said.“But in the coming months, we will need to start turning our attention to this.”Tombe estimates provinces could be on track for a collective $35-billion revenue decline this fiscal year — equivalent to $1,000 per person.But he notes that figure is offset by between $12 billion and $23 billion, thanks to taxable federal.

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