1. © 2012-Robert G Parker May 24, 2012 Page: 1 © 2012-Robert G Parker May 24, 2012 Page: 1 © 2012-Robert G Parker May 24, 2012 Page: 1 © 2012-Robert G Parker May 24, 2012 Page: 1 Greece Economic People in Greece will continue to enjoy a laid-back lifestyle with the government taking care of them ….. For as long as Germany is willing to pay for it! anon

2. © 2012-Robert G Parker May 24, 2012 Page: 2 © 2012-Robert G Parker May 24, 2012 Page: 2 © 2012-Robert G Parker May 24, 2012 Page: 2 © 2012-Robert G Parker May 24, 2012 Page: 2 Greece Economic

3. © 2012-Robert G Parker May 24, 2012 Page: 3 © 2012-Robert G Parker May 24, 2012 Page: 3 © 2012-Robert G Parker May 24, 2012 Page: 3 © 2012-Robert G Parker May 24, 2012 Page: 3 Greece Economic 2010 GDP EU Total - € 22,268,387 Greece - € 230,173 Greece Represents 1% of the EU GDP

4. © 2012-Robert G Parker May 24, 2012 Page: 4 © 2012-Robert G Parker May 24, 2012 Page: 4 © 2012-Robert G Parker May 24, 2012 Page: 4 © 2012-Robert G Parker May 24, 2012 Page: 4 Greece Economic But it appears as if Greece could cause the Euro currency to falter

5. © 2012-Robert G Parker May 24, 2012 Page: 5 © 2012-Robert G Parker May 24, 2012 Page: 5 © 2012-Robert G Parker May 24, 2012 Page: 5 © 2012-Robert G Parker May 24, 2012 Page: 5 Economy USA Debt Ceiling

6. © 2012-Robert G Parker May 24, 2012 Page: 6 © 2012-Robert G Parker May 24, 2012 Page: 6 © 2012-Robert G Parker May 24, 2012 Page: 6 © 2012-Robert G Parker May 24, 2012 Page: 6 Economy USA Sovereign Debt From Main Street To Wall Street

7. © 2012-Robert G Parker May 24, 2012 Page: 7 © 2012-Robert G Parker May 24, 2012 Page: 7 © 2012-Robert G Parker May 24, 2012 Page: 7 © 2012-Robert G Parker May 24, 2012 Page: 7 Canada’s Debt Crisis Total provincial net debt (debt minus financial assets) is expected to reach more than $515-billion this year (2012-13), up more than $200-billion since 2007-08. As a percentage of the economy (GDP), the burden of provincial debt has increased to 29% this year from 21% in 2007-08. Add on the current federal net debt of $663- billion and Canadians are leaving a legacy of over a trillion dollars in direct debt to the younger generation - more than 65% of GDP, up from 54.5% in 2007-08.. Every Canadian family is being put into hock to the tune of $122,000 by federal and provincial government borrowing April 26, 2012

8. © 2012-Robert G Parker May 24, 2012 Page: 8 © 2012-Robert G Parker May 24, 2012 Page: 8 © 2012-Robert G Parker May 24, 2012 Page: 8 © 2012-Robert G Parker May 24, 2012 Page: 8 Canada’s Debt Crisis "Total provincial net debt (debt minus financial assets) is expected to reach more than $515-billion this year (2012- 13), up more than $200-billion since 2007-08. As a percentage of the economy (GDP), the burden of provincial debt has increased to 29 per cent this year from 21 per cent in 2007- 08," the article notes. "Add on the current federal net debt of $663-billion and Canadians are leaving a legacy of over a trillion dollars in direct debt to the younger generation - more than 65 per cent of GDP, up from 54.5 per cent in 2007-08.

9. © 2012-Robert G Parker May 24, 2012 Page: 9 © 2012-Robert G Parker May 24, 2012 Page: 9 © 2012-Robert G Parker May 24, 2012 Page: 9 © 2012-Robert G Parker May 24, 2012 Page: 9 "(Ontario) is running a deficit that's ten times larger than Quebec, which has always been the champion when it comes to running deficits," said the Canadian Taxpayers Federation's Gregory Thomas. And while Ontario struggles with its deficit, Thomas cautions that over $10 billion of its tax dollars are being eaten up by interest payments on debt this year alone. Canada’s Debt Crisis If the Saskatchewan is the poster child for fiscal prudence, then Ontario is the black sheep of the federation.

10. © 2012-Robert G Parker May 24, 2012 Page: 10 © 2012-Robert G Parker May 24, 2012 Page: 10 © 2012-Robert G Parker May 24, 2012 Page: 10 © 2012-Robert G Parker May 24, 2012 Page: 10 Canada’s Debt Crisis Canadian GDP

11. © 2012-Robert G Parker May 24, 2012 Page: 11 © 2012-Robert G Parker May 24, 2012 Page: 11 © 2012-Robert G Parker May 24, 2012 Page: 11 © 2012-Robert G Parker May 24, 2012 Page: 11 Quebec’s total debt in March 2010 was $160.117 billion, according to Finance Quebec. This represents 53.2% of its Gross Provincial Product. Then there is Hydro Quebec, municipal and various other debt obligations which brings the total to $218.48 billion or 72.6% of its economy. Add to that Quebec’s share of the federal debt and the burden is 117.6% of GDP. Ontario is also worrisome with a net debt of $220 billion in 2010-11 and a projected debt of $245 billion in 2011-12. This $220 billion represents 37% of Ontario’s Provincial Product. Add to its share of the federal debt and the burden in Ontario is 82% of GDP. Add to that possibly another 10% in the form of Provincially-secured municipal, school, hospital or hydro debt. Source – Diane Francis – Financial Post – April 6, 2012 Canada’s Debt Crisis Canada’s debts are at a ratio of 90% of GDP mostly due to chronic overspending by Quebec and Ontario. Their profligacy is in stark contrast with Canada’s three westernmost provinces.

12. © 2012-Robert G Parker May 24, 2012 Page: 12 © 2012-Robert G Parker May 24, 2012 Page: 12 © 2012-Robert G Parker May 24, 2012 Page: 12 © 2012-Robert G Parker May 24, 2012 Page: 12 Canada’s Debt Crisis

13. © 2012-Robert G Parker May 24, 2012 Page: 13 © 2012-Robert G Parker May 24, 2012 Page: 13 © 2012-Robert G Parker May 24, 2012 Page: 13 © 2012-Robert G Parker May 24, 2012 Page: 13 Provincial debt projected for current fiscal year $515 billion Current Federal net debt Canada’s Debt Crisis 2012-2013 $663 billion Provincial and Federal debt$1,178 billion Canada’s GDP $1,624 billion 73% Calculated Ratio 90% Diane Francis - Estimate Provincial debt may or may not include crown corporations and may be net of provincial assets. Federal debt is net of federal assets and may be net of non-current debt, such as superannuation

14. © 2012-Robert G Parker May 24, 2012 Page: 14 © 2012-Robert G Parker May 24, 2012 Page: 14 © 2012-Robert G Parker May 24, 2012 Page: 14 © 2012-Robert G Parker May 24, 2012 Page: 14 World What If There Is Not A Solution? The long run is a misleading guide to current affairs. In the long run we are all dead. John Maynard Keynes In the short term all costs are fixed; in the long term we are all dead

15. © 2012-Robert G Parker May 24, 2012 Page: 15 © 2012-Robert G Parker May 24, 2012 Page: 15 © 2012-Robert G Parker May 24, 2012 Page: 15 © 2012-Robert G Parker May 24, 2012 Page: 15 Economy Economists Are at a Crossroad Stimulate the economy to create jobs Action Result Increased debt that the country cannot repay Government prints money and devalues its currency with resulting inflation Government runs out of borrowing capacity Implement an austerity program Increased unemployment and possible civil unrest Increased government costs for social and unemployment programs Less production with less goods to sell in foreign markets QE 1 QE 2

16. © 2012-Robert G Parker May 24, 2012 Page: 16 © 2012-Robert G Parker May 24, 2012 Page: 16 © 2012-Robert G Parker May 24, 2012 Page: 16 © 2012-Robert G Parker May 24, 2012 Page: 16 Economy Economists Are at a Crossroad Voters in France Voted for Less Austerity

17. © 2012-Robert G Parker May 24, 2012 Page: 17 © 2012-Robert G Parker May 24, 2012 Page: 17 © 2012-Robert G Parker May 24, 2012 Page: 17 © 2012-Robert G Parker May 24, 2012 Page: 17 Economy

18. © 2012-Robert G Parker May 24, 2012 Page: 18 © 2012-Robert G Parker May 24, 2012 Page: 18 © 2012-Robert G Parker May 24, 2012 Page: 18 © 2012-Robert G Parker May 24, 2012 Page: 18 Economy Economic Dichotomy 99% 1% Is This Really the Case?

19. © 2012-Robert G Parker May 24, 2012 Page: 19 © 2012-Robert G Parker May 24, 2012 Page: 19 © 2012-Robert G Parker May 24, 2012 Page: 19 © 2012-Robert G Parker May 24, 2012 Page: 19 Economy Economic Dichotomy

20. © 2012-Robert G Parker May 24, 2012 Page: 20 © 2012-Robert G Parker May 24, 2012 Page: 20 © 2012-Robert G Parker May 24, 2012 Page: 20 © 2012-Robert G Parker May 24, 2012 Page: 20 Economy Economic Dichotomy Is This: Good Bad Neither Cannot Tell Don’t Care

21. © 2012-Robert G Parker May 24, 2012 Page: 21 © 2012-Robert G Parker May 24, 2012 Page: 21 © 2012-Robert G Parker May 24, 2012 Page: 21 © 2012-Robert G Parker May 24, 2012 Page: 21 Economy Canadian Success Story Viking Air – Victoria BC Purchased De Havilland assets from Boeing Re manufactured DHC-1 Beavers Serviced other aircraft Saw market for an upgraded DHC-6 Twin Otter 55 Order Backlog worth $350 Million Employs 450 staff in Victoria and 200 in Calgary for final assembly

22. © 2012-Robert G Parker May 24, 2012 Page: 22 © 2012-Robert G Parker May 24, 2012 Page: 22 © 2012-Robert G Parker May 24, 2012 Page: 22 © 2012-Robert G Parker May 24, 2012 Page: 22 Economy Viking Air – Victoria BC April 2012 – Flew two aircraft to Asia via the Arctic on a sales trip Flew to South America on a sales trip Increased the order book backlog Then in May

23. © 2012-Robert G Parker May 24, 2012 Page: 23 © 2012-Robert G Parker May 24, 2012 Page: 23 © 2012-Robert G Parker May 24, 2012 Page: 23 © 2012-Robert G Parker May 24, 2012 Page: 23 Economy