Media Clipping — Friday, July 20, 200, The Daily News, Halifax
Life, on $7 a day
By Peter Mclaughlin
The 44-year-old Halifax woman, who struggles on less than $7 a day after her monthly $515 rent is paid, says she is amazed some days that she survives. She receives just $8,500 a year from family benefits, and is one of 20 per cent of Nova Scotians who are considered the poorest in the land.
She gets by with a lot of help from a local social agency, Clubhouse Connections, that helps feed her and find the odd job to supplement her income.
$11 a week on meals
"If it weren't for them, I'd be living off food-bank food,'' said Brown who spends about $11 a week on meals offered at the Clubhouse. At home, a loaf of bread is stretched over a week for snacks and breakfasts.
Brown, who is manic depressive and schizophrenic, last held a steady job three years ago.
Local researchers Colin Dodds and Ronald Colman also found the gap between Nova Scotia's richest and poorest is now greater than ever.
Poverty advocate and legal-aid lawyer Jeanne Fay is not surprised by the findings.
"People out there are hurting,'' she said. "I have so many people on my case load - old people, sick people, who are not eating, who are paying everything they have for rent. Yeah, it's pretty bad.''
And the system is making it tough for the poor to get back on their feet. A bus pass alone - at $57 a month - would cost Brown almost 10 per cent of her income, but she'd likely need to it hold down a job.
“It‘s a real battle”
"People always say: `live within your means. They don't understand there's no money to do that,'' says Brown. "It's frustrating; it's a real battle to get ahead."
The study broke household incomes into five categories to get a more accurate picture of who benefits from a growing economy.
The average disposable after-tax income for the bottom 20 per cent of Nova Scotian households in 1998 was $8,205, compared with $70,000 for the richest 20 per cent.
The study found the only group of Nova Scotians to benefit from a growing economy over the last decade is the top 20 per cent.
WHILE NOVA SCOTIA'S POOR are being left in the economic dust of the rich, the middle class isn't faring much better, according to a study that measures income distribution.
Over the past decade, middle-income Nova Scotians have lost the most in absolute income - about $3,600 - compared with the rest of the country. The poorest, however, have lost the most as a percentage of their disposable income, down 29 per cent since 1990.
The richest 20 per cent of Nova Scotians have the biggest share of the pie, controlling about 42 per cent of the total annual disposable income.
Saint Mary's University economist Andrew Harvey said the middle class is taking it on the chin mostly because they have the highest tax burden.
"The poor aren't so heavily taxed because they don't have the income to tax and the high-income have ways of avoiding the tax, so the middle income are left paying the bill,'' he said.
Measured in constant 1998 dollars, the average Nova Scotian household has lost nearly $3,000 in disposable income for an eight per cent decline since 1990, the second-highest rate of decline in the country behind Newfoundland.
People in the two richest provinces, Ontario and Alberta, gained the most. The average Ontario household gained $1,806 or four per cent over the same period while the average Alberta household rose five per cent or $2,111.
- Peter McLaughlin
Authors: Colin Dodds, M.A. and Ronald Colman, Ph.D
Statistical and socio-economic analysis of income distribution trends regionally and over time in Nova Scotia, including inter-provincial and gender comparisons. Accompanied by a 266-page database with income distribution trends for Canadian provinces.