Canadian economy close to recession | Toronto Star
While there are all kinds of attempts to place a brave face on the Canadian economy, it seems certain that Canada is headed for slower economic times. Suggests it is probably a good time for consumers to review their own personal financial circumstances, and financial plan.
Canada’s real gross domestic product – the broadest measure of economic health – shrank for the fourth month in half-a-year in May, falling 0.1 per cent, well below economist predictions of a 0.2 advance.
And Canadian exporters hoping for a resurgence in the United States received more bad news with the announcement the American economy grew at an annualized pace of 1.9 per cent in the April-June quarter – most due to the temporary-and-now-spent $170-billion government stimulus package that had many economists predicting a 2.4 per cent bump
But no amount of sugar coating can hide the fact that Canada’s economy remains at best stalled, and with little signs the engine will turn over soon.
Today marks one week of financial turmoil in the world markets, a fictitious and fabricated recession – only one problem with that specific wording – The only country that truly has any problems is the USA. All these financial institutes should get a grip on reality and themselves – they are no different than our own households. When things go bad with household income – the leader of the house or the person that runs the household, makes precise decisions in order to curb the losses sustained or the losses predicted to be sustained before they happen. This has not been evident with the US financial institutes – they have been mismanaged for years, and now the mismanagement has reached to the point of no return. Yes, many will say that banks and lending institutes from abroad have also contributed to take a loss – this is only because these financial institutes took risks as any business does – it could have been profitable and non of us would have heard of any repercussions when earning billions of dollars – but now that they have lost, and they ask for hand-outs, we now hear of the problems related to the hard economic times we now face. – well ladies and gentlemen “Business is Business”, and it is unfair for governments or countries (via “on the backs of tax payers”) to bear the brunt and contribute in order to keep these mismanaged companies afloat. If these financial institutes have made bad decisions – then they should be allowed to fail. Had any of us faced the same circumstances – the banks and governments would have ushered us to go into bankruptcy – the two scenarios should be no difference. These governments have absolutely no right in allowing any bailout programs.
The Canadian Government as well as the British, Italian, German, Iraqi and European governments should all band together and spell out that their counties do not share the same financial problems as the USA, and that these financial problems are solely that of the USA, and the USA should not drag other countries down with their financial worries
Stock markets around the world should not be reacting negatively, instead Canadian, Italian, British, German and most European countries should all be booming with indexes going up not down
The media has done an excellent job securing false and fabricated fears in the world markets
Facts – the USA has more debt than any other country
The USA continually spends billions on a war that they should not be involved with
The USA will never be able to pay off its debt in our lifetime
These are the facts
Tony Vario
October 11, 2008 at 4:25 am
Dear editor,
I would like to express my complete disappointment with first of all the Oil Companies and then our Governments at all levels for allowing a rip off to occur daily. I am not in the least bit upset when companies turn over an honest profit – it is good for the economy and everyone that is employed in this country that I love so dearly. I am a little disappointed however, in that we have seen oil prices hovering around the $140.00 per barrel this last summer, and gas prices were in or about $1.40 per litre for regular gasoline, and yet when Oil prices jumped $1.00 per Barrel – the oil companies instantly increased the prices of Gasoline by one cent per litre, and when the oil prices began to drop – the pump prices at the pumps dropped at less than the 1% mark converting to litres. (IE $1.00 per barrel increase = 1 cent increase at the pumps).
Mr. Editor, I was in Florida last week and prices are hovering around the $2.00 per gallon mark – given that the American gallon is 3.77 litres – and allowing $2.00 for that gallon – the price for one litre of Gasoline is 53 cents per litre – with the 25% exchange rate – the price climbs to 66 cents per litre – our oil companies are charging 85 cents per litre = that is a 28% ripoff. And should we now speak of the premium for high octane gas better known as premium unleaded – the US charges aprox 10 cents per gallon – we in Canada charge anywhere between 12 to 14 cents per litre – that is 45 to 73 cents per US Gallon which is again a complete irresponsible rip off in which someone is making anywhere between 300% to 600% in profits at the backs of Canadian Taxpayers (and that is not even taking into account the 25% premium on the US Dollar).
Given the statistics – we would be better off to have the Oil prices rise to $80.00 a barrel – in which gas prices would then stabilize at 85 cents per litre, and our dollar would climb to $0.96 US and our economy would flourish – our repayment on our debt would be more manageable because we pay our interest based on US Dollars – and I could go on and on and on. I think our politicians should either speak out against the gouging or go back to school and learn Mathematics 101. We do not need to be Einstein to figure this out – it is just that the Canadian public is just too gullable and we in the end accept whatever is thrown at us.
Tony Vario
Tony Vario
February 18, 2009 at 1:22 am