Discrimination
Social and Economic Challenges for Canada, the City of Toronto, and Province of Ontario:
1) Caveats:
Many of the challenges that the City, Ontario and Canada face are caused by government neglect.
Advocating to the Provincial Legislature and Federal Governments is accomplished by a “multitude of persuasive strategies” and includes community participation.
“The effects and symptoms of neglect are caused by Governments that extract more from its taxpayers than it provides in services”.
2) SOCIAL & ECONOMIC OVERVIEW:
1) According to Census Canada, 67% of the population will be over the age of 65 in twenty years. 33% of the population will be supporting the other 67% in 2030.
2) Poverty above the National average of 11.8% has increased significantly in Toronto neighborhoods in the last 20 years, and in Toronto there are 21 high poverty areas. Unemployment is twice the National average.
3) These areas are subject to the neglect and discrimintion of Government at all levels. Poverty and Discrimination are one and the same.
4) Discrimination occurs in many shapes, and ways. The poor do not, as a whole, tend to belong to unions, interest groups, or any other entity that gives them a voice. In Toronto, unlike other large urban centers of American and Canadian Cities – the poor have been shuffled out of the inner cities in to the suburbs, and appear spread out.
5) Harrington: “The poor are politically invisible……..they do not, by and large, belong to unions, fraternal organizations, or to political parties. They are with out lobbies of their own; they put forward no legislative program. As a group they are atomized. They have no face; they have no voice”.
6) According to a study conducted by the Joint Economic Committee (Washington) in 1985, the cost of discrimination was in the order of 160 Billion per year. Given that the US has roughly ten times more population than Canada, and that the data is 25 years old……would it be reasonable to assume that the cost of discrimination in Canada is at least 16 Billion?
7) According to Nobel Peace Prize winning Economist Joseph Stiglitz: “the multiplier for calculating the amount of money that goes into the economy from employment is 1.5”.
For every dollar earned, .50 cents goes back to the community.
9) For every $1M spent on community programs $2.8M is generated in economic output.
11) Unfair taxation is the root cause of poverty.
12) Unfair taxation hurts the poor worse than the middle class and upper classes. Is the the tax system progressive enough?
13) In 1990 approximately 10% of the population had 70% of the wealth. Presently 2% of the population has 80% of the wealth. Can we assume that by 2030 1% of the population will have 90% of the wealth?
14) If the unemployment level of minorities was the same as whites; and if training and education were made available to minorities at the same level as whites than it is estimated the total output of the economy would rise by about 4%.
3) DEMOGRAPHICS:
These 21 neigbourhoods have lower average median income than most of the Province. New immigrants can’t speak English. As well, the amount of people that have been here for decades, and don’t speak English is highly underestimated.
Few English programs exist; and leave many new immigrants without the basic language skills to hold down a job.
North American demographics complicate matters for the City of Toronto and the Province of Ontario. 60-80% of the population will be over the age of 65 in twenty years. The effect of these “age bomb” demographics has been incompetently managed by present and previous Councillors, and Provincial and Federal Governments. The three goverments have not worked together to: have a universal day care, to allow single parents to acquire training and skills and work, they have not provided basic adult education at the community school level to allow people to become good canditates for jobs, they have not helped small busineses by having a good supply of job ready candidates. And, these are the reasons the residents of impoverished areas are “stigmatized”. They are not suitible job candidates.
Canadian Immigration policy does not allow governments to adjust immigration to compliment or rectify the serious depopulation problem that exists. Your City Councillors have not been able to pursuade the Federal Government to adjust immigration policy to reflect the needs of Toronto, and have not provided the community with the resources to allow new immigrants to the country to be anything other than “impoverished”
According to Census Canada: The demographics will not allow future populations to support the aging, as the tax base will shrink by 50-75% over the next 20 years.
According to Census Canada: The democratic/capitalist system will fail in 20-40 years, because the economy will demand more tax money than it can supply by 50-75%. Our system will not be feasible; because the demand for tax money will outstrip the supply of tax money.
4) SOCIAL COSTS:
The costs associated with government neglect is staggering: Single parent families are “house bound” because there is little if any affordable daycare. Parents are unable to work, or in many cases, learn English. Single male parents, which represent 10-15% of single parent families – are unable to participate in the work force – and are on the public purse. The children of single parent families that do work, are often left unattended, whilst the parent works. The children of these families are denied the “right” to participate in the community and are unable to “socialize”. The resulting “isolation” causes serious psychological problems. The negative effect is often passed down, generation to generation.
An “inefficient and wasteful” immigration policy further burdens the public purse as new immigrants to the Country are unable to work – and entire families are on the public purse for years, waiting for the their immigration hearings and consequent status. To make matters worse they are not offered English as a second Language, or Adult Education classes in their community, and “never do become part of the work force.” They don’t help business who “can’t find good help” because they are poor candidates for jobs. Businesses, who find it increasingly harder to compete, do not get a “competitive advantage” with an able bodied work force. This is a failure of the City to persuade the Provincial and Federal Governments to give it the proper resources it needs to properly support immigration policy.
An opportunity to “positively socialize” new immigrants, and the impoverished is lost by denying them the benefits of community support. Community support should be made available at the the Community School level. Community support should include; but is not restricted to: day care, meal programs, and after school programs to children, and English classes, job and career councillors, and conflict resolution services to family, neighborhoods, and business. And adult education to the adults – at the community school level. “Negative socialization” occurs when these services are denied. This causes poor behavior in the community and at home and school. Criminal behavior results in some cases.
“Positive socialization” has many benefits for the community and society as a whole: Participating in a vibrant community provides support and deterrence. It fosters a more caring and supportive society. This allows for negative behavior to be identified and corrected in humane manners. Those who engage in “negative behavior” will “loose face” in the community. This deterrent, while difficult to quantify, is powerful, proactive and humane.
Government neglect is costly. The Government has failed to adjust the “progressive tax rate”; and to provide citizens with the basic necessities it deserves. The result is poverty.
Inequalities of Income:
The residents of these poor areas know that there are reasons why there is disparity of income; but may not be able to fully explain it in certian terms. Some of the ways and reasons income is not fully shared are noted below:
1) Ability differences: People have different psychological, mental, and emotional talents. Some have certain psychological attributes that make them more suitable for high paying jobs in areas like law and medicine. Others are rated as “dull normals” or “borderline”; some are blessed with physical capacity and coordination to make them become high paid athletes. Briefly “native talents” put some in positions to make larger contributions to society than others.
2) Education and Training: Individuals differ significantly in the amounts of education and training they have obtained and consequently in their ability to contribute to the output of society.
3) Job Tastes and Risks: Incomes differ because of job tastes. Some will take a job that requires long hours and unpleasant tasks, like a garbage man or truck driver; but they earn a good wage. Others will take a meaningless job that doesn’t require much expertise or responsibility; but doesn’t pay that well. Still others will supplement their incomes by going in to a sideline and moonlighting. Others will take risks and stand the chance of earning excellent incomes by starting businesses. Most fail, but the few who succeed earn higher than average incomes.
4) Property Ownership: Those with capital have dividends and income to collect on their wealth. Presently 2% of the population has 80% of the wealth. Others acquire wealth through inheritance. “Wealth begets wealth” this role reinforces the role played by unequal ownership of property in determining income inequality.
5) Market Power: The ability to “rig the market” on one’s own behalf is undoubtedly a major factor in accounting for income inequality.
6) Luck, Connections, Misfortune and Discrimination: “Being in the right place at the right time”. Personal contacts and political influence can be means of attaining higher income brackets. A host of economic misfortunes such as: prolonged illness, serious accident, death of a family breadwinner, unemployment, may all plunge a family into poverty. The burden of such misfortunes is borne very unevenly by the population and contributes to the degree of income inequality.
7) Discrimination: Minorities, women, children, immigrants, single parent families and students are all subject to discrimanation.
Economic Discrimination: Occurs when female or minority workers, who have the same abilities, education, and training, as white workers are accorded inferior treatment with respect to hiring and wage increases.
5) POVERTY & DISCRIMINATION:
With poverty comes discrimination. This is “the circle of dependence”. Discrimination occurs in many shapes, and ways. The poor do not, as a whole, tend to belong to unions, interest groups, or any other entity that gives them a voice. In Toronto, unlike other the large urban centers of American and Canadian Cities – the poor have been shuffled out of the inner cities in to the suburbs, and appear spread out. These are the hidden poor – with out a voice and, to a large degree hidden from the wealthy and more affluent.
Harrington: “The poor are politically invisible……..they do not, by and large, belong to unions, fraternal organizations, or to political parties. They are with out lobbies of their own; they put forward no legislative program. As a group they are atomized. They have no face; they have no voice”.
Dimensions of Discrimination:
a) Wage Discrimintion: Occurs when minorities are paid less than whites for doing the same work. Law has reduced this considerably; but it still exists when women are paid less than men for doing the same work.
b) Employment Discrimination: Means that unemployment is concentrated among minorities. When minorities are the last hired and the first fired. The unemployment rate for minorities is thought to be twice what it is for whites. Since this data isn’t produced in Canada – it is hard to quantify.
c) Human-capital Discrimination: Occurs when investments in education and training are lower for minorities than whites. The smaller amount and inferior nature of the education and training they have received have had the obvious effect of denying them the opportunity to increase their productivity and qualify for better jobs. Even when they are able to invest in their own education and training – they do get an inferior rate of return on their investment.
d) Occupational Discrimination: Means that: minority workers have been arbitrarily restricted or prohibitited from more desirable higher paying jobs. For women, this is a book on to itself.
Costs of Discrimination:
This is difficult to estimate; but if the unemployment level of minorities was the same as whites; and if training and education were made available to minorities at the same level as whites than it is estimated the total output of the economy would rise by about 4%.
According to a study conducted by the Joint Economic Committee (Washington) in 1985, the cost of discrimination was in the order of 160 Billion a year. Given that the US has roughly ten times more population than Canada, and that the data is 25 years old…would it be reasonable to assume that the cost of discrimination in Canada is at least 16 Billion per year?
6) UNFAIR TAXATION:
Unfair taxation is the root cause of poverty.
In 1990 approximately 10% of the population had 70% of the wealth. Presently 2% of the population has 80% of the wealth. Can it be assumed that by 2030 1% of the population will have 90% of the wealth? Can we assume that the poor have not been taxed fairly and the rich have not been pulling their share of the load?
This scenario is inequitable; and is the root cause of poverty.
Unfair taxation, such as H.S.T. and sales tax hurt the poor and middle class worse than those that are in far higher tax brackets. The government must adjust the “progressive tax rate” to make the rich “pull their share of the load” and stop getting rich on the backs of the poor. The government has failed in their job to redistribute income.
The argument that the “Liberals” have presented against a more progressive system is classic.
1) Jack makes $100,000 a year, and pays $40,000 a year in income tax leaving him with an income of $60,000 a year.
2) Jill makes $50,000 a year and pays $10,000 in income tax leaving her with an income of $40,000 a year.
Poor old Jack won’t have an incentive to work if he is taxed more; because he paid 40% in income tax and Jill only paid 20% in income tax! And, Jill doesn’t have any incentive to work harder either!
Why then do the rich get richer and the poor get poorer?
Is this just another case of the “Liberals” trying to “rig the market” to their advantage?