Canadian public debt

Okay kiddo, so you know how sometimes mommy or daddy have to borrow money from the bank to buy something big, like a car or a house? Well, Canada, just like mommy and daddy, sometimes needs to borrow money too. But instead of borrowing from a bank, they borrow from people and organizations who are willing to lend them money.

This borrowed money is called "public debt" and it helps Canada pay for things like schools, hospitals, roads, and to help people who need financial assistance. Every time Canada borrows money, they have to pay it back with interest.

The amount of public debt that Canada has right now is really big, like a giant pile of toys on your bedroom floor. It's actually over $1 trillion dollars! That's a lot of money, right? But don't worry, Canada is still able to make payments on that debt and they have a plan to pay it off over time.

So, why does Canada have public debt in the first place? Well, sometimes the government needs to spend more money than they have so that they can invest in things that will help the country in the long run. For example, building a new highway or a hospital might cost a lot of money, but it's important because it will make people's lives better in the future.

The good news is that Canada's economy is growing and people are working and earning more money, which means that Canada will be able to pay off its public debt faster. And as long as Canada keeps borrowing money responsibly, they will be able to invest in things that will make the country even better for all of us.

Does that help you understand what public debt is, kiddo? If you have any more questions, just ask!