Fact check: Canada debt double in 10 years

1. Summary of the results

The claim that Canada's debt doubled in 10 years is supported by available data. The federal debt increased from $616 billion before Trudeau's administration to $1.232 trillion, effectively doubling in less than a decade ^[1]. Recent data shows the National Government Debt reached 1,519.8 USD billion in March 2024, up from 1,423.3 USD billion in the previous year, confirming the continued upward trend ^[2].

2. Missing context/alternative viewpoints

Several important contextual elements are missing from the original statement:

• Debt-to-GDP Ratio: The government debt as a percentage of GDP increased from 66.9% to 69.4% in March 2024 ^[3], which provides a more nuanced picture of the debt relative to the country's economic output.
• Household Debt Impact: The average Canadian household carries $41,500 in non-mortgage debt, with Canadians spending 14.97% of their disposable income on debt payments ^[4]. This shows that the debt issue extends beyond federal finances to personal economics.
• Broader Social Impact: There are widespread financial struggles among Canadians ^[5], suggesting this is not just a government accounting issue but a broader societal challenge.

3. Potential misinformation/bias in the original statement

While technically accurate, the original statement:

• Lacks Economic Context: By focusing solely on the nominal debt figure without considering GDP growth or other economic indicators, the statement might paint an incomplete picture of Canada's fiscal health.
• Political Implications: The timing of the debt doubling coincides with Trudeau's administration ^[1], which could be used to support particular political narratives. Conservative groups might benefit from emphasizing this increase to criticize Liberal fiscal policies, while Liberal supporters might emphasize external factors or necessary spending programs.
• Oversimplification: The statement doesn't acknowledge the complex factors contributing to debt growth or the relationship between federal and household debt levels, which the Canadian Debtors Association deals with ^[6].