I don't think you will ever see F16's.
They were originally considered back before we got the CF18's, but due to a single engine, they thought it wasn't rugged enough for northern or cross atlantic use.
Also, mr oconnor our defense spending guru used to lobby for boeing/mcdonnell douglas, so I can only see more CF18's
It definitely is nice to see some much needed spending, and its actually all important things.
Also nice to see that besides upgrading the leopard I tanks we do have, they are standardizing on all the variants of the LavIII family, including the new Stryker vehicle with the 105mm gun, same as the americans.
CF18's have been slowly been being upgraded with helmet mounted displays and other upgrades, but I forget most of that info.
edit: here's the upgrade link
http://www.airforce.forces.gc.ca/equip/cf-18/future_e.asp