There’s a lot of talk these days about inflation — so much so that is likely to trigger an increase in interest rates this week.
For the average person, inflation is often measured by tracking the Consumer Price Index or CPI which, in general terms, is the cost of everyday goods and services.
We’ve seen growth in inflationary pressures for some time, largely driven by the rising cost of accommodation. This is especially true in the big cities where the average house is now in the $1-million range.
But inflation is not uniform. Just as home prices vary across the country, inflation finds its own level in various regions.
Saskatchewan is presently showing the lowest CPI increases in Canada, falling six-tenths of a point from November to December in this province compared to a decline of one-tenth of a point nationally.
Saskatchewan’s CPI is 3.5 per cent. Nationally, it is 4.8 per cent.
That is good for consumers in Saskatchewan, but we get caught up the Toronto backwash as interest rates go up to cool that market, while we really have no need for higher borrowing costs to slow anything down.