Globalization, Technology and Inclusive Growth Canada-Australia - - PowerPoint PPT Presentation
Globalization, Technology and Inclusive Growth Canada-Australia Public Policy Initiative April 13, 2018 Paul Rochon, Deputy Minister of Finance Government of Canada Ratio of top 10% to bottom 40% average market income, Canada, 1976-2016 Ratio
5.5 6.5 7.5 8.5 9.5 10.5 1976 1981 1986 1991 1996 2001 2006 2011 2016
Notes: In order to take into account the economies of scale present in larger households, market income is adjusted by dividing the household income by the square root of the household size. Sources: Statistics Canada: Survey of Consumer Finance, Survey of Labour and Income Dynamics, Canadian Income Survey. Ratio
2012:Q1 = 100
Sources: Canadian Real Estate Association (MLS Home Price Index); Australian Bureau of Statistics (Residential Property Price Index); Department of Finance Canada calculations.
90 100 110 120 130 140 150 160 170 180 190 2012:Q1 2013:Q1 2014:Q1 2015:Q1 2016:Q1 2017:Q1
Home price index in major cities, Canada and Australia, 2012-2017
Note: Low-ratio mortgages are defined as mortgages with loan-to-value ratios ≤80%. Sources: Bank of Canada: November 2017 Financial System Review. It may include some mortgages that are portfolio insured after origination.
Share of uninsured mortgage origination with loan- to-income ratios greater than 450% , by income groups, Canada, 2016
Sydney Toronto Vancouver Melbourne
44 28 21 14 7 5 10 15 20 25 30 35 40 45 50 1st (lowest) 2nd 3rd 4th 5th (highest)
Income Groups
Per cent
20 25 30 35 40 45 Millions
Bachelor's degree and higher High school diploma or less Some college or associate degree
Notes: Education groups are not fully comparable across countries; Cover workers aged 25 to 54 years. Sources: U.S. Bureau of Labor Statistics; Department of Finance calculations. From 2007 to 2017: +6.4 M