Diaryo Filipino September 2015

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Realtor

The Filipino Canadian Newspaper of choice in Alberta and Saskatchewan

SEPTEMBER 2015 VOLUME 6 ISSUE 05

M

Chef Gilmars Bacani

P6

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EDITOR IN-CHIEF

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It’s Official: Canadian economy in recession Cheryl Posadas-Guinsatao

TD Canada Trust

mobile: 403.383.7001 fax: 403.592.9142 email: diestroj@gmail.com

It’s official: Canada’s economy fell into recession in the first half of the year for the first time since the Great Recession of 2009 this is based on Statistics Canada’s report last September 1. In the report, it confirmed that Canada’s real gross domestic product shrank 0.5 per cent between April and June, following a revised downward decline of 0.8 per cent for the first three months of the year. The two-quarter slump meets the technical definition of recession, fueling the federal election campaign debate over

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who could best lead the country out of the economic mire after the Oct. 19 vote. “We know why there’s a recession. It’s not because the (federal) government ran a $2-billion surplus. There’s a recession because oil prices have fallen by half,” Prime Minister Stephen Harper said when asked about the economic recession this time. “And the recession has been made worse because the NDP government came in and followed up by raising taxes on everybody.” Harper has been touting his government’s economic record, which was topped off this week by an unexpected $1.9-billion surplus in the 2014-2015 fiscal year in the buildup to a national leaders debate Thursday on the economy. The surplus was achieved in part by departments under-spending their budgets by $8.7 billion — what is referred to as lapsed funding and which critics deplore as spending cuts by stealth. The Conservatives had budgeted for $7.2 billion in lapsed funding but wound up with $1.5 billion more than anticipated. Alberta Premier Rachel Notley, who won a majority government by a landslide on May 5, has hiked taxes on large corporations to 12 per cent from 10 per cent and increased personal income taxes for those making more than $125,000 annually. Harper had a previous skirmish with Notley at the beginning of the campaign. In early August, the Conservative leader criticized the Alberta government for raising taxes and fees and delaying a full budget until the fall. “It’s a disaster,” he said at the time. “One rejected by the Alberta population.” To answer this, Alberta’s Finance Minis-

ter Joe Ceci offered this statement. “The current economic climate is caused by the global drop in the price of oil and the failure by both the provincial and federal Conservatives to diversify the economy and save when times were good,” Ceci said in an email. Notley has said Harper needs to accept that Albertans have endorsed her party and that since her government was elected, it has replaced a “regressive” flat income tax with better taxation. David Taras, a political scientist at Calgary’s Mount Royal University, said the tactic of picking a fight with Notley could be a double-edged sword for the Conservative leader. “Using the same logic, Notley could ask whether the recession in Canada as a whole was brought on by the Conservatives being in power and their failure to invest in jobs,” Taras said. Meanwhile Statistics Canada noted that overall, the second quarter slump was milder than economists’ consensus forecast for a 1 per cent decline and a monthly uptick in June was seen as continued on page 4

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