It was bound to happen and it is bound to continue to happen time and time again. Canada’s inflation rate took another leap in the wrong direction, jumping to 2.2% in May from 1.7% in the previous month according to reports recently released by Statistics Canada. May marked the second consecutive monthly jump in the inflation rate and a sharp rise in the consumer price index. It also marked the most significant increase since January 2007.
“The acceleration in consumer prices in May was mainly a reflection of the 12-month increase in gasoline prices,” the report said. “This acceleration in gasoline prices occurred as crude oil prices almost doubled between May 2007 and May 2008. Gasoline prices increased substantially across the country, rising the most in Quebec and Ontario.”
Naturally the impact felt by most Canadians has been in the gas prices.
Statistics Canada said gas prices rose 15% in May from a year earlier, up from a year-on-year pace of 11.6% in April. Excluding gasoline prices, the 12-month growth in the CPI in May was 1.6%. Ouch.
Down in the United States, of course, things aren’t too much better. Gas prices continue to climb, but Canadians continue to flock to the border in some places to catch the difference. The border lineups in our area are quite extensive, as my wife well knows, and are filled with people going down to the United States to save a few bucks on gas.
With no real end in sight, are there any easy answers? No.
The only answers require a significant change in consumer lifestyle. Consumers have the power and the responsibility to change. The problem is that most consumers often feel powerless and feel literally “consumed” by misinformation and propaganda coming from corporations with special interests and from governments with their hands in the public coffers. The only option is changing the course.
Part of changing the course means driving a car that makes more sense and changing some lifestyle habits. Luckily there are companies that are listening. Toyota is one of those companies and, together with the Yaris, the Toyota Scion is a car that can go a long way as to changing gas mileage and its harmful effects on the consumer pocketbook. Drop by a Scion dealer today and check it out. For Canadians, it may well be worth a trip down South, as the Scion isn’t yet available in Canada.
Did you ever read George Orwell’s 1984? If so, you probably look at headlines like this and immediately think of Big Brother (and I don’t mean the CBS reality show). But in an effort to make the roads safer for everybody, engineers are 