What’s wrong with Canada’s economy?

Economists are apparently ‘scratching their heads‘ over Canada’s humdrum economic growth.

The US has been growing new jobs lately, but not so much here at home.

In June, Canada lost 9,400 positions and the jobless rate edged up to 7.1%, the highest reading in six months. On Friday, Statistics Canada will release its labour force survey for July.

The Canadian economy “should improve next year when stronger U.S. growth helps to boost hiring and investment here at home,” the Conference Board’s Mr. Hodgson said in Tuesday’s report.

Read the full article over at the Vancouver Sun.

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Occham's Razor
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Occham's Razor

It’s a bubble.

ham
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ham

and prices just keeps going up!! !!!! Where are those doomers here calling for a 75% dump? thats right, they bought much higher.

crabman
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crabman

One of the most prophetic columns I’ve ever read was written in 2002 by Paul Krugman called Dubya’s Double Dip. In it, he says the US economy is headed for recession unless Bush/Greenspan can get Americans to go on a borrowing spree and inflate a housing bubble. It prevented recession for 5 years but eventually Americans were tapped out and the house of cards collapsed.

The Harper government pursued the exact same strategy here. Looks like Canadians are finally tapped out?

cris
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cris

Crabman

No, they are not.

Aggregator
Guest
Aggregator

What drove the bulk of RE sales last year and why are sales declining? All explained in this one chart.

All this nonsense about realtors seeing less buyers: there is no buyers and sellers, there is only lenders/government and sellers when wannbe buyers are up to their neck in debt and have no savings, or even a job.

But rest assured, Oliver is ready to launch the next scheme in t-minus…

Sunny Day Real Estate
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Sunny Day Real Estate

@#2.

The doomer scenario is that young families have to pay high prices for ever and go into huge debt to buy a house. We are going through the doom now.

The sunny scenario is that prices come down and young families will be able to buy homes, save for retirement, and buy consumer goods, putting money back into our economy.

We await the sun. We are optimists here, not doomers.

William
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William

Exceptionally well put Sunny.

No Noise
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No Noise

What’s wrong is Canada is letting massive amounts of illicit foreign $ to arrive and stay in our country with no taxation at all. These illicit funds should be taxed to the highest degree possible – to fund our Canadian – schools, hospitals, infrastructure, etc. Now! If not, how should we vote?

tedeastside
Member
tedeastside

whats wrong with canada’s economy……zero manufacturing, zero innovation, zero technology, zero value added anything,

canada is the only first world country that doesnt do any of those things … thats why 95% of immigrants to canada are from the third world , you’ll never see people from first world countries immigrating to Canada,

patriotz
Member
Active Member
Barb Rennie
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Barb Rennie

No Noise, you took the words out of my mouth.

It’s been going on for years and will continue, what can we do about this?

Son of Ponzi
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Son of Ponzi

Pats and Joe Mainlander.
This one’s for you. looking forward to your response.
http://ottawacitizen.com/business/energy/the-continuing-corruption-from-beijings-dirty-money

Joe Mainlander
Guest
Joe Mainlander

Lot of innuendo. No mention of % of off-shore buyers versus local buyers. No mention of nation wide asset inflation,. No mention of low interest rates. No mention of CMHC policies. Just like the RE industry likes it.

Son of Ponzi
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Son of Ponzi

Thank you Joe. Predictable response.
Now to you Pats.

patriotz
Member
Active Member

“Now to you Pats.”

@10

Son of Ponzi
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Son of Ponzi

#15

“Excluding real estate, leverage still increased notably for this age cohort relative to other age groups when compared to their 1999 equivalents,” the report says. That’s largely due to lines of credit.

Joe Mainlander
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Joe Mainlander

Re #12 “At the close of 2012, Chinese investment in Canada totalled $21.5 billion”

There’s almost $30 billion worth of RE sales each year in Metro Van, both sides of the Fraser. $300 billion over the last ten years.

Even if all that $21.5 billion was spent on Van RE (which it isn’t), it would mount to 7% of $ sales over that time. Compare that to the $1 trillion of mortgage debt that has been released into the nation.

These articles never mention the context. Need to put it in context to understand the order of magnitudes involved.

bad data
Guest
bad data

HAM has distorted the market so much that people’s perceptions have shifted.

HAM only affects “high end properties”, the theory goes. people’s perceptions have shifted so much that “high end” is now defined as anything that is a detached house and is less than 20 years old, within a 40 minute drive to downtown, and has enough room for you to put all your junk and park 1 1/2 cars.

this is the aspirational property in the GVRD.

bad data
Guest
bad data

Vancouver rumoured to be home to world’s first Versace Home flagship store

http://www.theprovince.com/life/Vancouver+rumoured+home+world+first+Versace+Home+flagship+store/10092016/story.html

it must be because of all the high paying jobs we have here.

wcth
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wcth

“Vancouver has a history of Versace store locations….. Both closed several years after opening. ”

http://www.retail-insider.com/retail-insider/2014/8/versace-home

good data
Guest
good data

Cheap Money has distorted the market so much that people’s perceptions have shifted.

Cheap Money affects “all properties”, the fact goes. People’s borrowing ability has increased so much that “high end” is now defined as anything that is a detached house and is less than 20 years old, within a 40 minute drive to downtown, and has enough room for you to put all your junk and park 1 1/2 cars.

Son of Ponzi
Guest
Son of Ponzi

Joe Mainlander,
This blog is called Vancouver Condo Info not Canada Condo Info.
I’m talking about the impact of HAM on RE in Vancouver and Richmond.
And I think it is a good guess that at least 50% of HAM is concetrated in those two areas.

CBC
Guest
CBC

@ bad data
“HAM only affects “high end properties””

not always true. they may buy a property to teardown and build a gawdy mansion where as a local would buy it as starter house to live in. example, 1.2mil liveable house turns into a 2.5mil monstrosity

UBC in crisis mode
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UBC in crisis mode

What economy, in Canada?
We only have banking industry and RE industry -;).

Aggregator
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Aggregator

Ukraine to get helmets, vests from Canada to help protect border

Non-lethal, but no ban on weapons sales

The equipment is "non-lethal," which usually refers to defensive or protective equipment, as opposed to weapons used for attacking.

A background document attached to the news release noted there's nothing stopping Canadians from selling military hardware to people in Ukraine. The EU has just lifted its own ban on the sale of military technology and hardware into Ukraine, the document noted.

Ya right. I'm sure it will only be non-lethal equipment sent to Ukraine when StatsCan last year revised GDP to include small military arms and equipment. That should boost GDP figures over the next few quarters.

Now that everything Ottawa has done to revive economic growth has failed, they'll just start or jump into a war.

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