We’re not going to add to the now growing literature on whether there will be significant job losses arising from Ontario’s upcoming minimum wage hike. Studies from other jurisdictions are inconclusive, some show no net job losses, and their results might not be scalable linearly to this larger move.
But there is some other less trodden ground in terms of what to expect when minimum wages jump from $11.40 as of September, to $14/hour in January, and $15 come 2019. First, given that the central bank wants to see inflation heat up, how much of that will come from the price responses to higher wages? Sectors like grocery stores, which don’t compete with imports and face inelastic demand (you’ve gotta eat something), would be expected to pass on much or all of the higher costs, after perhaps making some marginal adjustments in their labour use. Restaurants and personal services are even more labour intensive, and would see some inflation impacts as well.
One of the great things about being a grandparent is being a part of shaping a happy and successful life for your grandkids. Love is shared with the little ones in many ways from small gifts to a flow of affectionate hugs and kisses. The other temptation is to shower your grandchildren with presents – toys, clothes and other material items – that all too often are relegated to the basement, where they may go to waste.
The long-ballooning price of education
Consider the long-ballooning price of education. The estimated cost of a four-year undergraduate degree starting in 2015 is expected to be $68,933 for students living away from home, according to Heritage Education Funds Inc., using figures from Statistics Canada and the Canadian Centre for Policy Alternatives.