Hey commie,, who is going to pay for it?
I am not sure if the comment is directed at me as I fail to see any commie doctrine unless you mean
Don't be a bigot
Spend within your means
and get the politicians to do some smart planning regarding land use.
Which is it?
To your earlier point. Yes the gov't controls interest rates. They are going up to stop house flipping and people paying 200k or more over asking because they can't afford it anymore. It is also to stop Canadians from going further into debt by paying for other stuff like cars and vacations etc. that they can no longer afford (because they are paying more interest). The slowing of the economy (using interest rates) is designed to stop the recent inflation but it is probably too late. We see this in recent labor settlements which are increasing costs in a different way. The term used way back was the wage, price, spiral. However the swiftness with which this has happened will likely swing the pendulum the other way and we are probably headed for the big R. If you were alive and aware of what was going on in the early nineties and lived with 15-20 % interest (at the bank not CC), the only question that you have been asking yourself, is, why has this taken this long to happen again. In reality interest rates should have gone up a bit about 2 years ago and we would have seen a moderating effect on demand which would have kept the prices on a lot of stuff lower as well.
However all this still will not create affordable houses for those that lose their jobs. If the #s are to be believed there are just not enough houses to go around. So stop allowing as many immigrants in, which may solve some of the issue in the short term a bit. But we still have the problem of not enough younger people working to keep the pension system topped up. If we could get those not working, working, they could pay for their own house instead having the govt pressured to magically make houses appear. We know sometimes the govt has problems getting a road paved properly, how can we expect them to come up with a million or more homes?
Basically Trudeau has mismanaged at catastrophic levels.
