October 17, 2015 Jack M. Mintz School of Public Policy University - PowerPoint PPT Presentation

Background Information October 17, 2015 Jack M. Mintz School of Public Policy University of Calgary

Figure 1: Household Net Worth to Personal Disposable Income 7 6 5 4 Canada USA 3 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Source Data : Cansim Tables 380-0019 & Table 378-0051 - Federal Reserve Z.1 Statistical Release *2012 data for Canada is averaged from 2012 Q1 & Q2 data – Published in J. Mintz and T. Wilson, SPP, 2013.

0 1 2 3 4 5 6 7 8 9 1970 1971 1972 1973 Figure 2: Ratio of Household Assets & Debt to Personal Disposable Income 1974 Liabilities Net Worth Total Assets 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012-Q1&2

Figure 3: Personal Savings as % of Disposable Income 50% 40% 30% 20% 10% 0% -10% Balance Sheet Savings National Account Savings -20% 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 ave Notes: 1) Balance sheet savings are calculated as a 3 year moving average 2) Balance sheet savings is calculated as change in real net worth, counting consumer durables are as savings 3) "Full" disposable income adjusted from sector accounts data to include capital gains 4) 2012 data is Q1&Q2 avearged. Source Data: Cansim Tables 380-0019 & 378-0051

40% 20% 30% 45% 50% 10% 25% 35% 15% 0% 5% Korea Ireland Mexico Australia (Incomes Less Than 50% of Median Household Spain Greece United States Japan Switzerland Portugal 65+ Income Poverty Disposable Income) Turkey OECD 30 Belgium Italy Finland United Kingdom Denmark Norway France Germany Austria Sweden Canada Slovak Republic Iceland Poland Data Source : OECD 2011 Hungary Luxembourg Czech Republic Netherlands New Zealand

Data Source : OECD 2011 Canada Income Poverty: Distribution Among 65+ (Incomes Less Than 50% of Median Household Disposable Income) 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% All 65+ 66-75 75+ Men Women Single Couple