- interest rates,
- inflation and,
- income distribution.
News reports today suggest we will soon be faced with interest rate hikes because the Bank of Canada believes inflation is rising. Well, I can’t argue with the latter point.
The cost of living is definitely going up. Bus passes increase 10% next week, parking taxes are rising to 35%, medical premiums (BC’s head tax) climb 6% soon with more later and property and school taxes move only in one direction. ICBC had half a billion stripped, so car insurance will increase to rebuild those reserves. Days ago, BCUC approved a 13% increase in Terasen’s gas commodity price and BC Hydro is implementing 25% increases over the next while. Metro Vancouver warns that cost overruns on filtration and distribution mean that water rates are about to increase. And, the carbon tax is rising and the cable company needs to charge $10 a month more so broadcasters can earn better profits. BC Ferries increased its rates and so did Canada Post. Road tolls are being implemented and they’re predicting a vehicle levy for transit subsidies. And, Premier Campbell promises a completely new tax to start the Evergreen Line while my kid’s post-secondary tuition just increased, again.
The barber says I’ll have to pay him another $3 because of HST which also applies to everything else I need, from bicycle and shoe repairs to cappuccinos and golf greens fees. The person who cuts the grass needs to charge 12% HST and wants another $10 a week for herself. I tried to buy a 59 cent light bulb the other day but they can’t sell those anymore. The new money-saving one cost $5.00 plus taxes, of course. The language school I signed with to learn 100 words of Spanish is going to charge HST and, regardless of whether I have my old shirt mended, or buy a new one, the price is going up because of HST.
I, for one, am glad we have the Bank of Canada and Colin Hansen looking after us, worrying about inflation and taking protective action. I guess if my cost of living keeps going up, they will keep fighting by raising interest rates and taxes even more. If they fight inflation hard enough, I won’t be able to pay the mortgage.
Then, instead of the cost of living, I’ll be worrying about the cost of leaving. And, that will attract 12% HST too.
From the New York Times, Income Inequality, Writ Larger:
The rising economic tide is lifting a bunch of yachts, but leaving those in simple boats just bobbing along.
. . . It takes an optimist to find good news in the fact that the top 1 percent have steadily increased their haul while the other 99 percent haven’t . . .