High minimum wages have minimum benefit: Globe and Mail Op-Ed

Ontario and Alberta will soon dramatically increase their minimum wages to $15 an hour. Unfortunately, these fast and sizable minimum-wage increases are likely going to reduce employment and increase poverty, particularly for the low-income families that the governments are seeking to help.

The Ontario government introduced legislation on June 1 to raise its minimum wage from $11.40 an hour to $14 next year and then to $15 on Jan. 1, 2019. As soon as Jan. 1, 2018, Ontario will face – under the legislation – the largest one-year increase in the minimum wage rate (22.8 per cent) of any province over the past two decades.

In June, 2015, Alberta was the first province to plan a $15 minimum wage, which would amount to…

Ben Dachis – Ontario’s Laws Of Unintended Consequences

Peter Hicks – The Federal and Ontario Approaches to Fighting Poverty: Too Much Emphasis on Income?

Our Workers Outgunned: Financial Post Op-Ed

Business investment in Canada is weak. The 2017 federal budget highlighted how it is lagging the rest of the economy. Bank of Canada Governor Stephen Poloz and his colleagues have expressed concerns. A few weeks ago, Deputy Governor Larry Schembri emphasized the importance of business spending on new plant, equipment and intellectual property for growth in the short run, and for the capital stock that raises living standards over time. Weak investment is a problem now and for the future.

We estimate that Canadian businesses will spend about $11,700 per worker on new, non-residential capital this year, far below a peak of $15,100 in 2014. The fall-off means the average Canadian worker will have less infrastructure,…

Don’t Worry About the Robots, Canada: iPolitics Opinion

The robots are coming! No job is safe! We’ve been hearing this refrain for a while now, describing the latest wave of the technological revolution that has transformed economies everywhere. But is there truly nothing a machine can’t do better than a person?

With all that current technology can accomplish, it’s easy for people to assume that robots will be replacing humans in all corners of the workplace. Our latest research for the C.D. Howe Institute — ‘Future Shock? The Impact of Automation on Canada’s Labour Market’ — carefully assesses the evidence.

Our main conclusion: There’s no need to reach for the panic button just yet.

It seems like the federal government agrees with us, as the recent budget…

Equipment Failure: Feeble Business Investment Costs Canadians their Competitive Edge

Rosalie Wyonch on BNN – Automation poses no doomsday scenario for Canadian jobs

Rosalie Wyonch, policy analyst at C.D. Howe Institute, joins Business Day to discuss their latest report, which rejects alarmist claims that automation will lead to mass unemployment in Canada.

Click here to the read the report, “Future Shock? The Impact of Automation on Canada’s Labour Market.”

Future Shock? The Impact of Automation on Canada’s Labour Market

Le choc du futur? Les répercussions de l’automatisation sur le marché du travail au Canada

Will Donald Trump Realize That Trade Deficits Aren’t The Problem With The American Economy? Financial Post Op-ed

No one likes the word deficit. In government finance it means you spend more than what you raise in revenue. And in trade it means you import more than you export. U.S. President Donald Trump has repeatedly pointed to widening trade deficits with countries such as China and Mexico as proof positive that his predecessors have made bad trade deals.

But it is misleading to think of trade deficits in that way. At the very least, the reality is far more nuanced.

First, imports have a beneficial impact. More countries selling to the U.S., or Canada, means more affordable goods for consumers, which has helped boost what’s called the “C” variable — consumer spending. In the U.S., in fact, if we remove food and energy from the…

No Schooling on Education Cuts or Tax Hikes: Winnipeg Free Press Op-Ed

Property owners in the Winnipeg School Division are being asked if they are willing to pay more taxes to save school programs. We have been told the nursery program may be on the chopping block if taxes are not increased. Trustees are encouraging parents and ratepayers to attend consultation meetings and provide feedback.

The former NDP government provided consistent funding increases to education over a multi-year period. The current Tory government, faced with a large deficit, wants to reduce spending, so school divisions will not receive as much provincial funding as they would like. The board of trustees warns the shortfall may need to be recovered by increasing property taxes.

During the decade in…

Toward a New Balance in Social Policy: The Future Role of Guaranteed Annual Income within the Safety Net