If the Canadian housing market crumbles, Costa said, the banks will be the ones “holding the bag.”
“We think the housing sector is the poster child for all the problems and imbalances we see in Canada today,” Costa said. “It’s pretty clear to us that the financial sector … when the economic cycle turns, are the ones that take the most hits.”
Costa would not speak about individual names Crescat is shorting, offering only that the firm has positions in “all the big liquid ones.”
Costa is also concerned that, according to his figures, 80 per cent of Canada’s non-financial stocks are not cash flow positive. Those numbers are in stark contrast to the economy reaching full employment.
h/t Buddy
” Full employment “, where?
And what do they mean by full employment? 5% unemployment rate?
The unemployment rate doesn’t consider those who have given up looking for work, nor does it address those who can only find part time work.
And re hedge fund managers, like the jerk in the article, too many are only interested in gaming the system to get rich. I have respect for people who wish to start companies or invest to create things, services, and provide good jobs. I have zero respect for hedge fund parasites
Funny, yet you expect your pension fund to provide sufficiently for you to retire. No hedge funds, no interest on bonds, sorry, what did you wish them to invest in? Startups? And where will the “market discipline” come from to stop your pension’s startup from milking you dry? Oh wait, that would be from Long/Short hedge funds… Give your head a shake…
Canada has been at full employment for a while now.
https://www.google.com/amp/s/business.financialpost.com/news/economy/canada-posts-record-jobs-gain-despite-concerns-in-oil-sector/amp
“Canada generated a record number of jobs last month and the unemployment rate fell to the lowest in more than four decades, suggesting the labour market remains buoyant despite doubts about the health of the nation’s economy.
Employment increased by 94,100 in November, with broad-based gains across industries of mostly full-time jobs, Statistics Canada said Friday from Ottawa. That’s the largest one-month gain in records dating back to 1976. The jobless rate dropped to 5.6 per cent, also the lowest in the data, from 5.8 per cent in October.”
Yes its true even though it doesnt fit your personal narrative
So according to your narrative the US is above full employment since their unemployment rate is 4%.
I remember in Economics 101…the prof said that an unemployment rate of 3% was good because essentially, that 3% “unemployed” were people moving from one job to another. So, the US economy is very close to full employment. I think StatsCan is either lying through their teeth…or, using filters and/or half-truths to bury the fact that Canada can’t be even close to full employment with all the people on welfare/”refugee” support.
It depends how you measure it.
Baby boomers are retiring &/or cutting back in droves.
Are they part of the unemployment equation? Should they be? Full employment as a concept is fluid.
Full employment is everybody has a job who wants one, or will get one soon, whatever that percentage may be.
IOW, it’s affected by external changes, demographics for example.
What about self-employment and part time preferences?
We are getting close to full employment if we’re not there now. Labour shortages abound.
Opportunities for skilled employment are endless because of the boomer revolution.
The USA and Canada measure unemployment very differently. You cannot directly compare the numbers but you can compare trends.
So you are saying 5.6% unemployment is full employment?
Many economists consider under 6% in Canada full employment.
“Many economists consider under 6% in Canada full employment. “
Except for the ones out of work. 🙂
Thank you for specifying your full employment definition. My point is that there are a lot of people who don’t have jobs who are not recognized in these full employment stats. Nor are people who work part time but want full time employment recognized.
One of you is talking about employment rate and the other about participation rate. They’re two separate things.
To cherry pick one month, the best or worst,is misleading. To ignore the ones where many full time jobs were lost and mostly part time jobs created or the split between private vs public job creation is not signs of being an honest broker. Neither is ignoring wage stagnation and generally weaker economic growth over the last few months. Things shift from month to month and there’s a mixed bag of indicators but the recent trend looks like the economy is weakening.
And about 10% of the human population are not sufficiently intelligent to be employable in the modern hi tech economy. What does one do with them? In the old times, they were often housed and deployed in churches and monasteries as help. Where do they go now? Answer: The Liberal Cabinet, clearly.
What does one do with them?
I thought those people were employed in the HR and diversity departments. /s
Seriously, have you ever tried to have a discussion about technical issues with HR people? Labour staff with no more than a high school diploma had far more technical knowledge and ability to understand “complicated” technical concepts. I don’t underestimate those without credentials, they’re often very knowledgeable about their field of work, are open to discussion and don’t pretend to know everything.
alla S, you libtards do not do context, FUKKING PERIOD. Now break out the break down. How many of those are government jobs, and how many are real jobs, there in lies your lie
All you had to do was click the link to save yourself emberassment.
I read the piece. I didn’t see anything about the private vs public sector split.
It pisses me off when so-called journalists write a column in the financial section about job growth and neglect to mention that. And their editors obviously don’t think it’s important either.
And it’s not about to change now that turdo has handed out their co-operation funds.
NO allan, you are too stupid X2. You don’t even understand my inference. You don’t understand a lot of things, just like unDork is ignorant on a broad scale. I didn’t, and don’t need to read the article, as I know that those figures are not compile in a proper manner. They haven’t been so for bludy years now.
And than Jamie points too your stupidity
You low informed low IQ fools should learn to understand your ingnorance
When one resorts to nothing but ad hominem attacks, usually that is a sure sign the argument has been lost.
Good day!
The participation rate is said to be 65% although I’ve found that number doesn’t jive with a population approaching 38 million with less than 19 million total employed full and part time. There are over1/2 million people on welfare in Ontario.
Comparable to the USA
Everyone on welfare is unemployed. The way Canada compiles it stats is foolish beyond belief.
Yes,OWG,where? Full employment? Was that statement written by and for the LPC? A person who works 20 hours per week is considered fully employed,if the person works two jobs @ 20 hours each,that is considered TWO full time jobs.
Most of the new jobs are in the service or retail industry, hardly what could be realistically be called careers.
Public sector employment accounted for 20% of employment in Canada in 2011according to Statscan, how they deduce those numbers,I don’t know. I was told years ago, 1980’s, by a reliable source that in Manitoba,my home Province,the level of government or government funded employment had surpassed 50%,I doubt that stat has improved,and it’s probably much the same in every other Province that has dabbled in socialism.
I would like to see a complete accounting of how unemployment/employment figures are arrived at, all the information with none of the “uncomfortable” facts left out. I know so many people who are underemployed, and can’t get out of that situation, so I have a hard time believing unemployment is only 5%.
Okay, I’m selling all my banks and buying Bitcoin in Canada.
Yes, Pat … please do … *uproarious laughter*
https://www.sacbee.com/news/nation-world/world/article225501940.html
Next time, use a brain wallet.
What is a Bitcoin Brain Wallet?
No surprise. How many people in Vancouver and Toronto were paying their mortgages with equity loans? Wages aren’t that high that people could afford those prices.
I know a couple of people who can afford a million dollar mortgage but they would not bother doing so.
This is huge bad news for Canadian companies that supply Goods and Services to the US Federal Government. President Trump by Exec. Order banned all Canadian and Foreign bidding on US Gov. Infrastructure projects. We are talking Billions in lost contracts and future revenue. The Canadian Media not a word, the Liberals not a word. Another slap in the face for Justin Trudeau that pup out of Old Pierre. https://www.youtube.com/watch?v=OSf_65QPu54
I’m surprised Turdeau hasn’t mentioned it. The Liberals would think this gives them ammunition for the upcoming election in which Turdeau will run against Trump.
The media will be all over Turdeau standing up to Trump.
“The Liberals would think this gives them ammunition for the upcoming election in which Turdeau will run against Trump.”
Yes, but what ammunition?
Whining about “that nasty Trump” and his protectionism isn’t going to change anything for Canadian companies.
Indeed, any loud anti-Trumpism that could be heard across the border would only make things worse.
Making things worse is what the Turd wants. Less manufacturing, fewer steel plants etc. means less CO2 emissions. Exactly what Turdeau and Butts want.
It only has to make sense to Liberals.
The major banks in Canada have annual profits of $6 – 12 Billion dollars a year. If their profits are cut in half, I won’t weep for them. However, they will lay off thousands of their employees to try to make up their ‘loss’. (Profits are losses?) I will weep for those employees.
Anyone here know who are the major shareholders of the big five Canadian banks? I’m guessing pension funds are a major player. I know lots of retirees who are into the banks for their retirement income so I don’t mind them making money and paying dividends.
I do think that bank execs are overpaid.
Full Employment.? Horseshit…for the most, a massive increase in Public Trough Feeders.
When the Dam Breaks, I’ll be waiting for the “Banks that are too big to FAIL” Bullshit…..you know it will in fact come to that. Regardless of the Billions these Parasites have stolen from the Canadian Public aided and abetted by every stinking politician since the day I was born…they will want to be “saved”
I do believe it was Steven Harper (whom I liked immensely), that instituted the “BAIL IN” whereby Banks in Canada will be legally allowed to snatch any and ALL cash holdings of private citizens to increase their liquidity & prevent their not going bankrupt.
That happens..? So does the Revolution, armed with whatever.
(one would hope…). Bring it the Hell on..!!!
Buy Silver & Gold folks…paper or polymer has squat for value.
Silver and gold are also worthless eventually. You cannot eat gold, it is useless to fashion a weapon. You cannot drink silver. A medium of exchange only has value so long as things like society and rule of law continue to exist.
In the zombie apocalypse scenario, Darryl and Michonne have the most valuable weapons. Arrows are reusable, a bow can be restrung, swords can be sharpened, and reused. Smokeless power, unless you know how to make it, means all firearms are of diminishing value; eventually only useful as clubs. Lead can be melted on a regular wood fire, black powder can be made if you have access to charcoal, sulphur and salt peter.
In the worst case, which is where Canada is headed (where Venezuela already is), a bushel basket full of hard red spring would be more valuable than a gold coin. When people are eating animals from the zoo and dumpster diving for food, a bag of gold coins and your own two feet will get you down the block (if you can outrun the gangs who want any food you may have).
Kenji, I have some silver but I have said many times that when there is no food to buy all the silver in the world will not keep you from starving.
The “Bail In” legislation Harper and Flaherty brought in, was in my opinion a total criminal act. The fact that a Canadian government would do this, shows our leaders have lost their moral compass and we are no better than any banana republic.
Have you actually walked into your bank branch, lately? Mine in SW Calgary used to bustle with customers, today it’s virtually empty of customers and staff. They still make you get an appointment to get anything done and the licensed ones are generally not available on Fridays. Haven’t tried Monday yet. There used to be a bank of tellers to serve you, plus line ups, today only two and no line ups.
My bank has deemed that customers asking for general information about their accounts must submit them in writing and have that “signature guaranteed” by a Bank employee tasked with that, before sending it off internally for a hard copy answer from, where else…Taranna. I’m still waiting for a reply for mine. Frankly, “their slip is….oops, rather their contempt of customers” is showing. Their reluctance to part with the info, in writing suggests to me that I’m not the real “owner” of the accounts I supposedly “own” and fund.
I’d move to a Credit Union but they’re busy underwriting all those “mortgage stress tested” refugees from the Big Banks, so I ‘m not risking that. Especially here. Alberta Treasury Branches are NDP friendly. Not going there either with their track record.
Suggestions?
Canadian Western Bank? I’ve heard some good things about them, but I can’t vouch for them personally.
http://www.cwbank.com/
“Mine in SW Calgary used to bustle with customers, today it’s virtually empty of customers and staff.”
I’d put that down to two things: the rise of Internet banking and the ATM. I do almost all my banking online and on those rare occasions when I go to my bank it’s to use the ATM.
About the only thing I do at the counter anymore is to transfer (wire) funds to my UK bank account. I do that because I have no choice.
Yes, you do have a choice. Use “International Money Transfer” online at your bank. It costs a fraction of what you are charged if you go to the bank.
Thanks! I’ll look into it.
I’ve been trying to figure out ways to do just that.
When oil went to $10/bbl in the 80’s and Alberta collapsed the credit union system went broke.
Credit unions were playing fast and loose with their members money. The big one in Edmonton had paper on a DC6 that unbeknownst to them was flying in Africa!
About 20% of Albertans belonged to a CU which constituted a large voting block. Virtually every CU had a portfolio of non performing loans.
The Lougheed govenment was very worried about a collapse and instituted a very inventive form of ‘bookkeeping ‘ that somehow turned liabilities to assets. Basically a government bailout. The credit unions would not exist today without the government.
The Alberta government owns the Treasury Branch. It’s a government bank. Not worthy of support. Every government in AB uses it as such.
Friend of mine mentioned a guy who was into buying gold .. the real physical variety. When I asked where this guy kept it , it was stored in a Murphy Bed !
Got a pension? Enjoying low rates? Not for long, pal.
…the banks will be the ones “holding the bag.”
Yeah, right… Only until the politicians pass the loss on to the middle class taxpayers.
Why do I keep have a recurring dream of a mob in yellow vests dragging politicians to a guillotine?
If it’s any reassurance, the Fed, and hence the Bank of Canada, are probably done raising rates for now. Powell doesn’t want to risk Pelosi’s being blamed for another financial crisis and Poloz doesn’t want to ruin the Libranos’ chances in the fall.
Canada can rely on its oil industry and resources to drive its economy. All those pipelines can export oil to the US and China and Japan.
/s
You mean COULD…??
23000 jobs added in Alberta in December!
That’s because there is a demand in the retail sector for bodies during the Christmas rush and Boxing Day aftermath. Check the layoffs in January.
This article is a BS. Virtually there is no sign of any crumbling. Historically housing is a very bad investment in Canada. The average increase in the last 20 years is way below 4%. When you calculate upkeep and taxes, it is almost nothing. Compare that to the stock market.
(Probably an outlier, but my house has almost quadrupled in value in 17.5 years and it took 10 years to pay the mortgage. Its still worth less than 1/2 million.)
But residential housing construction is a huge component of the Canadian economy. As an example, in May of 2018 residential housing permit value in the City of Ottawa (including renovation permit data) was $772,988,907 whereas the non-residential permit value was only $288,388,922. Its why the Libranos and Cons are so huge on immigration and deep down don’t give a shyte about the environment.
Despite our low dollar, lost manufacturing is not recovering…
My point exactly: your year over year gain is around 7 to 8%. But how much did you pay in taxes, insurance, upkeep and mortgage interest? If you deduct all of that your gain is somewhere around 3%. That is a very low return, barely matching the official inflation.
Yes but you have to live somewhere, do you not? Insurance exists everywhere. You’re still paying taxes in a rental unit and if its a high rise its twice the rate of a home.
Don’t listen to him. He doesn’t know the definition of the word ‘equity’. Probably rents.
I needed somewhere to live, so I bought a house. It’s paid for. Obviously I still need to pay taxes and maintenance, but I’m not paying rent and if I sold it, I’d get my money back. I didn’t buy my house as an investment, I bought it as a place to live and raise my family.
What the short sellers don’t realize is that the non competitive Kanuckistanian banks, which are really just arms of the federal government up here in the shithole, will just up service charges and go on their merry way, That is how things are done in the people’s republic of Canuckistan. Joke is on them.
Bank FEES.. one of their major income streams.
Monthly “service” fees: The service being the “amount of labour” required to steal the $10-25/Month from your account for doing absolutely Sweet Fk All.
Pure Bottom line Dollars for a Bank..and for that matter pretty much every service inudstry that charges them. Nat Gas, Electricity, Tires sellers, Plumbing, Welding-Gases Supply and on it goes, all will have some kind of “service fee” attached to their invoice (or call it an Environmental fee).
I left the Major Canadian banks back in ’98 when Presidents Choice Financial came out…I have since that time paid ZERO Monthly fees – no restricitons on the amount of transactions and pay my visa charges daily as they occur.
This article is an attempt at stock manipulation.
Elon Musk was driven out of his own company’s executive suite and fined $10M by the SEC for doing the same thing …
I have long since given up on the idea of retirement. RSP? Bad idea.
When you hear the phrase “registration, leads to confiscation”; it doesn’t apply only to guns.
Cars, savings, children, organs, it applies to everything. Everything belongs to the collective, and the collective is controlled by Napoleon. Boxer, who does all the work, gets the glue factory eventually. That is all that awaits any investor in anything in the socialist present.
You will never get anywhere with that loser attitude.
This quote says it all
“The effects will spill over into housing markets in Canada and Australia when those countries can no longer rely on capital inflows from China, “
Canadians have one of the highest per capita debt levels in the world. The Liebel government intro to mortagage debt testing was a necessity to curb housing prices. Mortgage financing by the bank industry is an important part of their revenue but a pullback is not going to kill them off. Why is there no reference to CMHC debt guarantees? Much of the loan books have that security. Yes, the taxpayers are on the hook.
For the financially illiterate comfort can be taken by denigrating the profits of the banking group. Their role in developing Canada by providing capital cannot be minimalized. They are one of the few success stories in our managed socialist economy.
Does anyone wonder why successive Canadian governments do not educate the population in fundamental economics and personal money management? I do not expect such an effort from progressives as that attacks their credibility but I expected much more from the Conservatives. Most politicians could not manage a corner store and that is what is so desperately needed in Canada. Margaret Thatcher where are you???
“Does anyone wonder why successive Canadian governments do not educate the population in fundamental economics and personal money management?”
Perhaps because our two biggest provinces have nearly the largest subnational debt in the world. They can’t teach what they don’t understand. LOL.
Not coincidentally, the same unelected guy responsible for running up Ontario’s debt and destroying Ontario’s electricity industry is now running up Canada’s debt and destroying Alberta’s and Saskatchewan’s energy industry. Wake up, Ontario, you know what this Liberal guy did to your province so quit voting for his political party because he’ll do the same thing to Canada. The results might destroy more than the economy this time.
Don’t be shy – you mean Gerald Butts. The reason he gets away with this stuff is because most people don’t know who he is. I bet not one voter in three in Ontario knows that Butts is responsible for the ruination of this province. They don’t know about his relationship with McGinty and his long relationship with Trudeau. Most people don’t know his agenda. That is why we must keep beating the drum – Gerald Butts! Gerald Butts! He ruined Ontario and he will ruin Canada! People need to hear the message over and over again.
The whole world is in debt. That is the purpose of fiat money. The fact that Canadians are in debt is a good sign, for they figured out they can do the same things their governments are doing.
I’m not sure the world running on record levels of debt is sustainable. Eventually the interest payments will crowd out core spending. Then there’s pension liabilities and rising health care expenses due to aging populations. I’m not doom and gloom but I can’t see how this ends well. The world will muddle through but there will be chaos and turmoil in the transition.
Perhaps, a clean-the-slate deal will be the eventual outcome. All nations start over with $0 debt.
CT, well said. And you are bang on the fact that people are financial illiterates, even many who a charged with guiding the general population as to finances. A young friend of mine went to the back and asked how much it real cost of the loan was. The loan got paid off chop chop. I know, because I co-signed. I had/have great faith in him, and he is only 20 years old:-)))
I hate to break this to y’all, but if the housing market goes bust, y’all will be bailing out them banks just as we did down here South of the Border. Because them banks be too big to fail, bro!
From what I understand, the BoC interest rate rises lifted bank profits but now the higher interest rates have decreased loan growth (mortgages, for instances). Combine decreased loan growth with a slowing economy, stagnant wages, sluggish GDP growth, political and trade tiffs with US, China and SA, less investment in Canada, new federal taxes (indefinitely rising carbon taxes) and regulations (anti-pipeline bills) and you can see where short sellers are coming from. Recessions impact banks.
We have the technical definition full employment but the quality of those jobs may be as important as quantity – 100 service worker jobs is not equal to 100 enerfy worker jobs.
https://www.bloomberg.com/news/articles/2018-08-21/canadian-banks-to-post-profit-gains-on-rising-interest-rates
Point of interest : BC’s GDP is more dependant on real estate/construction industry than Alberta’s GDP is dependant on the oil industry.
But government jobs are better. Making new rules and regulations, creating new forms to fill in, and collecting more data, holding endless meetings, and going to seminars on positive gender based socialist diversity is nice safe productive work.
And best of all there will be no loss of productivity during power blackouts caused by the greening of the electric grid.
Sarc
Even governments rely on the price of housing for its revenues.
Now that I’ve inherited my father’s house, I’m becoming acquainted with the “joys” of home ownership. That includes having to pay property tax. Since I’m an Alberta resident, and the house is in B. C., I have to pay a premium for that up front. Apparently Victoria considers me a speculator or a squatter, even though I don’t have much choice in my circumstances.
At the same time, though, the value of my house has been vastly over-estimated. One factor used for assessing my tax is on what the provincial government believes it’s worth and that is based on what similar houses are being sold for, particularly in the same neighbourhood. The result is that the estimated worth of my house is about 25% more than what it was appraised value when my father died just over two years ago.
It’s all bogus, of course, but actual facts have never interfered with the government’s confiscation of my money.
I see the national post has found a #Justin’sjournalist/Liberal pet economist to mock federal opposition parties for attacking the Liberals for completely lying about their election promise to control debts and deficits then quickly return to a surplus. Apparently, there’s almost no risk in running uncontrolled deficits in good economic years. Not to worry, nothing bad could possibly happen.
Has everyone in the chattering class forgotten the early 1990s? Perhaps Trudeau 2019 needs to talk to Paul Martin 1993. Of course, it’s different this time because…reasons. Debt and deficits, like carbon taxes, are an awesome new perpetual motion machine.
“In a way, there is no fiscal cost,” Blanchard said in a lecture on Jan. 4. “We can discuss the semantics, but you can see what I have in mind: You don’t need to raise taxes to finance the additional debt.”
The Trudeau government has been applying a variation of this theory since it decided to ditch its promise to run only small deficits for a few years.”
https://business.financialpost.com/news/economy/scheer-thinks-trudeau-is-vulnerable-on-debt-and-taxes-heres-why-the-opposition-leader-might-be-wrong/amp?__twitter_impression=true
US residential mortgages are typically non-recourse while Canadian lenders have a claim against the borrower as well as the property (not necessarily in the Prairie provinces where provincial laws may force lenders to choose one of the two). Canadian banks will not try to squeeze blood from a stone but they would not accept situations like the Florida condo market in 2009 where a lender with $millions in assets at home in Colorado would walk away from a property in Florida still owing money to a mortgage lender, because the property values had gone down. There is much less incentive to walk away from a mortgage in Canada. US financial guys generally assume that everything is Canada is exactly the same in the US and they don’t understand (or care) how our system works.
Obviously, the hedge funds guys are “talking their book”, hoping to spook investors to get them to sell and force prices down. Ask them who has become rich by betting against RBC or TD Bank in the last 30 years?
“If the Canadian housing market crumbles, Costa said, the banks will be the ones “holding the bag.”
And when (not if) the farmland bubble bursts, it will be the Canadian Taxpayer holding the Farm Credit Corporation bag.
The Farm Credit Corp. has been the chief bubble blower in Canadian agriculture for the last 35 years. No one has been spared, our farmer’s, the grain trade, our co-ops, all served up with endless amounts of cheap money and extra easy repayment arrangements.
” No one has been spared, our farmer’s, the grain trade, our co-ops,…”
Yup. And the banks followed suit.
And as for the borrowers, they all walked into it voluntarily – no one had a gun to their head. There is a story making the rounds in this locale about an area farmer who indignantly shared his story about (finally) being turned down for yet another loan: “Don’t they realize I have a 25 million account?”
Really….and would that be assets, or liabilities?
“Don’t they realize I have a 25 million dollar account?”. Wow… We have a couple of local suspects that I figured maybe had 10 million dollar lines of credit but that even out does my guys.
The credit bubble will burst before the residential or other realty markets crash or careen into correction.
If interest rates stay muted meaning inflation is low, quality homes should be OK.
Ask yourself what the extra payment would be on a $200K mortgage if interest rates went up 2%.
Not really that much if you do the math.
Yes, those at the margin are affected. Yes, that’s important but not cascading through the economy like some think.
That’s who big government always takes out, those at the margin. That’s who do the real damage.
But, government crushing realty values with another excuse to tax taxes and truly idiotic “acid tests” for first time buyers?
That’s their solution! Because anyone with temerity, hard work and yes resources to get themselves a first and/or second property is rich, greedy, a speculator and eventually an enemy of the people. Marx my words.
Envy and greed from those who think we can ride the rich to statist nirvana, spending and borrowing ourselves rich.
Kind of like Canadian credit consumers. But it’s their bill not all of ours as in the case of profligate “government.”
Mortgage rates aren’t going to go up 2 percent, they will go up from 2 percent to 4 percent, which is a 100 percent increase. In other words, the interest portion of your mortgage will double, which for most people is unaffordable. I saw this coming and bought the house I needed, not the one the bank wanted me to borrow the money for. Now it’s paid off and I’m OK.
The bankers will be the last to go.
Cockroaches in suits.
I am still convinced, due to the Liberals coming requirement for Stats Can to have access to our daily banking transactions, that confiscation of our financial assets is down the road. I spoke to my Liberal MP’s staff and they “assured” me it was just for statistical analysis. I can foresee these crooks estimating your annual needs and just taking anything over that estimate. There is a huge amount of money that the baby boomers will have from selling their homes over the last few years and these crooks want it.
All levels of statist government are quite busy gathering data on our real estate. Two examples:
1. As of 2016 tax year, we must report the sale of our primary residence on tax returns. It’s a simple matter for CRA to check previous tax returns for net rental income and show up with their tape measure to reduce the exemption (PRE).
2. The BC government is assuming all home owners are “speculators” and making us prove we’re not; meanwhile they have a database of our real estate holdings for later taxaction for whatever their latest excuses to control us.
There are more examples I’m sure. Municipalities wanting a piece of the regulatory action come to mind.
Remember government is virtuous but we’re greedy speculators who dare to work hard and prosper, not paying a “fair share.”
In the USA, the top 1% pay 40% of income taxes (and much more btw). How many layers does that onion have?
Finance has been a confidence game for years.
How does it work?
What is wealth?
After the Swiss banks were collecting negative interest from their depositors, you know what money is really worth.
So much, that you have to pay the bank to keep it for you.
The crash of fiat money is coming,the wild rush to borrow beyond all reason is the evidence.
So what will be the new unit of exchange?
People obsess over money,confusing the unit of measurement for the wealth itself.
Hence the steady moves of our bureaus toward confiscation of physical assets.
Money will soon be worthless,as Zimbabwe and Venezuela have shown us recently,as Canada will be proving pretty soon.
But your parasitic overlords have to eat,so must steal real wealth.