Posted on 12/16/2014 9:42:00 AM PST by Star Traveler
The dramatic decline in oil prices will cost Ottawa about $5 billion in lost revenue and provincial economies a little more than that, one of Canada's biggest banks suggested today.
That's one of the main takeaways from a CIBC report that attempts to quantify the impact of plunging oil prices on many aspects of Canada's economy.
"The recent dive in crude oil prices is an unprecedented development for the Canadian economy," the report by CIBC economists Avery Shenfeld, Peter Buchanan and Warren Lovely says.
There's a broad consensus that the declining price of oil is bad economic news for Canada, since the country has made major moves in the last decade or so to increase oil output and become a major global player in energy.
Last week, the Bank of Canada estimated that on the whole, suddenly cheaper oil will knock about a third of a percentage point off of Canada's GDP next year. But the CIBC report points out that gauging the impact of that decline is far more complex than simply measuring the impact on GDP.
(Excerpt) Read more at cbc.ca ...
Price Of Gasoline Drops Below $2 A Gallon In Tulsa Metro
http://www.freerepublic.com/focus/f-news/3237757/posts
I love to see average people spewing evil carbon.
$1.90/gal in Franklin Indiana today. :-)
well, if we’ve learned anything, it’s that oil prices can rise and fall, and rise again, etc. who says these prices are going to last?
I’ve seen gas stations here in Sacramento, CA about to put up US$2.49/US gallon for regular unleaded. That’s the cheapest I’ve seen in my area in a long, long time.
I only get birthday presents once a year, too ... and Christmas presents once a year. It doesn’t make it any less fun ... :-) ...
Good point. Notice, the intellectual media does not recognize what you just identified...there is absolutely no net “loss” of revenue, but rather it is in others’ pockets. I suspect they have to have the sky falling or there is nothing to sell papers.
So does this mean I can run into Canada for bargain cashmere sweaters and English tweeds again? I remember when we could jump on the ferry from Seattle to Victoria to shop. The savings paid for the trip and it was fun.
i meant govt thinks they’re losing so much expected revenue, they don’t figure they will rise again at some point.
“I’ve seen gas stations here in Sacramento, CA about to put up US$2.49/US gallon for regular unleaded. That’s the cheapest I’ve seen in my area in a long, long time.”
So while we are glad that prices here in CA have dropped, they are still almost a buck a gallon more than the Midwest.
But there is good news though even here, because CA has a sales tax on gas, so the state is going to suffer a substantial loss in revenue. Gas is down at least a buck so the state is loosing nearly a dime a gallon! Maybe we will have to cut Public Employees pay and pensions yet! And there we thought it was only Russia, Venezuela and Iran who were going to suffer! Start looking for bills to raise the per gallon tax that is supposed to go for infrastructure repairs (but is spent on about anything but) in the legislature if gas stays down.
Here in NY, folks took the bus and lo and behold...the TA made money and lost their grant...and they had to work more besides.
There's good things in all this...it means real dollars in your pocket...and we're not savers. I see more food and goods and perhaps trips in our near future. Half full!!
“There’s good things in all this...it means real dollars in your pocket...and we’re not savers. I see more food and goods and perhaps trips in our near future. Half full!!”
I received a telemarketing call from someone selling investments. I told him that with the DemoRAT in the White Hut, I was spending every penny I got.
Left him speechless,
Not since 2010. Do a search on "fuel tax swap." They raised the per gallon excise tax and eliminated the sales tax, except on diesel. If anything they'll make more money because lower gas prices will encourage consumption.
Don’t forget that state CapNTax kicks in on motor fuels soon.
“Don’t forget that state CapNTax kicks in on motor fuels soon”
Yeah! Maybe when the morons here see that their gas is still a buck a gallon more than any other state, they will start making the necessary changes. Again though, that requires intellect, something that’s in short supply here. The is one of those times when you wished that you lived closer to Nevada.
It could still backfire on the govt.
CapNTax on a national basis was a liberals dream, because it would raise a lot of dough and the govt could put all the blame on greedy oil and utility companies.
But with only Cali doing it, like you say, they’re gonna look at Arizona, Nevada, etc and start asking questions.
“Not since 2010. Do a search on “fuel tax swap.” They raised the per gallon excise tax and eliminated the sales tax, except on diesel.”
Take a look at this:http://www.boe.ca.gov/sutax/strf.htm
As I read it, what you indicated is only partially true. Looks like it was not a complete swap/ Still looks as though there’s a 2.25% sales tax.
“But with only Cali doing it, like you say, they’re gonna look at Arizona, Nevada, etc and start asking questions.”
Yeah, but when all the lucid folks have moved out what will all the dumb Mexican “Immigrants” do? They are so used to being screwed by the “white Spaniards” running things in Mexico, that they will probably be o.k. with plain old “White Marxists” doing it to them.
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