This presentation takes a look at household debt.

1. Household Debt – Are we
heading for a Crisis
PAUL YOUNG, CPA, CGA
AUGUST 30, 2017

2. Paul Young CPA, CGA

3. Agenda
 What is Household Debt?
 Countries with the Largest Household Debt
 Ralph Goodale / Household Debt
 Solutions to Household Debt

4. Household Debt
 Household debt is defined as the amount of money that all adults in the
household owe financial institutions. It includes consumer debt and mortgage
loans. A significant rise in the level of this debt coincides historically with many
severe economic crises and was a cause of the U.S. and
subsequent European economic crises of 2007–2012. Several economists have
argued that lowering this debt is essential to economic recovery in the U.S. and
selected Eurozone countries.
 Source - Wikipedia

5. Countries with the largest household debt
(Household Debt % of GDP)
Source - http://www.businessinsider.com/these-are-the-countries-with-the-biggest-debt-
slaves-2017-1

6. Ralph Goodale / Household Debt
Source - http://www.huffingtonpost.ca/ralph-goodale/mr-harpers-economic-
recor_b_8020980.html

7. Canada Household Debt
Source - https://www.valuewalk.com/2017/08/canadas-consumer-debt/

8. What can be done about household debt?
 Stressing household budgeting at high school level through to adult years
 Focusing on expanding opportunities in rural areas
 Reducing personal income tax and hiking consumption taxes
 Reviewing all policies related to real estate
 Valuation
 Land Management
 Mortgage approval
 Cost of housing
 Bids / Asks