Chapter 6

http://www.canada.com/nationalpost/financialpost/story.html?id=1749a27c-1cfc-4087-97f5-4e780f6ff2aa&k=83781

Coastal provinces are showing strong growth, every province is forecasted to have an overall surplus in the year of 2007. Most provinces are using surplus towards improving infrastructure, while ontario and quebec are putting them into tax relief for industries and personnal benifit pays. There is a weakness in our economy and that lies in the industrial sector in Ontario and Quebec. With Newfoundland and Labrador leading the country, we are showing a predicted overall gain of real GDP this year. It is expected that Alberta will gain 4.6 per cent in real GDP this year, and fall short of 0.9 cent in 2008. These increases are contributed mostly from their mineral production, and the drilling happening in northern Alberta. Manitobas construction boom will boost its real GDP by 3.6 per cent. Saskatchewans GDP will rise by 3.2 per cent from agraculture and potash productions. New Brunswicks will grow a 3.1 per cent also from construction boom and the resurection of the mining industry. BC will rise 3.1 per cent from the ultra low unemployment rate and its social services. Nova Scotia will gain 2.4 per cent this year from social services and governments expansion into prince-edward island.
Industrial sectors in Ontario and Quebec are facing hardship with high energy costs, global competition and the increasing dollar value, which limits this years growth to 2.5 per cent in real GDP.


This summary relates to the REAL GDP in this chapter. We see in this article the talk about Real GDP growths this year. Although Ontario and Quebec are very heavily industrialized in their anual GDP values, we see that high energy costs and increases to the dollar value limits growth and expenditures in those sectors. We also see the contributions to real GDP from government spending. Nova Scotia for example is expanding into Prince Edward Island, and that would have contributed to its real GDP for this year. I can understand why there is hardship in the industrial sectors in Ontario and Quebec, in industries, most of manufactured goods and materials are imported. The growth in our dollar value would mean that businesses will suffer, as businesses that trade on the global level all use US dollars. With such a strong value in the CND dollar, it is more costly to do business with our countries as our dollar is now worth more than it was. Exchaning currencies would from US dollars into Canadian would result in a loss as our Dollar value continue to grow. Those businesses would then retract from spending so much and limit their production of goods for this year.

Positive Economic Indicators

The link talks about the indicators of BC and future projections on our economy.

http://www.gov.bc.ca/bvprd/bc/content.do?brwId=%402IgL4%7C0YQtuW&navId=NAV_ID_province

It is expected that BC will continue to grow another 3.2 percent in the year of 2007. Indicators like unemployment rate, new job featuring, and the GDP so far shows this indication according to scotia bank. In february this year, we have hit the bottom with our 4% unemployment rate in 30 years, beating the old record of 4.3% back in June of 2006, and a difference of 6% since december of 2001. Scotia bank says that contruction of none residential sectors are our main growth this year. New construction projects and development of residential buildings are contributing to much of the GDP. Growth will continue as our income have risen contributing to the GPD, as much as 3.1% increase in GDP is expected. The latest inventory in construction also indicates that there are 781 new major projects with capitals worth $116.9 billion dollars. Building permits released each year also indicated that in 2006, 11.5 billion permits were permited... a 13.2 percent increase over the year of 2005. Along with a high number of workforce, we have 63.5% of the BC population at work. These indicators show that BC is growing strong and will continue to do so for the next few years.

Personnal Reflection:

This pretty much is an example of Natural unemployment in relation to chapter 5. Where the economy is doing well and unemployments rates are low. The GDP collected from the major construction projects also showed growth, an indicator of how well our economy is doing. We also have currently the largest percentage of workfoce, at 63.5% we can say that people are finding the jobs they need and are not affected by structural unemployment. Insurance unemployment is also low because many are able to find word and the demand for labour is high, there shouldnt be any reason why they are living out insurance. There is also no demand deficit in BC as indicators show, that there are no layoffs and labour is high in demand.

Gas Price on a rise-Doe not matter, we just keep on taking.

Sorry Mr. Back but My account was unavailable during the past few days. Due the the blogger upgrading and some other issues with the password.

Here is a proof after I had a password reset...Before that, I was unable to log on.

Onto Chapter 4....

Oil Prices are constantly growing due the the high demands, the US statistics agency explains that the amount of inventory in gasoline and distillates are lower than ever. This is because of the fact that the oil reserves in Iran are not producing as much as full capacity as well as higher demands in recent months. China is also compeating for gas more so than ever because there are more car sales now, as much as 700 new vehicles sold each day in just one city alone. Prices have been as low as $59 US dollars a barrel, now they predict that it will rise to $62, in the near future, competition between the US and China will lead to even devestating prices at the New york Mercantile Exchange. An expert explains that in the next two weeks prices will hit as high as $65 dollars a barrel. This significant rise in price is due to the lack of inventory in the US. China being the second largest oil consumer in the world will not slow down in its consumption, in the long run is it expect that China will even become the worlds largest oil consumer.

http://www.canada.com/vancouversun/news/business/story.html?id=9a65031d-b3af-403d-a2f1-f6dcd548dd0d&k=57726&p=1

Personnal Reflections:

There should be more government involvement in the oil industry, things that the Government can do to keep inventories high and prices low. In my opinion, the Government should limit the amount of gas allowed per vehicle per a set time period. This way we can restrict people who use more gas monthly than others, each vehicle should be filled with the same amount of gas as any others. This would push people into buying efficient cars, as well as reducing the amount of yearly consumption by our country. This is a benificial way to reduce green house gas and keep our inventories high.

I believe this is a good way because the Chinese are using this technique, as the demand in China increases, the government stepped in to limit the amount of gas per vehicle. They stepped in at a time when there was gas shortages in that city.

So by doing that, people would look towards more efficient cars and that would reduce CO2 emmisions.

The fact is, people wont care if the gas prices rose a few dollars more, they just keep on taking it. Because this resource is scarce, they are willing to pay more to get it. Just like you would with diamonds. So even if gas prices are predicted to rise, it won't matter unless the government steps in and get involved in controlling the public consumption.

Chapter3

Lets talk about the government, I think healthcare and public transportation should be owned by the government. This is because most private owned businesses run better, and more efficiently. My belief is that because there are more crown corporations = better over all economy.
According the link below, Alberta is attempting to privatize health care, the total amount spent each year per person on healthcare is about $4,400 canadian dollars. If alcoholics and drugies pay a visit to the hospital once ever week, wouldnt they have already spent the limit? Thus I believe that hospitals would be much more efficient running privatly, there would be no waiting times. With private health care, people will not abuse the system. Because everytime they visit the service, they have to pay for it. Thus it is unlikely that they will repeat their habit. Such as drinking alcohol.



The downside to privatizing healtcare is that, people won't ocasionally go in for checkups, which means that early prevention would be avoided.

We all pay for tax, if we arn't visiting the hospital as often as others, then there is a certain amount of case that we did not use. This amount is then allocated to others who abuse the system, making this public system inefficient.

This is My idea of the Ideal Health care system:

We should go with the two tier system. I think you are unsure of what is really right. How about my opinion...take a look.

We Have both Private and Public systems together. We use a new type of medical card, this new cards is an ID and could be accessed by both systems. Each year The government splits Bling into the two systems. And each year, your medicare card is renewed with credits that you can use. For example; I have really high income, I get taxed alot. So my medicare card gives me $10,000 credits for use in private or public systems of my choice! Now if you were the average Joe, and you made average....then you would get something like $4,000 dollars of credit.

How much credits do you get each Year? Depends on that Annual Income TAX form you fill out each Year. =D

Then....If say I was all clean and healty for this whole year, I may wish to go to the bank during a specified period (like 2 weeks) before my credits Renews....and at the bank I can credit all my $10,000 dollars to my bank account. This could be a way of....tax relief...or something. Its just good to have more money to spend. Its bad if you leave it in your bank Account....


http://www.cbc.ca/news/background/healthcare/public_vs_private.html