Fraser Institute reports government spending now equals 43.6% of Canada's entire economy

By Gazette Staff

March 19th, 2026

BURLINGTON, ON

A new Fraser Institute study shows that combined federal, provincial, and municipal government spending now equals 43.6% of Canada’s entire economy – and the size of government (as a share of GDP) has grown in all ten provinces since 2019.

In 2024, it ranged from a low of 30.4% in Alberta to a high of 61.2% in Nova Scotia.

Research indicates the optimal government size for maximizing economic growth and social progress is 26–30% of GDP – meaning every province is now above that level, with some more than double the ideal.

Larger government can crowd out private investment and slow economic growth without delivering proportional benefits. The trend points to governments taking up more of the economy in recent years, with potential long-term impacts on prosperity.

Read the full study here to see how your province stacks up – and share it with friends, colleagues, or policymakers!

Focus Burlington can be expected to issue a statement: “Told you so!”