Currently Browsing: Economic News

2012 vs. 1984: Young adults really do have it harder today

All young adults who think they’re getting a raw deal in today’s economy, let me tell you about how it was back in my day. In 1984, my final undergraduate year of university, tuition cost more or less $1,000. I earned that much in a summer without breaking a sweat. When I went looking for a new car in 1986, the average cost was roughly half of what it is now. It was totally affordable. The average price of a house in Toronto back in 1984 was just over $96,000. I wasn’t buying just then, but it’s worth noting that the average family after-tax income back then was close to $50,000. Buy a first...
read more

Get ready for savings angst after budget

Rob Carrick | Columnist profile | E-mail Ottawa— Globe and Mail Update Published Thursday, Mar. 29, 2012 4:09PM EDT The federal budget confirms that the age of eligibility to receive Old Age Security will rise to 67 from 65. The change will be gradually phased in between April, 2023, and January, 2029, which means that current retirees and people aged 54 or older as of March 31 will not be affected. Everyone else will have two options: Stay in the workforce until 67, or try to save enough to cover two years of OAS and retire at 65. In a country where there’s perpetual angst about insufficient...
read more

Chief Economist Avery Shenfeld’s Position On Canada’s Current Economy

Avery Shenfeld, managing Director and Chief Economist is the Chief Economist of CIBC World Markets Inc. He has been with the CIBC since 1993 and is widely recognized as one of Canada’s leading economists for his perceptive analysis and insight on North American economic developments and their implications for financial markets. Mr. Shenfeld is a two-time winner of the Dow Jones Market Watch forecasting award and Bloomberg Markets has named Mr. Shenfeld among the top forecasters of the U.S. economy. Mr. Shenfeld has also been consistently ranked as one of the top Canadian economists by fixed...
read more

Do you know your debt-to-income ratio?

Globe and Mail Update Posted on Wednesday, January 18, 2012 6:31AM EST Do you know your debt-to-income ratio? Is it 120 per cent? 165? 200? And what does that number even mean? Each quarter, Statistics Canada publishes the average Canadian’s debt-to-personal-disposable-income ratio. It’s a stat that gets cited often in stories about Canadians’ onerous and rising debt loads. The latest debt-to-income report from Statscan shows that as of the third quarter of 2011, the average Canadian’s debt-to-personal-disposable-income ratio was 153 per cent. That’s up from 150.6 per cent...
read more

Central bank targets home-equity credit lines

The steady climb in housing prices over the past decade has made it easier for Canadians to borrow against the value of their homes, leaving many families vulnerable to “a significant shock” if prices were to snap back, the Bank of Canada is warning. Governor Mark Carney and his policy team have long pointed to record levels of household debt as the chief domestic risk to the financial system and the wider economy, urging borrowers to resist the lure of ultra-low mortgages unless they can afford them once rates inch up. In a series of research papers published Thursday, the central bank shows much...
read more

« Previous Entries Next Entries »