Metro Vancouver cannot keep the best and brightest here without better economic performance
This op-ed is featured in today's Vancouver Sun. Links to referenced materials provided below.
Last month the Eighth Annual Demographia International Housing Affordability Study was published, confirming what many Vancouverites already know. After Hong Kong, ours is now the second least affordable city to purchase a home in among 325 metropolitan markets in English-speaking countries.
To arrive at Vancouver's No. 2 rating, the Demographia study divided Metro Vancouver's median house price of $678,500 by a median house-hold income of $63,800. Overlooked in the media coverage was the fact the authors were using the data to make the case for more urban sprawl. They argue that policies like B.C.'s Agricultural Land Reserve are a "war on the dream" (Demographia's term) of home ownership because of their effect on house prices.
While many citizens and politicians agonize over the high cost of housing here, the second figure (income) troubles me at least as much. Here's an irksome statistic for a Vancouverite: Toronto's median household income is $73,800, or 15 per cent higher than Metro Vancouver's. Why are we not as concerned about our low median household income, and looking for ways to close that gap?
What if our politicians promised to fight for better paying jobs rather than the risky prospect of deflating the cost of housing? It used to be candidates for elected office promised a chicken in every pot. It would be a shame if we've given up on that dream.
The non-partisan Brookings Institution recently released its annual Global Metro Monitor study of the economic performance of the largest 200 city regions worldwide. It showed that Metro Vancouver, like other Canadian city regions, is not keeping pace when compared to developing economies in Asia, South America and the Middle East. Slow economic growth results in fewer jobs and lower pay, while making it harder to compete for the best and brightest business minds.
What are we doing about it? In truth, not nearly enough.
