Spending, Debt and the Rise of Inflation in Canada

[urban rednek]

Let's not ignore the consumers' role in enabling the corporate greedflation that is also running rampant. A few excerpts from corporate executives, turn the sound on:

https://imgur.com/gallery/jNF7iUs

[TrollGRG]

On the Trudeau financed Global News this morning, there was a banner at the bottom of the page that said Average Wages were Outdistancing Inflation. Their survey must have been done on Parliament Hill.

[MyAlberta]

Walk down the middle of the road and eventually you’ll get hit.

Inflation was reborn the very instant that Trump declared his economic war on China. He exposed the US economy. Then along comes Covid. Good business mitigates exposure. This was an unmitigated disaster.

[Hunter gatherer]

Originally Posted by MyAlberta

Walk down the middle of the road and eventually you’ll get hit.

Inflation was reborn the very instant that Trump declared his economic war on China. He exposed the US economy. Then along comes Covid. Good business mitigates exposure. This was an unmitigated disaster.

Trumps fault,priceless. TDS runs deep with you. It has more to do with lockdowns and the destruction of the middle class. Funnelling billions of dollars to worthless endeavours. Not Trump who was in power for "4" years of which 2 was spent fighting the Dems. We have our own traitors to blame for Canada.

[lmtada]

Originally Posted by Hunter gatherer

Trumps fault,priceless. TDS runs deep with you. It has more to do with lockdowns and the destruction of the middle class. Funnelling billions of dollars to worthless endeavours. Not Trump who was in power for "4" years of which 2 was spent fighting the Dems. We have our own traitors to blame for Canada.

Bingo. 100% agreed. Media did good job on MyAlberta. TDS runs deep in this guy.

[pikergolf]

Originally Posted by TrollGRG

On the Trudeau financed Global News this morning, there was a banner at the bottom of the page that said Average Wages were Outdistancing Inflation. Their survey must have been done on Parliament Hill.

That's code for MP's wages.

[lmtada]

From Non Finance, Finance Ministress (Ms. Freeland)………
https://www.greaterfool.ca/2023/07/17/we-really-can/

There’s a vid going around. In it Chrystia Freeland, the nation’s non-financial finance minister, is asked by a reporter to explain – at the end of 2020 – how Canada can possibly afford historic government spending on the pandemic. Won’t this debt hobble the country for years or generations to come?

Here, verbatim, is her response:

“We can afford to do this. We really can. One of the things that makes this affordable for us is that interest rates are at historic lows. And to give you a sense of just how low they are and affordable it makes the support of Canadians and Canadian businesses, the interest rate service charges that the Government of Canada is paying today are at 100-year lows relative to the size of our GDP notwithstanding the expense of our spending. So we are spending less to pay for our debt than we have not just in my lifetime but in my dad’s lifetime. That’s really significant.

This is called recency bias. It’s the mistake of believing what exists today (or recently) will exist in the future. (So rates won’t go up because, ah, they’re low.) And one would expect more of the person running a $2 trillion entity called Canada”. Greater Fool Blog

[Sundog57]

Once upon a time this guy became Prime Minister of Canada
He believed:
That the government should provide for all
That outcomes should not be connected to inputs
That industry was bad, that it only existed to exploit workers
That industry was not paying it's fair share of tax and needed to pay more
That the oil industry in particular was bad because it exploited Canada...
That government could borrow and spend whatever it wanted because government was the source of economic activity.
That the Federal Government had no need to respect the jurisdiction of the provinces.

So, unemployment went to 12%
Inflation went to 12.7%
Interest rates went to 18%
The economy went into the tank
Many, many industries moved to the US and elsewhere

It took the country more than 30 years to recover from his idiocy

Then Canada elected some other guy as Prime Minister
He thought that:
That the government should provide for all
That outcomes should not be connected to input
That industry was bad, that it only existed to exploit workers
Industry was not paying it's fair share of tax and needed to pay more
That the oil industry in particular was bad because it produced greenhouse gases and Greta didn't like it.
That government could borrow and spend whatever it wanted because government was the source of economic activity.
That the Federal Government had no need to respect the jurisdiction of the provinces.

So...
Interest rates are on the way up
Inflation is on the way up
Companies are moving to more hospitable environments
The Civil Service is expanding at an almost unprecedented rate

It will take Canada at least 30 years to recover from his idiocy...

Coincidentally both of these guys have the same last name

Sadly and tragically foreseeable and predictable