Over the past 10 years, there has been a sharp divide between rich and poor, according to a recent study by Statistics Canada.
Immigrants and Aboriginal people of the country started to live poorer, while most of the main population of the country increased their wealth. For example, the income of an average family in Toronto in 2000 amounted to $32,920, which is 2.6% more than 20 years ago. The average income of a wealthy family rose by 17.4% to $92,800.
Populations such as immigrants, Aboriginal people, single parents, young people and retirees have the highest risk of living on the minimum wage or social security benefits.
For 1990-2000, the number of low-income families in all Canadian metropolises increased from 17.2% to 17.7%. For 2000, the number of low-income immigrant families living in Canada has increased to 35%, up from 23.1% in 1980. The number of low-income Aboriginal families was 41.6%, the number of low-income single parents rose to 46.6%.
The Federal Government of Canada is considering a 19% tax cut over the next 5 years. This amounts to CAD 58 billion dollars. Tax cuts will be possible if the average growth of the country’s economy during this time will be 5%, and inflation does not exceed 1.9%. Under such conditions, in 2009-2010, a state budget surplus of CAD 57.5 billion is expected.