Modern Messaging: "what do you hear?" 2

I will teach you

["I will teach you how to fish"]

What do you hear?

Photos by GH

Statues, Grand Rapids, MI

Modern Messaging 1

Grey Power: "putting money aside" (3)

["But it's not that we don't have the money"]

Today Canada may be seen as a country at war with rising costs, with the average Canadian woefully unprepared to survive the long-haul. Boomers are aging and rising health costs may swamp the federal government's fiscal boat, a vessel already awash with red flags, i.e., fewer future workers, unmanageable debt, a struggling economy and increasing expenses in many other areas (aging infrastructure for one). A brave approach and radical plans and policies are required to help bail us out.


We could learn lessons perhaps by glancing back to the time Canada entered World War 2 and used its resources - both human and monetary - to combat and vanquish a determined foe.

When Canada declared war on Germany in September, 1939 (one week after Great Britain had done so), we were a country with only a few rusty rifles in a broom closet. Said the federal Chief of Staff, Major General A. G. L. McNaughton:

     
     "Except as regards rifles and rifle ammunition,
     partial stocks of which were inherited from the
     Great War, the country has no reserves of
     equipment and ammunition." 

     In all Canada there was not a single modern anti-
     aircraft gun, few operational military aircraft, no
     aerial bombs. There was ammunition for 90 minutes'
     fire from obsolescent field guns. "About the only
     article of which stocks are held," said McNaughton,
     "is harness. The composition of a modern land force
     would use very little horsed transport." [pg. 16,
     The Canadians at War 1939/45 Vol. 1]


Not only were the armed forces standing naked in the town square in '39 but the mood of the average Canadian was elsewhere. That year, during the month of August, when Hitler took possession of Slovakia, announced a ten-year non-aggression pact with Russia, moved new divisions of the Wehrmacht (German Army) to the Polish border, Toronto Star's headlines read as follows:


     $11,004 Needed Still by Fresh Air Fund

     
     Foil Grimsby Bank Holdup, Nab Suspect

     
     Toronto Man New Salvation Army Head 

["Above two photos are of text  from The Canadians at War"]

Fortunately, today, we have the resources to battle rising costs but our attention and will are elsewhere. Some are likely too busy watching TV. Others are spending money on bigger sets in order to watch highly paid professional actors and athletes go through the motions, none as important - in my mind - as the battle ahead related to keeping significant services afloat for all Canadians.

["Watching TV, while trouble brews, is so exciting"]

More to follow.


Photos by GH


***


Please click here to read Grey Power: putting money aside (2)

Money Matters: Less stressful times for many

Financial analysts spot small problems while the majority of average Canadians face really big ones.

[From 'Alison on Money', Jan. 29, METRO]

Alison says "setting up an automatic contribution plan will help you deal with this stressful time (i.e., RRSP season)." Meanwhile the average Canadian family is up to their eyeballs in debt and has no money for an RRSP contribution plan.

Someone other than a financial analyst has to soon deliver a series of new messages to help average Canadians avoid financial stress.

Try these on for size while we wait for government and business officials to prepare their notes:

Downsize the North American Dream

Buy or build a much smaller house 

Buy a much small car

Buy 50% fewer furnishings for your house

["I'm still waiting for a store like this in Old South, London"]

Buy Canadian and keep more jobs at home

Learn to cook more of your own meals

Include nature walks on your entertainment schedule

What other messages does the average Canadian need to hear in order to avoid financial stress or ruin?

Photos by GH

***

Please click here for more Money Matters

Money Matters: Stressful times for many

[Photo of 'Alison on Money', METRO, Jan. 29]

Financial analysts may at times appear to have all the answers - related to our financial health - but they fail to address very big questions. While 'Avoiding the stress of RRSP season' may sound helpful (and it will be to some readers), consider the following:

The average Canadian is up to his eyeballs in debt 

He doesn't make enough money to have an RRSP

When he hears "the maximum you can deposit to an RRSP for 2012 is $22,970" he wonders if he even makes that much and what planet is the writer from anyway?

Welcome to Canada, eh, the land of milk and honey for fewer people each year.

There are many reasons why fewer people are prospering each year and why comments from 'Alison on Money' (e.g., "setting up an automatic contribution plan will help you deal with this stressful time") sound really out of place for the average person. Canadians buy foreign products as if they're going out of style and 'Made in Canada' products and related jobs are going the way of the Dodo just as quickly. Modern machines do the jobs of many men and women and related unemployment figures seem destined not improve. Other reasons abound.

Since this is the season for financial analysts and gurus to pedal their wares, I predict a certain amount of financial stress will surface as a result of some of their encouraging words.

For example, when 'Alison on Money' says "$69,426.19 (is) the value of $100 saved monthly for 25 years at six per cent average annual return...", the average Canadian will wonder where they are going to scrap up that $100/mo. for 25 years.

Unfortunately, on that final matter, Alison remains silent. So do and many others, including most levels of government and businesses. Why is that?

Photo by GH

***

Please click here for more about Money Matters

$$ FAX 10: “We’re short”

We Canadians are crummy savers.

And too many of us bought into big homes, excess furnishings, expensive cars, plus more. Much much more.

Short? 

Reduce spending. Pay down debt. Save money, even $1 per day to create the habit.

[Photos by G.Harrison]

***

Please click here for $$ FAX 9

This Old Economist: “Do we share wealth fairly?”

Some Canadian job sectors grow wealthier.

Is Canada’s wealth shared fairly?

E.g., between private and public sectors, the two arms of a strong country?

[Photos by G.Harrison]

***

Please click here for more This Old Economist

$$ FAX 2

Canadians, you know your economy is in trouble when?

When the Governor of the Bank of Canada looks so stressed.

When he wants us to drive our own economy on the back of oilsands oil, some of the dirtiest oil in the known universe.

When he already knows our households, on average, are in greater debt than ever before in history.

My recommendations: Live small, reduce spending, pay down debt. And consider adopting - for the first time in decades - an affordable, sustainable economy and lifestyle. 

***

Please click here for $$ FAX 1

The Way We Live PT 1: Leftovers and one gourmet hot dog

[“Warren Buffett (one of the world’s three richest men) has touched a national nerve.” (He) “has taken to the pages of the New York Times to call for higher taxes - yes, higher taxes - for himself and his well-off peers.” Aug. 16, London Free Press]

If you are having leftovers for lunch and have an extra spot at the table then I’m your man. I like leftovers.

If I like something the first time, I like it even more the second time. On the third day my slow-cooker Irish stew tastes magnificent.

I relish eating food before it’s wasted and tossed, and believe me when I say a lot of stuff is wasted in North America.

Thomas M. Kostigen writes, “The average-sized house in a temperate climate can fully provide enough water to its inhabitants purely from the rainwater that falls on its roof. The sun provides in one second enough energy to power the entire US population for nine million years, yet we harness less than 1 percent of its energy. The third most common refuse at dumpsites is food.” (pg. 10, You Are Here)

You have no need now, however, to invite me for lunch. I just finished eating leftover macaroni and cheese and half a container of mashed sweet potato topped with butter and Parmesan cheese. (Just about everything I pull from the fridge tastes better with a sprinkling of Parmesan cheese, even Parmesan cheese. Sorry, I digress.) Sure, I would have liked the sweet potato more had it been mixed with diced carrot, parsnip and turnip because I like how the vegetables compliment one another, but I can’t be choosy.

What about meat?


[How about one gourmet dog on Tuesdays and Thursdays?]

I don’t feel I need as much meat as I do. One good gourmet hotdog every few days would do me fine and I prefer that I create the gourmet dog on my own. Whenever I eat a restaurant meal I feel I could do better myself. I could save a whack of money and if I planned the meal right, have leftovers the next day and save even more money at the same time. Why, I’m sure there are millions of people around the world like myself who feel they would even get a tremendous amount of pleasure out of stuffing the hotdog or sausage skins themselves and not rely on a factory of some sort to help with a small, easy task.

Maybe Warren Buffett felt some of the same feelings - about eating leftovers (with relish) and creating meals - when he said the following yesterday:

“My friends and I have been coddled long enough by a billionaire-friendly Congress. It’s time for our government to get serious about shared sacrifice.”

***

Leftovers. Stuffed sausages. Shared sacrifice. Oh, it all fits together alright.

More to follow.

Please click here to read more about taxes and attitudes about them.

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“IT STRIKES” Again: Twin Santas and Bert and Ernie heat it up on Sesame Street

[The following column was first published in January, 2003. For the first time I stray into serious political matters. And I do it in such style. Really, I should run for office like Ernie Eves. gah]

Twin Santas and Bert and Ernie heat it up on Sesame Street

While grandson Jackson played in the basement with two identical wooden Santas on candy-cane skis, I played on the carpet beside him with Bert and Ernie finger puppets.

Jackson’s Santa game went something like this:

“Hi, I’m Santa.”
“No, I’m Santa.”
“No, I’m really Santa.”
“You’re not Santa. I’m Santa.”

Simple toys can easily entertain my grandson. But there didn’t seem to be a quick solution to his debate.

Meanwhile, Bert and Ernie were involved in an interesting discussion inside their old hang-out, the Sesame Street Barbershop.

Bert: Hey Ernie. I haven’t seen you around as much lately. What have you been doing?

Ernie: Well, Bert. I’ve been busy at Queen’s Park.

Bert: Wow. That’s amazing for somebody from the toy-box. How’s it going?

Ernie: Well, now that Mr. Mike is gone some folks are a little more relaxed.

Bert: How are you getting along with Rozanski’s report about public education funding?

Ernie: ‘Wow’ yourself, Bert. That’s a pretty serious question coming from you. I mean, last week your main concern was Big Bird’s big stomach.

At this point Jackson stood up and said, “Grandpa, you’re being silly.”


["Bert and Ernie are hiding but Sesame Street is still a busy place.": photo GH]

No argument from me on that one. However, as a retired teacher I do have opinions about some educational matters. Okay, about most things.

Bert: Your Tories took big piles of dough out of public education and got asked to put some of it back. I could have predicted that and I’m just an old plastic toy from the discard pile.

Ernie: Well, I won’t quibble with Rozanski’s suggestions, but we have to hash out how much money will be there. And you did get tax cuts. That has to count for something.

Bert: Sure. It helps me pay for the gas, water and hydro bills on Sesame Street. They’re all going up.

Bert and Ernie duked it out for a few more minutes, trying to put their main concerns on the little plastic table. Ernie thought it might be appropriate (with an election coming) to give Bert a few more bucks but Bert just wanted the kids on Sesame Street to have proper textbooks when needed.

“Grandpa Gordie! Stop playing now,” Jackson yelled down the basement stairs. “Want to go skating with me?”

“Okay, I’ll be right up. Let me put a few things away. Do you want to help? I called back, but I could already hear him running toward the front of the house to get his new skates.

Bert and Ernie were cooling down. They realized they had to live with each other on the same street at the end of the day. In fact, they often bunked down in the same room over top of the Sesame Street Grocery Store.

I opened the lid to the toy-box that once belonged to my grown boys.

Erie: Bert, I’m all talked out. Want to get something to eat at the deli?

Bert: Sure. How about a tuna sandwich and a glass of cold tap-water?

I closed the lid quickly and went to find my skates.

gah

***

Please click here to read more “IT STRIKES” Again.

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Bits and Pieces: “Taxes take 41% of pay” Gasp?? Pt 1

[“The average Canadian family spent close to half its income on taxes last year - more than it paid for food, shelter and clothing combined, says a new study...” April 27, London Free Press]

My word. How shall I respond to the latest study from the Fraser Institute, a conservative think-tank?

Shall I clutch my chest over my heart? Shall I fall over and lie face down atop my shag carpet? Shall I curse the government for the terrible predicament (It is a terrible predicament, isn’t it?] that the average Canadian family faces day in and day out for the rest of my life?

No. I’ll do none of those things. Neither should you. Most average Canadians will be just fine, thanks.

Studies that share so little information don’t pass the Harrison Sniff Test.

Though the Fraser Inst. reports that “in 2010, a family with an average income of $72,393 spent 41.3% of its income on taxes,” which may all be well and true, I want to have more information for context, perspective and balance.


["So. Educate me, ya young b'y."]

For example:

What does the average family receive in return by paying taxes to different levels of government? Is there a concrete benefit to educational, health care, social programs, etc.? Can we put a dollar figure on the value of a good education or health care over the course of an average lifetime? If Canada invested in a dental care program, and paid taxes accordingly, would the average family actually save money over the long term?

By discussing the benefits of taxation fully, average Canadian family members might see they generally live like kings and queens in a free country.

I’d also like to know the percentage of tax that families pay who earn less than $40,000. And the % for those who earn between $40 - $50,000, between $50 - 60,000, and so on, right up to millionaires (the number of Canadian millionaires is growing, eh) and billionaires.

By looking at more figures we might see that the 41% tax rate is about average in Canada. Or we might see that people with higher earnings pay fewer taxes and therefore have a higher percentage of disposable income, and that a fairer taxation system is in order.

With even more information, we might learn that the average Canadian is almost getting the best deal in the world.

Stay tuned.

***

And who is the Fraser Institute? How conservative are they anyway?

Please click here for more fun with money matters.

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The Simple Life PT 2: What is this world coming to?

Really? Is U.S. debt so bad it threatens the future of the USA and Canada?

I mean, together, Canada and the U.S. are pretty big places. We have many NFL and NHL players among us. They alone kick serious butt.

The U.S. debt would have to be awfully big to threaten anyone on my block.

So, how big is the U.S. debt anyway?

According to recent news, in 2008 “The U.S. National debt was $9.6 trillion and climbing at a rate of $2 billion a day. U.S. debt in 2008, as a percentage of their GDP (all the goods and services they produce), was 75% and rising.” (M. Warren, Feb. 12, London Free Press)

Okay, that was then. What about now?

“Today their fantasy financing is approaching Ponzi scheme proportions. The federal debt has exploded to over $14 trillion. It's now growing at $4.4 billion a day. And, it's reached 100% of GDP, or about $126,000 per taxpayer.”

So, not only has the daily debt load more than doubled per day, it appears to be rising by about $1.5 trillion per year.

Yes, it looks bad when we look at the numbers.

And guess what? It looks even worse when we look at a few charts found online. (E.g., Google - U.S. National debt)


[From 1940 to 2007]


[U.S Debt compared to GDP]


[U.S. Debt to 2009. A ladder is needed to reach 2011]

In spite of the numbers and charts, M. Warren’s articles goes on to say that “the results of the mid-term elections, Republican control of the House, signals that a large segment of the American people are not ready for serious fiscal reform, even with a looming economic Armageddon. A false air of entitlement still prevails. There is an abiding conviction, even at the most senior levels of the U.S. government, that all is well, and that the ‘old normal’ norms have returned.”

In the Feb. 14 issue of The London Free Press I read that Pres. Obama wants to cut the U.S. deficit by $1.1 trillion over ten years, or by $110 billion per year. (Happy Belated Valentines Day. Don't ya just love it?)

Even with that reduction, the deficit will still rise by approx. $1.4 trillion per year and therefore increase the national debt - from the current $14 trillion - to $28 trillion by 2020 - 2021.

It’s a disaster in the making.

As well, US Republicans are not impressed with Obama’s plan, will likely stall any reductions, so the national debt will very likely more than double in size in just ten short years.

And there are still people who talk about returning to the good old normal days??

Good grief! Charlie Brown would say.

In my opinion, gone are the days of the old normal, in the U.S. and here in Canada.

***

Please click here to read The Simple Life PT 1.

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The Lite News: Some of this is actually true

For those who notice just about everything that happens in their community - since Oct. 28 The Londoner, Deforest City’s community newspaper, has been 48 pages in length.

I know these things. I counted.

It’s huge compared to a couple of years ago when it hit a low of 16 pages and my column was all of 7 lines long.


["Editorial - Changes": photos by GH]

Hardly anything was fit to print during the recession. I could have cut mine back to 5 lines had I even tried.

It’s now bigger. Staff numbers are higher. Folks are three deep in my closet alone.

I’d like to take a moment to say hello to some of our new readers in Harrietsville and ask, “Who makes those nifty metal sculptures at the main corner of town? Awesome stuff.”


["Hello to folks in Glenworth! Or is it Glanworth?"]

May I just add, “Yes, that was me bombing through your village last Tuesday going about 120 mph. My bike wanted to go fast. So did I. Call me irresponsible if you can catch me.”

“Hello to Jim Jackson. The guy scored two goals during last Wednesday’s hockey game. Slip an envelope under my front door and maybe I’ll write a column about that.”

Bigger staff, eh?

Maybe it’s time for a raise.

***

More Lite news here.

The Londoner online here. Visit 'columnists' if you've got time to spare.

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Freedom 75 PT 2: Oh, you can make big bucks on CPP

Hey, I’m back.

(And yes, that was the longest bathroom break on record).

Yesterday I mentioned that there is some good news related to retirements and pensions if you are Canadian.

For example:

“If you stay on the job until 70, payments could be $4,600 a year more (than if you retired at 65), based on maximum CPP benefits.” (Oct. 27, Brantford Expositor)

Goodness gracious. You could barely carry that much extra money around in a wheel barrow.


[“More money. I’ll stop making birdhouses”: photos GH]

I mean, that’s $383 MORE per month or about 13 bucks MORE per day.

I can hear you say, be still my beating heart.

But there’s more good news and you deserve it, especially if you’ve been staring at your computer screen while I’ve been ‘away.’ (That’s as nice as I can put it).

I also read the following in the same news article:

“By age 90, someone who retired at the age of 70 will have collected about $100,000 more from the CPP than someone who retired at 60.” (full article here)


[“I’ll finally be able to afford that boat trip!”]

Let me put that another way so you catch the full impact of the good news.

If you take a late retirement you will be graciously rewarded by the Canadian Government, to the tune of $4,600 MORE per year. That’s every year for the rest of your long and healthy life.

If you live until you’re 90 - and I know you want to - you’ll collect, free of charge (don’t even think about the work you would have to do between the ages of 66 - 70; it will be a cakewalk), another $100,000 to spend in any way that you wish.

Hopping down to the local coffee shop, that will be me!

Yes, I must admit, if you do the math it will be more like $92,000, but let’s not quibble right now. I can almost guarantee you won’t be quibbling if you reach 90.

So, after all the bad news I’ve been sharing recently (e.g., re THRIFT is dead), doesn’t the good news about our CPP make you smile?

It does me, that’s for darn sure.

The sense of optimism associated with the news carries on, I’m sure, when you read about the government’s reasons for suggesting such changes to our pension plan.

For example:

"The government has been tweaking the CPP to ease the burden on the state retirement system as the baby boom generation begins to leave the workforce. Concern is mounting over inadequate personal savings and the potential drag on the economy as new retirees find themselves facing a big drop in spending power.”

See?

The government doesn’t want the pension system to collapse and leave all us old-timers stranded.

The government knows our savings is kaput and wants to help us along. And an extra $100,000 (okay, okay, it’s more like $92,000) - talk about your Golden Handshake, eh, as long as they don’t squeeze your hand too tight.

Plus, the government doesn’t want us to be a drag on the all-important economy, and I know that’s what I’m going to be thinking about when I’m 90. Yes sir.

Nothing but good news here today.

***

More thoughts about Freedom 75 here

And here.

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Freedom 75 PT 1: Oh, you can make big bucks on CPP

Time for a bit of good news, for Pete’s sake.

While passing along the troubling news that retirement ages may be rising on the other side of the Atlantic Ocean, i.e., to age 66 in England, to 67 in France and to 102 on the island of Sardinia (though that may just be an ugly rumour perpetuated by a Sardinian shuffle board player with a snarky attitude), I forgot to mention how lovely and different things are here in Canada, home of 100-proof Maple Syrup and kind-hearted shuffle board squads.


[Meet the Sardinian Shuffle Board Champeens: photo details]

Unlike in England and France (possibly Sardinia, an Italian island that is not only synonymous with taut, tanned bodies and good looks, but also has the world's highest percentage of people who have passed the 100-year-old threshold), where retirement and pension changes are rammed down throats with an iron fist (so it seems to some), in Canada a few nice little changes are being proposed - here and there, perhaps - and citizens are mildly encouraged to consider them when they have a spare moment.

Maybe you’ve heard, if you’ve had the time.

A recent newspaper article, entitled ‘Expert: Avoid CPP shock’ (see how nice we are in Canada; we don’t want anyone to receive a shock) I read the following:

“Upcoming changes to the Canada Pension Plan will have a major influence on what age people retire, with those opting to work longer standing to get significantly more cash.” (Oct. 27, Brantford Expositor)

Now, is “ significantly more cash” not good news?

Sure, there’s this little (bitty) downer:

“The changes will mean anyone who chooses to retire early and begin collecting benefits at 60 will have about $4,000 a year less than if they had retired at 65.”

But, you likely already knew about that mild downer.

However... (here’s where it get so good!)

“If you stay on the job until 70, payments could be $4,600 a year more, based on maximum CPP benefits.”

Good grief. Money will be spilling out of your baggy pants if you only work 5 years longer than you may have originally planned.

Do the math. $4,600 MORE per year is about $383 MORE per month or about 13 bucks MORE per day.

(When I typed 13 bucks I almost wet my pants. I’m not kidding).

Oh sure, you’ll be five years older but don’t think about that. Think about $13, or $12.78 actually, and what it can buy.

Now, I’m not here to tell you how to spend your money or ask you to make a list of all the things you can buy with $12.78.


["Buy batteries for your old radio. Live it up!": photo GH]

I’d rather tell you the best news yet from the same report.

First, I’d better go to the bathroom.

More to follow.

***

Excited yet?

You’re probably wondering why I sat on this news.

More news about THRIFT (not half as good) while you’re waiting.

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My New Economic Plan Pt 5: Get small before you get low

Let’s do a review. (Yes, I sure need one).

Here in London, Ontario, unemployment nudged up to 8.3% recently.

The unemployment rate was up in several provinces as well.

Canada’s jobless rate rose to 8.1% overall, higher than desired.

Ontario’s industrial heartland is being hit by the most recent slowdown in the American economy.

Ontario’s economic growth is 80.8% reliant on US growth.

The US is in for a long, hard struggle.

A double recession could easily occur south of the Canadian border.

Despite some signs of recovery this spring, the US - with 9.5% unemployment - has made up few of the 8 million jobs it lost in the last recession.

Despite massive government spending to stimulate the economy, home foreclosures in the US are also again reaching record highs, jobless claims are rising and core retail sales are falling - factors some believe are harbingers of another recession.

The economies of the G7 industrialized nations (i.e., Canada, France, Germany, Italy, Japan, United Kingdom, and United States) are slowing faster than previously forecast.

The biggest threat to G7 nations may be the slowdown in private consumption.

The American national debt is about to surpass $13.5 trillion for the first time in the history of the universe.

$13.5 trillion is 91% of the US Gross Domestic Product, i.e., debt almost equals earnings.

Canada has a terrible record for paying down debt, i.e., only in 20% of the years since 1960.

The US record for paying down debt is far worse, i.e., 0% since 1960.


["Sorry. This ain't great news"]

Finally, the US national debt has doubled since 2002 and not just because of the recession.

Should Americans be overly concerned? Yes.

Should Canadians be concerned? Double yes. Our own economy will likely be unable to generate necessary revenues for the future and we’re tied to America’s hip - and it’s faltering.

In a NY Times article entitled ‘America’s Sea of Red Ink Was Years in the Making,’ I read that Pres. Obama “does not have a realistic plan for eliminating the deficit, despite what his advisers have suggested.”

Trillion dollar deficits will become the norm, adding more debt to America’s shoulders for years to come.

The projected result:

“This debt will constrain the country’s choices for years and could end up doing serious economic damage if foreign lenders become unwilling to finance it.”

The repercussions of any serious economic damage will give London’s city council, Ontario’s provincial government, Canada’s federal government, US state and US national governments much to talk and worry about for years to come.

On both sides of the border, choices (e.g., economic, environmental, social, health care, educational, recreational...) will become more limited.

One day ‘getting small before we get low’ may not be a voluntary choice.

What do I mean by that?

Please click here to read My New Economic Plan Pt 6.

***

While you’re waiting, read a very exciting article found in yesterday’s newspaper.

It's entitled 'Debt ratio puts us right behind Greece' and that's not where we want to be.

Such news may kinda inspire you to hurry up plans to ‘reduce spending, pay down debt and save money for tough times ahead.’

.

Do Canadians have clear goals for the good life?

I love small articles about survey results that relate to peoples’ goals.

A recent one started with the the headline ‘Canadians Dream’ and the subhead ‘Canadians have clear goals for the good life.’

I immediately thought, yes, Canadians do dream, but what do they dream about? I know what I dream about. Am I normal?

And do Canadians actually have clear goals for the good life - as far as I’m concerned? Because that’s what’s important around here.


["Are my ideas all wet?"]

And do we actually ever talk about what good healthy goals in life should look like?

(And, yes, I’ll get back to my series about my new economic plan and how deep the US is in debt and how associated problems could sink us all one day while we’re busy watching Coronation St. on TV or doing something else just as important but while we’re otherwise distracted from real life. Sorry, I digress).

The article began as follows:

“Home ownership, travel and early retirement are tops on Canadians' list of their dreams for the future, according to a new survey by HSBC Bank Canada.”

So, according to 1,001 adults aged 18 or older who were home when an employee of Research House called, most Canadians want to buy a home (61%), then leave it and go somewhere else for a few weeks (50%), then come back home and dream about leaving work (40%).

At the same time, “almost all respondents said they hope for financial stability one day.”

Now, I can understand all of the above. But knowing what I do (so do you) about growing personal, provincial, Canadian and American debt, we’re going about things all the wrong way, aren’t we?

Stay tuned.

***

Debt in just about every area (not all - my mayo jar savings program is working out) of our lives is going through the roof.

We may have goals for the good life but are they clear? Good? Reasonable?

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My New Economic Plan Pt 4: Get small before you get low

I’m trying to become more of a saver than a spender.

At the rate I’m going, I’ll be debt free in 10 years and have over $5,000 in my mayo jar savings account.

Recently I guaranteed the success of my mayo jar account - into which I drop at least 10 bucks per week - by quitting one of my weekly hockey games. I’ll run in Springbank Park in my old woolen Toronto Maple Leafs sweater instead - for fun and fitness, eh.

Sorry, I digress.

On the other hand, governments in Canada and the USA are more spenders than savers.

Though I’m tickled pink to be a Canadian citizen, I fret a bit about our growing debt. If I don’t, who will?

I’m beginning to fret more, however, about (read Pt 3 for context) the growing national debt in the US, the country to the south that can, when it sneezes, quite easily knock us off our collective chairs and onto our comfortable behinds.

It doesn’t take a rocket scientist or someone whose body is suffering from the stubborn pull of gravity or yesterday's hockey game to notice the US debt is climbing toward the sky and into record territory with each passing year.


[Click on the chart above to increase its size, as if by magic: GH]

In recent memory, only Pres. Bill Clinton came close to a balanced budget during his term, i.e., with a financial plan that added a mere $18 billion to the national debt in 2000. (Maybe a booming economy helped. Will we ever see those years again?)

Before him, Pres. Jimmy Carter (another Democrat, by the way) came in with a budget in 1979 that added only $56 billion to the debt.

Every other budget in the past 35 years has increased the nation’s debt significantly.


More information about the US debt for the last 10 years follows:

Debt for the year ending Dec. 1999 - $5.776 TRILLION

2000 - $5.662 (debt fluctuates daily; a week later - $5.722)

2001 - $5.943
2002 - $6.405
2003 - $6.997
2004 - $7.596
2005 - $8.170
2006 - $8.680
2007 - $9.229
2008 - $10.699
2009 - $12.311
2010 - $13.440 (as of Sept. 14; link to Debt to the Penny)

Is it growing fast enough for you? If those figures don’t motivate us to get small before we get low, I don’t know what will.

Whereas debt used to grow yearly by the billions of dollars, now it grows by the trillions.

Though the US population is 10 times greater than Canada’s, the US debt is 20 times greater.

In 10 years, the debt could stand well over $25 trillion.

This is not cheery news. If the US debt is in the process of weakening national stability, there will likely be hell to pay in the near future.

I recommend you find a mayo jar, reduce spending, pay down debt and save for the tough times ahead.

Please click here to read My New Economic Plan Pt 5.

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Unmanageable debt can lead to problems.

I wonder what some of those problems might be?

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Wind Turbines Pt 1 and the loud call for a pristine view

Love them or hate them, wind turbines are in the news and may soon be parked offshore at a beach near you.

I like standing right under them and taking photos of them as they fade toward the horizon.


["Turbine at Orchard Line, west of Port Burwell": photos GH]

Others like them so far away they can’t be seen.

A recent government proposal “is for the turbines to be five kilometers from shore, but at that distance they would still be visible and would ruin the beautiful views of the lake,” says R. Leduc (Dashwood), Aug. 21, London Free Press.


["Turbines fade away east of Pt. Burwell beach"]

Mr. Leduc wants people to tell the government to place them “far enough from shore so they will still provide the necessary power but not be visible. This would be a win-win solution.”

Wait just a minute.

It would be win-win until Mr. Leduc pays his hydro bill.

Then he’d notice it is inflated due to higher construction and maintenance costs.

First, more far-off turbines would be needed to insure sufficient outputs (hydro is lost from lines as it travels toward its destination; the farther it travels, the more is lost, and we pay for the lost hydro; check your last bill).

Second, crews would need to be dispatched by boat or chopper to distant turbines for any repair.

Do boat and chopper crews work for free? Mr. Leduc’s got money to burn? Not likely.

However, he has likely grown quite accustomed to many other things that long ago spoiled his view.

I bet he’s seen power lines suspended from poles and towers for so many years now he doesn’t even notice them as they wind along his city streets delivering electricity right to a pole attached to his house.

And the 60 - 80 ft. giant metal monsters carrying wires from county to county through fields and forests are likely invisible to him now.


["On a hazy day 30 turbines become invisible at Pt. Bruce"]

Case in point. I used to stop and take pictures of turbines every chance I got when I first noticed them 3 - 4 years ago as they stretched from Port Bruce to Port Burwell. I even used to tell others to take a day and drive down to see the shiny new monsters. I was impressed with their beauty.

Now, I don’t notice them as much. I’m used to seeing them. They’re part of the landscape.

They do, however, still add to the view, in my opinion, when I glance over my shoulder while riding my bike along the lakeshore roads.

More than needing a pristine view, we need to conserve electricity.

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What are other examples of things that once were very noticeable - spoiled our view - but now just blend into the background?

Large trucks on highways?

Big hair?

Front yard driveways filled with two or three cars?

Apartments taller than 4 storeys?

People over 6 feet tall?

Please click here to read Wind Turbines Pt 2

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It Strikes Me Funny Pt 1: We may just be tired of spending our money

It’s bad enough that we sometimes disappoint our parents.

“Get a haircut. Get your feet off the couch. Get a real job.”

I know. I feel your pain.

It’s bad enough we sometimes disappoint our employers or customers.

“Get a hairnet. Get your feet off the grill. Make me a real cheeseburger.”

I know. Real cheese is hard to find.

And now, according to the following headline, we’re disappointing someone else:

“Shoppers disappoint retailers this summer”

Oh, boo hoo. Boo hoo. Boooo hoooo.

I shed crocodile tears for all concerned.

You’ll see no real tears from me, even after reading that ‘three of North America’s biggest retailers reported lacklustre sales in the spring/summer quarter, supporting growing evidence the economic recovery may be losing steam as consumers tighten their purse strings.’ (Aug. 18, London Free Press)


["Stay out of stores as much as possible. Find a cheap hobby": photo GH]

I’m sure you would expect no less from me.

In my most recent column, entitled ‘While temperatures grow hotter we remain cool to change’ (Aug. 19, The Londoner), I wrote the following:

“It is readily apparent that, though governments will likely make shallow commitments (re climate change) - ‘shallow’ may be a gross overstatement - individuals can change the rate of (global) warming by keeping their cold hard cash tucked safely inside their wallets, purses and savings accounts.”

Rather than rescue retailers I think we should be making a significant retreat from spending and consumption of many retail goods.

I call it “a meaningful recession.”

I’m disappointed with retailers who don’t agree.

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Stay tuned.

Tired of spending?

A savings account spells r-e-l-i-e-f.

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Thing$ Going $$South Pt 3: The US economy? Oh, oh Canada

Our over-inflated dog of a lifestyle here on planet Earth may be coming back to bite us.

Not only are many expenses going north (collect the whole set!) but there are signs that the global economy is going south.

One result - those that are bitten turn a bit snarky. (And snarky is worse that starkers in may ways, isn’t it? Just asking).

One thing for certain that is going $$South is home ownership.

Another is Greece. Whoops! It’s so slippery.


["Get ready for a lot of company, Pee Wee"]

Could the North American economy be the next thing that goes south?

After all, according to recent news, the following bad economic signs are evident:

Home foreclosures are reaching record highs again

Jobless claims are rising

Core retail sales are falling

And, because the Canadian economy is strongly reliant on the US economy, if the US economy goes south so does Canada’s.

Isn’t that exciting news?

It gives a whole new meaning to “let’s go south for the winter, Edith.”

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I should start listening to cheerful music every morning.

You hip? Any suggestions?

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