Rich-poor gap could spark financial crisis in Canada: Report

[styky]

Rich-poor gap could spark financial crisis in Canada: Report

QMI Agency

First posted: Tuesday, May 22, 2012 11:58 AM EDT | Updated: Tuesday, May 22, 2012 12:17 PM EDT
The gap between the rich and the poor in Canada is getting wider and could eventually lead to an economic collapse, according to a new report by a left-wing think-tank.

Income for middle-class Canadians has remained stagnate since the 1980s, while the income of the richest 1% has increased dramatically, according to Dalhousie economist Lars Osberg.

As a result, Canada's income inequality has reached a level not seen since the 1920s, says Canadian Centre for Policy Alternatives.

A few people accumulating huge savings while most people rack up debt is a recipe for disaster, the report argues.

"When those at the top keep amassing income, their growing savings have to go somewhere. For a while, lending to the mortgages of the middle class can prop up GDP growth, but middle class incomes have not been growing, so their consumption is maintained by ever-deepening debt," said Osberg in a press release..............http://www.torontosun.com/2012/05/22/ri ... ada-report

[Lee Enfield]

Income inequality is a function of our immigration rate, the highest in the world. If someone immigrates to Canada from Somalia, how much wealth would he likely have? How likely would it be that the Somali immigrant parachutes into a job with premium wages?

[Smaug]

It is no coincidence that middle income earners pay the highest taxes.

[BlawBlaw]

The CCPA is not particularly credible. They hire economists who think that a higher minimum wage doesn't cause unemployment.

[backhoe]

Just my opinion?

Merely more class warfare. Fear & division is all the Left has "left..."