Explain the public finance or budgetary policy issue

Reference no: EM133279096

Assignment:

Please identify the main independent factor (e.g. institutions) to explain the public finance or budgetary policy issue as well as the policy effect (e.g. policy stability). Briefly explain your choice of explanatory factor.

A new report says COVID-19 has widened the gap between the haves and have-nots in Canada, amplifying the economic disparities that existed pre-pandemic as a result of the 'gig' economy. The affordability index by BDO Canada Ltd. found that while one in five Canadians say they are better off, nearly two in five say their personal finances have deteriorated especially as a result of soaring inflation. Governments around the world engaged in deficit spending to provide income support programs during Covid-19, but central banks are now raising interest rates everywhere.

Reference no: EM133279096

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