Cause & effect

1DOG RAIN

A day after this blog told you to even more wary of maple assets, oil and the Canuckistan economy, we got a fan full of misery. A barrel of crude hit thirty-seven bucks on Monday thanks to the OPECers and all their pumping. So the dollar crashed to an 11-year low of 73 cents and change, while the energy-heavy TSX was hammered for 300 points.

Meanwhile more experts came forth to say T2 must be already on the legalized weed if he thinks reaming the 1% with more tax will pay for a modest tax cut for the ‘middle class.’ This news landed just a week after Parliament’s indie budget guy said Liberal budgets will probably be twice what voters were told, which is more reason to accelerate widespread national toking.

It was all too much for finance minister Bill Morneau, who made a hasty appearance before reporters five minutes after the stock market closed. “We have inherited a situation that is more challenging than what was foreseen in the budget,” the poor guy said.

So how do you like government so far? As everyone learns, it’s one thing to run for elected office and do the hope-change thing. It’s another to stand in the real world and be a leader. The coming months and years will certainly be a time to test the new guy’s mettle.

Morneau now confirms what this pathetic blog told you days ago. There’s no way taxing 264,000 wealthy people – a third of them doctors operating through professional corps and all of them with smart accountants – will raise the $3 billion needed to offset giving six million others an average $8-per-week tax cut. The move will actually have a net annual cost of at least $1.2 billion. The CD Howe Institute goes further in its estimate. Trying to push the top tax rate over 50% will simply lead to more legal tax avoidance among these people, it says, who almost always have the means to do so.

And remember John Manley? He was a minister in the Chretien administration, and a lifelong Liberal heavy. In a letter to the Hot One he writes: “Higher marginal rates may bring in revenue in the short term, but ultimately they encourage tax avoidance and undermine Canada’s international competitiveness.” Milking the successful to sprinkle faerie dust on the middle is just a bad idea. Besides, of 17 million taxpayers, eleven million make too little to benefit from any tax cut – but don’t know that yet.

Some estimate that jacking taxes will actually decrease the tax base by 5%, or more than $7 billion, resulting in the Libs collecting 70% less than they promised. This is one big momma of a problem, since T2 was elected by the masses on the expectation they would get “the tax cut they deserve”. Now he has to deliver. But can’t – without costing extra billions.

Meanwhile the oil crash will boost unemployment and tank export revenues. The dollar’s decline will feed inflation and squeeze households already servicing record debt. Alberta looks completely hooped at the moment, plus we lost 36,000 more jobs last month. And the odds of a Fed rate rise later this month are still running at 76%. Meanwhile most Canadian investors have 100% of their net worth in domestic assets, with the TSX now negative for the year. Add to that the ideological mistake of peeling back TFSA contributions (Morneau has confirmed that, effective January 1), and Ottawa’s overt commitment to run up deficits for years to come which will further depress the currency.

So with more inflation, a weak dollar, the Fed’s move and the government’s need to float billions in new bond issues, how can the Bank of Canada avoid taking action in the next year? Or do we all just move to East Van, buy a house and wait?

It’s not a crisis by any stretch, unless you borrowed a big pile of money to purchase real estate at a stupid price unsupported by your income or economic fundamentals. Or put all your money into Enbridge, Suncor or Crescent Point stock. Or got a Calgary condo with 5% down. Or think CPP and OAS will support you. In these instances, prayer might help. Plus scotch.

For the rest, be careful as you thread your way through dangerous times with untested leaders and unrealistic neighbours. Practical advice has been ample here lately. But only you can act.

 

 

346 comments ↓

#1 TurnerNation on 12.07.15 at 5:57 pm

Scotch fuelled blog says he’s just not ready.

#2 Kenchie on 12.07.15 at 5:58 pm

Best example yet that shows how unspecial Vancouver and Toronto are in the world of Chinese money buying real estate…

http://www.nytimes.com/2015/11/29/business/international/chinese-cash-floods-us-real-estate-market.html?_r=0

#3 Stephen Harp the hERald sings on 12.07.15 at 6:01 pm

LMFO, in other words T2 lied to the fools that voted for him. But on a positive note you will be able to smoke weed legally.

Canadians are so stupid. I will bet my three houses in the USA that those that voted for T2 did so because they wanted weed to be legalized and they hated Stephen. I cannot wait to see this ship sinks.

#4 timoftrees on 12.07.15 at 6:02 pm

Garth

Just wanted to thank you for your advice. Loaded American ETF’s into my little one’s RESP at birth and have stayed US heavy ever since. Did the same with my newest addition last fall. The growth will hopefully outpace tuition- HOPEFULLY. Have always taken your advice and started my own business 5 years ago. Bought trucks and saws and chippers when my pals were buying houses. Borrowed very little. Still hear about all the ‘cabbage’ their houses are worth, but just as often complaints about debt, no cash flow, missed payments and marital stresses.

I think we need more business owner’s in this country, not homeowners. Once you take that mortgage, it ain’t easy to go out and start your own outfit.

Very grateful for your advice, and still 35 years to retirement.

#5 lfy on 12.07.15 at 6:03 pm

there is not milk to the gov. out of the tfsa, enough reason to hate it, Garth avoid visits to Ottawa or bring your poor dog with you to justify a “fall” on the street, poor animal

#6 Big bopper on 12.07.15 at 6:03 pm

First!

#7 Paully on 12.07.15 at 6:07 pm

Making big, expensive campaign promises, and then blaming the previous administration for “leaving the cupboard bare,” is a time-honoured political tradition!

#8 Caught In The Grip on 12.07.15 at 6:07 pm

Will 2015 go down in history as the top of the Great Canadian Housing Bubble?

#9 Mark on 12.07.15 at 6:11 pm

Even if Trudeau’s $10B deficit commitment becomes a $20B deficit commitment, that’s still better than the Tory record of over $26B/year in new debt 2005-2015.

“Legal” tax avoidance could be a good thing though if encouraged. After all, one of the most prolific means that the upper class has available to avoid tax is simply borrowing to invest. Particularly in equity. Since the cost of equity capital to Canadian business is so high on account of the depressed stock market, there is a pretty good chance that the higher tax rates and increased incentive to ‘avoid’ tax might help to kickstart growth by providing more incentive to borrowing at the margin and a disincentive against fixed income investment.

Likewise, a reduction in the TFSA might accomplish the same by shifting money, at the margin, into equity and leveraged investment strategies to avoid/reduce tax.

“So with more inflation, a weak dollar, the Fed’s move and the government’s need to float billions in new bond issues, how can the Bank of Canada avoid taking action in the next year? “

There is no inflation either now, or on the horizon. The weak CAD$ is only transitory and as one-time capital outflows dissipate, the deflationary reality of the Canadian economy will be exposed. The Fed has a real deflation problem in the US and will likely be preoccupied with providing stimulus sooner or later with Yellen et al mostly jawboning as of late. The financing markets will do most of the heavy lifting in terms of rationing credit to over-heated and in decline sectors such as RE (meaning higher mortgage rates and consumer borrowing costs for all but the highest quality of customers independent of BoC policy action). The only ‘move’ on the horizon for the BoC in the next year is additional rate cuts to deal with the accelerating slowdown in the Canadian economy on account of both the housing and the energy sector slowing down severely.

#10 RayofLight on 12.07.15 at 6:12 pm

I bought more “Goeasy Ltd” (GSY.T) today. Lending to the “credit challenged” is going to be a 5 -10 year growth opportunity trend in Canada. Forward price earnings of 8Xs , with a long term growth rate of 40% yields a PEG of .2. This is one way of shorting this whole fiasco.

#11 Craig on 12.07.15 at 6:14 pm

T2 was elected to get Harper out.

Don’t care about the the tax cuts “we deserve”.

#12 BC Guy on 12.07.15 at 6:15 pm

Raising taxes on the wealthy will have other potential benefits:

1. Many of these wealthy are in their 60 and 70’s hanging onto their lucrative jobs or businesses. When their taxes increase, some may decide to retire (finally) and free up jobs for younger folks who desperately need them.
2. Many of these wealthy own a primary home, a cottage, a one or more investment properties (land, condos, houses, cottages). Higher taxes may encourage some of them to sell their surplus properties and make them available for younger folks who are currently renting.
3. Overall, higher taxes on upper income earners will dampen speculation – mostly in real estate and land.

The Liberal government should broaden their reach and start taxing people who own multiple properties and land in excess of 10 acres. Tax on income and tax on real assets.

Here’s my solution to the economic mess and wealth disparity in this country. Impose a federal surtax on the assessed value of land. This is over above property tax that people already pay. For example:

1 – 10 acres -> no surtax
10 – 50 acres -> 1% of assessed value
50 -100 acres -> 2% of assessed value
100 – 1000 acres -> 10% of assessed value
1000+ acres -> 50% of assessed value

This would force a lot of the large land owners (like the Saudi prince and the Walmart heir) to subdivide and sell their land and cause land prices to fall dramatically.

Then the average Canadian who is currently shut out of owning any land (95% of us), could now afford land. These average Canadians would then build houses, cottages, farms, businesses. This would be a huge boost to the economy, lessen the wealth disparity and ease the congestion in our cities. And it is the morally correct thing to do.

Your mom called. You left your meds in the smokehouse. — Garth

#13 Johnny d on 12.07.15 at 6:17 pm

Enbridge, Suncor, and Crescent Point will do just fine. It’s those invested in the juniors that should be worried. I’ll sit back and collect my dividends while I wait for share prices to return on these beauties… Not too different from beat up preferred etf’s.

You admit it? — Garth

#14 JSS on 12.07.15 at 6:17 pm

Enbridge is dead.

Look at the carnage today.

#15 wendi1 on 12.07.15 at 6:18 pm

We could probably have the same effect by cutting some of the tax avoidance measures, and increasing CRA enforcement.

But no one likes being dinged by CRA. No “sunny ways” or collaboration here.

#16 For those about to flop... on 12.07.15 at 6:18 pm

So with more inflation, a weak dollar, the Fed’s move and the government’s need to float billions in new bond issues, how can the Bank of Canada avoid taking action in the next year? Or do we all just move to East Van, buy a house and wait?-Garth

///////////////////////////////////////////////
I will go and talk to the in- laws for you and put in a good word on your behalf.
The house is a late 80s Vancouver unspecial , I think I can get you a good deal around the 2 million dollar mark.
Pays to have contacts huh!

#17 zedgt87 on 12.07.15 at 6:20 pm

For the record, Enbridge just announced a 14% dividend increase for 2016…

Still a good stock to own.

Guess why they did that? — Garth

#18 Doug in London on 12.07.15 at 6:20 pm

Look on the bright side. If the new Liberal government does legalize weed, it will bring in more tax revenue to help with the shortfall.
I see why Suncor or Crescent Point isn’t the best choice of investment right now, but Enbridge? Even if the price of crude actually does fall to $20/barrel, it still has be transported from oil sources to the refineries, and it doesn’t get there by teleporting like on Star Trek, nor does it all go by rail. Isn’t it odd that Enbridge raised their dividend recently and the share price has been falling? I’m still trying to figure that one out, any ideas?

#19 Samuel on 12.07.15 at 6:29 pm

Anyone who has been to Waterloo, Ontario can see the skyline between the universities looks like North York – pretty funny.

My question is, why do they keep building? Like it’s even accelerating in all cities. I’ve never seen this before in my life. The amount of building is sublime.

I guess I am in the wrong career, I shouldn’t have taken Mathematics, I should have been a construction worker. Time to start applying to jobs south of the border.

#20 Doug in London on 12.07.15 at 6:29 pm

@JSS, post #12:
Either that or Enbridge is on sale. I rode my bike downtown today and went on the trails along the Thames River rather than busy Richmond Street. Why? Because of all the traffic, consisting of cars that use GASOLINE, and many buses and trucks that use DIESEL FUEL. I got an Email today from a friend who is in Thailand. How did he get there? On a jet plane which, with connections, flew from YYZ to BKK. Correct me if I’m wrong, but don’t those jet planes use a PETROLEUM BASED FUEL that was refined from crude oil that had to be transported to the refinery? As I said in my above post, how do you suppose that crude oil got there?

#21 Bram on 12.07.15 at 6:30 pm

“with the TSX now negative for the year.”

Worse than that…. see what happened in 5 yrs TSX.
It makes you weep.

https://ca.finance.yahoo.com/q/bc?t=5y&s=%5EGSPTSE&l=on&z=l&q=l&c=&ql=1&c=%5EIXIC&c=%5EGSPC

You better be holding good dividend stock.
Otherwise your retirement fund has been shrinking.

No, have a balanced and globally-diversified portfolio. Home country bias is killing Canadian investors. — Garth

#22 MrMarket on 12.07.15 at 6:31 pm

Does it make me unpatriotic to brag about the returns I have been enjoying from my US stocks? LOL. It sure makes Canadian homeowners MAD! whoa

#23 Doug t on 12.07.15 at 6:31 pm

Why do people continue to be duped into actually listening to and believing anything politicians say – I voted T2 but only to get satan out of Ottawa. I never once followed or read anything about T2 nor do I care – they all float on egos much larger than mine. It matters very little who is in power as we are a hewers of wood and drawers of water country that never really has developed other industries enough to matter. Sit tight and get ready for many years of SLUMP

#24 JSS on 12.07.15 at 6:31 pm

#17 zedgt87 on 12.07.15 at 6:20 pm
For the record, Enbridge just announced a 14% dividend increase for 2016…

Still a good stock to own.

Guess why they did that? — Garth

—-

Let me take a guess? Because Christmas is right around the corner?

Am I right?

#25 Willy H on 12.07.15 at 6:36 pm

“This is one big momma of a problem, since T2 was elected by the masses on the expectation they would get “the tax cut they deserve”. Now he has to deliver. But can’t – without costing extra billions.”

Agreed. I will stand by my prediction that the GST will be increased by 1% by 2017.

Voila! $7 Billion

#26 SignofTheTimes on 12.07.15 at 6:38 pm

CBC is reporting that the suicide rate in Calgary is up about 30%.

#27 Smoking Man's Old Man on 12.07.15 at 6:40 pm

Would like to say “Bah Humbug”, in keeping with the season, but unfortunately I think you’re right…

Incidentally we’re coming up to the highest divorce rate time of the year. I’m sure Freedom First will back this up.

The perfect storm is upon us…

#28 Johnny d on 12.07.15 at 6:41 pm

It’s been a horrible year and 2016 might not be much better, but the good Canadian energy companies are not going to ZERO. I’m surprised that even Garth seems so down on energy today, considering statements he’s made about how oversold the sector is getting. Again, I gotta relate it to the overselling of preferred etf’s and REITs during the year. Sit back, collect dividends and sleep soundly.

Of course if you hate energy, you can invest in CGC (Canopy Growth Corp.). Just call that the Trudeau play.

#29 Irwin on 12.07.15 at 6:44 pm

Meanwhile, gold priced in Canadian dollars is up 5.5% year-to-date.

http://stockcharts.com/h-sc/ui?s=%24GOLD%3A%24CAD&p=D&st=2015-01-01&en=(today)&id=p10882950086

Meanwhile, the S&P 500 priced in Canadian dollars, is up 17% YTD. — Garth

#30 presley1000 on 12.07.15 at 6:46 pm

” …which is more reason to accelerate widespread national toking”

Health Canada is finally inspecting the massive Supreme Pharma facility in Kincardine on Wednesday.

You’re not too late to the party yet, Garth. :)

#31 For those about to flop... on 12.07.15 at 6:47 pm

#263 Doug in London on 12.07.15 at 6:03 pm
@Sideshow Rob, post #239 and For those about to flop, post #243:

Well, well, here we go again complaining about the late Black Friday or early Boxing Day sales for CPD. Just what part of the words buying opportunity don’t you understand? Is it the buying part, or the opportunity part?
///////////////////////////////////////////
I love it when you talk about an ETF / fund and people jump on you because they think you are all in.
I DONT OWN ANY CPD , I shouted that at you because I think you’ve got batter in your ears.Go back and read the thread and stop being a salesman to

#32 MF on 12.07.15 at 6:49 pm

L M A O my generation has got to be the dumbest ever.

You should have seen my Facebook feed on election night as all my pothead indebted idiot fellow millennials with investment Kandos gushed over the dauphin and his stupid promises.

Now listen to them moaning over the refugee debacle, sewage debacle and TFSA..well, actually nobody mentions the TFSA because they have no idea what it is.

Many are also just silent…… until probed and it becomes obvious they are now realizing what a mistake they have done.

This is at the same time they fawn over the climate change/carbon tax BS that will ultimately result in lost jobs/careers/futures for all of us. Good job. How predictable. You get what you deserve.

Kanada, the next second world country (that’s for you TurnerNation).

MF

#33 Broke Dick on 12.07.15 at 6:52 pm

Sorry to bother you dear Garth,
but why would you not let me post a link to a clear and concise reason why CPD and ZPR are down so much this year?

Thou shalt not worship any personal finance blogs before this one. — Garth

#34 Michael on 12.07.15 at 6:55 pm

So, how does the economy fix itself? What does the T2 and his crew need to do to reverse this or does Canada need a bit of a recession and property to go bust so we can reset everything again? Is there a clear option these days? How does this compare to previous recessions/downturns?

#35 amazon girl on 12.07.15 at 6:56 pm

Thanks Garth , for another great post.
I am always listening ,I deposited extra 10 grand on the
TFSA. Garth can T2 scale back to 5500 for 2016 ?

Yes, he can. The legislation will be passed shortly. — Garth

#36 MSM-Free Zone on 12.07.15 at 7:04 pm

#3 Stephen Harp the hERald sings on 12.07.15 at 6:01 pm
“….LMFO, in other words T2 lied to the fools that voted for him……”
_________________________

No different than the fools that voted for the ultimate, all-time, uber-liar, his predecessor.

Sadly, get used to it. All politicians lie. The ones that don’t are canned and become bloggers.

Regardless of which liar is in power, become informed and govern your personal finances accordingly. Your well being depends upon it.

#37 Ex-Cowtown on 12.07.15 at 7:04 pm

With WTI at $37.60/bbl and a Western Canada Select Differential of about $14/bbl, the price at the gate for heavy oil in Alberta is now around $23.60/bbl.

That is below the lifting cost of most producers. This means that they cannot even afford to bring the oil that they have in the ground to the market; they’ll lose cash money on every barrel.

To those not in the oilpatch. it would be offering to paint someones house and charging them less than the cost of the paint. How long can you do that for?

But don’t fret, T2, Wynne and Notley to the rescue. To help out, they want to put a new $10/gallon tax on the paint and then send the money to the President of Tuvalu for a new jet. Their logic is that if the President of Tuvalu gets a new jet and flies around in it enough, eventually he’ll need new paint for his jet and…. bingo, bango, we’re in like Flint!

Brilliant, huh???

#38 T5_INCOME on 12.07.15 at 7:06 pm

Loaded up on ENB.TO today, reading the comments here about Enbridge being dead, and concern for some reasons about its growing dividend which it has grown for decades by the way.( It is not just an incentive to trap buyers) gives me all the contrarian input I need to confirm my decision.

Buy when others are fearful.
Talk to me again in 2020 to see how I am doing.

#39 MF on 12.07.15 at 7:07 pm

Took a look at my portfolio today. Was an ugly day for Canadian equities but meh I don’t even care anymore since all my Canadian ETF’s have been in the red since April non stop and I’m used to it.

Us/International stuff is roughly even on the back of the exchange rate and nothing else. Overall portfolio is down about 5% since April.

Maybe the irony is I was the greater fool by buying in April?

Who cares. I’m not discouraged. 8 months is nothing and rebalancing is coming soon.

MF

#40 Broke Dick on 12.07.15 at 7:09 pm

#33 Broke Dick on 12.07.15 at 6:52 pm
Sorry to bother you dear Garth,
but why would you not let me post a link to a clear and concise reason why CPD and ZPR are down so much this year?

Thou shalt not worship any personal finance blogs before this one. — Garth

Admit it though, it was clear, concise, informative and accurate. MF, for one, would learn a lot. Maybe you would consider doing a cover version for your audience.

#41 Gertrude Stepweiler-Dorfmuller on 12.07.15 at 7:12 pm

The worst thing about the stock market is that it constantly proves your emotions wrong. At the end of the day the world cannot provide enough energy to run stable economies on fart juice and sun dried raisins. Buy when there’s bloody capitulation in the streets. Buy when the newspapers say commodities are ‘uninvestible’. Yes it feels horrible, but what the stock market says about millionaires, they have the emotional range of a rock and unreasonable patience. You make the most money buying troughs and bottoms, which is why millionaires are created from adversity and safety gets you cat food after inflation. No one ever said the stock market was a nanny camp for the stupid and lazy.

“Higher marginal rates may bring in revenue in the short term, but ultimately they encourage tax avoidance and undermine Canada’s international competitiveness.” Milking the successful to sprinkle faerie dust on the middle is just a bad idea.”

This is also true, the lines to get out of Canada are growing. LOL, if you had gone to Thailand ( for example) to work as an engineer you would have received a raise each and every time the Loonie fails.

#42 Tested leaders on 12.07.15 at 7:13 pm

Even tested leaders would be fugged right now.
And of course, they are not exempt from their own ideological predeterminations. We have seen it over and over – regardless their party affiliation.

#43 Mark Francis on 12.07.15 at 7:19 pm

I didn’t vote for T2, but it’s worth mentioning that the Harper government was a fool with out money as well. Harper piled up the debt, and left us a structural deficit, while falsely claiming he had it all balanced in the end. Oh, and Harper’s $26 billion ship building program is really costing us $52 billion. Nice.

I bailed on Canadian equities a while back.

Sucks to be us.

#44 Sideshow Rob on 12.07.15 at 7:20 pm

I feel for Bill Morneau. He will be spending the next 4 years cleaning up and explaining away the mess that Fluff For Brains dumps on everyone’s lawn. Good luck with that.

#45 Freedom First on 12.07.15 at 7:22 pm

#27 Smoking Man’s Old Man

Yes, sad times in a recession and extra pressure from a consumer based keep up with the Jones type of society.

Suicide rates up, mostly men, and over 50, unemployment up, divorce up, domestic abuse up, 40 % male victims which our society tries to hide the figures for and has no shelters for male victims of domestic abuse. Instead, if anyone mentions domestic abuse against males they are they are silenced, ridiculed, or protested against.

Men, if you lose your job, and you are married with kids, you already have one foot out the door even if you don’t know it. Your family is financially better off without you. sad, but true. Unfortunately, the majority of men learn they are only a utility when it is too late.

I love women, never had kids, and always live alone. Marriage involving the current anti-male divorce court laws is just too high risk for me.

Once you know you are only a wallet

#46 Random on 12.07.15 at 7:28 pm

Well, Canadian stocks are spiraling down, and this is just the beginning. Once the real estate clusterfog begins to unravel, it will take with it most Canadian banks and CPD.TO (which is currently almost where it was in late September).

#47 Jay on 12.07.15 at 7:30 pm

I have been consistent in my stated opinion on the matter: the only time that you really find out what the government is made of, is when rubber meets road and they actually govern. We all knew that no matter who was in power, things were not going to be easy moving forward. The question is what’s going to happen next.

#48 Panhead on 12.07.15 at 7:32 pm

#37 Ex-Cowtown on 12.07.15 at 7:04 pm
But don’t fret, T2, Wynne and Notley to the rescue. To help out, they want to put a new $10/gallon tax on the paint and then send the money to the President of Tuvalu for a new jet.

Don’t know where you live Ex, but out here in 604land we are already paying an eco fee (tax) on every can of paint we buy. Even the taggers have to pay on spray paint. Along with batteries, electronics, etc, etc, etc … Does every province have this or is Christy leading the way?

#49 Tom Jones on 12.07.15 at 7:33 pm

ehhh… I wouldn’t bank on the “rising phoenix” viewpoint of the US just yet..

Nothing has changed south of the border since 2009 – they still have indebted citizens, a service economy only, a bankrupt government, a huge trade deficit and a balance sheet deep in the red.

#50 Caught In The Grip on 12.07.15 at 7:33 pm

Wouldn’t it be wise to go light on bonds given that they are trading at a significant premium (as measured by yield to maturity relative to coupon yield) and because interest rates are at historically low levels? Aren’t Canadian bonds even more overvalued than US bonds?

#51 John in QC on 12.07.15 at 7:34 pm

some macro stuff that’s been bothering me on this blog/comments

1- When the LFS headline number is good, but the details suck, you don’t fail to mention it. This month, the headline number sucked, but the details were pretty good (+36k full time, -72k part time – mainly due to temp jobs related to the elections). Although yes, private sector jobs are junk so far in 2015, mostly because of Alberta. A little better in Central Canada.

2- Again related to job numbers (mainly for a few of the blog dogs) – you can’t go on and say -36k jobs is like -360k in the US. Yes the US economy is 10 times ours, but because we are a smaller economy we are closer to the zero bound, which makes numbers more volatile. Compare 3 or 6 month moving average (as a % of the total labour force) to make the adequate comparison – which will still reflect that Canada sucks this year, and probably will for a little while.

3- your correlation between rate hikes in the US and Canada is meaningless because “this time it’s different”. Never have we been so unsynchronised in a housing cycle with the US, nor for household debt levels. You’re on point for the mortgage rates, as banks finance themselves on NA markets, but the BoC does not (and will not) act. Macroprudential policies will do.

Alas, no denying that the next few years will be rough.

Cheers

#52 Caught In The Grip on 12.07.15 at 7:34 pm

Will global (especially US) stocks be the new bonds for the next 2 decades?

#53 Ronh on 12.07.15 at 7:43 pm

Right on again Garth.
I’ll have a Bunnahabhain 12 year old.
T2 is going to meet reality head-on.

#54 Smoking Man on 12.07.15 at 7:47 pm

#32 MF on 12.07.15 at 6:49 pm
L M A O my generation has got to be the dumbest ever.

You should have seen my Facebook feed on election night as all my pothead indebted idiot fellow millennials with investment Kandos gushed over the dauphin and his stupid promises.

Now listen to them moaning over the refugee debacle, sewage debacle and TFSA..well, actually nobody mentions the TFSA because they have no idea what it is.

Many are also just silent…… until probed and it becomes obvious they are now realizing what a mistake they have done.

This is at the same time they fawn over the climate change/carbon tax BS that will ultimately result in lost jobs/careers/futures for all of us. Good job. How predictable. You get what you deserve.

Kanada, the next second world country (that’s for you TurnerNation).

MF
…..

God damn it, excellent post..

#55 Smoking Man on 12.07.15 at 7:48 pm

Thou shalt not worship any personal finance blogs before this one. — Garth

……

Bahaha..love it.

#56 dutch4505 on 12.07.15 at 7:52 pm

it is already a given in the circles of the mighty and powerful of Ottawa that the GST will go back to 7% from 5%. what is being worked out is the timing. rumors are early summer, 2016.

#57 common sense on 12.07.15 at 7:53 pm

Garth: Can you recommend a type of Scotch?

The gallon size. — Garth

#58 Smoking Man on 12.07.15 at 7:56 pm

Trumps people must be creeping my posts.

Today he says ban every Muslim from entering the USA.
You know every msm outlet will be attacking him severely. And they should, out right rasisum.

But the result from pissed off American middle class looking to vent on anything will propel the Donald to the top.

He’s going to be the nominee. Guaranteed.

This is what his people read today.

#201 Smoking Man on 12.07.15 at 11:23 am
Trump soaring in the polls.

MSM on full frontal attack mode. What the machine hasn’t figured out yet.

MSM about as popular as congress is. The more they attack him, the stronger he gets.

Sadly, It takes a dyslexic drunk to figure it out.

#59 Leo Trollstoy on 12.07.15 at 7:57 pm

The Liberals are in love with the word ‘inherited’. They should get used to the fact that they will be remembered as the party that presided over the collapse of the Canadian economy.

Just accept it.

#60 Fuzzy Camel on 12.07.15 at 7:58 pm

Gravity is about to hit the Canadian libtards pie in the sky.

Let’s face it, socialism always fails because they eventually run out of others people money.

Housing at some point will go into free fall. I’m surprised this thing is holding together this well to be honest.

I saw this coming 10 months ago and sold my real estate. I guess the rush for the door will come after the crash. Canadians should change from the iconic goose to the sheep, because that suits them much better.

#61 earthboundmisfit on 12.07.15 at 7:58 pm

HST hike forthcoming. Bank on it.

#62 Market Man on 12.07.15 at 8:00 pm

He will need to decide soon

Do I Raise interest to save the dollar and kill housing
Or let inflation go behind 2.5%

#63 Winterpeg on 12.07.15 at 8:02 pm

Any word on whether the contribution room left for TFSA’s from the past will be kept (or eliminated?)

Kept. — Garth

#64 Leo Trollstoy on 12.07.15 at 8:03 pm

There is no US deflation. — Garth

Agreed.

#65 common sense on 12.07.15 at 8:09 pm

Gallon size scotch? I’ll look for one in the States tomm.

Perhaps will be on sale to lure back the lost Canadian shopper.

#66 NIck on 12.07.15 at 8:14 pm

@ #12 BC Guy — Yea! Keepin it real =)

Hey, how about a MINCOME? It’s all the rage again in communist EU…After all, it was a Canuck invention!

A dark cloud is cast over this blog. All the prognostications are coming true. Woe unto the disbelievers. Winter is coming.

#67 Smoking Man on 12.07.15 at 8:16 pm

On Trumps Ban the Muslims.
The attacks are coming fast and Hard. From people Americans Hate and are tired of.
See the tweets below.

People want white picket fences, Not Politically correct politicians who have done nothing for the middle class since 2008.

In two weeks, Trump will be un-touchable.

To Trump campaigners who come here to pick up my analysis, Some commission is due.

Dr Smoking Man
PhD. Herdonomics

Hillary Clinton ✔ @HillaryClinton
This is reprehensible, prejudiced and divisive. @RealDonaldTrump, you don’t get it. This makes us less safe. -H https://twitter.com/nprpolitics/status/673998436811714560

Lindsey Graham ✔ @LindseyGrahamSC
Every candidate for president needs to do the right thing & condemn @Realdonaldtrump’s statement.
5:13 PM – 7 Dec 2015

#68 common sense on 12.07.15 at 8:18 pm

I have to ask everyone that posted today…

Do you think today was the end of the carnage? If so a great time to buy…

I agree with the others….the carnage has only just begun and I’ll wait a bit to rush in and buy.

#69 Irwin on 12.07.15 at 8:22 pm

“Meanwhile, the S&P 500 priced in Canadian dollars, is up 17% YTD.”— Garth

Right. So why are you always so negative? Things are good!

If you want to be negative, talk about Fukushima and radiation. Or are you one of those who says, ‘nobody died and radiation is good for you’?

Oh, look. A chemtrail. — Garth

#70 Mark on 12.07.15 at 8:23 pm

“So, how does the economy fix itself? What does the T2 and his crew need to do to reverse this or does Canada need a bit of a recession and property to go bust so we can reset everything again? Is there a clear option these days? How does this compare to previous recessions/downturns?”

In the last big housing crash in Canada, basically, the economy muddled for a few years until the tech sector conjured up enough vibrance to take care of the mess. The gold sector also participated to a smaller extent in a sort of mid-1990s mini-bubble, although that came to a crashing halt when confidence was destroyed in the wake of the Bre-X scandal and the final crash in gold prices heading into the late 1990s.

I suspect the recipe this time around will be largely similar. Asset classes that have inverse correlation to the ones which are now crashing will start to do well, very well. And eventually such will trigger off another up-cycle.

This obviously becomes a very big problem for leveraged homeowners, as such an up-cycle is likely to increase borrowing demand and decrease fixed income investment, driving up interest rates. And decrease house prices as speculators dump their properties to chase the next “bubble du jour”. It took Toronto a good decade, if not longer, to regain those 1990 peak prices, and many buyers at the peak were set back financially at least at decade, if not longer.

#71 Whoever on 12.07.15 at 8:24 pm

” all your money in enbridge sun or or crescent point stock”

Certainly not a good idea to have all your money in anything but buying energy stock exposure through an ETF with a 2 year outlook one heck of a good bet at this juncture .

Unless you think we have solar powered airplanes soon

#72 For those about to flop... on 12.07.15 at 8:27 pm

I saw a meet and greet between my two leaders the other day.Malcom Turnball ,who has only been Prime Minister of Oz for a matter of months spoke confidently and purposefully ,while Justin Trudeau was a hot mess stammering along ummm Ahhh ummm.
He did not look good at all.
Maybe he needs to take a page out of Harpers book and hire another Aussie to help him.
No not the same guy ,I was thinking of Geoffrey Rush the speech therapist who helped Colin Firth in ” The Kings Speech” movie.
This guy needs help and quick ,you don’t have to be an allstar on every subject but you should exude confidence and belief in what you are saying when in public.
It’s going to be a long 4 years for him.
He was sworn in as a boy, but he will be a man when his time is up. Good luck son.

#73 Linda on 12.07.15 at 8:31 pm

But how will we know that our new Syrian refugees aren’t incognito ISIS members? Now, I don’t exactly expect to get beheaded in the Costco parking lot when I go for another flu shot, but I think we need some kind of inernational ID card, just so we’ll all be safe.

#74 Wild roasted Gonads on 12.07.15 at 8:32 pm

#58 Smoking Man on 12.07.15 at 7:56 pm

Trumps people must be creeping my posts.

Today he says ban every Muslim from entering the USA.
You know every msm outlet will be attacking him severely. And they should, out right rasisum.

But the result from pissed off American middle class looking to vent on anything will propel the Donald to the top.

He’s going to be the nominee. Guaranteed.

This is what his people read today.

#201 Smoking Man on 12.07.15 at 11:23 am
Trump soaring in the polls.

MSM on full frontal attack mode. What the machine hasn’t figured out yet.

MSM about as popular as congress is. The more they attack him, the stronger he gets.

Sadly, It takes a dyslexic drunk to figure it out.
—————
A lefty set of gonads seems to be in the lead for now….

https://twitter.com/GonzoVice/status/670349644421971968

#75 Linda on 12.07.15 at 8:38 pm

Live off CPP/OAS – you’d need more than one shot of scotch to handle that scenario. Combined maximum CPP/OAS isn’t even $20,000 per annum (gross, not net). Yes, you DO have to pay taxes on this – but if that is all you get, you will get it all back. Oh, the excitement. Plus if you do get the maximum CPP/OAS in the first place you do not if you are single you probably would not qualify for GIS. Note: Average pay out of CPP AT AGE 65 is $640 per month before tax. So if you get the ‘average’ CPP at age 65 & OAS as a single person you will qualify for GIS, as the sums combined are less than $15,000 per year – gross, not net. You might even get it as a couple, depending on what your total household income would add up to. BTW, if your children have rejoined your household their income would be part of that total so having them live with you could cost you your GIS benefit, such as it is.
So, less than $20,000 (gross; maximum paid at age 65) or on average less than $15,000 for combined CPP/OAS at age 65. Oh, what the heck. Have a party & cry if you want to. Average rent in Canada is $884 per month for a 1 bedroom apartment located outside of city centre. If you have a city centre apartment, average is $1,115 per month for the 1 bedroom. Even if you keep all of the not quite $20,000 per year best case CPP/OAS income your best case annual cost to rent is $10,608 – better than 50% of your combined gross CPP/OAS. And you’d best have a rental that includes utilities for that $884 per month average. Now, if you have a spouse who also receives the maximum CPP/OAS you would likely do just fine, but if you are on your own – or you & the spouse get the ‘average’ CPP at age 65 – going to have to budget till you drop & hope for no unexpected big expenses to come your way.

#76 Wild roasted Gonads on 12.07.15 at 8:39 pm

#63 Leo Trollstoy on 12.07.15 at 8:03 pm

There is no US deflation. — Garth

Agreed.
————–

Could one you please tell the financial wizard known as” Mark”.. so he will just go away.

#77 Retired Boomer WI on 12.07.15 at 8:40 pm

Note to self:

1. Never vote for a candidate who has never held an elected office.

2. Never vote for a teacher for elected office.

3. Practice tax avoidance.

4. Don’t talk to strangers.

#78 John Prine on 12.07.15 at 8:40 pm

#7 Paully on 12.07.15 at 6:07 pm
Making big, expensive campaign promises, and then blaming the previous administration for “leaving the cupboard bare,” is a time-honoured political tradition!

Every party does it, I remember the big shipbuilding contracts being announced a few years ago that drove the Halifax house market up for awhile.

Unfortunate but during the elections I hope that most voters realize that they always get a small percentage of the promises, either the easiest ones or ones that come into effect during the 4th year of the party’s mandate. This last election was lost entirely by Stephen Harper’s tremendous unpopularity more than any policies…

#79 nonplused on 12.07.15 at 8:43 pm

Scotch will help more than anything else, but they are probably going to try and raise the taxes on that too. Pot won’t help me it makes me dizzy and sick. I can’t do that stuff. Even if the legalize it my net consumption will remain zero. I might start growing it and selling it but I won’t ever be a consumer. I might even by stocks in big tobacco, because face it they will shortly own the pot trade it is too much like tobacco for them to not succeed. The whole reason pot was ever illegal was to protect the bike gangs and the police from big tobacco.

Glam-boy or T2 or whatever will fail horribly. People think if you are the government the laws of physics do not apply, so let’s just vote everyone a unicorn for Christmas dinner! It doesn’t work and T2 will do about as well keeping promises as the Obominator. Here is the facts folks you can’t tax “other people” without taxing yourself. It all finds its way into prices. That $15 minimum wage? $15 dollar minimum hamburgers. Stick that in your bag and eat it. Carbon taxes? Get ready to pay more at the pump, more for heating, and more to charge the iDevice. Plus more for everything.

I personally will not pay $15 for a McD burger. McD knows this which is why they don’t want a $15 minimum wage. We’ll all be cooking at home soon.

#80 AlbertaGuy on 12.07.15 at 8:44 pm

So how do we know where we the TFSA is in relation to the next $500 index bump up? (TFSA was increased from 5000 to 5500 in 2013 due to inflation increase). Presumably there should be 2 years of inflation to consider.

#81 Internal Auditor on 12.07.15 at 8:52 pm

Today was a good day to pick up some bank stocks all of which are paying over 430bps right now. Those with good exposure to USD especially, TD & BMO and to some extent RBC.

BMO covered call ETF currently paying over 750bps (yes it’s maple weighted) with the advantage of earning awesome premiums on call options that will not be exercised anytime soon while holding the underlying securities.

#82 TurnerNation on 12.07.15 at 8:52 pm

I mentioned next 6-12 months will be h-ll in terms of changes. Events put on or staged, laws changed. ASAP.

At home so far – they want all of our money – no time wasted:

– TSFA rollback
– Carbon taxes coming
– ON cities all given power for a 2nd land transfer tax.
– Toronto talking about new transit tax (aka public union tax on us)
– Ontario rolling out toll lanes
– ON electricity costs to skyrocket again.
– ON’s Hydro One sold for billions. They mumbled it was to help fund roads and bridges or something. I predict we’ll not see a penny of action.

– In general, Low CAD will make imported goods’ cost explode upwards again.

Inflation’s only 2% wink wink. Oh how the elites roar over that one.

#83 the Jaguar on 12.07.15 at 8:52 pm

Really don’t like the photo today, Garth. That dog looks so sad. I hate seeing that.

#84 Smartalox on 12.07.15 at 8:53 pm

I do wonder about the subtexts of some of the recent financial news:

If the recognition of a doubled deficit will lead to a return of the GST to 7% up from the current 5%.

If the plan to tax the 1%’ers is a canard to free up capital that lies dormant in investments like real estate.

If the much-discussed ‘infrastructure spending’ will be postponed (no projects identified yet) but instead served as a test of the public’s appetite for deficits at the federal level.

#85 MF on 12.07.15 at 8:54 pm

#54 Smoking Man on 12.07.15 at 7:47 pm

Haha Thank you SM.

I knew we were dumb, but not this dumb. Seriously. I had higher hopes. How naive. How could someone fall for this warm fuzzy hope BS. Is our generation a majority lazy, jealous, pot smoking, commie’s with our heads in the collective sand? Guess so. We are supposed to be the most educated generation ever. Remember I went to uni but what I got from it all was the need to question everything, especially if you are promised something too good to be true. I guess my compatriots didn’t get that message. Probably just went to get a good job (yeah right good luck to them). You are right about the herd instinct. Spot on. How embarrassing for us.

It’s also comical watching our newly elected officials stumbling out of the gate trying to reconcile their “hope and vote for me” BS with the real world. You can actually see them backtracking and scrambling on everything. It’s legit hilarious. Read the comments on propaganda machines like the CBC who are desperately trying to get us to like this guy. “I voted to get Harper out but I didn’t expect this” “I voted for Trudeau but I didn’t want this”. Well you reap what you sow I say.

Equities down. Jobs lost. Dollar down. Housing soon to be down. Let’s hope the next four years cause people to wake up so we never have to go through this again.

MF

#86 Chris on 12.07.15 at 8:55 pm

#45 Freedom First on 12.07.15 at 7:22 pm

Although you provide some worthy insights into violence against men, try not bragging about being lonely and wealthy in the same sentence, all the while blaming women or the courts or your own lack of effort to explain away your inability to have a loving home life with a woman.

Women aren’t the problem, men aren’t the problem. A better portfolio won’t make your chronic problems with women go away.

Sincerely,
Chris (a guy)

#87 Daisy Mae on 12.07.15 at 9:03 pm

“Besides, of 17 million taxpayers, eleven million make too little to benefit from any tax cut – but don’t know that yet.”

******************

But, the government does. So, it’s a safe bet.

#88 LL on 12.07.15 at 9:12 pm

#57 – Garth: Can you recommend a type of Scotch?

The gallon size. — Garth

……….And lots of Tylenol for the day after! :)

#89 Daisy Mae on 12.07.15 at 9:15 pm

#18: “Look on the bright side. If the new Liberal government does legalize weed, it will bring in more tax revenue to help with the shortfall.”

*****************

Legalized prostitution will be next….just a matter of time.

#90 For those about to flop... on 12.07.15 at 9:15 pm

Sure a nice bottle of Scotch would be nice for the holidays but I think Canadians would be better off with a roll of Scotch Tape as a lot of people are about to be torn apart like a piñata.

#91 Freedom First on 12.07.15 at 9:15 pm

#86 Chris

Not lonely and women love me. I am an honest man and I treat everyone with respect. Even lying dickheads like you, Chris.

#92 Daisy Mae on 12.07.15 at 9:20 pm

#26: “CBC is reporting that the suicide rate in Calgary is up about 30%….”

*****************

Always the cowards way out….

#93 LP on 12.07.15 at 9:21 pm

#45 Freedom First on 12.07.15 at 7:22 pm
***************************

Boy, I wish you’d give it a rest. I get that you have your reasons for your oft-stated anti-marriage views, even sometimes anti-women.

But can you not get through your head that there are likely just as many women who have been burned by the men they married, the deadbeats, the cheaters, the abusers etc, etc, etc?

We can all accept that you aren’t married, maybe have never been married, are unlikely to ever be married. You’ve told us non-stop in practically every post. For the love of Pete, PLEASE just stop!

#94 I voted for $party, $PM on 12.07.15 at 9:27 pm

To MF

What’s really screwed is that you could have voted to any party, any PM, the situation would be exactly the same, as a whole.

#95 Bottoms_Up on 12.07.15 at 9:29 pm

I don’t buy this tax avoidance schtick. You talk like the rich are so hard done by, and now, because of a chincy 4% increase in marginal rate over $200,000 dollars earned per year, they are going to rush toward tax avoidance schemes that for some reason they haven’t been using until now? BS

And, the middle class needs this tax break. They are the ones spending most of their earned dollars into the economy, and the ones most highly indebted because of poor government policies that inflated housing prices. Oh yea, have the rich benefitted at all from inflated housing?

#96 The other woman on 12.07.15 at 9:30 pm

DELETED

#97 Smoking Man on 12.07.15 at 9:31 pm

#85 MF on 12.07.15 at 8:54 pm
#54 Smoking Man on 12.07.15 at 7:47 pm

Haha Thank you SM.

I knew we were dumb, but not this dumb. Seriously. I had higher hopes. How naive. How could someone fall for this warm fuzzy hope BS. Is our generation a majority lazy, jealous, pot smoking, commie’s with our heads in the collective sand? Guess so. We are supposed to be the most educated generation ever. Remember I went to uni but what I got from it all was the need to question everything, especially if you are promised something too good to be true. I guess my compatriots didn’t get that message. Probably just went to get a good job (yeah right good luck to them). You are right about the herd instinct. Spot on. How embarrassing for us.

It’s also comical watching our newly elected officials stumbling out of the gate trying to reconcile their “hope and vote for me” BS with the real world. You can actually see them backtracking and scrambling on everything. It’s legit hilarious. Read the comments on propaganda machines like the CBC who are desperately trying to get us to like this guy. “I voted to get Harper out but I didn’t expect this” “I voted for Trudeau but I didn’t want this”. Well you reap what you sow I say.

Equities down. Jobs lost. Dollar down. Housing soon to be down. Let’s hope the next four years cause people to wake up so we never have to go through this again.

MF

….

You’ll be fine, now I’m not so sure about Bottoms_Up.

I’ve calculated it will require about 50 preachers from every denomination to preform an exorcism to rid Global Warming Demon out of his dislocated soul.

#98 Bottoms_Up on 12.07.15 at 9:32 pm

#92 Daisy Mae on 12.07.15 at 9:20 pm
————————–
Or potentially an underlying mental illness that triggered suicide due to financial hardship…but sure, you’re entitled to calling them cowards.

#99 Cause & effect | Realties.ca on 12.07.15 at 9:38 pm

[…] Source: http://www.greaterfool.ca/2015/12/07/cause-effect/ […]

#100 The other woman on 12.07.15 at 9:40 pm

#91 Freedom First
With your attitude, I bet you have lots of dates with yourself.

#101 bdy sktrn on 12.07.15 at 9:43 pm

#98 Bottoms_Up on 12.07.15 at 9:32 p

but sure, you’re entitled to calling them….

——————————-
i had something to post.

not sure if im entitled to post it

will you grant me entitlement to speak?

thank you

#102 chapter 9 on 12.07.15 at 9:45 pm

DELETED (anti-Muslim)

#103 Conspiratard on 12.07.15 at 9:46 pm

So here we are on the anniversary of Pearl Harbor, that great concoction of the illuminati to drag the US middle class into war and a long spiral towards total control.

And it appears they are at it again, trying to undermine Canada’s economy through an incompetent commie government as part of a new global revolution. And the libtard dummies and feminazis are all distracted about climate change and Paris commies meeting up, looking at smog in Beijing like it’s some huge threat (it’s chemtrails you idiots!), another perfect operation by the illuminati as part of their global endgame. Perfect setup for what is coming.

Thank god for this blog and the superbly presented and referenced sources provided here by Smoking Man, SWL1976 and Freedom First. They know what real education is all about. You guys are like beacons in the night.

To the libtards and feminazis here who want to complain, all I have to say to you is…

Tora, Tora, Tora!!

The illuminati-controlled powers-that-be pretended not to see your squadrons approaching Pearl in ’41 you commies, but we see you now, 74 years to the day!

Coincidence? I think not.

I think not.

#104 MF on 12.07.15 at 9:50 pm

94 I voted for $party, $PM on 12.07.15

Ah Yes I’ve heard this cop out before. Apathetic individuals have no right to complain IMO. In the interest of realism you choose between the three major parties that most make sense for you as an individual (and to a lesser extent for your country as a whole because that usually affects you in some way).

Garth nightly outlines how we are going to be taxed higher under this new BS party. I’d rather be well informed than a cop out waiting to be fleeced.

MF

#105 BC BO on 12.07.15 at 9:50 pm

In response to ‘Mark’
“There is no inflation either now, or on the horizon.”

Have you been to a store lately?
There has been a lag since the fall of our dollar but retailers are catching up. So many of the goods in our stores are bought in USD either from importing from the US or importing from offshore paid with USD.
Fuel prices did come down for a period but are creeping up and will no longer press the CPI down.
Yes – inflation is coming. Don’t kid yourself.

#106 MF on 12.07.15 at 9:52 pm

# 97 Smoking Man

Might require double that and microphones and loud speakers. Got room for my entire generation in there?

MF

#107 pwn3d on 12.07.15 at 9:52 pm

#59 Leo Trollstoy on 12.07.15 at 7:57 pm
The Liberals are in love with the word ‘inherited’.
—————-
As they should, since their leader inherited everything he has. Unfortunately one of those things wasn’t intelligence, but bad acting skills. I’m embarrassed for those who buy into the cheap theater.

#108 Darryl on 12.07.15 at 9:54 pm

Scotch is too expensive now with the CAD sinking . Finding out that there are some decent Canadian whiskeys out there .
And ginger ale …

#109 Entrepreneur on 12.07.15 at 9:54 pm

Did anyone watch Tom Mulcair of the NDP speak at Parliament today? He spoke from the heart; he spoke for the people of Canada. Mulcair would have been a better leader for us 99%.

T2 is walking & talking in the path of Harper’s mishaps right now but the spotlight will turn on him soon. I actually feel sorry for Bill Morneau but honesty hurts but a rescue plan. At least we are talking, walking maybe a little tipsy after this blog.

UN leader Ban? said “Leaders to listen to the people.” I think we have a disconnect here; I think it is something to do with greed; I don’t think it will ever connect unless a correction both civilization & mother nature. Are we too far gone now? Remember this leaders, “Listen to the people.”

#110 Nemesis on 12.07.15 at 9:55 pm

“I don’t want to get all conspiracy theory and all, but Trump, needing few backers, owes less than most to the powers that stir. And his private plane has a pretty big heat signature.” – RalphWaldoCramdown

#OptionalAtAdditionalCost*… #FromTheSameNicePeople… #WhoBroughtYouABBA&… #TheViggen

https://youtu.be/1W27lh1ugVc

#BonusSAAB… #Type37

https://youtu.be/c6Utwdv_pAo

#111 Karl hungus on 12.07.15 at 9:57 pm

Albertas hooped ? Yet edmonton has created 23% of Canada’s jobs since November 2014.

In November of 2014 oil was $84.40. — Garth

#112 Roasted wild gonads on 12.07.15 at 9:58 pm

#102 chapter 9 on 12.07.15 at 9:45 pm
DELETED (anti-Muslim)
——
Hey wow, the Donald reads this RE blog!!

#113 Life of Brain on 12.07.15 at 9:58 pm

#230 Yeah baby who luvs ya on 12.07.15 at 2:45 pm
That’s it, I’ve had it with canuckistan….

Finland, Finland, Finland
The country where I want to be
Pony trekking or camping
Or just watching TV
Finland, Finland, Finland
It’s the country for me

http://news.nationalpost.com/news/finland-to-pay-every-citizen-1100-per-month-and-scrap-all-other-benefits-in-effort-to-reduce-unemployment-rate

Yeah Finland…wasn’t that the place that was so bad, that even the middle east refugees, did a U-turn and demanded being sent to a better place!

http://www.germanjoys.eu/2015/09/migrants-reject-finland-as-too-cold-and-boring.html

Reminds me of a Monty Python sketch…crucifixions to the right, Finland to the left….move along please…

#114 pwn3d on 12.07.15 at 9:58 pm

#71 Whoever on 12.07.15 at 8:24 pm
” all your money in enbridge sun or or crescent point stock”

Certainly not a good idea to have all your money in anything
————-
Except YYZ and YVR real estate :)

All this turmoil is only going to make spring that much better. And the Canadian 5 year is cratering again, despite everyone knowing the fed is about to raise. It may finally be time to cash out.

#115 Life of Brain on 12.07.15 at 10:02 pm

#108 Darryl on 12.07.15 at 9:54 pm
Scotch is too expensive now with the CAD sinking . Finding out that there are some decent Canadian whiskeys out there .
And ginger ale …”

Hate to put a downer on it, but maybe cash strapped canucks will have to turn to moonshine and homebrew in the future….keep on swishing!

there’s even a wiki entry for it,

https://en.wikipedia.org/wiki/Moonshine_by_country
“Canada[edit]

The common names in Canada for home-made alcohol are shine (bagosse[2] in French) or screech (which usually refers to a rum rather than a whiskey) in Eastern Canada; in Manitoba, the term home-brew is also common. Eastern Canadians also refer to moonshine as “swish”, possibly made popular by the television show Trailer Park Boys. Two legal products that are marketed as shine or screech are Myriad View Artisan Distillery Strait Shine[3] and Newfoundland Screech.”

#116 Patrick on 12.07.15 at 10:03 pm

#109 Entrepreneur on 12.07.15 at 9:54 pm
Did anyone watch Tom Mulcair of the NDP speak at Parliament today?
____________________________

I watched it. Personally I thought he was rambling about the same bs I had to listen to all the leaders talk about for 3 long months. How could they have anything else to say at this point?

#117 Smoking Man on 12.07.15 at 10:04 pm

#106 MF on 12.07.15 at 9:52 pm
# 97 Smoking Man

Might require double that and microphones and loud speakers. Got room for my entire generation in there?

MF

That would be dumb young grasshopper, better to open a hot dog stand, with a sign that reads.

Organic swine dogs, 100% organic, raised on a GMO free diet. All hogs given anti fart pills, thus helping to keep carbon down.

You charge 5 times the going rate..

#118 Freedom First on 12.07.15 at 10:06 pm

Cash, cash flow, liquidity, and income streams are King right now. The rich always have the money to scoop up the bargains. They never stand in line to buy anything or ever have trouble selling anything. They choose with wisdom and knowledge. Over and over and over.

#119 SWL on 12.07.15 at 10:08 pm

Garth,

You are a writing and reading machine. I understand that there is no shortage of topics to discuss these days, but cranking out 6 articles a week and reading through hundreds of comments a day is a remarkable task. You obviously enjoy it, or you’re a strange sucker for punishment.

Either way, keep on keeping on. Always entertaining.

Not sure if you intended for the following statement to mean my neighbour down the street, or our neighbour’s south of the border. Either way I think it fits

For the rest, be careful as you thread your way through dangerous times with untested leaders and unrealistic neighbours.

#73 Linda

I think we need some kind of inernational ID card, just so we’ll all be safe.

I’m sure this has already all been thought out… Some sort of conspiracy perhaps?

Either way if and when it does happen… Keep telling yourself you’re free and you’ll start to believe it

#85 MF

We are supposed to be the most educated generation ever.

Modern education is nothing more than finely tuned and a very precise form of indoctrination to serve the state and its mandate.

Is all education bad?

Of course not, but understanding the underlying objective is of the utmost importance.

MF – I think you are coming around and beginning to really see what goes on and how the world really works, for they don’t include that in your formal education.

#120 Patrick on 12.07.15 at 10:08 pm

#105 BC BO on 12.07.15 at 9:50 pm
In response to ‘Mark’
“There is no inflation either now, or on the horizon.”
______________________________________

I noticed Coke brought out a cool, new, sleek-looking can. 310ml instead of 355ml for the same price. Not sure if thats inflation or a new calorie conscious option.

#121 Life of Brain on 12.07.15 at 10:09 pm

#12 BC Guy on 12.07.15 at 6:15 pm
Here’s my solution to the economic mess and wealth disparity in this country. Impose a federal surtax on the assessed value of land. This is over above property tax that people already pay. For example:

1 – 10 acres -> no surtax
10 – 50 acres -> 1% of assessed value
50 -100 acres -> 2% of assessed value
100 – 1000 acres -> 10% of assessed value
1000+ acres -> 50% of assessed value

Your mom called. You left your meds in the smokehouse. — Garth”

Much easier solution would be to free of 50% of land in provincial parks, and indigenous zones and make it available for private development. ”

It would take a politician of Trumpian stature to have the gonads to do this, but who knows, maybe the yanks will take over cancukistan after it collapses and do this anyway!

#122 Freedom First on 12.07.15 at 10:11 pm

#92 Daisy Mae

Always the cowards way out…

……………………………………………………

Men, this is the compassion that women have for you.

#123 Yeah baby who luvs ya on 12.07.15 at 10:12 pm

#113 Life of Brain on 12.07.15 at 9:58 pm
#230 Yeah baby who luvs ya on 12.07.15 at 2:45 pm
That’s it, I’ve had it with canuckistan….

Finland, Finland, Finland
The country where I want to be
Pony trekking or camping
Or just watching TV
Finland, Finland, Finland
It’s the country for me

http://news.nationalpost.com/news/finland-to-pay-every-citizen-1100-per-month-and-scrap-all-other-benefits-in-effort-to-reduce-unemployment-rate”

Yeah Finland…wasn’t that the place that was so bad, that even the middle east refugees, did a U-turn and demanded being sent to a better place!

http://www.germanjoys.eu/2015/09/migrants-reject-finland-as-too-cold-and-boring.html

Reminds me of a Monty Python sketch…crucifixions to the right, Finland to the left….move along please…
—-
hehe. Seems they are rejecting Canada too!

#124 Freedom First on 12.07.15 at 10:12 pm

#93 LP

You first.

#125 Tiger1960 on 12.07.15 at 10:16 pm

73 bimbo
Your brilliant!
Are you a nuffie!

#126 Nagraj on 12.07.15 at 10:16 pm

So this Mr. Morneau showed up at five past four in his pyjamas (it was a HASTY appearance) clutching a cold compress to his forehead (IT WAS ALL TOO MUCH FOR HIM) and sobbed (POOR GUY) that things is worse than he thought.
[What a comedown after that bucolic Alpine lunch with the Lone Ranger at Heidi’s Hideaway on the Matterhorn.]

But perhaps not.
Perhaps Mr. Morneau was perfectly aware of the situation even before he was sworn in, perhaps the five after four appearance had been contemplated ahead of today, perhaps party messaging is perfectly on course.

Who knows?
The reason I bring this up is that watching Mr. Morneau on tv, he strikes me as highly intelligent, tough, and wise.
I do concede that I might be mistaken.

#127 Freedom First on 12.07.15 at 10:16 pm

#100 The other woman

Don’t beg.

#128 kommykim on 12.07.15 at 10:16 pm

RE:

Your mom called. You left your meds in the smokehouse. — Garth
Thou shalt not worship any personal finance blogs before this one. — Garth
The gallon size. — Garth
Oh, look. A chemtrail. — Garth

Love these quips! You are rockin’ it tonight Garth!

#129 pwn3d on 12.07.15 at 10:17 pm

#95 Bottoms_Up on 12.07.15 at 9:29 pm
I don’t buy this tax avoidance schtick. You talk like the rich are so hard done by, and now, because of a chincy 4% increase in marginal rate over $200,000 dollars earned per year, they are going to rush toward tax avoidance schemes that for some reason they haven’t been using until now? BS
——————–
You don’t buy it because you don’t get it because you’re not one of them. If you were asked to give the government more than you received yourself for your valuable time, then you would understand. Btw, 29 to 33 is an almost 14% increase in tax for income over 200k. That is pretty significant for a dr or professional making 300k. They will do what is necessary to pay less. And yes, there are lots of doctors who did not incorporate previously who will now. I know one of them, and they know some more.

#130 For those about to flop... on 12.07.15 at 10:17 pm

#112 Roasted wild gonads on 12.07.15 at 9:58 pm
#102 chapter 9 on 12.07.15 at 9:45 pm
DELETED (anti-Muslim)
——
Hey wow, the Donald reads this RE blog!!

//////////////////////////////////
Yeah, Donny Rump gives his critics plenty to chew on…

#131 Smoking Man on 12.07.15 at 10:18 pm

#117 SWL on 12.07.15 at 10:08 pm
Garth,

You are a writing and reading machine. I understand that there is no shortage of topics to discuss these days, but cranking out 6 articles a week and reading through hundreds of comments a day is a remarkable task. You obviously enjoy it, or you’re a strange sucker for punishment.

Either way, keep on keeping on. Always entertaining.
….

He’s truly a demented beast, OK he’s got the financial planning gig on the side, he’s got to eat..I get it. I got one too.

Lets face it, this is what this mad man loves the most.

He’s the king of dog land.

Not many like him around, order of Canada I’m thinking, but let’s face it, loud mouth’s like his and grappes, well you know it’s not going to happen..

Woof woof.

#132 Freedom First on 12.07.15 at 10:19 pm

#103 Conspiritard

Man. You’re really out there. But I like it.

#133 Nemesis on 12.07.15 at 10:23 pm

“They never stand in line to buy anything or ever have trouble selling anything. They choose with wisdom and knowledge.” – FF

#ExceptWhenTheyDon’t…

[SUN] – How Nic Cage blew £96m and can’t pay his tax bill

http://www.thesun.co.uk/sol/homepage/showbiz/6544474/Nicolas-Cage-blew-96m-and-cant-pay-his-tax-bill.html

#BonusNick… #AKA:OneManBubble…

http://www.nbcconnecticut.com/the-scene/real-estate/Nicolas-Cage-Realestate-Bubble-79058197.html

#134 MF on 12.07.15 at 10:25 pm

#73 Linda on 12.07.15 at 8:31 pm

We don’t know who they are…except that they are “economic migrants” slipping in from all over the Mid East, and that this is some weak attempt to save face for our new government -courtesy of your (increasing) tax dollars and regardless of security concerns.

MF

#135 Help! on 12.07.15 at 10:27 pm

I have two family members talking about buying income properties right now. Neither has much money. Both around 30 +/- 5.

One just went to a seminar on how to use other people’s money to buy income properties. It sounds like a scam.

Tried to explain that there may be a severe price correction coming. Did nothing to change his mind. “As long as rent covers your carrying cost and then some, it doesn’t matter what happens to the house value”. If interest rates go up they’ll just raise the rent.

I’m not competent to explain why this is a bad idea. Does anybody have a link to an article that explains why this is stupid. Because it sure sounds stupid. A big aspect is using other people’s money too.

#136 lurker on 12.07.15 at 10:29 pm

Those touting Enbridge’s dividend history as reason that it’s safe have forgotten the cardinal rules of dividend investing:

Manageable Payout Ratio & Growing Earnings.

Enbridge has a negative p/e.

#137 pwn3d on 12.07.15 at 10:29 pm

btw I agree with others, HST going to 15% in a year. You can see them setting us up for that already, and it’s been like a week. That and the dollar dropping more. So basically if you have any major consumer goods to buy I’d do so in the next year, things are going to get hella expensive.

#138 the troubled future of... on 12.07.15 at 10:32 pm

At the bottom of this blog: “greater fool – the troubled future of real estate”

Canda clearly has much bigger trouble than just the real estate and the real estate alone doesn’t explain it.

The commenting crowd here also suffers from the same horde mentality disease what Smoking Man often brings up about the climate scam and other machine sicknesses.

It feels like a visit in a building for retirement living, a weird sadomasochistic “I told you so…” chorus that sounds happier when things turn shittier. A weird joy of bitterness, wrapped in shiny wisdom-sounding bullshits…

The more joyful the bitterness gets, the less I can imagine that Elon Musk, Larry Ellison, Larry Page could spend in this atmosphere more than ten minutes before suffocating.

Why not throwing around positive ideas for a change?
It cost the same as self-fulfilling prophesies of gloom and doom.

#139 Millmech on 12.07.15 at 10:33 pm

#75 Linda
Living on $2000/mth,rent is $800/mth 2bdrm,not that difficult to get by on that at all.All about priorities.
Awesome display of compassion for the suicide victims Daisy May.

#140 Smoking Man on 12.07.15 at 10:37 pm

#129 pwn3d on 12.07.15 at 10:17 pm
#95 Bottoms_Up on 12.07.15 at 9:29 pm
I don’t buy this tax avoidance schtick. You talk like the rich are so hard done by, and now, because of a chincy 4% increase in marginal rate over $200,000 dollars earned per year, they are going to rush toward tax avoidance schemes that for some reason they haven’t been using until now? BS
——————–
You don’t buy it because you don’t get it because you’re not one of them. If you were asked to give the government more than you received yourself for your valuable time, then you would understand. Btw, 29 to 33 is an almost 14% increase in tax for income over 200k. That is pretty significant for a dr or professional making 300k. They will do what is necessary to pay less. And yes, there are lots of doctors who did not incorporate previously who will now. I know one of them, and they know some more.

Doc, I think a new designation in the DSM is warranted for the likes of Bottoms_Up

First he points it up at the sky and says take me babe …(Buttoms_Up)

Lucky for him the whole regulation machine will be bi passed. Big Pharma misses this one.

Weed for everyone..

At leased Justin knows what medicine to use to avoid the pitch fork side effect.

But something tells me it was Butts who came up with that one….

Very smart idiot..

#141 kommykim on 12.07.15 at 10:38 pm

RE:

#73 Linda on 12.07.15 at 8:31 pm
But how will we know that our new Syrian refugees aren’t incognito ISIS members?

How do you know that your local gun enthusiast isn’t a domestic terrorist?

#142 BS on 12.07.15 at 10:38 pm

Bottoms_Up on 12.07.15 at 9:29 pm

I don’t buy this tax avoidance schtick. You talk like the rich are so hard done by, and now, because of a chincy 4% increase in marginal rate over $200,000 dollars earned per year, they are going to rush toward tax avoidance schemes that for some reason they haven’t been using until now? BS

It doesn’t matter what the 99% think. It is happening. Just called my accountant last week on this. Shifted some company shares and planned dividend payouts for 2016 and with $400K income between my wife and I we will save an estimated $1200 per year in income tax under T2s new scheme. My accountant mentioned everyone is doing it. It took me about 10 minutes to save $1200 per year. No tax increase for the 1%. Just a tax cut. I can’t imagine many will pay more. Most will actually pay less tax just like me. Thanks T2!

#143 Randy Randerson on 12.07.15 at 10:38 pm

Thou shalt not worship any personal finance blogs before this one. — Garth

The GF deity has spoketh.

#144 SWL on 12.07.15 at 10:40 pm

#131 Smoking Man

Not many like him around, order of Canada I’m thinking, but let’s face it, loud mouth’s like his and grappes, well you know it’s not going to happen..

I think being shunned by a corrupt system is more respect than being honoured by the same corrupt system.

I do think he is deserving of it, but I don’t think he’s getting it either

#145 Leo Trollstoy on 12.07.15 at 10:41 pm

#129 pwn3d on 12.07.15 at 10:17 pm

This is true.

The next time you’re at your doctor or a specialist appointment ask them what they think of the tax changes. You’ll get an earful.

I did.

#146 Mark on 12.07.15 at 10:43 pm

“Have you been to a store lately?
There has been a lag since the fall of our dollar but retailers are catching up. So many of the goods in our stores are bought in USD either from importing from the US or importing from offshore paid with USD.”

Classic rookie mistake. Thinking that USD$ prices are static. They’re not. With the global economy slowing down, export prices around the world, particularly from the US, have been dropping. Transportation costs have been dropping as well on account of rapidly decreasing energy costs. Inventories are bloated. The market can only demand prices that people are able to pay, and the ability of most people around the world, on account of collapsing activity is in the process of decreasing.

What I did notice, when the CAD$/USD$ started going down, is that for a few weeks, there was quite an upwards movement on the imported stuff at the grocery store. But then prices started to fall and stabilize. Why? Because contracts with existing suppliers were renegotiated, and lower cost sources for the same items were found. The result today is a grocery bill that is only slightly more expensive than it was a year prior. On many discretionary goods, particularly air travel, the deflation has been even more significant with prices dropping far more than even implied by fuel cost reductions (fuel ~= 35% of the cost of a ticket, so fuel dropping by 1/2 in CAD$ terms YoY only implies a 17% loss in ticket prices. 30-40% seems more typical, the balance on account of loss of pricing power due to weakening demand!).

Electronics, well, computer parts, TV’s, you name it, have all been stable to declining despite it all being imported. And of course, there’s been no pricing pressure on the domestic produced stuff. Car prices aren’t rising. There’s simply very little demand relative to supply. Classic deflationary behaviour. Rents have gone nowhere (slightly down perhaps), house prices down slightly over the past 2-3 years. Capital goods prices seem to be collapsing on account of very weak capex demand particularly in the construction and mining sectors.

I know, all anecdotal, but the published CPI figures, still less than 2%. Once the short-term capital outflows subside, there’s obviously huge upwards pressure on the CAD$. Chronic net exporters, over the long term, always have rising currencies and a tendency towards minimal inflation, if not minor outright deflation. Don’t confuse short-term USD$ strength with long-term CAD$ weakness.

#147 Leo Trollstoy on 12.07.15 at 10:44 pm

#12 BC Guy on 12.07.15 at 6:15 pm

What a terrible idea.

Anybody with half a brain can avoid paying taxes in this environment.

#148 Bill on 12.07.15 at 10:46 pm

PS. CPD with its DIV cuts is not much of a bargain even though its been thrashed. The yeild is about the same as the highs.. Why bother buying anything in a bear market??!

#149 Mark on 12.07.15 at 10:48 pm

“I noticed Coke brought out a cool, new, sleek-looking can. 310ml instead of 355ml for the same price. Not sure if thats inflation or a new calorie conscious option.”

Calorie conscious option I would say. 2L bottles of Coca Cola are still available for $0.99 on the sales, or a little over a buck and a half to a buck and three quarters as the ‘normal’ price at the grocery store I shop at.

Having said that, I mostly gave up on that poison a year ago (used to go through a 2L every 2 days), have lost 30 pounds, and feel much healthier! So have a lot of people which is why they’re trying all sorts of innovations such as tinkering with package sizes.

#150 diharv on 12.07.15 at 11:00 pm

Anyone catch the Global BC News tonight about how the BC economy will outpace all the other provinces in growth to the tune of 3 % per year ? And basically fueled by real estate and it’s spinoffs ! The guy interviewed actually said that real estate is a sure thing versus the Petronas LNG deal which is not . Sheeesh .

#151 Irwin on 12.07.15 at 11:03 pm

Brand new – published today
“Unstoppable contamination of Pacific Ocean… is seriously menacing US West Coast” – and it won’t stop there.
8 minutes:
https://www.youtube.com/watch?v=fW8jxD0YMxk

#152 Smoking Man's trading mentor on 12.07.15 at 11:05 pm

Garth,
I’m surprised many of your readers don’t understand why the prefers are down so much….. most are paid in Canadian dollars and being discounted because of that. I’m changing my forecast for USDCAD in the .30s.
Canada is so highly leverage with such a poor future together with poor leadership, we’re be going the same way as Ecuador, adopting the US dollar has the “real currency” and relegating the can dollar to a secondary role. That essentially means there’s no bottom to the North American peso. After all, how many of these TO or Van home owners believe the can dollar has any value in the future, all their really doing is shorting the can. Easiest way to double, triple your money, move it out of Canada.

#153 Sean on 12.07.15 at 11:06 pm

” Btw, 29 to 33 is an almost 14% increase in tax for income over 200k. That is pretty significant for a dr or professional making 300k.”

Less hysterically, it’s a $4000 difference for someone making 300K, which is partially offset by the $670 you save on the middle bracket cut. So maybe all your hypothetical doctor friends are going to incorporate to save $3330 a year, but I doubt it.

You neglect that provincial tax is piled on top and adjusted upward. Taxing $2.6 billion more from 264,000 people is substantial and politically (not economically) motivated. — Garth

#154 ivec on 12.07.15 at 11:08 pm

Hey Garth,

Why are preferred stocks down so much in the past 1 month. From your teachings i concluded that they should be going up now that US is about to raise the interest rates. What am I missing? Also today the 10y CAD bond yield went down almost 5%, why is this happening if the Feds are about to raise the rates????

The prefs followed the bonds, not the other way round. Patience will be rewarded. It’s just a shame so many people buy preferreds for the wrong reason. — Garth

#155 Smoking Man on 12.07.15 at 11:08 pm

#137 SWL on 12.07.15 at 10:40 pm
#131 Smoking Man

Not many like him around, order of Canada I’m thinking, but let’s face it, loud mouth’s like his and grappes, well you know it’s not going to happen..

I think being shunned by a corrupt system is more respect than being honoured by the same corrupt system.

I do think he is deserving of it, but I don’t think he’s getting it either
….

Fk the order of Canada. who wants on those ass kissing conformity designations.

When I’m really hammerd, I can speak dog..

He’s won the loyal order of dogs. Much bigger achivment..

#156 old gringo on 12.07.15 at 11:08 pm

Mark……get a job and please QUIT posting!
Enough already.

#157 SWL on 12.07.15 at 11:10 pm

#132 Freedom First

#103 Conspiritard

Man. You’re really out there. But I like it.

Same here. Big thumbs up

#158 Riddick on 12.07.15 at 11:10 pm

Wow. Take a smart individual man who openly does not follow the officially scripted feminine imperative of our society and watch the insults and ad hominem attacks fly. What’s next? Pinning a white feather on him?

Gentlemen, Freedom First is EXACTLY correct in everything he says. We are not your enemies, we are here to help. Please, open your eyes and educate yourselves. “therationalmale” website is a very good place to start.

#159 Wild roasted gonads on 12.07.15 at 11:13 pm

149 Mark on 12.07.15 at 10:48 pm

“I noticed Coke brought out a cool, new, sleek-looking can. 310ml instead of 355ml for the same price. Not sure if thats inflation or a new calorie conscious option.”

Calorie conscious option I would say. 2L bottles of Coca Cola are still available for $0.99 on the sales, or a little over a buck and a half to a buck and three quarters as the ‘normal’ price at the grocery store I shop at.

Having said that, I mostly gave up on that poison a year ago (used to go through a 2L every 2 days), have lost 30 pounds, and feel much healthier! So have a lot of people which is why they’re trying all sorts of innovations such as tinkering with package sizes.
—————-

The truth finally revealed. Sugar rotted your brain!

#160 Observer on 12.07.15 at 11:15 pm

T2: Judgement Day

#161 MF on 12.07.15 at 11:16 pm

#119 SWL on 12.07.15 at 10:08 pm

You are correct. Not all education is bad. I think there are nuggets of value in any educational program and it’s up to the individual to be able to identify them, and apply them. Looking for proof of a theory/idea and not just believing it at face value is one such nugget I learned and apply to everyday life.

But life experience and wisdom gained is hugely important.

I agree people are manipulated by the educational system. This is especially true for younger people. I don’t think this necessarily a bad thing though. Here in Canada most of us lead pretty sheltered lives that are relatively free of real hunger, war, violence, racism etc. The world looks optimistic up until you start learning otherwise and experiencing otherwise. I think as a society, we want people to be optimistic (whether it’s a realistic view or not) and retain this view. Optimistic people come up with cures for diseases, help out others, raise families etc.

In short, education is useful but it’s really up to the individual to choose to utilize it. That is why I am careful to say education is nothing but an indoctrination tool. It’s too black and white.

MF

#162 Wild roasted gonads on 12.07.15 at 11:17 pm

#146 Mark on 12.07.15 at 10:43 pm

“Have you been to a store lately?
There has been a lag since the fall of our dollar but retailers are catching up. So many of the goods in our stores are bought in USD either from importing from the US or importing from offshore paid with USD.”

Classic rookie mistake. Thinking that USD$ prices are static. They’re not. With the global economy slowing down, export prices around the world, particularly from the US, have been dropping. Transportation costs have been dropping as well on account of rapidly decreasing energy costs. Inventories are bloated. The market can only demand prices that people are able to pay, and the ability of most people around the world, on account of collapsing activity is in the process of decreasing.

What I did notice, when the CAD$/USD$ started going down, is that for a few weeks, there was quite an upwards movement on the imported stuff at the grocery store. But then prices started to fall and stabilize. Why? Because contracts with existing suppliers were renegotiated, and lower cost sources for the same items were found. The result today is a grocery bill that is only slightly more expensive than it was a year prior. On many discretionary goods, particularly air travel, the deflation has been even more significant with prices dropping far more than even implied by fuel cost reductions (fuel ~= 35% of the cost of a ticket, so fuel dropping by 1/2 in CAD$ terms YoY only implies a 17% loss in ticket prices. 30-40% seems more typical, the balance on account of loss of pricing power due to weakening demand!).

Electronics, well, computer parts, TV’s, you name it, have all been stable to declining despite it all being imported. And of course, there’s been no pricing pressure on the domestic produced stuff. Car prices aren’t rising. There’s simply very little demand relative to supply. Classic deflationary behaviour. Rents have gone nowhere (slightly down perhaps), house prices down slightly over the past 2-3 years. Capital goods prices seem to be collapsing on account of very weak capex demand particularly in the construction and mining sectors.

I know, all anecdotal, but the published CPI figures, still less than 2%. Once the short-term capital outflows subside, there’s obviously huge upwards pressure on the CAD$. Chronic net exporters, over the long term, always have rising currencies and a tendency towards minimal inflation, if not minor outright deflation. Don’t confuse short-term USD$ strength with long-term CAD$ weakness.
—————————
Host Garth,
could you please for the luv of dogs from all over the planet spare us from the crazy nut his daily financial idiocy. He clearly hasn’t bought anything in his whole life.. except coke.

#163 Rexx Rock on 12.07.15 at 11:18 pm

Tradesmen in Alberta need to go to B.C. and Ontario.The boom still continues in these parts and everybody is happy.The media needs to let Canadians know there is still strong economic growth in Toronto and Vancouver.

#164 T5_INCOME on 12.07.15 at 11:21 pm

A negative PE for Enbridge ? This dude smokes the good stuff alright.

Mathematically, there are only two ways for a ratio of this form to have a negative value:

The numerator falls below zero
The denominator falls below zero

Next time you basically do anything in your life, get in your car, ride a bus, or buy meat, remember, Enbridge will have a slice of the action, however minuscule, due to the fossil fuels used in the process.

See you all in 2020.

#165 Randy Randerson on 12.07.15 at 11:21 pm

#122 Freedom First on 12.07.15 at 10:11 pm

Yup, once you swallowed the red pill (TRP), you will see how a woman’s mind works. No anger, just an understanding. Sort of like seeing a hyena hunts and kills a baby deer; you can’t hate or blame the hyena, because that’s just what she is, a carnivore.

#166 Wild roasted gonads on 12.07.15 at 11:25 pm

#103 Conspiratard on 12.07.15 at 9:46 pm

So here we are on the anniversary of Pearl Harbor, that great concoction of the illuminati to drag the US middle class into war and a long spiral towards total control.

And it appears they are at it again, trying to undermine Canada’s economy through an incompetent commie government as part of a new global revolution. And the libtard dummies and feminazis are all distracted about climate change and Paris commies meeting up, looking at smog in Beijing like it’s some huge threat (it’s chemtrails you idiots!), another perfect operation by the illuminati as part of their global endgame. Perfect setup for what is coming.

Thank god for this blog and the superbly presented and referenced sources provided here by Smoking Man, SWL1976 and Freedom First. They know what real education is all about. You guys are like beacons in the night.

To the libtards and feminazis here who want to complain, all I have to say to you is…

Tora, Tora, Tora!!

The illuminati-controlled powers-that-be pretended not to see your squadrons approaching Pearl in ’41 you commies, but we see you now, 74 years to the day!

Coincidence? I think not.

I think not.
——————–
Coincidence I think…

Clearly squadrons of planes have been blanketing the earth for decades with chemtrails to modify the weather all just in time for the paris talks…

The chinese have obviousily decided to join in and cranked up the coal plants at the right time to seal the deal.

All courtesy of the bilderberg boys.

#167 MF on 12.07.15 at 11:25 pm

#138 the troubled future of… on 12.07.15 at 10:32 pm

You forgot about the great financial advice given away for free.

Have you ever seen the comments section of “other” sites? This is high society. Our comments are like smooth poetry compared to the mud on those other sites. Yours included.

Why do you think we refer to ourselves as moldy basement dwellers?

MF

#168 Smoking Man on 12.07.15 at 11:32 pm

DELETED

#169 learningfromyou on 12.07.15 at 11:35 pm

#9Mark
>After all, one of the most prolific means that the upper >class has available to avoid tax is simply borrowing to >invest

I’d like to know how the Mark’s statement currently work, I did my personal calculations using money from a secured credit line to invest and the result I obtained did not justify the risk.

Mark, please, could you explain me where is my error, maybe I’m looking at the wrong place.

#170 Wild roasted gonads on 12.07.15 at 11:36 pm

#161 Smoking Man on 12.07.15 at 11:32 pm

DELETED
——
It’s Monday Night dude!

#171 For those about to flop... on 12.07.15 at 11:37 pm

Classic rookie mistake. Thinking that USD$ prices are static. They’re not. With the global economy slowing down, export prices around the world, particularly from the US, have been dropping. Transportation costs have been dropping as well on account of rapidly decreasing energy costs. Inventories are bloated. The market can only demand prices that people are able to pay, and the ability of most people around the world, on account of collapsing activity is in the process of decreasing.- Mark.

//////////////////////////////////////////////

Classic rookie mistake…you should never argue with a fool in public as people might not be able to tell the difference…you know everything about nothing.

#172 Wild roasted gonads on 12.07.15 at 11:38 pm

#162 Randy Randerson on 12.07.15 at 11:21 pm

#122 Freedom First on 12.07.15 at 10:11 pm

Yup, once you swallowed the red pill (TRP), you will see how a woman’s mind works. No anger, just an understanding. Sort of like seeing a hyena hunts and kills a baby deer; you can’t hate or blame the hyena, because that’s just what she is, a carnivore.
————
OMG, not the red pill shtick again.

#173 Mukadi on 12.07.15 at 11:39 pm

DELETED

#174 Freedom First on 12.07.15 at 11:40 pm

#133 Nemesis

Nic Cage is not rich. Because of himself. Lacks the knowledge and wisdom. Sorry I had to point that out to you.

#175 Washed Up Lawyer on 12.07.15 at 11:47 pm

The ultimate failure in civic land use planning. Fort McMurray. In the new neighbourhoods, you cannot do anything without hitting the remote starter, letting the Duramax Diesel warm up for twenty minutes, then leap into the cab of the F350 to drive for ten minutes to pick up the Doritos, a TV Guide and some cheap swill. We will learn about walkable ‘hoods when we are all walking. I see some opportunity here. Opportunity knocks, and if it doesn’t, build a door.

#176 squidly77 on 12.08.15 at 12:02 am

This poem came from the edmontonrealestateblog.com
don’t know who wrote it.

TWAS THE NIGHT BEFORE XMAS WHEN ALL THROUGH THE LAND
NOT A JOB TO BE FOUND AND I’VE JUST BEEN CANNED.
THE UNEMPLOYMENT LINE IS LONGER THAN EVER BEFORE
SOON I’LL BE KNOCKING ON THE FOOD BANKS DOOR.
THE GOVERNMENT IS OFF ON THEIR HOLIDAY BREAK,
DREAMING OF PENSIONS THEY WILL SOON MAKE
EVERYONE’S ANGRY WITH THE DAMN NDP
THE FARMERS LOOKING FORWARD TO OHS & WCB
CLIMATE CHANGE IS NOW THE WORD OF THE DAY
TWAS GLOBAL WARMING UNTIL FACTS GOT IN THE WAY.
NOW TRUDEAU, NOW NOTLEY, NOW WYNN AND THE REST
ARE BURYING US DEEP, WHO WOULD HAVE GUESSED?
UP TAXES, UP FEES, UP LEVIES YOU SAY?
THE BUDGET WILL BALANCE ITSELF ANYWAY.
PIPELINES ARE CANCELLED, THE EARTH THEY MAY RUIN
UNLESS THEY’RE OBAMAS IT’S A WHOLE DIFFERENT TUNE.
MILES UPON MILES OF IT APPROVED EVERY DAY
BUT KEYSTONE IS BAD FOR THE OLD USA.
OILSANDS OIL TOO DIRTY THEY CRY
BUT GIVE US A DEAL AND MAYBE WE’LL BUY.
THE WINDMILLS AND SUN WILL KEEP US ALL WARM
WE CAN PUT THEM ON LAND THAT FOLKS USED TO FARM.
HAPPY CHRISTMAS TO ALL AND ALL A GOOD NIGHT.
WHEN LEAVING ALBERTA PLEASE TURN OUT THE LIGHT

http://albertabubbleblog.blogspot.ca/2015/12/bust.html

#177 BG on 12.08.15 at 12:11 am

It’s funny how the self made geopolitical experts commenting on this blog are fast to dismiss and blame a one month old government for all evil on earth.

Any government elected would have been in the same bad situation today, and none would have had the time to do anything about it yet.

That so many commenters go great lengths about blaming the Libs already tells a lot about their objectivity.

I was personally hoping for the Cons to win but let’s calm down and see how the Libs use their time before we judge them.

#178 Smoking Man on 12.08.15 at 12:13 am

https://youtu.be/BP0IXOr9O8U

Listen to the words

#179 Chris on 12.08.15 at 12:17 am

#91 Freedom First on 12.07.15 at 9:15 pm

#86 Chris

Not lonely and women love me. I am an honest man and I treat everyone with respect. Even lying dickheads like you, Chris.

———————————————————-
You mean treating others with respect includes calling them a dickhead because they tire of listening to you blame women for your relationship woes? Congruent!

#180 Keith on 12.08.15 at 12:27 am

Saudi announces they will not play swing producer and cut their oil production to prop up the price. I wonder if their sovereign wealth fund shorts the TSX and the Canadian dollar when they have this knowledge.

#181 Steerage bilge on 12.08.15 at 12:40 am

That guard dog is clearly in the doghouse for sleeping on the job.

#182 David on 12.08.15 at 12:42 am

Thanks to the dividend gross-up I’m officially over $200,000 though I actually earn much less. Time to sell and spend. Silversea Cruises calls.

#183 Ontheledge on 12.08.15 at 12:44 am

Agree with Garth, home country bias is a real problem…working in the retail brokerage industry for the past couple of decades I’ve seen the vast majority of Canadians pile into Canadian stocks on the advice of their ‘wealth managers’. It’s truly mind boggling.

But I must say the shellacking that Enbridge took today was equally mind boggling. Closing today it carried a 5.1%, the highest yield it’s ever had. Well… In the past 20 years…It also completed a perfect 50% retracement of its 2009 low to its 2016 high while hitting significant technical support levels. This thing isn’t going lower. Never thought I’d be trading ENB, but this thing is going to provide some lovely range bound trading opportunities over the coming months.

Full circle.

#184 Michael H on 12.08.15 at 12:48 am

As the late and great Sir John Templeton said, “Invest at the point of maximum pessimism.”

We are getting close…

#185 Ronaldo on 12.08.15 at 12:52 am

#164 T5_INCOME on 12.07.15 at 11:21 pm

JSS in disguise????

#186 justMe on 12.08.15 at 12:53 am

Young T never thought he could win that election. The goal was for the Liberals to claw their way to the official opposition status. No one there thought they might actually have to keep those catastrophic promises. As election results became clear the Libs probably had a biggest “oh, shit” moment in history of Canadian politics.

#187 Unhinged Loon on 12.08.15 at 12:56 am

Garth knows about the chemtrails scheme?

He seems quite well versed in the conspiracy literature, more than he is willing to let on…

What about the star children?

#188 Darren on 12.08.15 at 1:01 am

Why are the other 2/3’ds of the doctors not smart enough to be operating as professional corporations?
Can these doctors really be trusted with your health?

#189 Ronaldo on 12.08.15 at 1:12 am

#14 JSS on 12.07.15 at 6:17 pm

Enbridge is dead.

Look at the carnage today.
———————————————
LOL….that’s very humourous indeed. A few days ago you were drooling over their 14% dividend increase. It will be a buy at $18.00.

#190 264,000 Question. on 12.08.15 at 1:33 am

264,000 x $10,000 = $2.6 Billion

There’s your answer. Cut Doctors pay by $10,000 (nothing for them…Oncologists earning $500,000) and save the $2.6 Billion.

#191 Kenchie on 12.08.15 at 1:39 am

So many Chicken Littles calling themselves blog dogs.

Relax people, the world is not ending. Your biases are pathetic. I suggest you learn about Behavioural Economics/Finance so you learn about how you make so many mistakes in your thought process.

Take your pick from the sources below:

http://www.investopedia.com/university/behavioral_finance/
https://en.wikipedia.org/wiki/Behavioral_economics
http://www.behaviouralfinance.net/behavioural-finance.pdf
http://www.investopedia.com/terms/b/behavioralfinance.asp
http://www.behavioraleconomics.com/BEGuide2014.pdf
http://www.behavioraleconomics.com/introduction-to-be/

#192 Leo Trollstoy on 12.08.15 at 1:49 am

#162 Wild roasted gonads on 12.07.15 at 11:17 pm

Don’t stress about Mark. He’s his own worst enemy. Why do you think he couldn’t find a job for almost 10 years after suffering through 2 post-secondary degrees, posted over 26000 posts on RFD and then got banned?

Gold and oil have been terrible for years, the USD and U.S. economy are booming, Vancouver and Toronto real estate prices are still going up despite the sales mix, and deflation is nowhere. Meanwhile Mark is wrong everywhere.

I think all is right in the world.

#193 Great Canadian Bubble Co. on 12.08.15 at 1:51 am

How low do you think the current government will allow the dollar to drop in order to avoid raising rates? Obviously they are willing to take the gamble since even a modest rate increase would sink a large number of indebted Canadians.

I can definitely see a 64 cent Loonie again.

#194 experienced.optimist on 12.08.15 at 2:00 am

There is no US deflation.

Others would beg to differ.

What Deflation Quacks Like

http://www.theautomaticearth.com/2015/12/what-deflation-quacks-like/

#195 Leo Trollstoy on 12.08.15 at 2:02 am

This is Mark (Mark77) on RFD talking about gold and deflation 2 years ago.

http://forums.redflagdeals.com/gold-bubble-bursts-1431262/

Same story.

Still wrong.

#196 Mark on 12.08.15 at 2:22 am

“I’d like to know how the Mark’s statement currently work, I did my personal calculations using money from a secured credit line to invest and the result I obtained did not justify the risk.”

I’m really not sure how to respond here as it wouldn’t exactly be appropriate on this blog for anyone to provide you with individualized financial advice. However, speaking in generalities, balanced portfolios of the sort advised by Garth have been returning, fairly consistently, on the order of 7%/annum as a mixture of capital gains, Canadian-source eligible dividends, and interest income.

The problem with leverage is that its a double-edged sword, and that “Joe Retail Investor” public tends to be most interested in it after the markets have gone straight up for a long time (and thus primed for a fall). Rather than when the markets are highly depressed and left for dead. That’s why you’re not typically going to see many investment advisors talking about it much.

To the point of my original post though, if you run through the math on leveraged investment in business equity (or even the investment process in a business w.r.t. depreciable plant and equipment), it is obvious that higher income tax rates actually encourage more investment by widening the spread between the cost of finance and the return on investment. Thus, higher income tax rates, while punishing fixed income investors and wage-earners, are great for ‘investors’ as they shift the incentives towards longer-term investment. Its a complicated argument, and I wish I could get into a lot more examples here, but I’m sure this blog, its owner, and the readers have their limitations as to how much of the math they want to see.

#197 DON on 12.08.15 at 2:31 am

#85 MF on 12.07.15 at 8:54 pm

#54 Smoking Man on 12.07.15 at 7:47 pm

Haha Thank you SM.

I knew we were dumb, but not this dumb. Seriously. I had higher hopes. How naive. How could someone fall for this warm fuzzy hope BS. Is our generation a majority lazy, jealous, pot smoking, commie’s with our heads in the collective sand? Guess so…
MF
*************************************

My grandparents thought the same of their children who are part of the boomer generation. Remember the hippies in the 70’s and 80’s remodeled into the new hipster crowd of today. Repeated to reflect the times.

I remember the 80’s well lots of divorce, lost jobs, lost houses but today out does the past.

Like minded people transcend all generations as can been seen on this blog for better or worse.

#198 kommykim on 12.08.15 at 2:32 am

RE:

#177 BG on 12.08.15 at 12:11 am
It’s funny how the self made geopolitical experts commenting on this blog are fast to dismiss and blame a one month old government for all evil on earth

I’m surprised that they are not questioning his citizenship, accusing him of being a secret Muslim, or worrying that he’ll take away their guns. Maybe they are saving that for next week?

#199 Leo Trollstoy on 12.08.15 at 2:35 am

Mark, posted that he has been unemployed for 13 years, couldn’t find a job in Canada so his solution was Australia. Unfortunately not one of Canada’s ‘best and brightest’.

http://forums.redflagdeals.com/engineering-grads-968161/

Talking about ‘shorting’ the USD back at the beginning of 2014 and how the CAD/USD will hit parity in the ‘not-so-distant-future’ back in the spring of 2014.

http://forums.redflagdeals.com/hot-deal-canadian-dollar-loonie-sale-1434335/

http://forums.redflagdeals.com/loonie-against-greenback-ever-going-par-again-1453861/2/

#200 DON on 12.08.15 at 2:39 am

#150 diharv on 12.07.15 at 11:00 pm

Anyone catch the Global BC News tonight about how the BC economy will outpace all the other provinces in growth to the tune of 3 % per year ? And basically fueled by real estate and it’s spinoffs ! The guy interviewed actually said that real estate is a sure thing versus the Petronas LNG deal which is not . Sheeesh .
**********************

A provincial election is a 17 months away…all the goodies from a conservative government with a liberal name…a banana republic?

#201 Jeffrey of Saskatoon on 12.08.15 at 2:47 am

Chemtrails act as shielding for EMPs. Edward Teller said it would work. We are that close.

#202 M on 12.08.15 at 2:56 am

And the odds of a Fed rate rise later this month are still running at 76%.

… i’m yawning….

PS Gartho baby after you’ll get fed up about being wrong about yanks raising rates, I’ll explain to you why is so obvious that Jenny moma is bluffing. (and wetting the depends in the process)

Canada rates will push through the roof once the loonie is considered as garbage (which it is)-> take a trip to Europe :) check it out.

I’m shorting the banking sector like is no tomorrow.
soon I’m moving against kanuck bonds

drooling baby….

#203 M on 12.08.15 at 2:58 am

..all I have to do is checkin’ the vodka prices in various currencies (the pieces of paper people call “money” )

#204 conan on 12.08.15 at 3:17 am

Re: #178 Smoking Man on 12.08.15 at 12:13 am
This is quite the coincidence as I found myself searching for this very same song today.

#205 #25 Willy H - Agree on 12.08.15 at 3:28 am

Agreed, the easiest solution is to increase the GST to cover the budget deficit left behind by the “Conservatives.”

This will obviate the tax dodging shenanigans by those in the highest tax bracket.

Also, those in lower tax brackets with a lot of money to spend will pay more (e.g., those with inheritances).

Not a lefty here, but the easiest tax revenue grab out there.

Looks like we will be paying back all the money Harper showered upon us over these years from the Paul Martin budget surplus.

Money is a finite resource after all.

#206 Freedom First on 12.08.15 at 4:13 am

#158 Riddick

Yes. Thanks. Many men who are reading this Blog know what I am saying is the truth, as you do. Unfortunately, for most of them, they did not learn in time. I am blessed.

And that goes for all of the financial topics I write about. I look after myself with near perfection. This enables me to help others in many ways. And I do. It gives me joy.

#207 TRT on 12.08.15 at 4:16 am

http://www.theglobeandmail.com/news/british-columbia/suspicious-transactions-reported-by-bc-banks-tied-mostly-to-china/article27640202/?service=mobile

Merry Christmas Garth!

#208 family beagle on 12.08.15 at 5:33 am

Conference Board says BC is economic go-to province. Behold as govt plans emerge to flood and strip province, feeding the urban beast of hypochristy.

#209 Herb on 12.08.15 at 7:23 am

#159 Wild roasted gonads,

calorie restriction or unrestricted greed?

Went to the kitchen after reading your comment and checked the stated weight of the coffee can I had used to brew my battery acid: Melitta, standard large can, 930 grams. That can was a standard 1 kg/1,000 grams for years, until it’s content started to shrink magically to 970 grams, then further.

A couple of decades ago I was posted to Germany. The shrinking-coffee-package disease broke out there but was eradicated quickly. Those revolting consumers revolted, and the consumer protection side of government got into the act and told the coffee companies to stop it. I know, that’s not a role for government in the corporate universe, but a standard European coffee package still contains 500 grams of coffee. Ours doesn’t, and its price has neither gone down proportionally nor stayed the same.

We are being fleeced, but being good sheep, got used to it.

#210 Ralph Cramdown on 12.08.15 at 7:45 am

#175 Washed Up Lawyer — “Fort McMurray. In the new neighbourhoods, you cannot do anything without hitting the remote starter, letting the Duramax Diesel warm up for twenty minutes, then leap into the cab of the F350 to drive for ten minutes to pick up the Doritos, a TV Guide and some cheap swill. We will learn about walkable ‘hoods when we are all walking. I see some opportunity here. Opportunity knocks, and if it doesn’t, build a door.”

Doritos’n’Swill delivery service? I don’t understand the mentality myself, but I’ve seen it. My father, who doesn’t touch his capital because CPP+OAS covers all his needs, lives in a subdivision in BC that’s hundreds of meters above any commercial zoning. When a convenience store opened at the top of the access road, he refused to patronize it, seeing it as the beginning of the decline of Western Civilization (local subdivision edition). This in a place where it really does take a litre of gas to get a litre of milk. And when I visit, I can watch said F350s hauling their campers or boats down (and then up) to the lake for the weekend (or the day) then back down (and then up) again, all the live-long day. It’s a good thing that various pipelines run through the city. The place is a poster child for a carbon tax to change behaviour, and for the people who thought living in 3000 square feet in mountainous terrain with toys and their haulers, all dependant on cheap fuel, heat and air conditioning, well, it isn’t a global conspiracy, you were just idiots.

#211 gladiator on 12.08.15 at 7:50 am

Oh, look. A chemtrail. — Garth

I was extremely skeptical about these too, until one day last September I saw a “trail” above Toronto that looked like someone cut it – if these are caused by plane engines, then that plane should have either fallen (I did not hear about any plane crashes at that time), or the plane shut off the engines and glided to a landing place, which would be sensational enough that the media would report it, or the passengers in that plane would post stuff about it online. Not a peep…
Flying to and from Europe, I sometimes see passenger planes at very high altitudes and none of them leave those trails even there. Maybe the ones that do leave such trails use a different type of fuel (with lots of water in it, which creates the vapours? but that’s just a plain stupid idea).
I a still skeptical but from what I have seen and thought about independently, I think there may be something to it. Just like Building 7 collapse.

#212 jess on 12.08.15 at 8:45 am

propaganda dvd used as a police officers training film
…”that opens with clips of 9/11 and includes scenes of Muslims chanting ‘Death to America!’”

This must have been what Trump watched!

=======================
Obsession: Radical Islam’s War Against the West is a 2005 anti-Muslim propaganda film put together by controversial anti-Muslim figures to further the perceived divide between Western and Muslim audiences. 28 million copies of the DVD were recently distributed by a mysteriously-funded entity by the name of the Clarion Fund with the help of 70 US newspapers in a curious and unprecedented campaign. This large distribution, particularly given it was targeted to swing states in the current elections cycle, piqued the interest of many, especially civil rights watchdogs.
http://www.obsessionforhate.com/
Obsessionforhate.com is an Awareness Project of Hate Hurts America

Fear, Inc. 2.0
The Islamophobia Network’s Efforts to Manufacture Hate in America

The Times reported:
…”police documents obtained under the state’s Freedom of Information Law reveal a different reality: “The Third Jihad,” which includes an interview with Commissioner Raymond W. Kelly, was shown, according to internal police reports, “on a continuous loop” for between three months and one year of training. During that time, at least 1,489 police officers, from lieutenants to detectives to patrol officers, saw the film.

http://thinkprogress.org/security/2012/01/24/410003/donors-clarion-fund-third-jihad/
Fear, Inc. 2.0
The Islamophobia Network’s Efforts to Manufacture Hate in America
https://www.americanprogress.org/issues/religion/report/2015/02/11/106394/fear-inc-2-0/

#213 Adam on 12.08.15 at 8:50 am

I don’t understand. Taxes can only ever go down according to people, the second they go up, only problems happen (at least that’s what everyone foresees). How long before we all get to 0?

#214 Bottoms_Up on 12.08.15 at 9:04 am

#211 gladiator on 12.08.15 at 7:50 am
———————————–
Well you can put your airplane concerns to rest, as I guarantee you that your neighbours car exhaust is poison (same with your car exhaust).

#215 Wild roasted gonads on 12.08.15 at 9:05 am

#201 Jeffrey of Saskatoon on 12.08.15 at 2:47 am
Chemtrails act as shielding for EMPs. Edward Teller said it would work. We are that close.
——
Dude wanted to nuke the tar sands ..in a positive way.

#216 Smoking Man on 12.08.15 at 9:10 am

The Trump effect, Villified by every established outlet everywhere. Mayor in St Petes FL has banded him.

Read the artical, then read the comments.

Make your oun conclusions

Trump has taped into the anger of the middle class.

http://www.charlotteobserver.com/news/nation-world/national/article48552220.html

#217 CHERRY BLOSSOM on 12.08.15 at 9:14 am

Why is it that a politicians answer to all of the problems is to tax more or throw money at it. Don’t any of the politicians have any long term foresight or common sense? In 1970 I was studying Gerontology and they knew way back then that Canada would have seniors as the majority of its’ population. They showed it as an inverted triangle. Why is this such a shock for the politicians when it comes to medicare, hospitals, nurses and doctor shortages. I think the politicians are so shrt sighted that the next big surprise for them is going to be, opps we don’t have enough food the population or enough money to buy food. Our Country is imploding. What happened? I AM NOT PROUD TO BE A FITH GENERATION CANADIAN ANYMORE And I will never forgive Trudeau for taking away the $5000 contribution to the TSFA while taxpayers are funding the public servants’ pensions. One can’t really call them servants anymore. DISGUSTED

#218 ANON on 12.08.15 at 9:16 am

What Deflation Quacks Like

Forgive me for being skeptical of the TAE “Quack like a Deflation” article. I think when BigD finally quacks its first major credit destruction event, there will be no identity confusion, and no need for explanatory articles, except for the 99.9% of the population who have not been paying attention, and will have their rug pulled from under their feet, while the last thing they will look for will be deflation-explaining articles. They will be looking for someone to blame.

#219 SWL1976 on 12.08.15 at 9:22 am

#265 Where’s The Money Guido

The plan is almost complete.

http://www.waterwarcrimes.com

has some interesting reading……of all kinds.

Thanks for the insight into Site C and the corruption of our past a present leadership in BC. I share your concerns

@gladiator – There’s definitely something going on up there, it has been observed and well documented by many

#220 Wild roastedgonads on 12.08.15 at 9:27 am

#209 Herb on 12.08.15 at 7:23 am
#159 Wild roasted gonads,

calorie restriction or unrestricted greed?

Went to the kitchen after reading your comment and checked the stated weight of the coffee can I had used to brew my battery acid: Melitta, standard large can, 930 grams. That can was a standard 1 kg/1,000 grams for years, until it’s content started to shrink magically to 970 grams, then further.

A couple of decades ago I was posted to Germany. The shrinking-coffee-package disease broke out there but was eradicated quickly. Those revolting consumers revolted, and the consumer protection side of government got into the act and told the coffee companies to stop it. I know, that’s not a role for government in the corporate universe, but a standard European coffee package still contains 500 grams of coffee. Ours doesn’t, and its price has neither gone down proportionally nor stayed the same.

We are being fleeced, but being good sheep, got used to it.
——-
Hey that was mark the financial wizard…. not me! Yup everything is shrinking to hide cost increAses. But mark the financial wizard doesn’t Beleive in inflation and rotted his brain from sugar.

#221 Wild roasted gonads on 12.08.15 at 9:32 am

#211 gladiator on 12.08.15 at 7:50 am
Oh, look. A chemtrail. — Garth

I was extremely skeptical about these too, until one day last September I saw a “trail” above Toronto that looked like someone cut it – if these are caused by plane engines, then that plane should have either fallen (I did not hear about any plane crashes at that time), or the plane shut off the engines and glided to a landing place, which would be sensational enough that the media would report it, or the passengers in that plane would post stuff about it online. Not a peep…
Flying to and from Europe, I sometimes see passenger planes at very high altitudes and none of them leave those trails even there. Maybe the ones that do leave such trails use a different type of fuel (with lots of water in it, which creates the vapours? but that’s just a plain stupid idea).
I a still skeptical but from what I have seen and thought about independently, I think there may be something to it. Just like Building 7 collapse.
——-
There are no such things as chemtrails. Being skeptical with an open mind is great, just have to make sure your brains don’t fall out.

#222 crowdedelevatorfartz on 12.08.15 at 9:33 am

@#201 jeffery of Saskabush
“Chemtrails act as shielding for EMPs. Edward Teller said it would work. We are that close…..”
++++++++++++++++++++++++++++++++++

#103 Conspiratard……meet Jeffery

#223 fancy_pants on 12.08.15 at 9:36 am

this country has been sold out to the cheapest votes. growing by 25k per year and counting. bankrupting my children’s childrens’ future. tired of being put over the barrel by fellow ‘canadians’

#224 Radioactive gonads on 12.08.15 at 9:44 am

#216 Smoking Man on 12.08.15 at 9:10 am
The Trump effect, Villified by every established outlet everywhere. Mayor in St Petes FL has banded him.

Read the artical, then read the comments.

Make your oun conclusions

Trump has taped into the anger of the middle class.

http://www.charlotteobserver.com/news/nation-world/national/article48552220.html
——
True enough. Same deal with bofo Ford.
Trump in charge of the red button!!. But you are counting on ww3. Yeah baby who luvs ya

#225 learningfromyou on 12.08.15 at 9:58 am

#196 Mark
Thank Mark for your answer, still I need to read your multiple times in order to find a way to take advantage of it in my investment plan.

>and I wish I could get into a lot more examples here, >but I’m sure this blog, its owner, and the readers have >their limitations as to how much of the math they want >to see.

According to past Garth’s statement, his ax is very light in terms of cutting people off, if I understood correctly he stops the non constructive statements from people.

Apart of reading every day that the sky is falling, jokes, critics, etc, I think a lot of people will be blessed by these types of analysis because they make you grow for real. I personally come here looking for the outstanding knowledge.

At the moment of writing this post I’m just paying back as fast as I can a secured credit line because I feel very dangerous using these funds without the correct procedure in hand, I feel like a blind person that does not see a door in front of him.

Hoping the Garth’s ax will stay in the wall allowing the knowledge to be part of his blog. :)

#226 Radioactive gonads on 12.08.15 at 10:02 am

#187 Unhinged Loon on 12.08.15 at 12:56 am
Garth knows about the chemtrails scheme?

He seems quite well versed in the conspiracy literature, more than he is willing to let on…

What about the star children?
—–
I believe smoking man says he’s a star child.

#227 saskatoon on 12.08.15 at 10:06 am

bottom line:

those who are on the “dole” (i.e., government workers and welfare recipients) should NOT be allowed to vote.

And prisoners are okay? What a moronic comment. People who work for public agencies pay the same level of taxes as you. — Garth

#228 learningfromyou on 12.08.15 at 10:23 am

http://www.greaterfool.ca/2015/12/06/strange-days/#comment-415459

Please could somebody explain the difference between CPD and ZPR?

Thank you in advance, just wanting to learn

#229 gut check on 12.08.15 at 10:37 am

Freedom First,

Do you not know anyone in a successful marriage? If not I’m surprised and can understand why you feel the way you do. If you do know people like that what do you tell yourself about them?

#230 jaybee on 12.08.15 at 10:44 am

“bottom line:

those who are on the “dole” (i.e., government workers and welfare recipients) should NOT be allowed to vote.”

@saskatoon

I’m a public sector IT Analyst, and I also operate a business on the side, and employ two part time staff. I volunteer in my community, donate to several charities, and pay copious amounts of taxes.

Please tell me again why I should not be allowed to vote? Every Canadian has the right to vote, and IMO has the civic duty to do so!

Garth is right, that is a moronic statement. We all pay the same level of taxes.

#231 When will they raise rates? on 12.08.15 at 10:47 am

Speaking of cause and effect:

*** This just in: Oil crashes to $36 handle ***

… And Iranian oil hasn’t even hit the market yet.

The dominoes are beginning to fall, folks. I wonder how this will effect the Canadian economy – and RE?

http://www.cbc.ca/strombo/content/images/mj-popcorn.gif

#232 MF on 12.08.15 at 10:49 am

#228 learningfromyou on 12.08.15 at 10:23 am

There are different types of pref’s. Some are called perpetual and have a set dividend. Others are called rate-reset. The rate-reset ones are the problem, and the reason why the returns as of late have been absolute garbage. The rate-reset ones reset their dividend to 1.5% above the GOC bond every 5 years. Lots of these guys are resetting right now when GOC yields are complete $hit (thanks to the morons at the BOC).

CPD and XPR have varying proportions of these two types of pref’s. I believe CPD has more rate-resets (but I am not 100% sure). Garth seems to be partial towards XPR for some reason.

some useful links:

http://www.greaterfool.ca/2015/09/16/special-3/

http://www.theglobeandmail.com/globe-investor/investment-ideas/interest-rates-provide-answers-about-plunging-preferred-shares/article24013205/

Hope this helps.

MF

#233 CP on 12.08.15 at 10:49 am

Luxury sales tax: coming to a Canada near you!

#234 Ronaldo on 12.08.15 at 10:51 am

#228 Learning from you –

”Please could somebody explain the difference between CPD and ZPR?”

You can start by checking these out.

http://www.etfs.bmo.com/bmo-etfs/glance?fundId=92496

https://www.blackrock.com/ca/individual/en/literature/fact-sheet/cpd-ishares-s-p-tsx-canadian-preferred-share-index-etf-fund-fact-sheet-en-ca.pdf

#235 Kenchie on 12.08.15 at 10:56 am

“Why behavioural economics is cool and I’m not”

https://medium.com/@AdamMGrant/why-behavioral-economics-is-cool-and-i-m-not-807ca32fac5b#.p40poresi

#236 Sean on 12.08.15 at 11:01 am

99 Homes.

Check out that movie for the aftermath of the housing crisis in the USA. Regular folks of all ages way underwater on their homes because of additional mortgages they took out on their homes for investments, remodeling or the older people that did reverse mortgages.

Hopefully it’s not like that here.

#237 SWL on 12.08.15 at 11:05 am

#221 Wild roasted gonads>

There are no such things as chemtrails.

And your counter argument is…

Because…

You…

Say…

So???

Show me some facts jack

Or at least have a credible debate

#238 TO Red Tory on 12.08.15 at 11:21 am

Reducing the TSA will not help people save for retirement. The Carbon Taxes will mitigate any middle class tax savings (very little for a Single person making $86K). Why did they simply not tweak the existing taxes so the wealthy did not receive certain benefits they do not need? Could of enhanced tax revenue instead of diminished it? People are losing quality jobs right now across the country, hardly any industry (except Public sector) has not shed middle class jobs? Do not think for a second the 1% will not take counter measures to avoid taxes. We are in trouble.

#239 IHCTD9 on 12.08.15 at 11:35 am

T2 is probably starting to regret saying anything about “change” by now. Even with hoards of basement dwellers and the entire CBC making excuses for him, there is no hiding the short-sightedness of T2’s policy.

I expect several more promises for “change” to be reneged by the libs in the next couple months…

Then come the “Revenue Tools”…

#240 Jack on 12.08.15 at 11:36 am

Garth, is it good time to invest in TSX for long term gain?

#241 Rational Optimist on 12.08.15 at 11:37 am

If you believe in climate change or, more importantly, believe that governments are going to try to do something about it, then Enbridge is a good bet. Realistically, the best hope for getting off oil and coal is getting on natural gas. Boone Pickens makes an interesting case for this, and I’ve read many others say it. We’re going to be using it as the (much) lesser evil in North America for transportation, and it’s going to take over much of electricity production, and what market share it doesn’t already have in heating. If you think electric cars are the future, fine, but what electricity generation can most jurisdictions add that is low-carbon and cost-effective? There’s only one answer.

Companies who own the pipelines that transport natural gas will not be disappearing any time soon.

#242 IHCTD9 on 12.08.15 at 11:40 am

level of taxes.
.#231 When will they raise rates? on 12.08.15 at 10:47 am
Speaking of cause and effect:

*** This just in: Oil crashes to $36 handle ***

… And Iranian oil hasn’t even hit the market yet.

The dominoes are beginning to fall, folks. I wonder how this will effect the Canadian economy – and RE?
____________________________________________

“My father raised us to step toward trouble rather than to step away from it.”

Justin Trudeau

Looks like JT learned his lessons well :).

#243 Doug in London on 12.08.15 at 11:45 am

@For those about to flop, post #31:
Batter in my ears? You should study English, batter is the liquid you make pancakes with. You might put batter in your ears, but I fail to see the point in doing so, but even if I did, communication here is VISUAL, not audio. Also, your response to my comment should be in yesterday’s post where it belongs. Based on the rubbish you’ve posted, it’s obvious you haven’t figured these things out. You don’t have any CPD? All the better, if you had an IQ greater than your shoe size you’d figure out that CPD is ON SALE and NOW is a good time to buy it. However, you probably still don’t get it so go ahead and put your money into GICs with their paltry interest rate or better yet, buy a condo in Toronto or Vancouver. Hey, they’ve had a good run up in value and will continue to go up, up, up forever. How could you possibly go wrong?

#244 pwn3d on 12.08.15 at 11:45 am

#153 Sean on 12.07.15 at 11:06 pm

Less hysterically, it’s a $4000 difference for someone making 300K, which is partially offset by the $670 you save on the middle bracket cut. So maybe all your hypothetical doctor friends are going to incorporate to save $3330 a year, but I doubt it.
——————-
It’s more than 4k when you tack on Ontario’s cut as Garth already mentioned. But it doesn’t matter, at this point they could cancel the increase and she will still incorporate as there is more taxes to be saved than that. Why not already done it you ask? Well, people don’t graduate med school then go to a tax accountant. It takes a lot of time and energy to start a practice and start paying med school bills. Also, incorporating isn’t necessarily for everyone, if you have a well paid spouse or no kids it isn’t as big a priority.
You can doubt all you want because it doesn’t fit your narrative, but all you have to do is do some research into what has happened in other jurisdictions when the same was tried. The results speak for themselves.

#245 Doug in London on 12.08.15 at 11:47 am

@T5 INCOME, post #38:
Well, at least someone here gets it.

#246 Loonie Watcher on 12.08.15 at 11:47 am

http://m.huffpost.com/ca/entry/8740202

Sure, I want Canadians to suffer financially and emotionally so that they can finally learn a lesson they should have learned 8 years ago, however it is truly heartbreaking to see the suicide rate in Alberta soar.

#247 Smoking Man on 12.08.15 at 11:50 am

#229 gut check on 12.08.15 at 10:37 am
Freedom First,

Do you not know anyone in a successful marriage? If not I’m surprised and can understand why you feel the way you do. If you do know people like that what do you tell yourself about them?
……………….

The Man has never been in love, or maybe he was once.
Had a bad experience then said. Screw it.

We are all wired weird.

#248 pwn3d on 12.08.15 at 11:52 am

#95 Bottoms_Up on 12.07.15 at 9:29 pm
I don’t buy this tax avoidance schtick
—————–
Sorry for you but your party just admitted that this is fact. Don’t worry, you’ll get a hug anyways.

#249 saskatoon on 12.08.15 at 11:53 am

#230 jaybee

no.

you are wrong.

millions of canadian citizens DO NOT have the right to vote.

1. many canadian citizens living abroad cannot vote (1.4 million people)

2. canada’s chief electoral officer cannot vote

3. canadian citizens under 18 years of age cannot vote

but, then again, this isn’t the point.

#250 Love my Kia on 12.08.15 at 11:54 am

No interest rake hike coming based on what is out today.

re: Freedom First, no way he can love women if he sees himself as only their wallet.

If anything, there’s a hatred thing going on he hasn’t figured out yet.

#251 Doug in London on 12.08.15 at 11:57 am

@Doug t, post #23:
My thoughts exactly. I also voted Liberal to get Satan out of Ottawa. Regardless of who got into Ottawa during the last election, Canada is in for a rough ride in the next year and probably a lot longer, and a lot of it is due to things beyond our control like the low price of oil. So what do I think of T2 so far? We’ve taken at least 100 steps forward, and 2 (maybe 3, for rolling back TFSA contributions) steps backwards. Still a big net gain.

#252 Chris on 12.08.15 at 12:02 pm

#199 You bring absolutely nothing to this forum besides being a complete jerk. I am surprises Garth continues to allow anonymous comments. If you were actually forced to post under your real name, you might actually be courteous to other posters.

#253 Godth on 12.08.15 at 12:04 pm

#216 Smoking Man on 12.08.15 at 9:10 am

…and then he became a billionaire alpha…
https://www.youtube.com/watch?v=lYoZ1kvQglo

#254 Ralph Cramdown on 12.08.15 at 12:05 pm

#237 SWL — “Or at least have a credible debate”

Our unwillingness to debate you says more about you than it does about us.

#255 pwn3d on 12.08.15 at 12:12 pm

#190 264,000 Question. on 12.08.15 at 1:33 am
264,000 x $10,000 = $2.6 Billion

There’s your answer. Cut Doctors pay by $10,000 (nothing for them…Oncologists earning $500,000) and save the $2.6 Billion.
——————-
The feds don’t pay the doctors, the province does and they’re already cutting their pay. Doctors are not impressed.

#256 Mike in Edm on 12.08.15 at 12:13 pm

#48 Panhead on 12.07.15 at 7:32 pm
#37 Ex-Cowtown on 12.07.15 at 7:04 pm
But don’t fret, T2, Wynne and Notley to the rescue. To help out, they want to put a new $10/gallon tax on the paint and then send the money to the President of Tuvalu for a new jet.

Don’t know where you live Ex, but out here in 604land we are already paying an eco fee (tax) on every can of paint we buy. Even the taggers have to pay on spray paint. Along with batteries, electronics, etc, etc, etc … Does every province have this or is Christy leading the way?
******************************************
We pay eco fee’s in Alberta. It’s about $0.10/spray can of paint. I think electronics as well, but I haven’t bought a new TV or laptop for several years. Can’t remember for sure. And I don’t think there’s eco on small batteries, but on automotive batteries it’s around $10-$16, but that’s basically just a recycling / core charge that you’ll get back so you don’t toss all that lead into the dump. Similar to drink bottle deposits.

#257 saskatoon on 12.08.15 at 12:17 pm

#227 saskatoon

And prisoners are okay? What a moronic comment. People who work for public agencies pay the same level of taxes as you. — Garth

prisoners are “welfare” recipients in canada–so, no…they are not “okay”.

i am merely restating john stuart mill’s philosophical position:

“It is important, that the assembly which votes the taxes, either general or local, should be elected exclusively by those who pay something towards the taxes imposed. Those who pay no taxes, disposing by their votes of other people’s money, have every motive to be lavish and none to economize.

“As far as money matters are concerned, any power of voting possessed by them is a violation of the fundamental principle of free government . . . It amounts to allowing them to put their hands into other people’s pockets for any purpose which they think fit to call a public one.”

Since when do firemen, teachers, medics, soldiers, cops or deputy ministers pay no tax? — Garth

#258 IHCTD9 on 12.08.15 at 12:31 pm

At one point, people are going to have to realize that maybe I know what I’m doing.

Justin Trudeau

T2 knows what he’s doing folks – fear not. Even though the Canadian economic meltdown is interfering with his ideological pursuits, the budget will still balance itself.

#259 Wild Roasted Gonads on 12.08.15 at 12:33 pm

#237 SWL on 12.08.15 at 11:05 am

#221 Wild roasted gonads>

There are no such things as chemtrails.

And your counter argument is…

Because…

You…

Say…

So???

Show me some facts jack

Or at least have a credible debate
———–
Nope, don’t need to. Non-believers of chemtrails have the null hypothesis on their side. Onus is on you. Cough it up.

Links to gold hawking apocalyptic doomer sites don’t cut it.
Nor do your personal observations from the van isle bunker – unless you want to put them to the test.

Cough it up dude, provide us the real evidence to back your claim.

Extraordinary claims require extraordinary evidence.

You need to get some Sagan in yer life.

https://en.wikipedia.org/wiki/The_Demon-Haunted_World

#260 Ex-Cowtown on 12.08.15 at 12:38 pm

#241 Rational Optimist on 12.08.15 at 11:37 am

If you believe in climate change or, more importantly, believe that governments are going to try to do something about it, then Enbridge is a good bet. Realistically, the best hope for getting off oil and coal is getting on natural gas. Boone Pickens makes an interesting case for this, and I’ve read many others say it. We’re going to be using it as the (much) lesser evil in North America for transportation, and it’s going to take over much of electricity production, and what market share it doesn’t already have in heating. If you think electric cars are the future, fine, but what electricity generation can most jurisdictions add that is low-carbon and cost-effective? There’s only one answer.

Companies who own the pipelines that transport natural gas will not be disappearing any time soon.

+++++++++++++++++++++++++++++++++++

You poor sweet naive thing. The Climate Change Machine doesn’t care about the environment, it’s just all about, as Dire Straits once sang “Money For Nothin’ and chicks for free”.

Fossil fuels are the enemy to the Machine as their goal is to funnel massive amounts of taxpayers dollars into their own pockets. The environment is merely the Hustle that they use to pick your pocket.

#261 When will they raise rates? on 12.08.15 at 12:40 pm

#250 Love my Kia on 12.08.15 at 11:54 am

No interest rake hike coming based on what is out today.
——————————————————-

Care to elaborate?

Current odds on Wall Street: 76%. — Garth

#262 JimH on 12.08.15 at 12:41 pm

#171 For those about to flop… on 12.07.15 at 11:37 pm
re comment to Mark
“…you know everything about nothing.”
================================
Actually, in all fairness to Mark, I think he knows nothing about everything!

#263 saskatoon on 12.08.15 at 12:43 pm

#257 saskatoon

Since when do firemen, teachers, medics, soldiers, cops or deputy ministers pay no tax? — Garth

yes, garth…you are, of course, correct…these people do and will pay tax.

however, this is not the point.

the point is as follows:

do government employees CONTRIBUTE to the cost of government?

the answer is simple: of course, they do NOT.

consequently, if a government employee makes $100 salary, and pays $30 in tax…the government employee remains the net recipient of $70 of other people’s money–contributing nothing to the cost of government.

#264 Wild Roasted Gonads on 12.08.15 at 12:43 pm

#247 Smoking Man on 12.08.15 at 11:50 am

#229 gut check on 12.08.15 at 10:37 am
Freedom First,

Do you not know anyone in a successful marriage? If not I’m surprised and can understand why you feel the way you do. If you do know people like that what do you tell yourself about them?
……………….

The Man has never been in love, or maybe he was once.
Had a bad experience then said. Screw it.

We are all wired weird.
————
Nothing wrong with weird.

But advocating daily that the key to financial success is self-castration and living yer life in a closet to avoid women who only view you as a wallet in his mind, as he states every day, makes him not weird but a tiresome bore.

#265 When will they raise rates? on 12.08.15 at 12:46 pm

#236 Sean on 12.08.15 at 11:01 am

99 Homes.

Check out that movie for the aftermath of the housing crisis in the USA. Regular folks of all ages way underwater on their homes because of additional mortgages they took out on their homes for investments, remodeling or the older people that did reverse mortgages.

Hopefully it’s not like that here.
———————————

Well, if that scenario unfolds here, it wouldn’t bad for everyone… Those of us waiting on the sidelines will get some fantastic deals on RE. =)

#266 Chris in Nanimo on 12.08.15 at 12:53 pm

#229 Gutcheck

Can’t speak for #Freedomfirst, but i know very few people in a succesful marriage, apart from myself. Most Folks i know have been divorced…at least once.

Have you seen the divorce stats? Have you seen which gender initates most divorces? Which gender loses most financially? Mass media relationship advice is totally wrong.

There are many guys like Freedomfirst who are vilified for their lifestyle, dating… but refusing to take that last step…commit.

Meanwhile there are tonnes of miserable married guys who would love to be in his position.

#267 MF on 12.08.15 at 12:53 pm

#251 Doug In London

Refugee total debacle, sewage debacle, tfsa rollback, income splitting reversal, increased taxes of various kinds (carbon tax as an example), throwing our allies under the bus, paying billions to other countries and their bs climate change initiatives they will ignore…all painted with this hope BS meant to distract us.

You meant 3 steps forward and 100 backward.

MF

#268 last investor in Blockbuster on 12.08.15 at 12:58 pm

Oil price is in free fall, Arnold Schwarzenegger on oil

Where is the Canadian “Netflix”?

http://www.businessinsider.com/arnold-schwarzeneggers-went-on-an-epic-rant-about-climate-change-2015-12

Overnight, The Terminator also took to Facebook with an epic smackdown of the naysayers titled “I don’t give a f— if we agree about climate change”.

Schwarzenegger’s critical point about the need for change is best summed up in one killer line about the fossil fuels industry: “I don’t want to be the last investor in Blockbuster as Netflix emerged.”

He also has some critical points to make about pollution on a day when Beijing has declared a red alert in the Chinese capital because the air quality has the potential to kill people.

Here’s the text of Schwarzenegger’s head-on challenge to his doubters:

I see your questions.

Each and every time I post on my Facebook page or tweet about my crusade for a clean energy future, I see them.

There are always a few of you, asking why we should care about the temperature rising, or questioning the science of climate change.

I want you to know that I hear you. Even those of you who say renewable energy is a conspiracy. Even those who say climate change is a hoax. Even those of you who use four letter words.

I’ve heard all of your questions, and now I have three questions for you.

Let’s put climate change aside for a minute. In fact, let’s assume you’re right.

First – do you believe it is acceptable that 7 million people die every year from pollution? That’s more than murders, suicides, and car accidents – combined.

Every day, 19,000 people die from pollution from fossil fuels. Do you accept those deaths? Do you accept that children all over the world have to grow up breathing with inhalers?

Now, my second question: do you believe coal and oil will be the fuels of the future?

Besides the fact that fossil fuels destroy our lungs, everyone agrees that eventually they will run out. What’s your plan then?

I, personally, want a plan. I don’t want to be like the last horse and buggy salesman who was holding out as cars took over the roads. I don’t want to be the last investor in Blockbuster as Netflix emerged.

That’s exactly what is going to happen to fossil fuels.

A clean energy future is a wise investment, and anyone who tells you otherwise is either wrong, or lying. Either way, I wouldn’t take their investment advice.

Renewable energy is great for the economy, and you don’t have to take my word for it. California has some of the most revolutionary environmental laws in the United States, we get 40% of our power from renewables, and we are 40% more energy efficient than the rest of the country. We were an early-adopter of a clean energy future.

Our economy has not suffered. In fact, our economy in California is growing faster than the U.S. economy. We lead the nation in manufacturing, agriculture, tourism, entertainment, high tech, biotech, and, of course, green tech.

I have a final question, and it will take some imagination.

There are two doors. Behind Door Number One is a completely sealed room, with a regular, gasoline-fueled car. Behind Door Number Two is an identical, completely sealed room, with an electric car. Both engines are running full blast.

I want you to pick a door to open, and enter the room and shut the door behind you. You have to stay in the room you choose for one hour. You cannot turn off the engine. You do not get a gas mask.

I’m guessing you chose the Door Number Two, with the electric car, right? Door number one is a fatal choice – who would ever want to breathe those fumes?

This is the choice the world is making right now.

To use one of the four-letter words all of you commenters love, I don’t give a damn if you believe in climate change. I couldn’t care less if you’re concerned about temperatures rising or melting glaciers. It doesn’t matter to me which of us is right about the science.

I just hope that you’ll join me in opening Door Number Two, to a smarter, cleaner, healthier, more profitable energy future.

#269 SWL on 12.08.15 at 12:59 pm

#259 Wild Roasted Gonads – There is a mountain of evidence out there and I could go into great detail. However, explaining it to people like you and Ralph would be about the same end result as explaining it to my dog.

Making jokes about my character is a classic defense mechanism for your denial

#270 pinstripe on 12.08.15 at 1:01 pm

the effect of the PC policies is showing and showing faster and meaner than anticipated.

http://www.cbc.ca/news/canada/edmonton/armed-robbery-spike-in-grande-prairie-due-to-drugs-economy-police-say-1.3354960

#271 fancy_pants on 12.08.15 at 1:06 pm

when the classes of sheeple are drown in the the taxing brew of socialism and we are all lying at the bottom of an empty barrel, we can rubber stamp real change a success. until then the budget will balance itself.

warm greetings to the PM, and to our Ontario premier and his wife.

#272 No bubble in Montreal! on 12.08.15 at 1:19 pm

“Amid hot real estate sector, Montreal properties remain a relative bargain” ; see

http://www.montrealgazette.com/business/amid+real+estate+sector+montreal+properties+remain+relative/11573650/story.html

#273 Broke Dick on 12.08.15 at 1:23 pm

#243 Doug in London on 12.08.15 at 11:45 am
@For those about to flop, post #31:
Batter in my ears? You should study English, batter is the liquid you make pancakes with. You might put batter in your ears, but I fail to see the point in doing so, but even if I did, communication here is VISUAL, not audio. Also, your response to my comment should be in yesterday’s post where it belongs. Based on the rubbish you’ve posted, it’s obvious you haven’t figured these things out. You don’t have any CPD? All the better, if you had an IQ greater than your shoe size you’d figure out that CPD is ON SALE and NOW is a good time to buy it. However, you probably still don’t get it so go ahead and put your money into GICs with their paltry interest rate or better yet, buy a condo in Toronto or Vancouver. Hey, they’ve had a good run up in value and will continue to go up, up, up forever. How could you possibly go wrong?
——————————————————-

Someone hasn’t had their morning coffee yet

#274 Godth on 12.08.15 at 1:24 pm

#259 Wild Roasted Gonads on 12.08.15 at 12:33 pm
https://royalsociety.org/~/media/Royal_Society_Content/policy/publications/2009/8693.pdf

That took about 3 minutes to find. Why is it surprising that there would be all sorts of experiments going on trying to understand and control the atmosphere/weather? We experiment with and on damn near anything else we can.

Why would you pretend to know what goes on in classified research of any sort? Geoengineering isn’t even denied, in fact it’s openly promoted.

Something has really gone wrong with peoples brains and the term conspiracy theory.

#275 waiting on the westcoast on 12.08.15 at 1:28 pm

Back from South America to a torrential downpour in Vancouver…. Let the rusting begin… ;-)

Wow – Trump is really feeling his oats. Banning all Muslims from entering the country… Crazy

I wonder if he was put in place just to distract the herd to make some of the reductions in liberties a little more palatable. It’s almost like he keeps pushing the boundaries to see how far he can go before everyone dismisses him. He probably cannot believe it himself.

If he actually believes and intends to implement many of the ideas he has presented, it will be a sad day for the US if he wins the nomination and is elected. Maybe he has a Hitler complex…

#276 Herb on 12.08.15 at 1:37 pm

#220 Gonads,

my apologies, Sir. They must have reduced the caffeine content as well as the weight because the coffee didn’t kick-start my brain the way it used to.

That proposition was so preposterous to my socialist mind I didn’t hoist in the context.

#277 Smoking Man on 12.08.15 at 1:39 pm

Liberal Climate Nazis disrupt premier of Climate Hustle in Paris.

Why hasn’t CSIS arrested these economy terrorist in Canada.

http://www.climatedepot.com/2015/12/08/protesters-police-chaos-reuters-features-climate-hustle-premiere-protesters-signs-called-skeptics-scum-police-cordoned-off-the-road-leading-to-the-venue-as-guests-lined-up/

#278 Leo Trollstoy on 12.08.15 at 1:47 pm

#252 Chris on 12.08.15 at 12:02 pm

I agree.

If Mark had to reveal himself I think he would think twice about providing terrible commentary, completely wrong analysis and misleading new readers.

It’s sad.

#279 Herb on 12.08.15 at 1:55 pm

#263 saskatoon,

how often have you advanced the proposition that government “workers” pay no taxes?

It is good to see that you finally admit that they earn their pay instead of merely costing the government. Parse your words:

do government employees CONTRIBUTE to the cost of government?

You’re finally making sense!

the answer is simple: of course, they do NOT.

#280 Herb on 12.08.15 at 1:58 pm

“You’re finally making sense!” was the last line of my last comment. Don’t know how it wound up in the middle of the blockquote.

#281 bdy sktn on 12.08.15 at 2:02 pm

8 last investor in Blockbuster 
……
Is the coal fired power plant also behind door 2?

#282 Bank of Canada Says It is Prepared to Go Below 0%!!!! on 12.08.15 at 2:04 pm

We are screwed. CAD should be worth below .50 by this time next year.

From the horse’s mouth:

http://www.bankofcanada.ca/2015/12/bank-canada-updates-framework-unconventional-monetary-policy-measures/

#283 bdy sktrn on 12.08.15 at 2:08 pm

OTTAWA – The Bank of Canada is saying for the first time that it would consider pushing its trend-setting interest rate below zero if the country ever suffered another major economic shock such as the financial crisis.

In prepared remarks of a speech today, governor Stephen Poloz said a negative interest rate was among several potential unconventional monetary policy tools the bank could apply in an unlikely crisis scenario.

Poloz, however, stresses that the fact he is listing these measures should in no way be taken as a sign the bank is about to use any of them.

He says the bank is moving its effective lower bound into sub-zero territory for the first time — dropping it to negative 0.5 per cent from the positive 0.25-per-cent mark it set in 2009.

Poloz says the bank has also added another new unconventional measure to its arsenal — one that would ensure economically important sectors had continued access to funding even when the credit supply was impaired.

He says after examining the experiences of other countries since the financial crisis, the bank is adding new potential remedies to a cabinet already stocked with options like forward guidance and quantitative easing.

#284 Wild Roasted Gonads on 12.08.15 at 2:13 pm

#274 Godth on 12.08.15 at 1:24 pm

#259 Wild Roasted Gonads on 12.08.15 at 12:33 pm
https://royalsociety.org/~/media/Royal_Society_Content/policy/publications/2009/8693.pdf

That took about 3 minutes to find. Why is it surprising that there would be all sorts of experiments going on trying to understand and control the atmosphere/weather? We experiment with and on damn near anything else we can.

Why would you pretend to know what goes on in classified research of any sort? Geoengineering isn’t even denied, in fact it’s openly promoted.

Something has really gone wrong with peoples brains and the term conspiracy theory.
———
Promoted and widespread application ain’t the same thing.

Yup, there are experiments and research into the science of geoengineering.
I actually know some of those listed there. Have even worked with them. And they propose it as a low cost approach potentially.

Certainly, doesn’t mean there has been wide spread secret spraying of the planets for decades as part of a nefarious plot dreamed up by the bilderberg boys.

#285 Wild Roasted Gonads on 12.08.15 at 2:16 pm

#269 SWL on 12.08.15 at 12:59 pm

#259 Wild Roasted Gonads – There is a mountain of evidence out there and I could go into great detail.
—————-
Actually, you obviously can’t. Read Sagan.

#286 Retired Boomer WI on 12.08.15 at 2:16 pm

Contemplating the picture today.

The dog’s expression is wonderous. Contemplating loss perhaps, knowing things will never be ‘quite’ the same.

One can never know. Great picture. greater post, actually.

#287 Wild Roasted Gonads on 12.08.15 at 2:18 pm

#276 Herb on 12.08.15 at 1:37 pm

#220 Gonads,

my apologies, Sir. They must have reduced the caffeine content as well as the weight because the coffee didn’t kick-start my brain the way it used to.

That proposition was so preposterous to my socialist mind I didn’t hoist in the context.
———-
The logic in Marks bizzarro financial world sets many askew.

#288 bdy sktrn on 12.08.15 at 2:20 pm

cost green again, every day green. and in usd. making new tops.

their worst problem is needing bigger parking lots.

earnings after close.

#289 Sheane Wallace on 12.08.15 at 2:20 pm

#152 Smoking Man’s trading mentor 

Welcome on board, when I suggested .45 and even lower levels in the 0.30-es for the CAD I was laughed at.
————————————————————————–
As for preferreds: there are ETFs, USD based, fixed preferreds, 6 % yearly income in USD.

#290 Smoking Man on 12.08.15 at 2:21 pm

POLOZ TAKING NEGATIVE RATES!!! QE

We are in deep shit, well not me, BUY USD $$$$$$$$

#291 Westernman on 12.08.15 at 2:23 pm

General observation about Canadians – apparently they are perfectly O.K. with their country being run into the ground as long as they can sit around and legally get blasted out of their alleged minds on pot… very impressive people…

#292 Dominoes Lining Up on 12.08.15 at 2:25 pm

Anglo American laying off 85,000 workers. (In July, it was originally announced as 53,000)

Commodity and resource dominoes coming down…….

http://www.cbc.ca/news/business/anglo-american-britain-shares-1.3355134

#293 When will they raise rates? on 12.08.15 at 2:37 pm

Negative interest rates coming to Canada?

“Poloz said the bank’s estimate for its real lower bound is negative 0.5 percent, an update from a previous estimate of 0.25 percent, published in a 2009 unconventional monetary policy framework. Poloz also said the central bank is now ‘confident’ Canada’s financial markets could function in a negative rate environment, where banks would be charged for deposits, rather than being paid interest as is conventional.

“In short, should the need arise, we’ll be ready,” he said.

http://www.bloomberg.com/news/articles/2015-12-08/bank-of-canada-has-tools-beyond-zero-rate-if-needed-poloz-says

#294 alba on 12.08.15 at 2:42 pm

“The Bank of Canada is giving itself a host of new unconventional monetary tools to deal with possible shocks to the economy, including targeted infusions of credit into troubled sectors and pushing its key interest rate well below zero …”

http://www.theglobeandmail.com/report-on-business/economy/bank-of-canada-unveils-new-measures-to-deal-with-economic-shocks/article27643760/

#295 Steerage Bilge on 12.08.15 at 2:43 pm

Negative rates!

Tank it all.

http://www.theglobeandmail.com/report-on-business/economy/bank-of-canada-unveils-new-measures-to-deal-with-economic-shocks/article27643760/

#296 JSS on 12.08.15 at 2:47 pm

Negative interest rates an option in Canada…

http://www.cbc.ca/news/business/stephen-poloz-monetary-policy-1.3355704

#297 Another Fed Delay? on 12.08.15 at 2:48 pm

I hope that the current market volatility is a mix of tax loss selling, market nervousness, and continued global volatility.

But it seems we always have these periods of volatility just before a fed rate decision.

These periods of extreme volatility seem to blow off enough market steam to deny the Feds the rationale or political will to increase rates.

I sure hope this is not the case again give how confident the analysts are for an increase….

#298 Ralph Cramdown on 12.08.15 at 2:49 pm

Even his dog thinks he’s cracked.

#299 bdy sktrn on 12.08.15 at 2:51 pm

i saw chemtrails behind my dog once. It was mostly methane with some nasty sulphur compounds mixed in. move to fresh air immediately for safety.

now about the ones in the sky, the strange unexplained bit obvious trails of some undefined ‘chemical’

my question is what is it do you think they are spraying?
prozac? viagara? DDT? LSD?
Seriously what could it possibly be for what possible effect?
To make F.F even more studley? To make Trump win? To steer web traffic to this subversive blog?

Tell us your ideas.

You could call a lab, there are thousands in NA, to run spectrometry/gas chromatography/other analysis on what ever samples you bring in for easy fast proof. There have been millions of chances to do this you guys say, yes? Renting a cessena is cheap to get an up close sample.

crowdfunding for chemtrail sampling and analysis is the future of easy $.

#300 Godth on 12.08.15 at 2:54 pm

@ Ralph

Here’s the grand conspiracy;
https://en.wikipedia.org/wiki/Full-spectrum_dominance

The seed was planted in ancient Sumeria with the concept of universal empire.

If you can’t follow the plot that’s your problem. If you can’t face the fact that all manner of dark shit happens to further this goal then you’re a naive fool or willfully ignorant.

As you have acknowledged, plenty of real conspiracies get exposed. Maybe we should take conspiracy out of the criminal code, erase most of history, large sections of literature and academia, shut down the internet and pretend human nature doesn’t constantly plot and scheme for power. Everything is completely transparent and democratic; things are exactly as presented.

5% of the world’s population consumes 30% of the world’s resources by coincidence.

What a boring world you must live in, what planet are you on? We’ll send some baboons there to teach you all about Machiavelli.

#301 Doug in London on 12.08.15 at 2:55 pm

@Broke Dick, post #273:
Yes, I did have my morning coffee (paid for with dividends and distributions from ETFs and stocks I scooped up while they were on sale) but even if I didn’t I would still know a bargain when I see one. Would you?

#302 Incubus on 12.08.15 at 3:04 pm

“So the dollar crashed to an 11-year low of 73 cents and change,”

It is still too much, it should go to 35 cents US.
With this scenario our oil industries will survive.

Negative interest rate ?

http://www.bloomberg.com/news/articles/2015-12-08/bank-of-canada-has-tools-beyond-zero-rate-if-needed-poloz-says

#303 TRT on 12.08.15 at 3:05 pm

They will protect housing in at all cost.

They will kill the Loonie rather than ever raise rates.

Poloz has officially stated that he will take interest rates NEGATIVE!!

Told you guys so.

http://www.cbc.ca/news/business/stephen-poloz-monetary-policy-1.3355704

#304 Timing is Everything on 12.08.15 at 3:07 pm

Ya I know, I know, Garth…It’ll ‘never’ happen.

‘Negative rates among Bank of Canada’s measures to deal with economic shocks’

Among the measures, Mr. Poloz said the bank could now set its benchmark interest rate as low as minus 0.5 per cent, or below its previous floor of 0.25 per cent.

http://tinyurl.com/o4w2lb7

#305 TRT on 12.08.15 at 3:07 pm

Loonie into the 50 cent range now a realistic possibility.

Will there be a T2 coup by seniors if this happens?

#306 Gonkman on 12.08.15 at 3:17 pm

Here we go…

“Negative interest rates an option in Canada, Stephen Poloz says”

http://www.cbc.ca/news/business/stephen-poloz-monetary-policy-1.3355704

Wooo hoo… Negative Interest Coming Soon …

Does that mean that JT gets more money to spend issuing Government Bonds?? Lol..

#307 OXI in GREECE on 12.08.15 at 3:21 pm

http://www.cknw.com/2015/12/08/bank-of-canada-says-below-zero-interest-rate-possible/

Wait a minute….we were promised many times on this blog that negative interest rates will never happen.

How can so many people not read past a headline? No negative rates are even contemplated unless 2008 repeats, which is not going to happen. — Garth

#308 tkid on 12.08.15 at 3:22 pm

If Canada implements negative interest rates, I’m putting a percentage of my net worth into gold. Just as a hedge. And then I’m going boating and having an accident …

#309 droos on 12.08.15 at 3:32 pm

how high do housing prices go with -ve rates?

this is scary

There will be no negative rates in Canada. Nor did Poloz say this would happen – except if 2008 repeats. Non-event. — Garth

#310 Entrepreneur on 12.08.15 at 3:32 pm

Raising the GST is only good only on the receiving end & a flourishing business. The GST (I call the guillotine spirit tax) kills the entrepreneur spirit. Starting and running a small business is brutal, but I suppose, who cares about them.

#Saskatoon should read George Griffin on Freedmen of Speech. He states that groups of people are ruining independent speech & lives which defeats how the world should be govern.

My view: B.C. is not prospering but real estate gives that feeling. Jobs are not there.

#311 Silent the people on 12.08.15 at 3:34 pm

Your mom called. You left your meds in the smokehouse. — Garth”

Priceless……

#312 jess on 12.08.15 at 3:36 pm

I guess the donald was getting too much attention.

Ted Cruz Tells Crowd a Tale of Religious Persecution That Turns Out to Be Completely False
December 8, 2015 by Rachel Ford
http://www.patheos.com/blogs/friendlyatheist/2015/12/08/ted-cruz-tells-crowd-a-tale-of-religious-persecution-that-turns-out-to-be-completely-false/

#313 Mark on 12.08.15 at 3:36 pm

“POLOZ TAKING NEGATIVE RATES!!! QE”

“The logic in Marks bizzarro financial world sets many askew.”

Nothing bizarro in my comments. Anyways, I was talking deflation, and the necessity of low policy rates far before it even became mainstream. Poloz seems to have woken up to the fact that the BoC is behind the curve in providing appropriately stimulative monetary policy now that the housing market is going down in an accelerating fashion and inflation is almost nowhere to be found despite the CAD$ dropping 30% in the past year against Canada’s largest trading partner.

Canada’s business investors are increasingly broken (and broke). It should basically be “all hands on deck” to get them back into the fold and investing in future growth, rather than enriching those who are excessively in deflation hedges.

#314 Steerage Bilge on 12.08.15 at 3:39 pm

Well the NYtimes sure luvs the new dude…

http://www.nytimes.com/2015/12/13/magazine/trudeaus-canada-again.html?_r=0

#315 jaybee on 12.08.15 at 3:40 pm

Negative interest rates!?

Dog help us…the arse is right out of ‘er

#316 pbrasseur on 12.08.15 at 3:43 pm

«Loonie into the 50 cent range now a realistic possibility.»

Of course it is, maybe not the likeliest, I think the sixties are a more probable target, but possible. This country has been living soooo much above its means, anything is possible really.

#317 IHCTD9 on 12.08.15 at 3:44 pm

A Novel, “Change”, by T2:

We changed our minds about 25K refugees by end of 2015

We changed our minds about helping all Syrians in need – families only please.

We changed our minds about the 10 Billion spending deficit, more like 20

We changed our minds about protecting the environment – let the raw sewage flow.

I can’t imagine how much more great change we will be in receipt of by this time next year.

As for the remaining house horny in this econoquake ridden country:

“Wealth gained hastily will dwindle, but whoever gathers little by little will increase it.”

Proverbs 13:11

More true in Canada now than ever. Here’s to 2016, and what will without a doubt be the most interesting year in the news since 2008

#318 IHCTD9 on 12.08.15 at 3:48 pm

#305 TRT on 12.08.15 at 3:07 pm
Loonie into the 50 cent range now a realistic possibility.

Will there be a T2 coup by seniors if this happens?
____________________________________________

I don’t think T2 could give a rats ass about what senior citizens have to deal with.

He’s working overtime to make it worse for them for all intents and purposes.

At least their lifespan will increase by decades from all the clean air JT is getting for them.

#319 calgaryPhantom on 12.08.15 at 3:50 pm

“Today’s remarks should in no way be taken as a sign that we are planning to embark on these policies. To reiterate, our base case sees the Canadian economy returning to full capacity around mid-2017 and the risks to the outlook are roughly balanced,” he said in the prepared text of a Toronto speech.

“We don’t need unconventional policies now, and we don’t expect to use them. However, it’s prudent to be prepared for every eventuality.”
———————
That’s what he said. Please don’t get too excited.

#320 Ralph Cramdown on 12.08.15 at 3:52 pm

#300 Godth — “If you can’t follow the plot that’s your problem. If you can’t face the fact that all manner of dark shit happens to further [“universal empire”] then you’re a naive fool or willfully ignorant.”

The problem with your worldwide Machiavellian plots is that they look a lot like bumbling incompetence. ‘They’ meant to put a black Muslim from Kenya in the White House? With a gridlocked Congress so no laws get passed? ‘They’ aren’t doing a very effective job of getting Jeb Bush in next. Did ‘they’ want oil prices high, or low? To crush the US dollar, or have it skyrocket? They WANTED an NDP government in Alberta and a Liberal one in Ottawa? Do ‘they’ want GMO food in North and South America, or do ‘they’ want it banned in Europe? Do ‘they’ want a more integrated Europe, or the breakup of the EU? A stronger Russia? A stronger Caliphate? A stronger China?

Judged on ‘their’ results, ‘they’ look like a bunch of bumbling fools. If you’re willing to pretend that it must all serve an eventual purpose, and that you don’t understand all of the individual events, then you can pretend there’s a conspiracy behind anything.

#321 Ronh on 12.08.15 at 3:54 pm

Negative rates- they pay me to borrow? Free money?
Garth we all need an education in the new normal. help!

Not normal and not gonna happen. Nobody will pay you to borrow money. — Garth

#322 Mark on 12.08.15 at 3:55 pm

“Thank Mark for your answer, still I need to read your multiple times in order to find a way to take advantage of it in my investment plan.”

I don’t know what more I can offer to you, but I will just say bluntly that reading this blog, especially its comment section is not a substitute for either comprehensive financial education, and/or working with an advisor or other professional who is so equipped with not only the tools, but access to your entire ‘picture’ including a reasonable and realistic assessment of your risk tolerance.

When debates take place in the comments, there are usually some very convincing arguments made on both sides. The writer who writes in the best English isn’t necessary the one who is ‘right’. In fact, there have been times when both opponents have been quite wrong. The key, IMHO, is to structure your portfolio to immunize yourself from extreme outcomes. That’s why Garth advocates balance, fee minimization, and tax optimization. Strategies which have quite proven results over time, independent of financial market/investment returns.

#323 SWL on 12.08.15 at 3:55 pm

#285 Wild Roasted Gonads

#269 SWL

#259 Wild Roasted Gonads – There is a mountain of evidence out there and I could go into great detail.
—————-
Actually, you obviously can’t

————

Actually I have went into detail about it sometimes here, (though not really the place) and even on my own blog with

http://www.realitynext.ca/contrails/

http://www.realitynext.ca/so-whos-ready/

http://www.realitynext.ca/the-response/

There. That should get you started. If you have some counter arguments I am happy to hear them

Ralph, I see that last one went over your head. My dog doesn’t think I’m cracked. You have the same comprehension level on the subject as my dog

I’m done with this subject here.

Thanks for the forum Garth

#324 Sheane Wallace on 12.08.15 at 3:56 pm

There are two people seeing deflation in Canada – Mark on this blog and the governor of BOC:

https://ca.finance.yahoo.com/news/newsalert-sub-zero-policy-rate-option-unlikely-event-175143782.html

It seems both are certifiable. Instead of addressing the crashing loonie the (difficult to qualify with non-offensive words) governor of BOC is thinking about introducing negative interest rates on the CAD.

As I already said: Anyone holding CAD or assets in CAD with such ‘enlightened’ leadership is a complete idiot. Loonie has lost 30 % of it’s value Mr. Poloz. And you are thinking about further driving it down when USD rates go up?

————————

GT, I would not bet on another 2008 to see real nominal negative interest rates, few countries in Europe have it (Denmark, Switzerland) and they are NOT in recession or in

#325 Josh in Calgary on 12.08.15 at 4:00 pm

#36 MSM-Free Zone on 12.07.15 at 7:04 pm ,
No different than the fools that voted for the ultimate, all-time, uber-liar, his predecessor.

Sadly, get used to it. All politicians lie. The ones that don’t are canned and become bloggers.

Regardless of which liar is in power, become informed and govern your personal finances accordingly. Your well being depends upon it.
———————
Agreed, and I’m always baffled that more people don’t get this. You read endless comments that “The leftists always …” or the “The right wing always …”.

They all stretch, bend and break the truth in order to convince the masses they’re the right choice. Some people believe they are part of a “team” and if only they can get their “team leader” elected everything will be fine.

Inform your vote, and then regardless of who wins plan your life accordingly.

#326 Godth on 12.08.15 at 4:02 pm

#284 Wild Roasted Gonads on 12.08.15 at 2:13 pm

“Certainly, doesn’t mean there has been wide spread secret spraying of the planets (sic) for decades”

How the hell would you or I know that? Even if you think you’re in the know compartmentalization is a bitch.

I don’t pretend to know what these lunatics are up to. What is knowable makes it clear that nothing should be shocking.

#327 Wild Roasted Gonads on 12.08.15 at 4:08 pm

#323 SWL on 12.08.15 at 3:55 pm

#285 Wild Roasted Gonads

#269 SWL

#259 Wild Roasted Gonads – There is a mountain of evidence out there and I could go into great detail.
—————-
Actually, you obviously can’t

————

Actually I have went into detail about it sometimes here, (though not really the place) and even on my own blog with

http://www.realitynext.ca/contrails/

http://www.realitynext.ca/so-whos-ready/

http://www.realitynext.ca/the-response/

There. That should get you started. If you have some counter arguments I am happy to hear them

Ralph, I see that last one went over your head. My dog doesn’t think I’m cracked. You have the same comprehension level on the subject as my dog

I’m done with this subject here.

Thanks for the forum Garth
————
Science dude. The onus is on you to prove the positive, there are no arguments needed for the null condition. Conjecture is hardly proof.

Did the Jade Helm folks miss you on the mass roundup, but yeah this is pointless.

#328 Ralph Cramdown on 12.08.15 at 4:10 pm

Chemtrials — arrange one with your physician today!

#329 Setting the Record Straight on 12.08.15 at 4:13 pm

@230
Civil serpents should not be allowed to vote since they are voting for the people who decide n their wages.
This is most egregious.

But neither should welfare recipients, people who collect OAS included since it is a form of welfare. And I would include people who work for corporations dependent on government largesse.

#330 Wild Roasted Gonads on 12.08.15 at 4:14 pm

#326 Godth on 12.08.15 at 4:02 pm

#284 Wild Roasted Gonads on 12.08.15 at 2:13 pm

“Certainly, doesn’t mean there has been wide spread secret spraying of the planets (sic) for decades”

How the hell would you or I know that? Even if you think you’re in the know compartmentalization is a bitch.

I don’t pretend to know what these lunatics are up to. What is knowable makes it clear that nothing should be shocking.

The extra “s” was not a typo…. these lunatics clearly wouldn’t stick to just earth. The Venus one didn’t work so well…. but Mars terraforming is just beginning as a backup in case they screw up earth..

#331 conan on 12.08.15 at 4:23 pm

Everyone talking about negative interest rates now. Anyone seeing a pattern? Anyone?

Negative interest rates will not occur in Canada unless the lights go out. The Bank of Canada puts no weight on this scenario (a rerun of 2008). The odds of this happening are zero. Nobody is going to pay you to borrow money. Ever. Get over it. — Garth

#332 Godth on 12.08.15 at 4:26 pm

#320 Ralph Cramdown on 12.08.15 at 3:52 pm

Yes Ralph, the world is a very, very complicated place. I don’t think anyone will achieve complete global domination, a truly unipolar world is an anathema to the human spirit and life itself. Homogenization, standardization, and subservience are antithetical to the diversity that is life, the human spirit and imagination. Yet that is the stated goal. I didn’t make it up, it’s presented itself in many forms throughout history and been rationalized in every possible way. It’s a fools errand but it persists, unfortunately. Maybe that’s why it always falls apart?

You can collapse the great work into any number of absurdities in space time but that doesn’t mean that the utopian dream expires. This project has been passed down for millenia, not in some secretive way, but as the thrust and trajectory of civilization and progress in some sort of linear fashion. I’m not even saying it’s inherently bad, though bad actors are abundant (power corrupts) but you’re extremely naive or ignorant not to notice.

#333 conan on 12.08.15 at 4:29 pm

Interest rates go negative but mortgages etc still have a slim rate. I just think it is more proof that the low rate environment is going to continue.
“Look to Japan”
Sun Tzu 455 BC

#334 IHCTD9 on 12.08.15 at 4:31 pm

#56 dutch4505 on 12.07.15 at 7:52 pm
it is already a given in the circles of the mighty and powerful of Ottawa that the GST will go back to 7% from 5%. what is being worked out is the timing. rumors are early summer, 2016.
____________________________________________

Nice, this plan will meld nicely with the fear created by the greater economy and steady job losses, obligating those who have seen the light to seal up their wallets with steel reinforced concrete.

60+% of our GDP is consumer spending. Trudeux does not want to go there. This is too much too quickly, and at the worst time ever. T2 is going to spook the consumer, and we’re all going to pay.

I would prefer Trudeux to just sit and do nothing – quietly, with gentle music in the background, scotch in tumbler, joints on the table – and just sit… on his hands.

#335 MF on 12.08.15 at 4:40 pm

So let me get this straight.

When the US central bankers say the economy is improving with data to back it up and rates will be rising, everyone discounts it as a lie……….then when Poloz says negative rates are possibility in a worst case scenario the same people take it as gospel???

How predicable. To the I told you so crowd, All this does is prove what Garth has been saying over and over. The US imploded in 2008 and is now powering ahead and we aren’t, so put your money in the US.

MF

#336 Smoking Man on 12.08.15 at 4:49 pm

Trump completely UN-hinges MSM and the Political status quo, who the middle class despise and hate.

It’s a gamble, polarizing but I think he’s surge in popularity.

Dr. Herdonomics

#337 Godth on 12.08.15 at 4:53 pm

#330 Wild Roasted Gonads on 12.08.15 at 4:14 pm

Oh right, so now the conspiracy goes extra-planetary. Jaysus, like I say to people that want to talk aliens – “like life on this planet isn’t complicated enough”.

Give me a break bub, we’re still figuring out the Van Allen radiation belts. We’re still digesting the natural world in obscene volumes to sustain an economy that’s based on consumerism and planned obsolescence. We’re turning this planet into a dump as fast as possible and you want me to believe we’re going to infect the cosmos. EEEKK!

#338 SWL on 12.08.15 at 4:58 pm

#327 Wild Roasted Gonads

Science dude. The onus is on you to prove the positive, there are no arguments needed for the null condition.

Actually I don’t have to prove anything

Believe what you want to believe

Who do you need to here it from… FOX News???

#339 Ralph Cramdown on 12.08.15 at 5:09 pm

Now he claims to know what his dog thinks about him.

#340 family beagle on 12.08.15 at 5:18 pm

#263 saskatoon on 12.08.15 at 12:43 pm

the point is as follows:

do government employees CONTRIBUTE to the cost of government?

the answer is simple: of course, they do NOT.

consequently, if a government employee makes $100 salary, and pays $30 in tax…the government employee remains the net recipient of $70 of other people’s money–contributing nothing to the cost of government.

….

That’s why in Backwoodsia, where I repose upon my sprawling estate, and beyond the municipal protection area, my taxes are as much as a cheap espresso machine. I learned long ago it is easier to license ideas rather than go through the tax inducing labour of actually doing anything. Business rules, govt drools.

#341 SWL on 12.08.15 at 5:28 pm

#339 Ralph Crandown – I see you missed the point again.

At least you are good at that.

Anyways I didn’t state I knew what my dog was thinking.

I stated that my dog has the same level of COMPREHENSION as you

#342 Wild Roasted Gonads on 12.08.15 at 5:32 pm

#337 Godth on 12.08.15 at 4:53 pm

#330 Wild Roasted Gonads on 12.08.15 at 4:14 pm

Oh right, so now the conspiracy goes extra-planetary. Jaysus, like I say to people that want to talk aliens – “like life on this planet isn’t complicated enough”.

Give me a break bub, we’re still figuring out the Van Allen radiation belts. We’re still digesting the natural world in obscene volumes to sustain an economy that’s based on consumerism and planned obsolescence. We’re turning this planet into a dump as fast as possible and you want me to believe we’re going to infect the cosmos. EEEKK!
———–
And that of course is why the bilderberg boys are planning their escape to mars. It’s a big plot don’t ya know. Ya didn’t get the secret handshake?

#343 bigM on 12.08.15 at 5:49 pm

#282 BoC
#283 bdy In prepared remarks of a speech today, governor Stephen Poloz said a negative interest rate was among several potential unconventional monetary policy tools the bank could apply in an unlikely crisis scenario.

Poloz, however, stresses that the fact he is listing these measures should in no way be taken as a sign the bank is about to use any of them.
———-
Which means absolutely without question they are going to do it. The article has a huge fail with respect to using Switzerland and the others.
At the time, the Swiss were trying to devalue their currency, it was getting too strong compared to the Euro.
The Canadian dollar has the exact opposite problem.
If the Fed raises rates, and the BoC goes negative,
the bottom will drop out of the loonie.

#321Not normal and not gonna happen. Nobody will pay you to borrow money. — Garth
But it did happen in Denmark, for a few days/weeks.
Bank programming error of course.

but Garth let’s admit the different directions in interest rates will scare a lot of people out of the CDN dollar.

#344 JimH on 12.08.15 at 6:37 pm

#336 Smoking Man on 12.08.15 at 4:49 pm
“Trump completely UN-hinges MSM and the Political status quo, who the middle class despise and hate.
It’s a gamble, polarizing but I think he’s surge in popularity.”
===================================
Smoking Cranium;
The (so-called) MSM has hardly been “UN-hinged” by Donald Trump and the Trumpettes, despite the obvious un-American insanity.

I like you, Smoking Man, but let’s face it; roaming Lounge-lizards such as yourself rarely get much of an insight into the mind set, attitudes and values of any population in any country or region which may for a time afford them the privilege of their protection and the benefit of their freedoms.

In short, you do need to get out more. I realize you produce some of your most entertaining purges well after the sun has set, but you so need to get out more in the daylight, and to visit those more difficult yo get to realms where there are no Casinos and where “bars” always include the words “Gas”, “Grill”, or “Salad”.

Make no mistake, SM, you do know a great deal, I mean a “Great Deal” more about these Excited States of America than do 99% of your countrymen. But really, try to ignore CNN and make an effort to engage those middle class Americans who do not share your attraction to dimly lit bars and lounges. Just for fun, try a supermarket. Say one in St. Louis or even Chicago (if on the South Side, make it a really BIG supermarket), or Kansas City, Flagstaff, Denver, Missoula, Eugene, Bangor, Scottsboro (Alabama), Hot Springs, for example.

As for the polls; look here:
http://www.realclearpolitics.com/epolls/2016/president/us/2016_republican_presidential_nomination-3823.html
A surge? Really? Trump had better numbers back in September. The latest USA Today poll actually must be something of a disappointment.

As for Trump the “man”, he is looking more and more like a reincarnation of Adolf Hitler. (just listen to his diatribes and substitute “Jews” for “Muslims”.

Winston Churchill once made the very astute observation that, “the American people, having exhausted all other alternatives, eventually get it right…”

They will do so this time. My personal opinion (not worth a damn) is that Donald Trump would like nothing better than to split the Republican Party and take his followers off to form a “new” right wing alternative Party.

The man is a psychotic megalomaniac and will eventually shrink to a minor footnote in history. The Republican party is reaping the rewards of its shameless pandering to any and all factions that it thought might lead it to victory.

The chickens will come home to roost.

#345 MR.Mike on 12.08.15 at 6:59 pm

Hey Garth…looking to borrow $10 Grand, If you give me $50 cash up front I will gladly borrow from you…and I’m pretty damn sure I can pay you back…I think.

#346 S.Bby on 12.09.15 at 3:57 pm

There will be no negative rates in Canada. Nor did Poloz say this would happen – except if 2008 repeats. Non-event. — Garth’

Why would Poloz even mention something like that? What purpose does it serve other than to destabilize things even more?