UCCB cheques won't stimulate economy much, CIBC says
Canadian families may have big plans for the sudden influx of backdated Universal Child Care Benefit cheques that Ottawa mailed out this week, but there's little evidence that the economy as a whole is going to benefit from them, one of Canada's biggest banks said Friday.
In a commentary Friday, CIBC's chief economist Avery Shenfeld attempted to gauge the impact of the thousands of cheques and direct deposit that Canadian parents received this week, worth $160 per month for every child under age six, and $60 per month for every child between the ages of 6 and 17, backdated to January.
The pre-election goodie bag means a cash windfall for parents — at least a temporary one that lasts only until tax time. Based on Shenfeld's crunching of the numbers, however, the impact on Canada's economy might be minimal.
"It all comes down to how short-sighted households are about their finances," Shenfeld said. That's economist-speak for saying it depends what Canadians do with their sudden cash infusions.
http://www.cbc.ca/m/news/business/uccb-cheques-won-t-stimulate-economy-much-cibc-says-1.3166541
This is just a fancy way of saying that UCCB is a dumb trick.