Clear Full Forecast

Forestry Woes Impacting Provincial Economy

By 250 News

Friday, November 30, 2007 10:53 AM

  

B.C. Financial Minister Carole Taylor   says B.C.’s economic growth is slowing, and in large part, the reason is the downturn in forestry.

Taylor was delivering the second quarter report which will help shape budget decisions for 2008.

“Internally our economy is strong with increases in housing starts showing a 3.2% increase, retail sales up 7% and non residential construction up 10.7% .”

She says the external economy is cause for worry. “In the first quarter our exports were down 2.7% in the second quarter, exports are down -4.1% and that is largely forestry.” That makes B.C. the worst external economy in Canada.

Those losses mean lost dollars in taxes from the lumber companies. 

The internal economy is number five in the nation, with Alberta first, Saskatchewan second, Manitoba third, Newfoundland fourth and B.C. fifth.

Taylor is meeting with independent financial advisors next week and will get input from them on their prediction on where they think the economy will go.

The Provincial budget will be delivered on February 19th.

  
Previous Story - Next Story



Return to Home
NetBistro

Comments

This is going to be a good one for those down in lotus land that think forestry does't matter. Hydro's revenues for example are already down as a result of the forestry strike and know shutdowns.
seamutt I agree, by and large the lotusland folks seem to have no idea what is coming. The sky isn't falling but it sure is going to be different.
Another waste of money the province is tossing towards financial advisors..........uh how long have they known that forestry makes up the majority of the prov. economy???? D'oh.
The sky may not be falling, but it will be unlike anything we have seen in many, many,years,if ever.
The rules have changed without question, and now we need to make up some new ones.
It's going to be VERY interesting.
It is also hard to believe that Taylor needs a bunch of financial advisors to explain it to her!
We may not be hearing as much hoopla and spin from our overpaid leaders about how great things are in B.C....depending on what part of the province you live in of course!
We expect 'too much' from people we elect in their ability to 'personally' solve the problems we want solved.

People like Taylor are, at very best, 'second -rate' experts. And any time a 'second-rate' expert tries to direct the 'first-rate rate experts' in "HOW" something should be done, those 'first-rate experts' will go out of their way to make sure 'blame' is assigned to whom it properly belongs for everything that goes wrong. So the clever politician does 'nothing', and avoids 'blame' wherever possible. And Taylor is undoubtedly a clever politician.

Taylor, or any other elected politician's job isn't to determine "How" something should be done. That's a technical matter, and they're not 'technicians'.

Their job is to tell the technicians WHAT RESULTS we want. To 'represent' what the PEOPLE want done to those who have the technical ability to deliver the results desired. And to replace them with ones who do if they don't. And that's where Taylor and all the rest fail to deliver.
Couldn't agree more socredible!
Unforunately,Carole Taylor,like so many others of her ilk,is NOT an expert on much of anything, other than perhaps a mediocre talk show host!
That won't change anytime soon.
It is called "politics".
Governmemnts in general tend to think that we are too stupid to notice that fact.
I don't think people like Taylor and a host of others are actually chosen because of their skills and knowledge, but more for their party loyalty and "controlability"!
Well, by Taylor's own admission in the Legislature, she's just a 'spectator' to what's going on in the forest sector right now. In other words, don't look for anything from her and her Party.

That's the interesting thing about 'economics'. The guy that 'works' for a living, who goes out on a limb 'financially' with a home mortgage, and a car payment, and all the other things that now indebt him to live in the manner which 'society' demands he live, is left to shoulder the loss all on his lonesome when we have an 'economic slowdown' over which he has no control.

His payments are still due every month, whether he has income to meet them with or not. Those who hold his debts will have their asses covered. They'll have 'security'. And if that fails, can be, and will be, 'bailed-out' by the 'Government'. But does that same 'Government' do anything to ensure the guy they had such a large hand in 'forcing' into debt gets 'bailed-out'too? They do NOT.

At one time, in an economic situation like we're seeing now, people could hunker down and wait it out. They weren't in debt up to the skin of their eyelids, and beyond. And they could, and did, 'live off the land'. But times have changed. You can't do that anymore.

You can't live in a house that isn't built to a standard that's certain to force the homeowner into debt. You can't drive the old clunker with brakes that need to be 'pumped' to work, and bald tires and lights that aren't all functioning, even if you're only using it to get back and forth to work in daylight hours.

If you live in the Lower Mainland you can't even drive a car that emits more smoke than the 'authorities' allow. You're forced into 'debt' toget another one. You're indebted to live.

Now don't get me wrong, I'm not saying smoke belching, brakeless, bald tired junk should be on our roads, any more than I'm saying that we should revert to living in a drafty log cabin with an overheated barrel stove that threatens to immolate the whole works, including us, every winter. I'm not. We need progress, and thankfully we've got it.

But our overall COST of living has advanced far faster than our overall STANDARD of living has. If it hadn't, then why are overall debt levels where they currently are in relation to overall incomes? And that's what Taylor, and her cohorts, or even those who'd replace them, ought to be focussing on. But do they? Or are they all just 'spectators'?