Coherent Identifier About this item: 20.500.12592/422j5j

A tale of two economies : Deux économies




A Tale of Two Economies Andrew Jackson, National Director Social and Economic Policy, Canadian Labour Congress While the overall unemployment rate is low and the media paint a reassuring picture of broadly-based prosperity, the reality is that disturbing new divisions of sector and region are being overlaid upon already deepening class differences. [...] A Tale of Two Economies by Andrew Jackson Page 2 Over the course of the 1990s, the share of all taxable wage and salary income going to the top 1% - roughly those making more than $150,000 per year - jumped from 9% to 14% of the total, and the share of the top one tenth of one percent rose even more sharply. [...] While the number of unemployed workers is indeed low and has been falling mainly because of job growth, the majority of the new jobs created in 2005 were in self-employment and in temporary jobs, as opposed to permanent payroll jobs. [...] Among the hardest hit sectors are auto and auto parts, especially the suppliers to the Big 3; clothing and textiles in the wake of changed international trade rules; a pulp and paper sector which must contend with new low cost global suppliers hobbled by a high dollar; and, especially, light manufacturers who relied on the low Canadian dollar to sell into the US market through much of the 1990s. [...] Manufacturing - supported by a low Canadian dollar - played a major role in the economic recovery of the mid to late 1990s, adding jobs to a sector which had been extremely hard-hit in the early 1990s by free-trade driven restructuring and the high interest rate/high dollar policies of the Bank of Canada under John Crow.



government politics economics united states economy income inequality industrial policy unemployment rate canada business dutch disease economic growth employment exports government policy investments labour productivity unemployment unemployment benefits workforce manufacturing industries unemployed competitive advantage under-employment