‘The largest sub-prime lender in the world is now the Canadian government.’
(Source: The Tyee)
What do the mid-recession housing boom and the Harper Conservatives’ rise in the polls have in common? Answer: the Canada Mortgage and Housing Corporation’s massive sub-prime mortgage scheme that is keeping up the appearance of an economic recovery. Reading the newspapers these days, you have to wonder whether Canada was on another planet when the global credit crisis hit. House prices have actually increased in some provinces and now there is a shortage of houses for sale in southern Ontario. Credit is flowing everywhere.
Read Murray Dobbin’s full article “Why Canada’s Housing Bubble Will Burst” in The Tyee (October 22, 2009).
Further Reading of Interest:
The Smoking Gun, National Bank Financial
Hos of Recovery, Greater Fool
Value Investing Congress, Reuters Blog
Canada’s 75 Billion Dollar Bank Bailout, Global Research