Economic downturn in mining activity is devastating the communities of Labrador City and Wabush.
If the boom has not led to a marked increase in inequality, the same cannot be said for government policies. They markedly increased our levels of inequality.
Between 2005 and 2009 assessed incomes in Newfoundland and Labrador increased by 49%. The boom we are experiencing is without precedent in Canadian history, but it is also exceptional for a quite different reason.
Canada’s resource boom has apparently been good for the people of Alberta, Newfoundland and Saskatchewan. The three resource-rich provinces are 1, 2 and 3 respectively in a ranking of economic well-being compiled by the Ottawa-based Canadian Centre for the Study of Living Standards. Newfoundland stands out for the significant strides it’s made in the three decades covered by the index — a weighted measure of consumption, wealth, economic security and economic equality. Newfoundland, which was dead-last in 1981, now ranks No. 2 with a score of 0.639, significantly above the national average of 0.562 and well above Ontario at 0.538. You can read the report here. Source: The Globe and Mail