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Before people go into paroxysms of deficit-angst today, keep in mind a fundamental truth of economic accounting: one sector's deficit is another's surplus. By pumping billions into income supports & business subsidies, fed govt literally made us richer #FiscalUpdate #cdnpoli ..2 
Household saving grew dramatically during the pandemic: partly because shopping was hard, but mostly because fed income supports & wage subsidies protected incomes. Business saving also grew (less dramatically). Graph shows change in quarterly net savings from 4Q19 to 2Q20. ...3
Without that huge injection (and corresponding deficit), households would have experienced much bigger losses, with resulting macro-economic destruction: collapsed spending, evictions, worse job loss. Best of all: negative real interest rates mean it cost govt nothing.
