There was a video post on the Financial Post this morning; a Deloitte analyst discussing how Canada NEEDS more immigrants because 500 000 Baby Boomers are expected to retire ANNUALLY from now on. It was taken down. I can’t find the link; maybe I’m wrong about seeing the video on FP?
But, I did the see the it, and I totally agreed with it. I don’t believe our immigration numbers, haven’t for a long time, and we’re still suffering a LABOUR shortage anyhow.
The thing is, this is on Bloomberg, today:
So, while inflation has slowed, one more interest rate hike is on the table. To quote:
Annual rate falls to 3.4% and key core measures edge down
GDP and jobs data may still force Macklem’s hand next month
I have read the European Central Bank may also hike interest rates.
It’s a SCAM. And, obviously, I am furious.
The International Monetary Fund has admitted as much. Inflation in Europe, for sure, has been caused by profits. NOT Labour costs.
As the Chart of the Week shows, the higher inflation so far mainly reflects higher profits and import prices, with profits accounting for 45 percent of price rises since the start of 2022. That’s according to our new paper, which breaks down inflation, as measured by the consumption deflator, into labor costs, import costs, taxes, and profits. Import costs accounted for about 40 percent of inflation, while labor costs accounted for 25 percent. Taxes had a slightly deflationary impact
AND
But after seeing their wages drop by about 5 percent in real terms in 2022, workers are now pushing for pay rises. The key questions are how fast wages will rise and whether companies will absorb higher wage costs without further increasing prices.
Canada apparently is ‘supposedly’ swimming in Workers, so Wages shouldn’t be under pressure to begin with.
How the bank of Canada calculates inflation https://www.bankofcanada.ca/rates/related/inflation-calculator/
So, the Consumer Price Index is the big deal, even though Wages have not gone up and Energy costs have gone down. Groceries. The actual issue is the price of food.
Food prices have gone up, causing inflation.
Consequently, Price fixing? For example:
https://www.canadabread.com/? paying 50 million dollars in fines.
Price fixing by Loblaws, and it’s just an easy example…Empire aka Sobeys is also doing it
And, to give the government credit, companies are not supposed to be price fixing:
There are standards SUPPOSED to be enforced.
So, GDP and Labour aren’t the actually cause of inflation, but GREED.
I suggest Mr. Macklem’s credibility is on the line.
He can certainly hike interest rates and make things worse or maintain them and not make them worse, but the interesting will be how doing either will make things BETTER?
knucklehead
I am not the only one disagreeing with immigration numbers; I am not the only one seeing gas prices go down on Bloomberg but prices at the pump stay the same…and I am not the only one watching them rob us at the grocery store…
Central bankers got us into this low interest rate dilemma to help their Chicago educated friend get their austerity nonsense into practise; it’s obviously failed, not the right mind set to fix things.
Totally off topic, BUT I KNEW IT!! https://www.theglobeandmail.com/business/industry-news/energy-and-resources/article-enbridge-asks-us-judge-to-ensure-line-5-pipeline-keeps-running-until/...the pipeline is to be shutdown by 2026...BS about Canadian jobs justifying inflation.