Gabriel Friedman
Sept. 3, 2020
Drive around Toronto and other big cities in Canada today and you’re likely to see tents in parks, signs of the economic pain that the pandemic has inflicted on Canadians.
The latest StatsCan data showed that in the second quarter, gross domestic product in Canada plunged by 12 per cent — the biggest drop on record.
Despite the record drop in economic activity, Antunes said that 2020 is actually set to be a good year for growth in disposal income — on an aggregate level. But for many individuals, who have been forced out of the workforce, the economic pain is real.
While data shows that government transfers have been carrying many families through the current recession, Antunes raises questions about whether a better wage subsidy program could have kept more people in the workforce and saved more businesses?
Now, consumer confidence is sinking and many people are worried about what happens when government transfers end. He’s advocating for a new wage subsidy program to ensure people keep their jobs, and businesses remain solvent. There’s still many challenges ahead, but overall Antunes said the situation is providing an opportunity to rethink many of the ways we do things in Canada.
