Minimum Wage and the Damage Done: Ontario's $15/hr Minimum Wage Hike and Your "Inflationary" Liberals at Work

At what point do we stop tipping for this "minimum" wage?

Combined with higher interest rates from the Bank of Canada, it is obvious the Ontario Liberals have a different math system and do not understand what "inflation" is, combined with an already fragile housing market in Toronto.

(The damage done in politics for the sake of a few votes...shocking)


http://business.financialpost.com/opinion/matthew-lau-layoffs-bankruptcies-higher-prices-its-ontarios-plan-for-minimum-wage-prosperity/wcm/96c72b45-5e77-48ae-98fb-bf42c47a7e56

The Best View of Toronto

"Hey I can see Winnipeg!"

Canadian Apathy 3: Canadian Citizenship

"Voluntary" and "Mandatory" duties of citizenship?

Now even less about the war of 1812? Should not every Canadian citizen - home grown or not - know how the borders came to be? This also dovetails into Monarchy, Commonweatlth and the Queen we have now.

Our borders did not exist since the beginning of time - thousands of families had their houses burned down in barabaric raids over ties to England versus independence.  Not to mention how Hudson's Bay Co. obtained the lands in the name of trade.

Instead of the test becoming easier and shorter, the volume of material should increased as so many basic things about Canada are not known at large by its citizens, metaphorically it makes us look like the class dunce at the meeting tables and with travelling buddies on our post-university travels.


http://nationalpost.com/news/canada/taxes-census-treaties-described-as-obligations-of-citizenship-in-new-guide/wcm/016bf5ad-58df-4924-82b4-78ea5168e768

"By the sound of it, the new text will read like Quotations from Justin Trudeau:"

http://nationalpost.com/opinion/c-p-champion-new-citizenship-guide-shows-liberals-are-the-copy-cats/wcm/5653a9c6-b260-4a4e-b311-c37edb0f622e

Canadian Apathy 2: How Serious is the Institution of Bilingualism Taken in Canada?

http://nationalpost.com/news/in-quebec-chickens-say-cot-cot-french-canadian-terms-that-are-nothing-like-their-english-translations/wcm/765be3b9-3770-4235-82cf-a6ee08a5215e

"Although Canada is an officially bilingual country, a large majority of Canadians do not speak a word of French" 

1) I did know about the "P.E.T." translation and have giggled childishly for years driving up to the P.E.T. Aeroport (fart-port)...

2) ....However, yes it is a character flaw of most Anglo Canadians, and with a modest amount of effort to learn French by Anglos, would have eliminated a lot of the tensions and problems we have had for over 400 years. Unfortunately Canadians would prefer to be just in awe of multilingual countries like Switzerland or more selfishly would rather learn Spanish so they can mannerly order "cerveza" from the hotel pool bar on their next all inclusive one week vacation.  

The cultural and historical significance of French among Anglo Canadians is sadly below the efforts of say Netflix binge watching or playing Tetris on your expensive latest iPhone during your 1.5 hr commute on a GO train (think of all the time you could have to learn French....or just putting that time to use better, like learning Canadian history -  another topic that Anglo Canadians don't spend an ounce of effort on nor feel they need to know). 

In a country so much to be thankful for yet its institutions are becoming less and less identifiable to a point we have to ask ourselves "what do we stand for?' (large groups are out there to oppose or ignore the Queen, bilingualism, Canadian history, CFL, CANDU reactors, etc), it is sad to see this part of Canadiana, and the efforts to learn both official languages, appear like an annoying mosquito on a clear cottage day for Anglo Canadians. 

Of course, in Canada we have to be tolerant and respective of all cultures, celebrate diversity.... unless it's Quebec, Natives or Americans....then the rules don't seem to apply, especially in the media. 

Canadian Apathy 1: Even After Voluntarily Providing $10M to Khadr, Liberals Likely to Face 2019 Re-Election

As shocking as it sounds, even after protecting citizenship for known and convicted terrorists and doling out $10M to the Canadian-born Omar Khadr, even on the 4th of July and payment unnecessarily accelerated while Parliament was not even sitting (that is, no chance of debate), this band of self-righteous do-gooders (all "for the middle class", of course), are likely facing another victory in 2019.  If this is happening now in year two of the Liberals' term, what will Canada look like after 2019? God help us....

http://nationalpost.com/news/politics/emerging-polling-trend-suggests-khadr-settlement-may-not-have-hurt-liberals-after-all/wcm/387208e0-45ed-4290-9a7a-922ab463c516

Liberal Looney Tunes: Where is Premier Wynne - In Her Office? No, the Courthouse in Sudbury

Thanks to bribery charges related to Pat Sorbara, former Deputy Chief of Staff and Gerry Lougheed Jr. involving a by-election in Sudbury (where Andrew Olivier was to stand down and make way for Glenn Thibault....out of the goodness of his heart?) this episode of "Liberal Looney Tunes" will be playing out in a Sudbury courthouse where The Kathleen will be on the stand defending her underhanded, tax everyone incredulously to pay for their pensions and the pensions of those unionist groups that support the reality challenged Liberal way of environment, labour, economics and debt.

How can a party this low be elected? Sadly, with Canadians' empathy to elected officials, the Liberals will likely win the next election.

http://nationalpost.com/opinion/chris-selley-kathleen-wynne-witness-for-the-prosecution/wcm/e11eab81-52cd-415a-901b-b03720afef39

The Justin's Two-Faced, Passive Aggressive Politics Puzzle Is One Piece Closer to Completion

The Federal Liberals, trying to please everyone and spinning every decision and platform mandate into separate responses to please the public at large (like a high school student council), has just received the greatest gift.

Although announcing the Liberals are for two key pipelines thereby appearing pro-economic growth and risking backlash from the environmental crusaders and extremists, now has the piece in hand (well, in BC) to allow the "democracy of Canada to unfold" and kill at least one of these "approved" projects.

This gives the Federal Liberals the perfect situation of washing its hands from this controversial decision - the Liberals look pro-growth, but their provincial counterparts actually kill the pipeline washing away the risk of loss of votes from his environmentally obsessed voter base.

I do remember Jim Carr, Minister of Natural Resources making a comment to a group of Alberta business leaders two days after approving the $7B pipeline project about calling in the military if he needed to (a comment that he apologized for - wait, was that the sound of another Liberal apologizing?).   

Looking forward to seeing how this turns out.  I suspect Jim Carr and his merry band of soft Liberals will not put up the fight.

http://nationalpost.com/opinion/john-ivison-trudeau-and-new-b-c-premier-come-to-an-agreement-dont-mention-the-pipeline/wcm/3be682af-cc65-44fe-ba1d-943419d4d52f

Canada is a Big Country: Some Perspective on How Green and Sustainable Canada Is

These are the extrapolative and underhanded tactics invoke fear and guilt.  Using simple math and if every Canadian knew more of their country (ex. an appreciation of how big this land mass we know as the best country in the world, despite its problems - some of which have been discussed on this blog), then Canadians would be able to dismiss such comparisons between what Canada does and can do versus say Germany in this example.

The Europeans are associated more with "greener" initiatives; however, their landmasses are MAGNITUDES smaller, their urban footprints are smaller as they typically are living in smaller and older style apartments due to "urban planning" centuries before even ships made to explore the New World were even dreamed of

Groups, as in this article, have taken "apples and oranges" comparisons to the highest degree in misrepresenting the urgency of any environmental situation, even going so far as to creating them. Thank you Peter Foster.

http://business.financialpost.com/opinion/peter-foster-protecting-canadians-from-fake-eco-news/wcm/9f02053e-7bd8-45e2-93c0-c80d922a2a08

Natural Born Economic Killers: BC's NDP

With opportunities of Liquefied Natural Gas (LNG), pipelines and mining available within the borders of its province (not even having to go out of its way to attract these industries), BC could have made its own provincial economy look like Alberta's on steroids during the early 2000s when oil approached US$147/barrel.

But no, succumbing to all things "sustainable", all economic prosperity is bad, anything to do with oil will not happen in the Pacific Time Zone (or in other words, things are different west of those mountains), tens of thousands of job will not come to fruition and future tax bases for the NDP government to invoke their idyllic green agenda will have vanished.

BC obviously did not learn from its neighbour to the east (Alberta).  It looks like two houses (provinces) are going to be burning down soon.

http://business.financialpost.com/commodities/energy/a-tragedy-for-canada-petronas-cancels-36b-lng-project-as-b-c-jacks-up-demands/wcm/de2567c8-499d-489f-9dec-3826a01c932c

Oops: Your Foolish Ontario Liberals and Waste of Tax Dollars at Work....

Well, there it is. The Kathleen's "vision" all represented on a nice cartoon like diagram.  Simple, idyllic, truthful and easy to understand, right? Who knows how much this study cost (I will do some digging); however, the depiction is out of touch with the simplest of realities - a road grader versus a tractor for farming. Now the updated picture has been doctored and neither grader nor tractor is there.

Here is your Ontario for the future - electric cars, gardens and quiet, carbon free trains all co-existing in the same little neighbourhoods (if someone agrees to "in their backyard").

The question is - who and how is this going to be paid for? I suppose it will be "balanced" budgets where The Kathleen and her Merry Band of Taxing Liberals will borrow more and receive more and more federal handouts.  Somehow, that is "balanced".

http://nationalpost.com/g00/news/canada/ontario-climate-change-report-weirdly-shows-a-highway-grader-destroying-a-farm/wcm/2e4ea165-9b46-4d96-808f-b8f3a6110a31?i10c.referrer=http%3A%2F%2Fnationalpost.com%2Fg00%2F%3Fi10c.referrer%3Dhttp%253A%252F%252Ftu9srvbirvvtmjekbmf0aw9uywxwb3n0lmnvbq00.g00.financialpost.com%252Fg00%252F2_YnVzaW5lc3MuZmluYW5jaWFscG9zdC5jb20%25253D_%252FTU9SRVBIRVVTMjEkaHR0cDovL25hdGlvbmFscG9zdC5jb20v_%2524%252F%2524

Hydro One: Trading Aftermath

Upon announcement of the proposed transaction, Hydro One (TSX:H) shares felt the usual acquiror pain on the first day of trading. However, since then the shares have recovered and are not "basically flat" but are "exactly flat".

Very unusual in trading that such a steady share price has been maintained. What does this mean?

First of all, the dividend for shareholders will be maintained.  That means the business of Hydro One will have to be managed with this in mind. However, this is where things become curious.

Don't forget the Ontario Liberals headed by " The Kathleen" and her Merry Band of Taxing Liberals are also a shareholder. As such, the Ontario government will also receive dividends in addition to the extra delivery charges, carbon taxes etc that are showing on your bill every month.

The Ontario government also controls, sets and allows the prices to be charged for a utility (ie electricity). As a shareholder, will the Kathleen allow a dividend to be forgone for the greater good of Ontarians?  In other words, the Kathleen will allow and approve price increases such that Hydro One (and its Ontario territory) is guaranteed a profit and even further allowed operate without the loss of jobs as most "real" businesses ( publicly listed companies ) have to face when dealing with a "real" income and cash flow statement.

Buy Hydro One for the safety of the dividend because you might as well benefit from the higher rates coming to support this conflict ridden, pseudo - communist operating regime that we see in countries like China and Russia. 

Recommendations for Financial Podcasts: You Must Take Financial Matters Into Your Own Hands

http://business.financialpost.com/investing/david-kaufman-the-three-financial-podcasts-i-cant-live-without/wcm/4187985e-0ffc-4ba0-896d-ea1b62ea1e48

Where Are the Synergies? Hydro One Deal

http://business.financialpost.com/opinion/terence-corcoran-hydro-ones-takeover-of-avista-is-fake-capitalism-for-monopolies/wcm/2c02a38c-9a36-47c8-813c-a078e4eaaaa1

As stated in earlier post (along the lines of this transaction will be a fail due to the forces of reality or a government backed and guaranteed success), the dividend is either going to be rock solid and Ontarians on the hook for paying higher prices to keep it this way, or a complete meltdown as the market wakes up to how this anomaly actually works.

Hydro One on the Acquisition Trail? "The Kathleen" and Her Merry Band of Taxing Liberals Must be Breathing Easier

The trend is there for Canadian public companies acquitting other utilities in the US; however, although Hydro One is public, it is not your average publicly listed company on the Toronto Stock Exchange. It is majority owned by the Ontario government with Ontarians screaming either for "those are the Assets of the people of Ontario!" or "great, it's public now pay me a dividend!".

Either way the culture of bloated pensions and benefits, a cozy club of "sunshine list" earners (greater" than  $100,000/year) and from many reports, rarely a full 8hr work day worked, continues throughout.

The fact an acquisition was made gives the Ontario Liberals another angle of shirking any responsibility as now the government's position will have been diluted and they will argue out of both sides of their mouths to Ontario voters that they have a vastly reduced say or influence as a significant shareholder going forward, so throwing their hands up in the air...yet claiming they did the right thing originally in floating Hydro One as a public entity (thereby pleasing leftist union supporters and reality based capitalists).

As reported, no layoffs are expected at Avista Corp. which for any acquisition is rare, further exemplifying the Ontario Liberals' tentacles and "hire everyone, fire no one" approach are still lingering.  Also, at first pass, it seems there is little in the way of any synergies as the operating territories do not overlap. Conclusion,  Investment Banking 101 would seem this announcement is a head scratcher.

If closed, going forward one of two things are going to happen: the new US subsidiary will either morph into the old Ontario Hydro culture that still permeates the public company today, or Hydro One will actually have to start behaving like a real business and have a more stringent view on compensation and take a hard and close review of the long term pension obligations.

We will see which result wins. I suspect the real winner is the firm raising the US$1.1B in equity and the US$2.6B in debt will be the horse to back.

Another Canadian Utility Nabs U.S. Assets in a $3.4 Billion Deal
https://www.bloomberg.com/news/articles/2017-07-19/hydro-one-reaches-5-3-billion-deal-to-buy-u-s-utility-avista

CFL 2017: Typical Start, The West is Best and the East is .500

Another year and another strong start for the West, this time Edmonton is undefeated, with Calgary in a shocking 2 wins, a loss and an opening tie against its Grey Cup counterpart from last year as start.  Saskatchewan has a win, so the extremes between undefeated and winless are not there this year.

In the East, the Argoooooooooooos are on top with a .500 record, and last year's Grey Cup winning REDBlacks are nowhere to be seen.  They must have been celebrating right through training camp....

Too Much, Too Late for "‘Massive effort’ underway to create database that will shed light on Canada’s housing market": It is Known Where the Additional Housing Demand Has Come From and only a 15% Tax Was Placed on it

http://business.financialpost.com/personal-finance/mortgages-real-estate/massive-effort-underway-to-create-database-that-will-shed-light-on-canadas-housing-market/wcm/7b6aff4d-0bff-4223-a2cc-bc0207ff9e89

Finally this is being done; however, it is too late. The cat is out of the bag.  Despite data being released that only one in 10 or one in 20 buyers are "foreign", this does not account for many housing transactions purchased by a Canadian funded by a "foreigner", nevermind Permanent Residents (PRs), Visa entries and other classifications involved in these transactions.  In Vancouver, the headlines and real estate chatter is full of these examples.

Essentially, Toronto (and other major cities in Canada) are bidding against the world, not just the couple of million residents in their own city borders.  Why? There are no restrictions on "foreign" buyers (this has not been defined by any media source or real estate body - is it a non Canadian? a non Canadian passport holder? a non permanent resident?), unlike other countries such as Australia (only new construction is available by foreign purchasers).  Foreign purchasers, whether becoming PRs or Canadian Citizens or no interest in any status, want the security of law and title as well as having an eye on education (which is significantly cheaper compared to world standards, and Canada does not appreciate it).

If Justin and his merry band of Liberal taxation experts want to close loop holes, protect the middle class and raise more tax dollars, then instead of a provincial 15% foreign buyer tax:

i) Increase property taxes that would benefit directly those who have been able to enter this housing frenzy and reduce directly their follow on expenses like annual property taxes or improve the infrastucture for which property taxes are raised and used. This would be a more accountable and direct method for a housing tax rather than going to the provincial (Kathleen's) coffers. 

ii) Increase tuition fees for those not in any citizenship application process.  Canada's universities and colleges are world class and this standard of education is coveted around the world - especially at the price Canadians (and foreign students) pay!  So much so, that as witnessed from many resumes I have read at my prior firm, many are only applying and graduating under one final semester of the program (while credits from a previous international university are transferred).  This "appears" as a graduation with a (as an example) full UBC degree (far from the full represntation).  The US is charging astronomical amounts for education to its own American Citizens (nevermind foreign students).  In Canada, this education is a bargain (just don't tell the red path kids in Montreal, they may protest again).

http://business.financialpost.com/personal-finance/mortgages-real-estate/massive-effort-underway-to-create-database-that-will-shed-light-on-canadas-housing-market/wcm/7b6aff4d-0bff-4223-a2cc-bc0207ff9e89

Sports and Finance: Reiterating Professional Sports as a Business....and Canada's Unfriendly Tax Breaks for Business

(My favourite overlapping of topics....professional sports and finance...)

Easy to abuse, and many do it, but the spirit of expensing such items is much harsher here in the Great White North.

http://business.financialpost.com/personal-finance/the-bruins-couldnt-beat-the-sens-but-heres-how-they-scored-on-the-irs/wcm/db345006-a5d1-4d26-816a-66e4bf6072e4

Finally an App for Long Term, Financial Sense: Preparing for Retirement Years, Could be Impacted by your Coffee Purchases

I have neither used, demonstrated nor promoted this app; however, an interesting approach on how all purchases reduce savings and impact your nest egg when fast forwarding to retirement years....yes, even those daily guilty pleasures - Starbucks ("Fourbucks") coffee purchases.

Some people I know or have worked with voyage down into those food courts or must enter a higher end, corner coffee shop a few times a day.  Not only are they spending say $8 to $12 on coffee every day (let's say, weekdays), this is in addition to the $20 to $25 in parking per day (convenience of your own car versus public transportation or walking or cycling), and the $15 to $20 in lunch and Timbits (again, let's assume on a weekday).

Adding these items up could range from $43 to $57 per day or, excluding weekends, $215 to $285 per week!

I don't own a car, but unable to escape car and car financing commercials, these expenditures would be able to finance one from what I've seen.  In other words, if you already have car payments, then behaving like this would be the equivalent of paying for two cars in terms of the money in your wallet at the end of the day.

Nevermind all those minutes in a coffee line at 930am and 2pm each day!


http://business.financialpost.com/personal-finance/retirement/your-money-will-a-countdown-clock-to-retirement-help-you-save/wcm/7eaf82b7-32fb-4c1b-a71c-994979857e39

Omar Khadr: One Too Many Apologies - This One May Actually Cost the Liberals

Will The Justin and his merry band of self-righteous, feel-good Liberals apologize for apologizing too much?  This time, was not only the subject of the apology a controversial figure; but the payout was an astronomical amount that reminds one of the phrase "does crime pay?"

Not only did the apology raise eyebrows throughout the country the wife of the deceased US soldier that was killed rightfully so wanted to appeal and block this payment, yet the Liberals, under the dark of night, handed the funds over already (unconfirmed, but where there is smoke, there is fire) avoiding any legal repercussions, and giving the US President real evidence (the opposite of fake news) to point the finger of blame, softness and unaccountability at Canada for the way it handles traitors.

In a country (in particular, certain provinces) where the Liberals can do no wrong, no matter approval ratings, costly green initiatives, massive energy and power gaffes, reduced military and foreign policy initiatives, never ending tax increases, ad scams, forgetting provinces' names (yes, Alberta)...voting Canadians every time drink the kool aid and forgive and forget, usually voting this band of incompetence in again.

However, this one Canadians may remember for a while.

http://nationalpost.com/news/politics/government-has-already-paid-omar-khadr-10-5m-source/wcm/a3f3e172-d72a-4bf4-8cfc-fb6ce3bd163c