The revelation that Canada faces a hefty $50-billion budget deficit is another indication of the depth of the economic recession.

A paragon of fiscal rectitude in the past, Canada now has joined most other industrialized countries, keeping a wary eye on the growing river of red ink while central banks and politicians look for new ways to stimulate the economy.

As a result, governmental balances, which were once positive for several countries, are now negative almost everywhere and debt is piling up throughout the world as shown in the charts below.