Tag Archives: debt

Canadians are the best! – at taking on debt – but not really

Putting Household Debt into Perspective . Canadian households currently owe more than $2 trillion. Our average debt to income ratio increased to 170%, making us number 1 among the G7 countries. 🙂 But do we actually have too much debt? Well perhaps not. Comparing Canada to the G7 group conveniently omits other highly developed countries. Australia’s national broadcaster… Read More »

The Ugly Truth About Inflation

Why Do Governments Target 2% Inflation? The Bank of Canada maintains an inflation rate target of 2%. The official websites of Central Banks in the U.S., in Europe, and in Japan all appear to target this magical number when deciding how to conduct their monetary policies. But why? Inflation isn’t necessarily a good thing. There are ways to grow the economy and generate… Read More »

How to Rationally Think about Leverage

Borrow money to make money Today we’ll explore a common question I get asked all the time: What is my thought process behind leverage? The short answer is simple. I want to make high returns without being exposed to high risk. Normally the two go hand-in-hand. But leverage allows me to separate them. For example, a speculative marijuana stock may grow 20%… Read More »