Despite Low Inflation, Canadians Still Getting Poorer

The elitist mainstream media doesn’t like to look deep into economic data. They focus on job reports, GDP, and inflation, to the exclusion of almost everything else.

What they won’t do is give context to those numbers, and describe their real impact.

For example, the inflation rate increased by 1.6% year-over-year in March, which was down from 2% the month before. Overall, this is good news for consumers, as the value of our money was not eroded as severely.

However, what’s being left out is the fact that the wages of Canadians are not keeping up with inflation.

As I reported in early April, Canadian wage growth has fallen to the lowest level in 20 years under the Trudeau government. Wages were up just 1.1% year-over-year.

Since wage growth is lower than inflation, that means Canadians are becoming poorer in real terms. It’s no benefit to somebody if their wages go up 1% and the cost of living goes up 1.6%. They’re just .6% poorer.

The establishment media doesn’t want this story told

This decline in the purchasing power of Canadians is the reason there is such a disconnect between what the elites say about the economy, and what the rest of us feel.

When people say things are getting worse, they are right. The average Canadian is becoming poorer. A few enclaves in the biggest cities – where the establishment media is concentrated – are becoming richer, and that skews the whole national picture. Outside those islands of prosperity, the vast majority of Canadians are struggling.

That’s why we need to tell the real story about the economy, and give context to numbers that are otherwise used for deceptive purposes.

Spencer Fernando