Corporate Canada tops global list of cash hoarders

[Joe Shlabotnik]

You won't hear the Harper government boast about Canada leading the G7 in this category: the amount of "dead money" being stashed away by corporations.

The International Monetary Fund looked at the amount of "dead money" held by non-financial firms, and found corporate Canada is leading the G7 pack. *

This cash stash in Canada has almost doubled between the mid-1990s and 2012, and "the increase in corporations' cash holdings in Canada has been the fastest among G7 countries since the mid-2000s," the report states.

What happens is the cash hoard accumulates because capital expenditures significantly lags corporate retained earnings.

This "increase in cash positions raised concerns that Canadian firms may be missing on productive investing possibilities," according to the IMF report.

Put another way, this big stash of dead money helps explain the lack of investment and employment growth in Canada -- despite massive tax cuts pitched as necessary to boost investment and job creation. (Between 2000 and 2004, the former Liberal government slashed the federal corporate tax rate from 29% to 22%. The Conservative government cut the tax rate further from 22% in 2007 to 15% in 2012.)

To put the size of the cash hoard ($626 billion) in Canada in perspective, it now exceeds the national debt ($612 billion).

From: http://www.pressprogress.ca/en/post/corporate-canada-tops-global-list-cash-hoarders

[IMG][/IMG]

*IMF report dated February 2014

[Saviolo]

1. Whoever dies with the most, wins.

That money is helping no one other than the people who hoard it. It's not even helping them do anything other than accrue more money. The new measure of success is -only- how many $$$ you have. How sad.

[thecytron]

2. Is Canada up-for-sale, yet?

I am hoping that the following link can shed some light on this issue:

#t=2360

Of course, there are still many unanswered questions regarding those factors responsible for the existence of Money Hoarding practices in this country.

Could the NAFTA deal brought forth by Brian Mulroney, when he came to power in the 1988 election, be a smoking gun.

http://www.canadahistory.com/sections/eras/pcs%20in%20power/NAFTA.html

The NAFTA deal seemed, to me, to have put Canada on slippery slope ever since. One can only conclude, the major casualty of this deal is the Middle-Class in this country!

In short, some Politicians most have understood the significance of a Dead Middle-Class. With a Dead Middle-Class, there won't be any resistance to putting Canada up-for-sale.

Any buyers? Well, you must know the answer!!!

[Joe Shlabotnik]

3. Nafta was a key cog in ensuring subjugation to the elites.

But the rot started in the mid 70's when PET decided to start funding our social responsibilities with private bank created money, in an attempt to reign in inflation that was blamed on the continuance of new deal era policies. Its been all down hill from there.

Nafta, WTO, and all of the subsequent trade/investor protection deals have further cemented the priority of balancing budgets foremost, without the ability to inject any meaningful Keynesian stimulus unless it involves handing gobs of money over to private interests. To do so otherwise would be the State interfering with the private market, and we all know that international tribunals always smack down the State.

Essentially, to boil it down, we have a society that enjoys Socialist benefits, but we are led by politicians who despise socialist-level taxation, or regulation of big business that would pay for our benefits. And, over the last 40 years we have dismantled the country's ability to enact (theoretically) democratically-willed marketplace reforms.

Unfortunately, most Canadians think we can still grow and manage our way out of this problem (ie tar sands, real estate bubbles, and austerity), with the tools we think we still have, but our sovereignty is effectively gone, and our democracy has become a well managed sham.

[thecytron]

4. And, on the eight days, God created the Global Economy...!

Come on, right in!

Welcome, to the Global Economy Introduction!

Have a sit, and lets take a look, at the bird of the Global Economy in North America.

But first, lets look at the American Star War Proposal suggested by the Famous Hollywood Actor and the former president of U.S.A, Ronald Reagan.

What did it mean for Canada?

I remember it well! I remember the confusion, it had generated on Parliament Hill, in Ottawa. At the time, nobody could come to grip with this Insane Idea!

To make a long story, short, Canada simply refused to pay for this so-called Nuclear Shield in the sky. I guess, we were all still Children of the Sixties, and Star War Talk just wasn't part of the Canadian Peace Loving vocabulary.

At this point, you may be wondering, where am I going with this?

It's very simple! Up to the Reagan's announcement of Star War, Canadians, as a nation, had forgotten all about the WWW II. Whenever the subject came up, it would be swept away as bad memories often do.

Still, it didn't take long before the drumming of Star War's American Politic had its first major impact on our Canadian Social Economic landscape. In fact, one can identify this period by calling it the beginning of a marriage between two great nations. For some people, it was a good thing! But, for most, it was the U.S.A calling Canada its new bitch on the block.

Again, where am I going with this?

Yes, yes, I'm getting there, and it goes as follows:

When a country no longer recognizes its people basic human rights, you have to wonder why! Why are there, so many of us, who have lost all dignity and livelihood?

One thing, for sure, is that it must be a darn good reason.

This darn good reason is the upcoming WWW III. In other words, the Cold War, we have heard so much about, was a short PAUSE, before WWW III heads this way, regardless of what we may think.

[Joe Shlabotnik]

5. you lost me at star wars

and WW3. Reagan was a useful idiot though, for the same people that convinced Nixon to cozy up to China, and to recalibrate the worlds banking via the Nixon gold shock. The resultant power shift to international banks, allowed national debts to grow to usurious proportions. The tab was never intended to be paid off, but rather enforced, so that citizens pay in perpetuity.

[thecytron]

6. Tic! Tac! Tic...!

Why is it so difficult to see the logic behind the underlying forces that bind us into distinct Nationalistic Ideology?

Or, better yet, why is a pendulum shift between two extreme political views, the most visible aspect of these underlying forces.

Is it really because those underlying forces only serve a predetermined system of values designed solely to blind us all?

Your last POST @ DU seems to validate the presence of those Common Global Practices, i.e. the "underlying forces" mentioned earlier.

In response to it, I only have one optimistic POV for you, and it goes as follows:

The main reasons, these practices have persisted in eluding us from the truth, can be trace back to the rationalism behind a systematic approach of solving common geopolitical conundrums?

Having said that, however, I remain very sceptical about its ability to maintain its projected global agenda alive. Our current military habits of solving those common conundrums, only lead me to belief in the WW3 scenario.

Thanks, for your participation in this discussion!