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  • Community Economic Development in Manitoba - a new film January 16, 2018
    Cinameteque, Jan 23.  7:00 pm - Free event Film Trailer CCEDNET-MB, CCPA-MB, The Manitoba Research Alliance and Rebel Sky Media presents: The Inclusive Economy:  Stories of Community Economic Development in Manitoba
    Canadian Centre for Policy Alternatives
  • Winnipeg's State of the Inner City 2018 January 3, 2018
    Winnipeg's community-based organizations are standing on shakey ground and confused about how to proceed with current provincial governement measurements.  Read the 2018 State of the Inner City Report.
    Canadian Centre for Policy Alternatives
  • Our Schools/Our Selves: Winter 2018 is online now! December 18, 2017
    For the first time, this winter we are making Our Schools/Our Selves available in its entirety online. This issue of Our Schools/Our Selves focuses on a number of key issues that education workers, parents, students, and public education advocates are confronting in schools and communities, and offers on-the-ground commentary and analysis of what needs to […]
    Canadian Centre for Policy Alternatives
  • Charting a path to $15/hour for all BC workers November 22, 2017
    In our submission to the BC Fair Wages Commission, the CCPA-BC highlighted the urgency for British Columbia to adopt a $15 minimum wage by March 2019. Read the submission. BC’s current minimum wage is a poverty-level wage. Low-wage workers need a significant boost to their income and they have been waiting a long time. Over 400,000 […]
    Canadian Centre for Policy Alternatives
  • CCPA-BC joins community, First Nation, environmental groups in call for public inquiry into fracking November 5, 2017
    Today the CCPA's BC Office joined with 16 other community, First Nation and environmental organizations to call for a full public inquiry into fracking in Britsh Columbia. The call on the new BC government is to broaden a promise first made by the NDP during the lead-up to the spring provincial election, and comes on […]
    Canadian Centre for Policy Alternatives
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The Progressive Economics Forum

Fossil-Fueled GDP Growth

Yesterday, Statistics Canada reported that the Canadian economy had a month of fossil-fueled growth in August.

Overall GDP was up by 0.3%, only half as much as in July but still a respectable monthly growth rate. By far the strongest growth of any industry was a 1.9% increase in “Mining, quarrying, and oil and gas extraction” – its fastest growth since January.

This sector’s growth was driven by oil, gas and coal extraction, even as other types of mining and quarrying declined. Most other goods-producing sectors – manufacturing, utilities and construction – also declined.

US Steel recently announced its intention to permanently stop making steel at its Hamilton plant, but to continue using its coke oven to process coal for export. That news epitomized Canada’s ongoing shift away from value-added manufacturing toward fossil-fuel exports, as I note in today’s Claudia Cattaneo column in The National Post (page A1 or A9, depending on the edition) and Regina Leader-Post (page D1).

Statistics Canada also reported yesterday that average weekly earnings rose by 1.3% between August 2012 and August 2013. By comparison, inflation had been 1.1% during that year. In other words, Canadian workers have experienced almost no increase in purchasing power over the past year.

This lack of purchasing power is a drag on economic growth. Policymakers should be trying to boost wages and consumer spending. Instead, the federal government continues to attack workers’ rights, most recently by trying to deprive its own employees of collective bargaining.

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Comment from Purple Library Guy
Time: November 1, 2013, 5:07 pm

“Statistics Canada also reported yesterday that average weekly earnings rose by 1.3% between August 2012 and August 2013. By comparison, inflation had been 1.1% during that year.”
At the risk of sounding like a broken record, I wonder how skewed that rise is by excessive increases going to the richest. How did the median do? I wouldn’t be surprised if most real people actually received a decrease in purchasing power over the past years.

Why do we even bother to talk about averages for this stuff any more? Any time things are broken down, we find that the top 10% have taken between 95% and more than 100% of income gains for recent periods. So isn’t it obvious that talking about an average is going to be seriously misleading and weaken the case for sane, non-austerity economics?

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