Good news, that Canada gained 58,200 jobs in April. Not so good news for Ontario as 9,300 jobs were lost. Maybe even more importantly, news that average hourly wages only increased by 0.7% year over year, way less than inflation. That's problematic considering provincial tax brackets are recalculated each year based on inflation.
This isn't going to be good at all for provincial revenues. Obviously provincial income tax will suffer, as will consumption taxes. I'm going to try to remember to keep track of these numbers over the next couple of years. Especially since the province is counting on increasing revenues and frozen spending to bring down the deficit. If revenues are not increasing that's bad news.
Finally how are increasing house prices and stagnant wages reconciled?
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