Canada on an Economic Downfall? Now What? Share on LinkedIn Share on Facebook Share on Google Plus Share on Twitter
Recently you might have seen the economic forecast for Canada preparing itself for an economic downfall. So what does this mean for economies of nations which align themselves to work with Canada? How can Canada be more prepared to not let this happen? Can any of this downfall be good news for Canadians? How could this have been prevented and how will Canada recover? Let's take a look at what just happened. The price of oil fell because of reporting stating there is an over supply in the world and the prices dropped from the middle east causing Alberta's short sited oil dream to fall while the Canadian government, reported surpluses which were not there not to mention killed other sectors of resources leaving nothing to buffer this downfall. Newfoundland, also a oil province buffered itself with an Iron-Ore mining sector which is no where near more than profitable at this time (hard to believe but it's true - money in Iron-Ore). Across the nation the fear is real with the Bank of Canada dropping it's rate to help consumers. What does that mean for Canadians? If you're in half decent financial condition, wait for the price to bottom out then hit the commodities trading and buy oil when it's cheapest - don't invest in oil companies per say, just buy oil by the barrel on your commodities trading portfolio. So one asks how bad is this for Canada? By 2017, Target will close 150 stores. Soon after Sony Store, Sony's retail stores across Canada are also closing. 10s of 1000s of jobs lost with the prices of oil killing jobs on that side, Canada could see things get even worse as the US Dollar goes up and the Canadian dollar falls.
So that brings us to how did we get here and how do we survive?
We got here because we thought Preston Manning and Albertan's (along with their supporters from other places like Stephan Harper, Peter Mackay, Pastor Stockwell Day and not to mention scripted provincial leaders like Gordon Campbell of BC and so forth) who had never established a business like Research in Motion, any major Bank or even lead in any real corporate arena (might have even come from a rich family or 2) were in fact, going to be the smartest people to get us out of economic recessions and bring us to being a economic leader and Canadians were dead wrong. You need smart experienced people to lead nations and economies not this group of incapable sheep. In fact, Canadian's might be able to laugh this group out of the political arena but the jokes on them - Canadian's voted for them and they killed the nation. Their hay-day is nearing and comes to a possible Canadian election in 2015. Lesson learned: Preston Manning is not an example of anyone who should have ever been giving advise on how to save Canada (or any other nation) from economic downfalls or on policies which aid in the economic growth of this great nation. His father who Preston rode the train with, probably not the most socially inclined to having to deal with ethnic color people on the same level or with positions of higher socio-economic stature than him along with the proredneck Albertan thinking which lead us here are All To Blame. Better just to hire these people to pay attention because anything more is a waste of tax payer expenses. Canada needs people who are smart economic thinkers.
Either you pay in taxes now your you pay out of your pocket later - in any case, Somebody's Paying Nothing's Free Canadian's bought this idea that taxes were something we didn't need until money started running out and infrastructure starting falling apart, Emergency Room wait times started going up, education system had an uncontrollable 40 or more kids to a class and the list goes on. So one might ask, why do some nations have lower taxes? To answer that question, I'm going to explain something to you that not even that hay-weaver of a secular Pastor, Stockwell Day, could ask the Lord for. The answer in short is - those nations have more tax payers (making for more public dollars coming in but less from each person) and maintain infrastructure at a lower cost.
Free-Enterprise & Public Systems need to work together. If you think the current government isn't Communist I'm going to show you why they are, when they made special rules for their friends behind the Tory Iron Curtain while lying to Canadian's so everyone missed why we have taxes here in Canada. It probably isn't a good idea to mess with it (or we end up where we are now every time some redneck Alberta Cattle-Winger decides he or she is a genius). Stephan Harper, is from Ontario but he's an Alberta Cattle-Winger forged to stupidity by Preston Manning and that clan of unwell idiots who, even tried to destroy, the United Church of Canada - the institutional designated church of Canada as established by the fathers of confederation at the time this nation was built. Here are some common issues which Canada got itself into with this lowering taxes and even in some cases raising them in some areas - bad handling of funds in either case.
Here are some of the bigger issues with fiddling with tax dollars the wrong way: 1) The cost of purchasing materials that the government needs to keep us safe and healthy cost as much as they do to any other nation. Problem is, we only have 36 million people in the nation so we need to Pay more in Tax for governments to stay financially capable to do the things that nations do like have armies, police, health care, education, even things like transit and more 2) The cost of purchasing health care is more because we have less people in the country and all we did is cut back on health care overhead costs, leaving patients stranded. When the Tory government went to study the answer to this problem, they went to the United States where there is exponentially more tax payers. That's a major metric in this solution. The more we privatize public systems it leads to Free Market which is great. However, like in the example of private health clinics in the province of British Columbia - they have little or no ability to compete openly with public health care. In fact, the Private Health care in British Columbia is just a way in which to beat line ups at the hospital by paying extra money but doesn't promise a doctor which is better at fighting for your best health - there's no customer service option other than the tea at the waiting room. This already existed if one had private health care from a provider like Manulife or SunLife anyway. People think they are getting better health care because it's 100% private which is not true. For example, ask the BC based private clinic psychiatrist to challenge a diagnosis of a public health care psychiatrist and they will tell you they can't do that.Problem is, the number 1 rule of business is free competition which leaves more options for consumers but there is a lack of both here where you don't have that in BC, perhaps Canada (I don't know if this is a nation wide problem). 3) Then there's the cost of supporting veterans and seniors (not to mention people with special needs). When they cut your taxes, they shutdown veteran stations, seniors access to health care and services, education and all while sending your sons and daughters to war. Even if you child dies at the mercy of trying to save this great nation, you're services will be cut, things will cost more and you're bent over the ally trash can looking for cans to feed yourself. In fact, I have seen seniors collecting cans in Vancouver because the services are not there. Problem here is, in order to maintain promises of tax cuts, they had to kill public infrastructure which means Canadians get less and the ones who need services are the most left out.
How do we keep taxes lower but still have affordable health care, great public education system, support our Canadian Armed Forces and other services? You can't have it all - someone has to pay at some point. Preston Manning missed that when he trained Stephan Harper to be delusional and promise you that. 1) Produce more items in Canada, innovate and manufacture - I suggest we do more of both 2) Bring in contractors or full time regular workers who pay taxes. The more tax payers in income tax the cheaper it will get to live and lower taxes are made possible. 3) Create a Post Secondary system which at a young age creates financial skills and work ready programs 4) Stop sending kids to school for university degrees which are not vocationally geared unless, it is a second degree they wish to get outside of their professional and personal life OR unless they have a job or business as a means of supporting themselves. 5) Innovate, educated, free enterprise and create an internal economy (which means manufacture and sell Canadian items to foreigners as well) 6) Invite foreign retail items to to live and stay in Canada only if a Canada competitor can exist in Canada. We have to establish more Canadian born and bred products and services for a stronger internal economy.
7) Stop inviting and allowing foreigners to live and stay in Canada who won't use English as a means of doing business or otherwise 8) Stop inviting and allowing foreigners to live and stay in Canada who are not coming without a work or study visa. 9) Stop educating people from overseas to fill our universities who don't stay to work in this country. You can't have the education, buy a house and live/work somewhere else. There should be a tax system which says if you're not born in Canada, you graduate from a school in Canada and/or own a home here then go work and pay taxes elsewhere - you're going to get "dinged" financially. 10) Greatly reduce and limit the number of people with education and work visa's from entering the country to a point where Canadians, of any race or gender or otherwise, fill universities - if there is space, doesn't matter what your grade point average is and you're from another country, you get in if there is space left.
Want lower taxes? You'll need a government that can serve the people with enough tax dollars which means more tax payers, less overhead and buying in bulk. That there is the bottom-line. For economies which align it self with Canada this is a problem for Canada again. We sell resources to recover economic downfalls. Unfortunately for Canada, so do many other nations. Serious problem when the government killed other sectors which will need funds to re-establish themselves with the price of oil dropping like the Hindenburg. Foreign nations, once again, are going to beat us around the corner and Canada will be back where it was prior to oil in Alberta or prior to any of these dummies in government calling themselves Tories. Next time one picks someone from Alberta to run this country, they should have a better planning and execution in mind because this set killed it for the nation. We even sent Mark Carney to the Bank of England to save that nation when he did nothing long term here to save us. Once again, Canada, the nation in the shadow of the US Economy - even after several recessions restarts. My suggestion for now: Watch the movie "Canadian Bacon" with John Candy (a Canadian), drink Canadian beer and I'd say eat some killer steak from Alberta but we've lost a few Tories to heart attacks already so I'll leave them to suggest that.
Author: Randeep Dosanjh A Rights Reserved with any reference to this article in whole or in part with the consent of the Author: Randeep Dosanjh