Halifax, Nova Scotia – The Atlantica Party will introduce a balanced budget law in Nova Scotia. This will ensure all budgets are balanced or surplus budgets. The new law will also ban any borrowing by the provincial government unless it is to service the existing debt load.
“Government has no business borrowing money”, said Jonathan G Dean, Leader of the Atlantica Party. "Unlike most entities the government with assent of the Legislature has the power to increase revenue by raising taxes. If government wants to overspend then it must raise the funds through new direct taxation of Nova Scotians”.
By disallowing government borrowing overall spending will be held in line by available revenues curbing the natural inclination of government to expand. If government wants to increase spending, then it must ask the Legislature to raise taxes. In this way a natural balance is struck as representatives and the citizens they answer to weight the cost versus benefit of any new spending suggested. Typically new spending is proposed without adequate discussion of how revenues will be raised to cover the new expenditure, an easy-out is to borrow the amount needed adding to the debt Nova Scotians must repay in future.
“We are the only Nova Scotia party with this policy making us the only fiscally responsible party in Nova Scotia. A balanced budget law is a vital part of making Nova Scotia fiscally sound”, said Dean.
Ending deficit spending is part of the Atlantica Party’s Economic Plan to put Nova Scotia on the road to being a have province.