According to recent studies, Canada’s GDP per capita has been falling since 2019, marking one of the longest and deepest declines in real GDP per person since 1985. This decline is attributed to various factors, including the impact of the COVID-19 pandemic and subsequent economic challenges.
Regarding incomes, house prices, and taxes, the situation is indeed challenging. Incomes have not kept pace with the rising cost of living, and housing prices in major cities like Toronto and Vancouver are comparable to those in Los Angeles. Additionally, the tax burden on middle-class families can be significant, with some estimates suggesting that they might pay up to half of their income in taxes.
Public sentiment reflects these economic difficulties. Surveys indicate that a significant portion of Canadians, especially younger individuals, believe that “Canada is broken.” Approximately 70% of Canadians share this sentiment, with the number rising to 80% among the younger population. Furthermore, nearly half of Canadians are considering moving to another country due to these economic pressures.
Canada is headed for its worst decline in 40 years as economy fails to recover from the pandemic.
Under Trudeau, incomes are West Virginia level, house prices are Los Angeles level, and a middle class family might pay *half* their income in taxes.
7 in 10 Canadians now think… pic.twitter.com/Ha1AoJ0Cpf
— Peter St Onge, Ph.D. (@profstonge) July 25, 2024
Sources:
https://financialpost.com/news/canada-standard-of-living-faces-worst-decline-40-years
https://ca.finance.yahoo.com/news/posthaste-canadas-standard-living-track-120311459.html