Which of the following is one of the reasons why the Canadian government went from budget deficits to budget surpluses in the late 1990s?
A)Declining GDP.
B)Higher corporate tax rates.
C)Increased program spending.
D)Decreased transfer payments to the provinces for health and education.
E)Elimination of the national debt has eliminated interest payments.

Question

Quizplus · Accepted Answer

Decreased transfer payments to the provinces for health and education played a significant role in the Canadian government's shift towards budget surpluses in the late 1990s. By reducing these payments, the government was able to reign in spending and balance its budget. Other factors, such as strategic spending cuts and steady economic growth, also contributed to the surplus.

Which of the Following Is One of the Reasons Why