Workers are set to to see pay gains, but will they be any better off than when wages were suppressed? Read Kevin Carmichael's latest.
For three decades, owners and bosses mostly have had it their way. Wages and salaries peaked at about 50 per cent of Canada’s gross domestic product in the 1970s. They generally have declined ever since, dipping to 42.4 per cent in the second quarter, the lowest since 2005,We deliver the local news you need in these turbulent times on weekdays at 3 p.m.By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc.
Those changes were good for profits, but they were also good for prices — after surging to double digits in the 1970s, inflation has been stable around two per cent since the early 1990s. We started buying more goods and services than ever. Household consumption consistently represented about 50 per cent of GDP until the mid-2000s, and then it broke higher.
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