There is so much information tossed around about the economy in Manitoba, it can be difficult to know what is true and what isn’t. With so much news coverage about the economy in Manitoba, people are seeking information. The news tends to share stories about how strong the economy is. Yet there are missing pieces of such reports, and they don’t give a clear report of what is really taking shape with the economy in Manitoba.
Workers in this area make less money than just about all the other provinces around Canada. They also have the least number of small business owners when compared to the other provinces. Yet they face some of the highest taxes. This makes it hard to find a good job and it also makes it hard to buy a home or cover monthly expenses on your wages.
In 2013, the Conference Board projected the 2015 growth would be faster than other provinces. The problem though is the same information was presented in 2011 for the growth by 2013. The data is the same, so something isn’t adding up.
The report by the Conference Board failed to highlight the fact that Manitoba’s GDP hasn’t increased. In reality, it has decreased along with several other provinces. This is due to the lower commodity prices that temporarily took place. They put this information at the very end of their one-page report. Did they do so hoping most people wouldn’t see it? On the other hand, the housing market is a whole other post.
Projecting growth includes effects from the Hydro BiPole III which was severely over budget as well as other dam projects that resulted in rate hikes for residents of Manitoba. If these projects are completed, many people will see their bills double or even triple.
Government expenditures are part of the GDP numbers, even if that spending isn’t deemed necessary. This causes the reports on the deficit for Manitoba to be higher than anticipated. It will be close to half a billion. They already have a reported debt of $30 billion!
If interest rates increase or construction costs go up, it will slow down the growth of Manitoba. This is going to make the economy worse than it is currently. Financial funds being poorly managed by government officials in Manitoba continue to make the economy struggle to improve.
Better public policies are important for the economy of Manitoba is going to get better. There are recommendations on the table for managing debt and reducing spending. Plans need to be in place to help grow the economy and get the debt reduced. Raising taxes isn’t the way to make it happen, the people of Manitoba can’t afford it!