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Econ. April 22

Published on Dec 20, 2015

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PRESENTATION OUTLINE

Redistribution of Income

Mr. Melkonian
Photo by KAZVorpal

income distribution isn't fair

sometimes we can justify it, other times we can't

equality vs efficiency

major trade-off - get the most out of your country's economic capacity

entrepreneurs

high risk... high return...

would these guys be fired up

if they knew they would be making the same money as everyone else?

so we can say it's fair sometimes

not fair for them to take big risks without a nice paycheck 
Photo by dolanh

what about people who's earning power is weakened?

accident, illness, age, circumstance
Photo by epSos.de

welfare state

govt. uses social programs to help people who need it
Photo by familymwr

low income earners

keep most of what earnings they have
Photo by kenteegardin

proressive tax system

high earners pay more tax than low earners
Photo by blmiers2

poor people live independently

benefits economy - poor people will actually spend money without being in a bad spot

pillars social safety net

  • free education
  • social services (housing, EI, elderly, etc.)
  • health care

funded by taxes

service to all Canadians
Photo by Phil's 1stPix

home ownership

rrsp contribution

student loans

maybe not the best lol...

main difference between canada and the states

murrica doesn't really care for redistribution...

east to west gets rich in canada

Ontario, Alberta, BC

biggest disparity in BC

a lot of rich people and a lot of poor people

structural strategies

trying to eliminate the caus of poverty

long-term focus

try to break/reduce incidence of poverty
Photo by CIMMYT

Programs

  • education
  • increase employabiliy/employment (training, relocation)
  • day care

relief strategies

reduce symptoms right now (band-aid)
Photo by Mani Yang

relief

  • welfare
  • seniors' benefits
  • CPP
  • EI
  • child tax credit - low income gets credit for kids
  • compensation for work disabilty
  • charitable and community-based relief (salvation army)