tag:blogger.com,1999:blog-6399730406480392183.post7192285528622487948..comments2024-03-27T11:18:34.222-03:00Comments on Viable Opposition: The Bank of Canada and Canada's Household DebtA Political Junkiehttp://www.blogger.com/profile/03342345936277964422noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-6399730406480392183.post-75218250248151610452012-03-18T06:32:29.893-03:002012-03-18T06:32:29.893-03:00Cannot see much difference between Australia and C...Cannot see much difference between Australia and Canada, both have very high household debt compared to other developed economies - and both have a resource boom.Prof. Steve Keen from Sydney writes well on this<br />http://www.businessspectator.com.au/bs.nsf/filterSpectatorsc?openview&restricttocategory=Steve%20KeenAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-85828367904703749912011-12-27T13:04:41.863-04:002011-12-27T13:04:41.863-04:00@Peter R.
Do you trust an article by a Real Estat...@Peter R.<br /><br />Do you trust an article by a Real Estate firm that profits of of people who extend their debt levels to fuel house purchases, or do you instead trust an article written by a neutral entity with no stake in the personal household debt market?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-44105062408467578412011-12-23T15:50:35.324-04:002011-12-23T15:50:35.324-04:00I don´t know, but I am still confused, because the...I don´t know, but I am still confused, because there are many different opinions on this topic. For example <a href="http://calgaryrealestate.ca/news/2011/12/household-debt-in-canada/" rel="nofollow">this article</a> says that we don´t have to worry. Your article says the opposite. So who should we believe? And is it the irresponsibility of the consumers or central bank we should blame?Peter R.noreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-58073853824567208282011-12-22T16:46:34.276-04:002011-12-22T16:46:34.276-04:00Can't wait till the big bust. save save save!Can't wait till the big bust. save save save!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-91316401800383654542011-12-22T14:32:41.827-04:002011-12-22T14:32:41.827-04:00Australia is the one that should be really sweatin...Australia is the one that should be really sweating about this.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-51169337559654304062011-12-14T20:28:44.825-04:002011-12-14T20:28:44.825-04:00I don't think that Canada will suffer the dept...I don't think that Canada will suffer the depths that the USA or Europe has/is. Anon mentions regulations, these do play a big roll and are still more sound than in NY or London. Another, bigger, roll is played by the simple differences between the countries in question. Canada has a small pop. compared to Europe as a whole or USA but, recieves lots (although not neccasarily more) of (rich) immigrants, creating a stronger than usual housing market that is not flooded or terribly overvalued. Yes, TO, Van, and some other places are too hot at the moment but, the rest of the country is not. My house (IMO) is certainly not overvalued whereas that of my partner (in Van.) is, big time! (2/3sqft, 3x the price plus strata and tiny 'yard'). But, rich immigrants (some of our close friends) find this to be a stellar deal (vs HK, where a permanent parking space will cost you more than my house) and will be piling in for a few years to come. Also, we fear of contagion and exposure to the debt, not the actual (european) debt. Canada dealt with fiscal and financial issues in the '90s and appears to have learned some lessons.<br /> And not by any measure the last reason, Canada loves to dig in the dirt and forests and sell what it finds, and we aren't running out of either for some time and as long as Harper is in, we will do it with gusto, FBetterofWorse. Do people spend more than they should and buy bigger houses than they should? Probably, but (I dare say) not as much as our cousins beyond borders...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-26246997842006858922011-12-13T20:43:22.756-04:002011-12-13T20:43:22.756-04:00I hope not as well, however, as they (whoever they...I hope not as well, however, as they (whoever they are) say, common sense is not all that common!<br /><br />Thanks for the rant.A Political Junkiehttps://www.blogger.com/profile/03342345936277964422noreply@blogger.comtag:blogger.com,1999:blog-6399730406480392183.post-33808279070987337012011-12-13T19:52:44.267-04:002011-12-13T19:52:44.267-04:00This is the main reason why I stopped studying eco...This is the main reason why I stopped studying economics after my undergraduate in the USA. There is such a huge lack of common sense (or maybe economists intentionally fudge information) on a variety of economic scenarios. ASSUMING all the factors of every damn theoretical economic model, the world is perfect! We should all be rational humans, companies will not form monopolies or barriers to entry. My apologies for this rant. I am just delighted to find this blog where econ. PhDs/MAs/etc. are not substituted for common sense.<br /><br />It is alarming that Canada is now headed for the same turmoil that hit the US so hard. I was in my last semester of college when the crisis began to widen. Our professor told us how Canada had weathered the storm better because their regulations were better than those of the US. But now I realize there were other factors too. I hope Canada doesn't have to face this turmoil.Anonymousnoreply@blogger.com