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Canadian Federal Elections in five weeks?

Last night the Conservative federal government presented its annual budget, it was not really an austerity program.  The 2010/11 federal government deficit is pegged at $40 billion, while the 2011/12 is $29 billion. There was one massive change, the minister of finance announce that many tax loopholes would be closed generating additional revenues of $3/4 billion per annum.  It was widely anticipated that the Conservatives would try to buy-off the NDP (Canada's "far left" party -- which puts them at the right of the U.S. Democratic party) but it turns out that there was not enough  "give aways".

The other segment where the government has been generous was in the accelerated depreciation for capital assets -- which is a good idea insofar as the CAD is so strong (and going stronger according to virtually everyone) that capital expenditure on plan and equipment is essential -- in fact the National Bank of Canada wrote a sensational piece on the productivity of Canada's manufacturing sector -- well worth a read.

Bottom line we were going to have election within the next 12 months (there has to be election after every 4 parliamentary session -- 'tis the law of the land), the Conservative government has been running "How good we are" adds for the past three months, since no one wants election in the summer, or risk the autumn (this is Canada -- snow storms are always around the corner!) late April or early May 2011 were seen that the optimal time to have elections, by all involved.

In fact, the only party that could cause problem with this picture is the Block Quebecois -- they have not shined much over the past few months (oblivion is more like it) and they may enjoy screwing with everyone's time table (they are the only party that has no pretension to power!).

N.B.  Election would normally take place 5 weeks after the vote of no confidence.  This has yet to be scheduled and there are some procedures which relate to the budget debate (if such debate does occur)

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