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Gross Domestic Product
In the last few years, the Gross Domestic Product of Canada has been on the rise. For instance, in the past year, it grew with a zero point four percent in the third quarter compared to the previous year. However, the growth rate has been close to constant for the past two years. The Canadian GDP of the year-on-year change was two point nine percent which was less with one-tenth that was recorded in the past third quarter. In the third quarter of two thousand and seventeen, the figure of GDP was approximately three hundred million dollars which led to Canada be placed on number eight in the global ranking of quarterly GDP. The quarterly Gross Domestic Product of Canada per capita is ten thousand dollars.
Many investors in Canada are left feeling disappointed when they compare their portfolios to the broad market indices. For instance, in June two thousand and sixteen the stocks returned twenty-one percent in Canada and twelve percent in the United States (Bonin, 2016). However, investors should know that the market returns will be considerably lower than they have been over the past sixty-five years. The stock market has averaged at about eleven percent but will be profitable if it gains four to six percent every year in the next ten years. (Smimou 2014)
An estimation provided by a panel of eleven chief investment officers of average annual returns over the next ten years for sixty percent stocks and forty percent bonds, revealed that yields would range from five to six percent on an average yearly basis. They also gave estimates of inflation to be expected which will vary from one point eight to three percent, which suggests real returns of at least two to three percent after inflation. However, two years thereafter, these projections will be consistent with assumptions prepared by the financial planning standards council for financial planners (Camyar, 2014). Thus, return assumptions will range from four point five which is seventy percent bonds and seventy-five percent stocks.
The Canadian legislature requires a key arrangement for a long term monetary development that will incorporate competitive tax which supports exertion, venture, saving and risk taking by individuals and business associations. Nevertheless, the tax system should be simple to limit consistence and organization costs. Financial strategy should similarly center on lessening government obligations and acknowledge investment funds from the lowest payment which can make room for budget initiatives, improving the standards of living and quality life of the Canadians. On the other hand, the government is obligated to improve the effectiveness and efficiency of government services while focusing on areas that enhance competitiveness and productivity.
The intellectual capital is increasing rapidly displacing the natural resources as the fundamental determinant of competitiveness and strength. Learning is becoming intimately linked with health and wealth of nations more than ever as the environment is making new demands particularly on ways we think about education. Thus, it is a linchpin while it comes to planning the future of Canada. Employees and their imagination and skills are the foundation of productive as well as the innovative economy. However, Canada risks a shortage of highly skilled labor in the coming years due to the declining fertility, massive retirements, and an aging workforce.
For Canada to remain internationally competitive and meet these challenges, Canadians must engage in acquiring new skills via continuing workplace development and education. It is therefore essential to take advantage of the new instructional tools that are offered by cyber learning (Yu, 2016). The education service sector of this country is a critical player in meeting the emerging labor markets requirements. Despite providing specialized training services besides traditional municipal education, the industry is also playing a significant role by transferring knowledge, skills and human capital development.
Population growth and aging represent less than two percent of the increase in general healthcare division spending. The time-based compensation in this sector is moderately higher than in the general economy as well as the government social insurance spending, which is the most noteworthy for seniors. The effect of aging does not vary by year. However, population growth and aging are two demanding side factors with wide variation across jurisdictions. Technology is the essential supply-side factor responsible for health care spending growth. The sector of public health is growing faster than the revenues collected and increase in other government sectors. The most significant share of public health care funding since the year 2000 is going to hospitals.
The growth in spending on health and drugs is increasing rapidly and some issues need to be addressed for future purposes. They include expansion in healthcare spending which is like the rate of Gross Domestic Product development, the aging populace which is having the uncertain effect on health expenditure, increment in doctor spending and less reserve funds from debts benefit charges and deficiencies having a directing impact. If these things are not going to be addressed the economy will not get any better.
Camyar, I. (2014). Political Parties, Supply-Side Strategies, and Firms: The Political Micro-Economy of Partisan Politics. The Journal of Politics, 76(3), 725-739.
Smimou, K. (2014). Consumer attitudes, stock market liquidity, and the macro economy: A Canadian perspective. International Review of Financial Analysis, 33, 186-209.
Yu, Z. A. N. G. (2016). An Essay on the Active Role That Chinese Small and Micro Enterprises in Turin Play in the Construction of Multi-Ethnic Harmonious Society. Canadian Social Science, 12(8), 38-44.
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