"History, real solemn history, I cannot be interested in.... I read it a little as a duty; but it tells me nothing that does not either vex or weary me. The quarrels of popes and kings, with wars and pestilences in every page; the men all so good for nothing, and hardly any women at all - it is very tiresome." Jane Austen spoken by Catherine Morland in 'Northanger Abbey'
CLICK CHART TO ENLARGE
The Bank of Canada
just released its Q1 2013 Senior Loan Officer Survey and Business Outlook Survey.
"The balance of opinion regarding the demand for credit from financial institutions was negative during the first quarter. The decline largely reflected lower demand from corporate borrowers."
"Capacity pressures and hiring intentions are essentially unchanged, fewer firms report labour shortages."
"Taken together, responses to the spring survey indicate that, following a recent slowing in economic activity, firms expect business conditions to remain challenging over the next 12 months."
The business lending market is a reflection of the real economy because lenders complete their due diligence and risk management by qualifying credit risk in real time, but not so much in the residential lending department where competition is high and a 5% down risk filled residential mortgage is fully insured by you dear tax payer, via CMHC.
If you are planning to take on a really big mortgage, make sure you can derive income from the real estate you buy sufficient to pay the cost of holding it and that you have transportable skills so that you can move to where the jobs are. Canadians are indeed on the move going to where the earnings are. See the Atlas Van Lines Migration Map and the latest Canadian Earnings Chart.
History, Charts & Curated Readings
"Progress, far from consisting in change, depends on retentiveness. When change is absolute there remains no being to improve and no direction is set for possible improvement; and when experience is not retained, as among savages, infancy is perpetual. Those who cannot remember the past are condemned to repeat it." George Santayana Vol. I, Reason in Common Sense