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Discussion Starter #21
I said they are the same. How they are handled is different.

As we learned from the US experience in 2007, letting defaults turn into mortgage foreclosure was a spectacularly bad idea.
 

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China owns a lot of US debt...since they are responsible for the virus, maybe they can forgive some of that debt. Does anyone know how much money Canada owes China? Maybe some of that can be forgiven to help pay for the mess they created.
 

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Discussion Starter #24 (Edited)
I can see eliminating the principal residence exemption for capital gains coming to a neighborhood near you.

Probably a hike in the HST and maybe a minimum tax for corporations. If the virus rages on for 2 more years....a plan won't matter.

As for debt defaults, I would make it free to declare bankruptcy. The lenders can have their stuff back. They are big boys and knew the risk.

I would allow the lenders to extend amortization periods on mortgages to 50 years to lower payments to save some foreclosures.

I would lower the maximum interest lending rate to 10% above the BOC rate for all other lending.

I would assign all new revenues to paying down the national debt.
 

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I can see eliminating the principal residence exemption for capital gains coming to a neighborhood near you.

Probably a hike in the HST and maybe a minimum tax for corporations. If the virus rages on for 2 more years....a plan won't matter.

As for debt defaults, I would make it free to declare bankruptcy. The lenders can have their stuff back. They are big boys and knew the risk.

I would allow the lenders to extend amortization periods on mortgages to 50 years to lower payments to save some foreclosures.

I would lower the maximum interest lending rate to 10% above the BOC rate for all other lending.

I would assign all new revenues to paying down the national debt.
or the return of 75% capital gains inclusion.....something already whispered about before Covid
 

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Tax gas prices to what they were before the oil price war started, add say $0.40/L, until the 2m "social distancing" is lifted. Credit back those driving for essential services only.
 

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I can see eliminating the principal residence exemption for capital gains coming to a neighborhood near you.

Probably a hike in the HST and maybe a minimum tax for corporations. If the virus rages on for 2 more years....a plan won't matter.

As for debt defaults, I would make it free to declare bankruptcy. The lenders can have their stuff back. They are big boys and knew the risk.

I would allow the lenders to extend amortization periods on mortgages to 50 years to lower payments to save some foreclosures.

I would lower the maximum interest lending rate to 10% above the BOC rate for all other lending.

I would assign all new revenues to paying down the national debt.
What do you mean "minimum tax" for corporations. There is no "basic corporate exemption" for corporate taxes.
Yes, hike the GST, the most regressive of all taxes.

Free to declare bankruptcy? I'm not sure what you mean by "free".
Who will pay the bankruptcy trustees?

Mortgage amortization of 50 years isn't much cheaper than 25 years.
Also unless they allow rate lock in of longer times, people will be in for a shock if rates go up at renewal. This will hurt the poor.

If maximum interest rate are capped that low, people with poor credit will get cut off from the legal lending market, which of course hurts those with lesser means.

Paying down the debt? Do you realize that the government was operating at a massive deficit BEFORE Covid 19?
With the damage to the economy, tax revenues will be even lower. We're going to have to hike taxes by a good 10+% just to catch up to what they were planning on spending before this.



I think it is quite telling that 3 of your policies appear targetted at making things worse for the most vulnerable.
One I don't really understand.
And of course the last ignores the reality of the current federal budget.

I don't think your proposal is a good idea, well except for maybe those who want to keep the poor poor.
I think any plan that causes disproportionate harm to the most vulnerable is a non-starter.

Grow some compassion and try again.
 

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Never let a crisis go to waist. The central bankers have issued debt to nationalize corporations. Japan tried to flatten the curve of their down turn after the peak in 1989 they are still in a downward spiral. Covid 19 has not caused the depression it is the authoritarian government that looks to communist China as the template to follow :(

The corporations buying back their shares during the bubble that are getting the big cash while the peasants get peanuts with the middle class getting destroyed.

The longer it takes to get the economy going the harder & longer it will be to get going which will result in more death & hardship.
 

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The power tripping government is going to use the crises to strength the argument to get rid of cash. They never look to themselves as the problem instead they look @ those that avoid paying taxes as the problem. The government looks to Europe & thinks negative interest rates never worked because people just used cash. Eliminate cash bring in a single currency is thier goal.
It will never work long term as history has shown the world is to big for an authoritarian government to control.
 

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The longer it takes to get the economy going the harder & longer it will be to get going which will result in more death & hardship.
The problem is lefties don't seem to understand that without a strong economy, people will die.
The government shutdown of the economy IS KILLING PEOPLE.

They simply ignore or don't understand that, which means these COVID measures are just fine by them.

And they LOVE the power, they're trying to stop Porch Portraits. Really, a photographer on the sidewalk with a telephoto lens. Who does everything electronically. If 20' isn't far enough to be no risk, we're screwed.
They have a good reason to shut down a lot of the economy, but then they're trying to shut down things, just because.

Now my question is, are they pushing this stuff because they're power tripping, malicious, or incompetent?
 

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Discussion Starter #32
Nobody is going nowhere for a long time. You just have to learn to accept it.
 

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Your'e the one saying that they're different.
"The main difference between default/bankruptcy and debt forgiveness is the ability of the government to manage them. "
That's doublespeak for political interference.
Consider the following debt stimulus except substitute the Canadian Government for the tourist!
Quote by Bernard A. Lietaer, Rethinking Money: How New Currencies Turn Scarcity into Prosperity

It is a slow day in the small Saskatchewan town of Pumphandle, and streets are deserted. Times are tough, everybody is in debt, and everybody is living on credit.
A tourist visiting the area drives through town, stops at the motel, and lays a $100 bill on the desk saying he wants to inspect the rooms upstairs to pick one for the night.
As soon as he walks upstairs, the motel owner grabs the bill and runs next door to pay his debt to the butcher.
The butcher takes the $100 and runs down the street to retire his debt to the pig farmer.
The pig farmer takes the $100 and heads off to pay his bill to his supplier, the Co-op.
The guy at the Co-op takes the $100 and runs to pay his debt to the local prostitute, who has also been facing hard times and has had to offer her "services" on credit.
The hooker rushes to the hotel and pays off her room bill with the hotel owner.
The hotel proprietor then places the $100 back on the counter so the traveler will not suspect anything.
At that moment the traveler comes down the stairs, states that the rooms are not satisfactory, picks up the $100 bill and leaves.

No one produced anything. No one earned anything. However, the whole town is now out of debt and now looks to the future with a lot more optimism. And that, ladies and gentlemen, is how a Stimulus package works.
 

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Nobody is going nowhere for a long time. You just have to learn to accept it.
Not going to happen when the masses lose everything they lose it. They can increase the handouts 100 fold & it will do nothing for the economy when the government stops people from being productive.
 

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Not going to happen when the masses lose everything they lose it. They can increase the handouts 100 fold & it will do nothing for the economy when the government stops people from being productive.
That's the thing, this is a health concern, and a government induced economic crisis.
 

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The closing of schools in the US has caused a disruption to the supply chain which supplies the schools with fruits & vegetables resulting in farmers plowing the crops under since they can not get the food to market.
That's part of the supply chain issue, they're trying to get the restaurant supply chain supplying retail, but it is much harder than people think.


I don't think people realize that US restaurants were using somewhere around a billion pounds a day of food. Data extrapolated roughly from below.
Food Waste Is a Massive Problem—Here's Why | FoodPrint

When you're talking quantities that vast, it's almost incomprehensible. It's easy to think of a solution for a few trucks worth. But when you start talking about 20 fully loaded cargo ships per day... I can't even understand that much food on a daily basis.
 
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