The wealthy get richer, the working stiff gets poorer. Simple!

BY STEVEN KASZAB

The Bank of Canada is ending its quantitative easing program and moving forward its timeline for potential interest rate hikes as it projects inflation to increase well into next year. Presently we are experiencing a 4.8% inflation rate, but our National Bank believes it will drop to 2% in 2022.

Our Federal Government wants you to believe that our economy is bouncing back to pre-pandemic levels, and that we should be pleased about that. Well first off, our pre-pandemic economy was growing at approximately 1.86% levels, which is the lowest level of all G-7 Nations. In 2020 we had negative levels of growth. The Canadian Economy has been devastated by this pandemic, bringing the retail, restaurant and manufacturing industries to their knees.

Limited handouts by our government’s will not save these industries. Many are on the precipice of collapse, never to return. Why? Well the corporations that have grown during this pandemic are also allied to the Asian Markets, importers of cheap product made elsewhere. China has made inroads into Canada’s economic backyard, while Canadian firms have suffered catastrophically.

Walmart, Costco and various retailers have extended their hands of partnership with China. Go to any of these retailers and try to find a Canadian manufactured product. Difficult to be sure and the main reason Canadians seem to be unable to offer living wages to their employees. Global competition continues to drive our wages downward, while the policies of our government drive up the costs of those items we need. Governmental regulations, attempts to control the costs of rental and home ownership scales, so called global shortages and transportation bottlenecks drive up the costs of our purchasable necessities.

The Federal Government equates the health of Bay Street and Wall Street as the balancing scales of this economy. If the stock exchange is doing well, it means so is the economy? Not so. The numbers show that 15% of Canada’s wealthiest corporations control and benefit from the stock exchange. Our national bank is allied with those that control the stock exchange. Inflation has been growing unchecked for a decade. Housing is unobtainable; foodstuffs have shrunk in size and increased in price. Services are more costly, yet our wages remain the same.

Inflation is actually good for the wealthy. They can bear the costs, and profit from the cost escalations. Manufactured products are imported at very low costs, with high mark-ups to follow. Canadians could buy better-made, more competitive products, if they could find a source for these products. The market is controlled and managed by those of extreme wealth.

The cost of fossil fuels is increasing daily, which is not so good for those who care about the environment. This winter, we will experience excessive cost increases in housing fuel and transportation fuels. Hydro will also increase. Why? Our governments needs to pay off the national and provincial debt, while manipulating the electorate’s expectations.

This Christmas Canadians will be concerned about their pocket book more than promised policies made by our governments. Inflation and the promised interest rate increases will pressure Canadians to move towards a more insular self-interest, namely how will they pay for their expectations.

The wealthy get richer, the working stiff gets poorer. Simple.