A letter appears in today’s Globe and Mail in response to recent direction given by Minister Flaherty to private mortgage lenders over mortgage rates. The letter was written by Steve Pomeroy, one of Canada’s leading housing policy experts. Here is the full text of the letter: – Glass-house mortgages Twice in recent weeks, the Minister of Finance has chastised Canada’s […]
Read moreCanadians are now more indebted than either Americans or the Brits at the peak of their housing bubble. Statistics Canada today revised the national accounts. The result on the household debt front was that instead of Canadian households having a debt to disposable income ratio of 154, it has now been revised upwards to 166. The new data allows better […]
Read moreToday’s report that the national inflation rate fell to 1.2% in May deflates calls for higher interest rates to reduce inflation. The central bank’s core rate was 1.8%, also below the 2% target. The other argument for an interest-rate hike was to moderate mortgage lending and the housing market. However, the federal government’s move to reign in mortgage lending through […]
Read moreSeen in isolation, Finance Minister Flaherty probably did the right thing yesterday in seeking to safely deflate the housing bubble and lower the dangerous growth of household credit to a record level as a share of household income. But he did it very late in the game, and risks tipping an already very fragile economy into recession if he and […]
Read moreToday the CCPA released a new big picture report by myself and student researcher Amanda Card calling for a Green Industrial Revolution. The report builds on work done for the BC-focused Climate Justice Project, bringing to bear a national analysis of green and not-so-green jobs. We take a close look at GHG emissions and employment by industry category, and show […]
Read moreThe US Federal Reserve today released its triennial examination of incomes and net worth of American households in the Survey of Consumer Finances. It shows the crushing effects on net worth of a housing and financial bust unparalleled since the great depression. The shocking results of this study overviewed in the New York Times are that ALL  real net wealth […]
Read moreLast week I was in Whitehorse where I released a peer-reviewed policy report on poverty in Yukon. The report was part of the much larger Social Economy Research Network of Northern Canada project. Report findings include the following: -Ignoring poverty can be quite costly, as has been clearly demonstrated by research on the ‘costs of poverty’ done by economist Nathan […]
Read moreOn CBC’s The National last night, Rex Murphy weighed in on Quebec’s student protests; the transcript can be found here,  and the three-minute video here.  He calls the protests “short sighted,” points out that Quebec already has the lowest tuition fees in Canada, and suggests the students’ actions are “crude attempts at precipitating a crisis.” He says they are the “actions […]
Read moreStatistics Canada reported today that consumer prices decreased in December, lowering the annual inflation rate to 2.3%. The Bank of Canada’s core inflation rate declined to 1.9%. Tame inflation leaves room to lower interest rates. If unemployment continues to rise, the Bank of Canada should reduce interest rates to boost the economy and create jobs. The modest inflation rate still […]
Read moreDecember marked the three-year anniversary of Ontario’s Poverty Reduction Strategy. While I believe there is much to celebrate, much remains to be done. The Strategy surprised a lot of observers, especially in light of the fact that it was announced in December 2008, just as Ontario was entering a recession. Its focus was almost exclusively child poverty, and at full […]
Read moreIt’s no secret that a major priority of Canadian universities is to recruit substantial numbers of international students, who in turn pay very high tuition fees once they arrive in Canada. Recent evidence suggests that insofar as Canadian universities want to continue doing so, they should work with senior levels of government to reduce the cost of both housing and public transit for students. […]
Read moreLast week, I was in Yellowknife, where I released results of new research on affordable housing in the Northwest Territories (NWT). The research project was sponsored by the Social Economy Research Network of Northern Canada, and was a collaboration with the Centre for Northern Families. Research findings include the following: -Housing indicators suggest that the state of housing in the NWT […]
Read moreLast weekend, I spoke on a panel at the Annual Conference of the Ontario Non-Profit Housing Association. The panel was inspired in large part by the recent debate in Toronto over Mayor Rob Ford’s attempt to sell social housing units to private buyers. The panel, entitled “To Privatize or Not to Privatize? That is the question,” included myself, Vince Brescia […]
Read moreToday CCPA released a new Climate Justice Project report, Fighting Energy Poverty in the Transition to Zero-Emission Housing: A Framework for BC, by yours truly, Eugene Kung (a lawyer with the BC Public Interest Advocacy Centre and a steering committee member of the CJP) and Jason Owen (who worked on this project as a student at UBC, now with the City of Surrey). The full report as […]
Read morePollsters tell us that Ontario’s New Democrats may double their seat total in next month’s provincial election. It’s also entirely conceivable that they could be part of a coalition government at Queen’s Park. But what’s actually in the party’s election platform? One central feature of the NDP’s proposals is to implement a tax credit for companies that hire new workers. The tax credits would be valued at […]
Read moreTD Economics yesterday released a rather gloomy report, putting the odds of a US recession at 40%, and arguing that that Canadian economy is more vulnerable to recession than it was in 2008. It highlights reduced capacity for governments to respond given that interest rates are already very low, and given that household and government debt are significantly higher than […]
Read moreOn Tuesday night, Peterborough City Council approved a plan for a for-profit corporation to own and operate a new student residence at Trent University. I’m concerned that this may signal a new trend at Canadian universities; about a year ago, I blogged about a similar plan at the University of Toronto. I am not opposed to private sector actors being […]
Read moreOur climate justice framework for BC is to eliminate fossil fuels by 2040. In the household sector, this poses a significant challenge, not so much in terms of technology and knowledge, but because natural gas is much cheaper than electricity per unit of energy. Even though BC has among the lowest prices in North America, and for relatively clean electricity […]
Read moreAn article in the current edition of NOW Magazine looks at social assistance in Ontario. The article is aptly entitled “Poverty Pariah,” in light of how apparently unpopular Ontario’s welfare system has become over the past 20 years. As can be seen at the National Council of Welfare’s Interactive Welfare Incomes Map, a single adult on welfare in Ontario receives […]
Read moreI have an opinion piece in today’s Toronto Star regarding Toronto’s Mayor, Rob Ford, and the Toronto Community Housing Corporation (TCHC). Mr. Ford would like to see a considerable number of units from TCHC’s existing stock sold off. For background on the issue, please my blog post of April 13, which can be found here. In today’s piece, I argue that it is more […]
Read moreI’m in Yellowknife all week attending events relating to the launch of a policy report on homelessness. The report is one of several articles coming out of a multi-year research project looking at affordable housing and homelessness in the Northwest Territories. The project is being supervised by Dr. Frances Abele (Carleton University) and our community partner is Arlene Haché (recent recipient […]
Read moreI have an opinion piece in today’s Toronto Star regarding the recent controversy surrounding the Toronto Community Housing Corporation (TCHC). In the way of background: -TCHC is Canada’s largest provider of social housing, and Toronto’s largest landlord. -There have been two recent reports by the City of Toronto’s auditor–one looks at staff expenses at TCHC, and another looks at TCHC’s […]
Read moreAt long last, the federal government has decided to seriously address the housing price bubble that has increasingly concerned Canadians. On the heels of multiple warnings from the Bank of Canada that Canadians have taken on too much household debt for comfort (we hold the dubious distinction of having the worst consumer debt to financial assets ratio among 20 OECD […]
Read moreFinance Minister Flaherty’s announcement of restrictions on mortgage lending deserves some credit (pun intended.)Â But there is a bit more to this than is immediately apparent. The government has decided that, to qualify for government-backed mortgage insurance, the amortization period of a mortgage should be no more than 30 years (down from 35 years now, and 40 years in 2006, […]
Read moreI’m the main researcher on a three-year SSHRC-funded research project looking at homelessness and affordable housing in the Northwest Territories (NWT). Frances Abele (Carleton University) is Principal Investigator on the project, and Arlene Haché (Yellowknife Women’s Society) is Co-Investigator. The project falls under the larger umbrella of the Social Economy Research Network of Northern Canada. Though several larger papers will come out […]
Read moreIt’s a funny old economy we live in. The release of today’s national balance sheet accounts has aroused great concern about the rise of the ratio of household debt to personal disposable income to a new record of 148%. Mark Carney and our banks want – quite rightly – to discourage further borrowing to prevent a disaster for highly leveraged […]
Read moreIn late-October, the Canada Mortgage and Housing Corporation released the Canadian Housing Observer 2010. I’ve finally given it a thorough read and am struck by some of the statistics. The MLS average price of a home in Canada has almost doubled in the past decade. In 2000, the figure was just under $164,000. By 2009, it was just over $320,000. Perhaps not surprisingly, during this same period, residential […]
Read moreWhat are banks for? Typically, banks are described as intermediaries that take deposits and lend them out, earning what is called net interest margin on the gap between what is paid on the savings and what is earned on loans. From where I stand, this description is wrong on three counts. First, it suggests that banks need deposits to make […]
Read moreResults of a major survey of post-secondary students were released on Thursday. The 149-page report, entitled Sources et Modes de Financement des Etudiants the Premier Cycle 2009, was written by the Fédération étudiante universitaire du Québec (FEUQ). It was done in collaboration with Léger Marketing, who suveyed almost 13,000 undergraduate students in Quebec, spanning 14 different post-secondary institutions in the province. According […]
Read moreMany blog readers are no doubt aware that, late last month, the Canadian Centre for Policy Alternatives released a paper by David Macdonald entitled “Canada’s Housing Bubble:Â An Accident Waiting to Happen.” As the title suggests, Macdonald argues: Canada is experiencing, for the first time in the last 30 years, a synchronized housing bubble across the six largest residential real […]
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