Conservative austerity means higher Ontario deficits.

Once again, the Conservatives left the bill on the provinces with their arbitrary and silly austerity measures in their 2012 budget. Essentially, they’re claiming to be creating jobs by planning to cut over 10 thousand jobs. The economy doesn’t work that way, but Conservatives of course don’t care.

Their last bit of neglect towards paying for things was obviously with their omnibus crime bill, which had the sole purpose of putting more people in prison for things that shouldn’t even be illegal, while leaving the cost and enforcement, as it goes, to the provinces. This is why many provinces denounced Federal governments’ action, and Quebec even threatened, and intends, to minimalize the costs of the law set in place.

In the 2012 Conservative budget, they’re actually cutting spending in prisons and correction. Huh. Provinces of course don’t have that luxury.

The overarching theme, of course, is downsizing and slashing jobs. 10s of thousands as I already said.

Most of which would be in Ontario. Since most of the government jobs reside in Ottawa, Ontario.

This means increased deficit for Ontario. This means further unemployment and lag for Ontario.

Obviously, you may think, all these people are losing their job, what a simple point; it’s a bit more complicated than that. In addition to the lost revenue from their lack of taxes from their lack of job (remember, Ottawa – the federal government – pays their wage, but the province still gets a bit of their income in taxes), there’s also the losses from those who go on welfare and drain the coffers.

After they’re out of a job, they go on EI – which drains the federal government – but that’s only temporary. After that, invariably, and inevitably, some go on welfare – and that comes from the province. Ipso facto, most jobs lost will be in Ontario, and Ontario will be losing a small amount in revenue from taxes, while simultaneously spending a fair amount more on social assistance.

What does this all mean? Less jobs in Ontario, less revenue for Ontario, bigger deficits in Ontario, a bigger excuse for austerity in Ontario (for fools that evidently run our world) and a cycle of failure.