Trading was slight over the week. The American cousins were celebrating Thanksgiving, so not all that much going on in markets.
In Toronto on Tuesday night, the benefactors of the C.D. Howe Institute gathered at the Royal York for their annual dinner. B.C.-based economist Kevin Milligan was the key-note speaker. He laid out a plan for a radical overhaul of the Canadian tax system. His suggestion is that the Canadian tax-code has not been updated since the Carter Commission in the 1960s. A stream of one-off tax credit tweaks, such as the child fitness tax credit, have only added complexity to the system—time to clean things up. Citing the work of trendy economist Thomas Picketty, Milligan suggested that something also needs to be done about widening economic inequality. The ability of high income earners to avoid taxes by taking money offshore has made taxation more difficult today. His idea: Institute a dual income tax. Labour income should be taxed progressively. Capital taxes should be taxed flat. This would be similar to tax regimes adopted in Scandinavian countries in the 1990s. Sure, lefties will complain about flat capital taxes. And those on the right will complain about new progressive taxes on income. But he’s got a solid argument. Here’s a video the C.D. Howe Institute posted this week on the idea. This won’t get any attention among the broad population. But it’s an interesting idea. Here’s the site
Also out from the C.D. Howe Institute this week: Alberta and Ontario lead in terms of innovation
. The measure: Patents filed per capita.
The Canadian Venture Exchange turns fifteen today
. Trivia question: Can anyone guess all the name changes the micro-cap exchange has had over this period? I’ve lost count.
is some trendy talk from the ominously-named Institute for Catastrophic Loss Reduction. Canadian cities are, at the local level, reacting to the new levels of damaging and heavy rain occurring as a result of climate change. This is a subject in the news as 10,000 cars were damaged in Melbourne Australia this week as a result of severe weather.
Are you put-off by the gaudy, base commercialism of Black Friday? Here’s a nice alternative
: “Saver Monday”—brought to you by the former online direct bank, ING, now known as Tangerine
China just passed Japan as the world’s second largest stock market
The indexers out there will be all over this story
about the dismal performance of active managers this year.
Two sides of the same coin? One story about new currency wars
is followed another about the traders loving the currency volatility
. (registration needed)
ran earlier this week. It talks about what financial services firms were doing in Ferguson Missouri to get ready for riots.
Do you have a client with a grown sibling living in their basement? Bank of Canada governor Stephen Poloz recently pointed out it seems everyone he knows is dealing with an unemployed child. His suggestion that young adults take unpaid internships drew a long and sustained round of derision. Here’s a report out today about the overlooked advantages of taking up a trade
Last, but definitely not least, here is the Saturday schedule
for what has rapidly become a solid Canadian tradition, the CP Holiday Train.