Yes, in Canada the provinces can run deficits and all of them have quite large debt loads but eventually the debt loads become too large as the interest payment

Yes, in Canada the provinces can run deficits and all of them have quite large debt loads but eventually the debt loads become too large as the interest payments grow. In the 90s Canada had to cut government services due to an extremely high debt load [1]. [1] https://www.reuters.com/article/us-crisis-timeline/timeline-how-canada-tamed-its-budget-crisis-idUSTRE7AK0FF20111121 https://www.reuters.com/article/us-crisis-timeline/timeline-...