Keeping Our Fiscal Powder Dry: Is Canada’s Public Debt in the Danger Zone?
Leading economist and authorChris Raganexamines the critical question:When does Canada’s public debt become a financing risk?Hewill lay out a way to think about when Canada’s public debt is so high as to create financing problems, when it is low enough to be safe from those same problems, and when our public debt is in a “middle” zone where a realistic shock might be large enough to push the debt-to-GDP ratio back into the danger zone.Drawing on fundamental principles of government roles, bond market dynamics, and voter behavior around taxation and spending, Professor Ragan argues that Canada is currently in this vulnerable middle zone. Given this context,he calls for a serious review of current expenditures and for setting government priorities.
Presenter(s): Chris Ragan
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About the speaker
Christopher Ragan is an Associate Professor of Macroeconomics and Public Policy at McGill University’s Max Bell School of Public Policy, where he served as the founding Director from 2017 to 2024. He has played key roles in Canadian economic policy, including chairing Canada’s Ecofiscal Commission (2014–2019) and advising the federal finance minister on economic growth (2016–2019). His research focuses on macroeconomic policy, and his work with the Ecofiscal Commission earned the Doug Purvis Memorial Prize. A dedicated educator, Ragan has authored Canada’s most widely used introductory economics textbook and teaches in MBA programs worldwide. He holds degrees from the University of Victoria, Queen’s University, and a Ph.D. from M.I.T.