GROSS NATIONAL PRODUCT No basis for recovery business OTTAWA Canada's economy shrank 1.0 per cent _ in 1982's third quarter - its the second quarter of 1981. “In the early part of this period (of decline)... the B7 - Wednesday, December 8, 1982 - North Shore News figures backed up his Oct. 27 economic statement that total growth would begin to “fifth -consecutive quarterly principal ‘source of: weakness improve in the fourth ‘decline. - and. there wereno in ~- ~-; consumer quarter of 1982 and signs of recovery despite a demand. ,appeared to be in unemployment would slowing of the economic passenger carts | and. other remain high. ‘decline, Statistics. Canada durable + goods,” . the “What I have indicated is. : reported. government statistics agency that there ‘would be an end to . _ ; von balance, the. structure said:. ~ the . downturn’: in the OTTAWA — Finance ‘of demand (for goods and “More recently, the economy in ‘the fourth Minister. Marc Lalonde has services) would notyet seem slackening in demand has quarter,” Lalonde said. rejected Opposition to provide as: _ Spread to other kinds of Statistics Canada said demands that he .Scrap “recovery,” the government .expenditures as well; the business expenditures for Provisions from the statistics agency said. agency added. — . plant expansion. “and new November -.1981, budget — . Gross, National Product, “The latest economic equipment declinéd sharply, hmiting tax’ deductions on the total value of goods and services, has plunged 6.9 per cent since the second quarter of 1981. Earlier, the agency an- nounced that 1.44 million Canadians were without work. The impact of th the agency reported real personal expenditures have declined 3.9 per cent since adjusted, was up 1.9 per cent decline. was less severe than - in the second quarter of this year, when GNP fell 1.9 per cent. The third quarter Gross National Product at market prices, which is seasonally ~although there appeared to be some improvement in. non-residential con- struction, especially in the oil industry. The agency said that corporate profits stopped falling in the third quarter. ng d - In the House of Commons, and non-residential con- Finance Minister Marc~- struction would remain weak Lalonde said the latest “for some time.” New housing construction was down 15.5 per cent in the third quarter after falling 13 per cent in the second quarter. However, there was ‘Autopac attack === WINNIPEG — Manitoba's _ powerful insurance industry has given a critical, but ‘muted, response to government plans to unleash its publicly-owned insurance company to sell life .in- surance, possibly nation- wide. “Entry into the life in- sufance and pension markets is not a good -idea for the provincial government,” "said Great-West Life:“Assurance- president Kevin Kavanagh. The government's plans, outlined in the throne speech, to allow’ the Manitoba Public Insurance Corp. insurance and _ pension Management business caught most observers by surprise. Premier Howard Pawley said the government asked Autopac, as the company is known, to “examine the feasibility of entering into such operations for the purposes of bringing about ' competitive edge, he said. ‘using Autopac’s capita to compete for life — market, where real estate commissions rose sharply. The rise was attributed to declining mortgage interest rates. government study would show that the proposal did not make | sense. Autopac could be successful only if. the government gave it a- Autopac’s expanded: operations would increase its _ ability to finance public debt.’ ‘for such institutions as". hospitals, Pawley said. _ The premier ruled ou government has done with: the Caisse de depot et de. placement. He also said the govern-. ment: had not -considered' turning its’ public agency. retirement funds over to: Autopac. . If Autopac was interested in..obtaining the group in-. surance policies of Manitoba’ government employees, it. would have to bid against private companies, Pawley said. this competitive service and Conservative leader. to look at the possibility of Sterling Lyon said the idea. entering into such activity in was silly and that the & other provinces.” government “could well get Winnipeg is the laughed out of court.” = headquarters of 10 insurance he government an- companies that dot the. . nounced its intention to beef, boulevard leading to the up the public séctor through legislative building. . creation of a Manitoba Oil Kavanagh said the and Gas Corp. A warming Available at Lynn Valley Rentate 3022 Mountain Hwy. 986-2338 Christmas Gift ... Rated at 8,200 BTU's per hour. The most compact, most no Kero-Sun radiant model. Great for smaller heating jobs. 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He noted usinessmen had urged the Lynn Valley Branch Marine Dr. Branch Village Branch 1247 Rosas Road 980-6556 986-1116 Five branches serving North Vancouver 1080 Marine Dr. November 1981 budget proposals which have yet to gain parliamentary approval. “It is high time Parliament came to a resolution of these issues,” he said. - cost allowance” “compare favorably with taxation laws _ in other countries, including _. the United States. “I think * this is good enough in the = current circumstances.” : He said the limits on tax .° breaks for income averagin: so CHRIST MAS HOURS : Dec. 6 - Dec. 23 js Open 6 nights a week Mon. - Sat. t 9:30 a.m. - 9:00 p.m. allow those with fluctuating. - incomes to spread earnings from good years into leaner years for taxation purposes, would also stay. “The provisions that I have put forward are those . which I arrived at as being | most fair in the present ~ circumstances,” he said.. 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