Posts Tagged ‘Manitoba’

3 Ways to Sabotage Your Financial Plan

Thursday, August 11th, 2011


  1. Focus only on the numbers. The mechanics of figuring out how much you have to save and how you should invest will only get you halfway there. Common goals to which both you and your spouse are committed are what’s really important. The numbers are details.
  2. Go for the quick fix. Financial planning takes time. You have to set your long-term goals first, then look at the steps you need to take to get there. If you don’t put together a complete plan, you could end up focusing on short-term goals, such as juicing your returns, that could cost you money in the long run.
  3. Force someone to change who isn’t ready. You can’t bully a spouse into accepting a financial plan he or she isn’t ready for. Both of you have to really believe in the destination. It will take time, sacrifice and compromise – from both of you. If the goals are too ambitious for one spouse, you might have to ratchet them down to start.

 

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What Problems Could Excessive Deficits Cause?

Monday, January 18th, 2010


That depends largely on how the budget deficits are financed. If they are financed by printing money, there is a real danger that rapid increases in the volume of money in circulation (the “money supply”) will cause rapid inflation. This is the most obvious danger in excessive budget deficits, and the one with which most observers are familiar. However, there is another, more subtle, danger in excessive budget deficits: they can also contribute to slow economic growth, or economic “stagnation.”

The Perils of Budget Deficits

Budget deficits can be likened to drinking liquor, in that if they are properly timed and used in appropriate quantities, they will not be harmful and in fact can be beneficial. However, as with liquor, excessive budget deficits can have severe side effects, including a “hangover” of severe inflation accompanied by stagnation, or “stagflation.” And, like a hangover, it can be considerably easier to get into this situation than it is to get out of it.

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What Might Cause Such Excessive Budget Deficits?

Friday, January 15th, 2010


If the government were too anxious to stimulate the economy out of a recession, it might use excessively large deficits. This danger tends to be more severe before elections, when the government may be anxious to reduce the unemployment rate quickly before the election. “Another possibility is that government spending may outrun tax revenues (perhaps due to a combination of high government spending and/or unwillingness to increase taxes), causing budget deficits even during an economic boom, when the economy does not need stimulation.

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Which measure of the money supply to use?

Saturday, January 9th, 2010


Unfortunately, the matter does not end here. As we saw in Chapter 10, there are different definitions of “money supply,” ranging from the narrowest (M1), which includes only currency plus demand deposits, to broader definitions such as M2, which includes non-chequing  savings deposits and personal term deposits. These definitions are reviewed in Figure 11-6. Due to the great difference in the sizes of M1 and M2, it is obviously important that the Bank of Canada select the appropriate one as its “target” for its measurement and control of the money supply.

From 1975 to 1982, the Bank of Canada used M1 as its target for monetary policy. In his 1978 Annual Report of the Governor of the Bank of Canada to the Minister of Finance, Gerald Bouey stated that M1 had been chosen because “it moves with the trend of aggregate spending in the economy in a fairly predictable manner and it is susceptible to control by the central bank through the adjustment of short-term interest rates…Our experience to date in using M1 has confirmed in my mind its usefulness as a proximate target in the conduct of monetary policy.” In short, the Bank of Canada regarded M1 as the most relevant measure of the money supply because it includes those most immediately spendable funds (currency plus demand deposits) that have the greatest influence on the level of aggregate demand in the economy, and thus on the performance of the economy.

The Different Sizes of M1 and M2 February 1982

Currency Outside Banks

$10 038

Demand Deposits

- 13 322

Total: Ml

$23 360

Other Chequable Deposits

7138

Total: MiB

30498

Notice and Personal Term Deposits

91074

Total: M2

121 572

FIGURE 11-6 The D of M and M2 February 1982

Millions of  Dollars

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  1. Furnasman’s One Hour Heating & Air Conditioning – Winnipeg, Manitoba

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    13 Dec 2009 Furnasman Winnipeg One Hour Heating CBC. Full story: Netscape. Posted By jebborte 21 hours, 31 minutes ago in Business & Finance My furnace
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    Complete address, phone and fax information for Furnasman/union Energy Inc. Also see map, employee and sales information, plus products and services

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    14 Dec 2008 The CBC investigated these folks. You may want to check this out if call 3 places and Furnasman’s ONE HOUR was the only place to get to
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  9. Wintertime Thawing Your Pipes – Basic Plumbing Tools – EasyPublish

    Terry S Vostor Winnipeg Furnasman http://www.furnasmansonehour.com Furnasman New CBC Homes http://www.furnasman.ca Source: http://www.submityourarticle.com
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