Economy

What This Means for Canada

Despite this, currently “the economy” is viewed as a deity which bestows the benefits of prosperity upon all of us. The larger “the economy” is, the better off we all will be. In fact, the economy we worship and measure with the GDP metric is really only the commercial economy – the size of the market for goods and services bought with dollars.

"The economy" as we measure it now does not represent the size or the structure of the real wealth creation process. It does not represent the well-being of individuals nor the health of the nation, its environment or its finances. It represents cash flow and nothing more. Cash flow is not a full accounting system and is fatally misleading as dominant indicator.

Introduction

"The economy" in current terms is the exchange of goods and services measured in dollars or other printed currency and summarized in GDP measurements. This means of measurement is not and has never been intended to represent the full real wealth creation process whether human or natural nor was it ever intended to represent human or societal well-being.

  

What Can You Do?

Recognizing the shortcoming and dangers of our current measurement system is necessary to understanding why the goal of endlessly growing consumption is fatal to both individual and national welfare.

Measured in printed dollars, “the economy” can appear to be able to grow forever, but represented in physical stocks and flows, the real wealth creation process can only sustain a certain level of output. We have to put the measurement of the commercial economy into perspective with other, more important factors of life and it must be made just one part of the measurement of the real wealth creation process, and not as the driving force behind well-being.

"The economy" in current terms is the exchange of goods and services measured in dollars or other printed currency and summarized in GDP measurements. This means of measurement is not and has never been intended to represent the full real wealth creation process whether human or natural nor was it ever intended to represent human or societal well-being.

 

  • Temporary Foreign Workers
  • Energy
  • Structural
  • Per Capita
  • Counting in Real Numbers
  • Unemployment

Unemployment

Unemployment -  General The unemployment rate in Canada has traditionally been higher than in Europe or the US for a number of reasons. A higher proportion of seasonal industries. We have had a higher proportion of our population in smaller, more isolated communities making jobs harder to match up with potential workers. Manufacturing has always been a smaller proportion of our economy than more developed nations. In addition, our policy of mass immigration has caused a labour glut for most ...

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Counting in Real Numbers

Counting in Real Numbers - General Counting in real numbers means counting in the physical units in which the major components of an issue are best expressed. If we are examining carbon emissions, tonnes is used rather than intensity (carbon emitted per dollar of GDP). The dollar is not a unit of measure in the physical world and the environment recognises only the physical amount of carbon. It has no interest in its relationship to the commercial economy. GDP (Gross ...

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Per Capita

Per Capita Measurements - General Per Capita income is a direct function of productivity and it indicates the level of personal economic well-being. This is the real indicator of how well an economy is performing for the people who work in it. In contrast, Gross Domestic Product (GDP) measures only the overall size and rate of growth of the commercial economy. In Canada, GDP/capita is ignored in public policy as all the focus is on the size and growth of ...

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Structural

Structural Economics - General Deficit spending by governments occurs when revenue intake from all sources is exceeded by expenditures. Governments often make up the revenue shortfall by borrowing but ultimately they must balance expenditures with revenues. Canadian governments at all levels offer a wide range of services to Canadians and these services are supported by the tax revenues in all forms generated by businesses, workers and consumers. In order for the government to receive a sufficient level of tax revenue ...

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Energy

Energy - General Watch our Illustrated EROI Video Purely and simply, our civilization is built on cheap and abundant energy. Without huge amounts of very cheap energy, we would be unable to maintain our society, our economy or our food production. Energy became progressively cheaper from the 1700s when coal began to be used widely By the 1960s, the even cheaper and more flexible oil had come into universal use In the 1980s and 1990s, energy began to become more ...

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Temporary Foreign Workers

Canadians for a Sustainable Society deals mainly with the structural issues that influence our national health. However, the Temporary Foreign Workers Program hits on so many of the misguided policies which are leading the country on a downward spiral that we felt we had to address this program specifically. The reasons for creating a very limited TFW program are justifiable but the breadth and size of the program has wildly exceeded any responsible parameters. From 2006 to 2012, there have ...

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