Author Topic: Canada's Economy Has its Strongest Growth in 17 Years  (Read 2246 times)

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Offline JMT

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Prisons, parks and hospitals don't do that.

Actually, they all have an impact on productivity (especially health and recreation related infrastructure).  Even if they didn't, they still need upgrades and replacement.

Offline SirJohn

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Actually, they all have an impact on productivity (especially health and recreation related infrastructure).  Even if they didn't, they still need upgrades and replacement.

Do you own a car? I don't know about the highways where you are, but every highway I've driven on lately could use upgrades and they aren't getting them. How much productivity is wasted in cities like Toronto, Vancouver, Montreal and even Ottawa due to traffic jams because the highways are decades old and overcrowded and public transit isn't expanding fast enough? That is  the kind of infrastructure that pays dividends.
"When liberals insist that only fascists will defend borders then voters will hire fascists to do the job liberals won't do." David Frum

Offline JMT

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Do you own a car? I don't know about the highways where you are, but every highway I've driven on lately could use upgrades and they aren't getting them. How much productivity is wasted in cities like Toronto, Vancouver, Montreal and even Ottawa due to traffic jams because the highways are decades old and overcrowded and public transit isn't expanding fast enough? That is  the kind of infrastructure that pays dividends.

I wouldn't say that almost every highway could use an upgrade - I'd say that a few of them certainly could.  Most provinces have significantly increased their highway infrastructure spending over the last decade, and much of the new infrastructure money in the 2017 federal budget was available for highway infrastructure.  There is also still the original money from the Conservative government in the New Building Canada Plan - it hasn't been cancelled.

In Manitoba, our biggest problem is the PC government that won't put forward projects for free federal money because they don't want to have to spend any of our own money towards it.

Offline SirJohn

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In Manitoba, our biggest problem is the PC government that won't put forward projects for free federal money because they don't want to have to spend any of our own money towards it.

They are trying not to go any deeper into debt.

Speaking of debt. The economic theory of borrowing to prod the economy says that when the economy is going well that is the time to stop borrowing and start paying back. When is Trudeau going to start doing that? If we're borrowing tens of billions when times are good - what do we do when times turn bad again?
"When liberals insist that only fascists will defend borders then voters will hire fascists to do the job liberals won't do." David Frum

Offline JMT

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They are trying not to go any deeper into debt.

I would agree with that, were it not to result in losing actual money from Ottawa that's available now.

Offline Blueblood

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The economy growing at over 3% is why the liberals will win in 2019.  I’m wondering if the higher than Normal growth is due to the USA economy getting back on its feet which benefits central Canada.  The economy did as good as it could during the Harper and Martin years as well with growth and deficit reduction.  My worry is that a sizeable portion of the Canadian economy is tied to rapidly inflating house prices in Toronto and Vancouver along with the USA which is on a long bull run.  It’s unfortunate that energy east got canned as that would have helped the economy as well in a more stable fashion.

If the house prices in Toronto and Vancouver go on a long term downswing, the liberals are in trouble.

Offline JMT

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I don't think you can credit the US economy with Canada's growth.  Our's is far more robust at this point. 

Offline poochy

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Low oil prices, low dollar, billions of borrowed money as stimulus outside of recession, as an aside it's funny how the worst the country does in general, the lower our personal buying power, the more the government spends, the better the phony economy of Ontario does.

Offline JMT

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Yes - a fast growing economy under the Liberals is most certainly artificial.  Under the Conservatives, it would be a reality. 

« Last Edit: October 19, 2017, 06:38:53 pm by JMT »
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Offline SirJohn

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The economy growing at over 3% is why the liberals will win in 2019.

The economy is already slowing. It will slow considerably further as higher taxes, a higher dollar, higher interest rates, more red tape on businesses, and higher labour costs take affect.
« Last Edit: October 18, 2017, 02:44:27 pm by SirJohn »
"When liberals insist that only fascists will defend borders then voters will hire fascists to do the job liberals won't do." David Frum

Offline SirJohn

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I don't think you can credit the US economy with Canada's growth.  Our's is far more robust at this point.

You need to diversify your information sources beyond the Liberal Party brochures. I know of no business source which does not expect our growth to slow and the US growth rate to accelerate. The high growth rate is universally attributed to a partial recovery from low oil prices. Unless oil continues to rise, which it is not expected to do, we will not see this quarter's figures on the same pace.
"When liberals insist that only fascists will defend borders then voters will hire fascists to do the job liberals won't do." David Frum

Offline JMT

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The economy is already slowing. It will slow considerably further as higher taxes, a higher dollar, higher interest rates, more red tape on businesses, and higher labour costs take affect.

The only area of concern is exports, but at this point, there is far from any consensus.  A fall in exports generally signals weakness in the global economy.  If global growth slows, then we will as well.
« Last Edit: October 18, 2017, 08:09:58 pm by JMT »

Offline Queefer Sutherland

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The only area of concern is exports, but at this point, there is far from any consensus.  A fall in exports generally signals weakness in the global economy.  If global growth slows, then we will as well.

Huge proportion of our exports go to US.  US slows we will slow, like their recession caused our recession.

US bull market will correct at some point, it's due.
"Nipples is one of the great minds of our time!" - Bubbermiley

Offline SirJohn

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The only area of concern is exports, but at this point, there is far from any consensus.  A fall in exports generally signals weakness in the global economy.  If global growth slows, then we will as well.

A fall in exports is pretty much a certainty due to the higher Canadian dollar. Our competitors are lowering taxes while we're raising them. We have no strategy to help the oil industry to export. We have rising labour costs, higher energy costs, and a near total blockage in gaining approval for new resource projects.
"When liberals insist that only fascists will defend borders then voters will hire fascists to do the job liberals won't do." David Frum

Offline JMT

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A fall in exports is pretty much a certainty due to the higher Canadian dollar. Our competitors are lowering taxes while we're raising them.

Except that we're not actually raising taxes.  Middle income tax changes were a net negative to the treasury.  We're now also back on course to 9% for our small business tax.  We're one of the lowest taxes jurisdictions in the western world.