As if there wasn’t enough tension in the world of everyday people.
I expect the savings rate by Albertans is even lower. While we make significantly more on average than the rest of Canada we also spend a lot of what we earn.
The lower savings rates, growing debt on credit cards and lines of credit also adds to personal economic vulnerability.
Alberta has a higher than average unemployment with a recovery from recession that is showing creeping changes. The rehiring is less and demanding different skills as businesses rethink processes and move to more tech solutions like automation and robotics.
Then we have interest rates rising from long term record lows.
All this foreshadows a shift to lower consumer spending. This could be a good thing as it will raise citizens conscienceness about prudent pragmatic public spending as well.
Austerity isn’t a solution. Retooling public services with design thinking to be more responsive, efficient and effective is a better policy approach.
Canadians Aren’t Saving Much of Their Paychecks for a Rainy Day https://assets.bwbx.io/s3/readings/PJ23VO6VDKHU1543670236702.mp3