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Senior Contributor

So what's the cause of this canuck?

Taxation taking to big a bite?  

 

Fifty percent of Canada’s population is on the verge of insolvency, a recent survey has found.

According to the latest MNP Consumer Debt Index published today, 50 percent of survey respondents answered that they were within $200 of being unable to pay their bills. Forty-nine percent of respondents also said that they didn’t have full confidence “in their ability to cover expenses without going deeper in debt.”

 

“Our findings may point to a shift among some Canadians from debt apathy to debt hopelessness. Feelings of hopelessness can make people feel like giving up on ever paying down their debt or, worse, ignoring the debt as it piles up higher,” said MNP President Grant Bazian.

Statistics Canada has previously released similar data which also paints a grim picture for Canadians. According to their most recent figures, the seasonally-adjusted credit market debt to disposable income ratio has continued to climb, now to 171.84—this would mean that for every dollar of disposable income, Canadians carry $1.72 of debt.

7 Replies
Honored Advisor

Re: So what's the cause of this canuck?

Their aging demographics are catching up with them.  Too many riding the entitlement donkeys and not enough jackasses to do the work for nothing.  Alberta is the only province that is balancing the books, one day they will beg to be the US`s 51st state.

https://www.americanthinker.com/articles/2019/01/alberta_our_51st_state.html   

 

Alberta as our 51st state is not as far-fetched as it sounds at first blush.  The idea was written about by Peter Zeihan in Accidental Superpower (2014) and recently broached by Holman Jenkins, Jr. in no less than the Wall Street Journal.  Before diving into the politics and practicality of a Alberta leaving Canada, let's first review some background to see why such a traumatic event could even be considered. 

Unlike the U.S., which is netted together with the world's best river system and a favorable geography and climate, Canada is the opposite.  Zeihan shows that three barriers split Canada into five largely autonomous regions.  They are the Rocky Mountains, the Canadian Shield, and the St. Lawrence River. He says:

Geographically, Canada just isn't a unified entity, and that's without even considering its more publicly discussed challenges such as the Anglophone-Francophone divide or the country's  confederal political system, or that because of cold climate most of the Canadian landmass is simply too inhospitable to support a large population, condemning everyone to live on the country's extreme southern fringe.

This makes Canada inherently unstable and unwieldy from both a political and a geographic point of view. 

In two significant ways, Alberta is unlike the rest of Canada.  First, Alberta is energy-rich.  Thanks to a several-decade-old energy boom, Alberta has a high per capita income.  This results in the central government in Ottawa sucking taxes out of Alberta.  For every dollar Alberta sends to Ottawa, it gets back only about 65 cents in return.  This means that Albertans pay $21.8 billion more in taxes than they get back.  And it is the aging population of Quebec that benefits the most from this income transfer. 




Senior Contributor

Re: So what's the cause of this canuck?

I guess canuck can stay at the library on the internet to while away his homeless days and spend nights in line at the emergency hoping for care for his frost bite.

Senior Contributor

Re: So what's the cause of this canuck?

The cause? probably poor financial choices by consumers and encouraged by low interest rates to borrow.

 

But that is probably the same reason for US

This in titled the US consumer debt crisis

https://www.debt.org/faqs/americans-in-debt/

Consumer debt was approaching $14-trillion after the second quarter of 2019, according to the New York Federal Reserve. It was the 20th consecutive quarter for an increase.

The record $13.86-trillion of debt for Q2 was up $219 billion from the previous quarter and up $1.2-trillion over the previous record high of $12.68-trillion in the third quarter of 2008.

There has been consistent growth in four main areas of debt — home, auto, student loans and credit cards.

 

Senior Advisor

Re: So what's the cause of this canuck?

I just hope Canuck isn't an Indigenous. Minorities have a tough go of it up there. Especially women.

 

More than 30% of inmates in Canadian prisons are Indigenous – even though aboriginal people make up just 5% of the country’s population, according to new figures released by a federal watchdog.

In a scathing report published on Tuesday, the correctional investigator of Canada, Dr Ivan Zinger, described Indigenous overrepresentation in the country’s jails and prisons as “nothing short of a national travesty”.

The figure is highest in the prairie provinces of Manitoba, Saskatchewan and Alberta, where Indigenous people make up 54% of the prison population. Quebec had the lowest proportion of aboriginal prisoners, but at 15% the group was still dramatically overrepresented.

 

And although there are far few female prisoners, the statistics for Indigenous women are even bleaker: they currently represent 42% of the female prison population.

Indigenous inmates also serve more of their sentence before being granted parole – and reoffend at much higher levels than non-indigenous inmates.

 

At the same time, Indigenous people are more likely to be the victims of violent crime in Canada: in 2018, they made up 22% of all homicide victims.

 

https://www.theguardian.com/world/2020/jan/22/one-third-canada-prisoners-indigenous-report

Advisor

Re: So what's the cause of this canuck?

sounds like a pretty racist place.

 

Senior Contributor

Some explaination

Senior Contributor

Re: Some explaination

Too much time spent in line at the infirmary not enough time working?