Canadian shoppers paying 11 per cent more than Americans -

Canadian shoppers paying 11 per cent more than Americans

Higher taxes, lower competition likely behind steeper retail prices


An Internet survey commissioned by Bank of Canada Governor Mark Carney revealed that Canadians are paying 11 per cent more on average than Americans on consumer goods, despite the loonie hovering around parity with the U.S. dollar, the Globe and Mail reports. Higher taxes, labour and transportation costs, along with a less competitive retail markets, are among the likely forces keeping Canadian retail prices a notch above those in the U.S., Carney told MPs. In September, Finance Minister Jim Flaherty asked the Senate standing committee on national finance to look into the issue.

The Globe and Mail

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Canadian shoppers paying 11 per cent more than Americans

  1. But our lives are 15% better, so we are still ahead. 

  2. After all the whining and posturing about higher prices its only 11%?  

  3. Nobody even mentions tariffs as the reason? Goods from many countries can enter the US tariff free while we slap a steep tariff on that same good here in Canada. 

    • That is not true. Third world countries that supply most of the goods are tariff free.

  4. I think the higher taxes excuse is false. Why are journalists not reporting the truth?

    • It’s called VOLUME buying, the US retailers buy more in volume & can command larger price breaks than smaller Canadian retailers.

  5. Sometimes it is much higher than 11%.  I noticed this on ‘Halloween’ goods that have a US price and a Canadian price…at times the Canadian price is 40 or 50% higher.  The same goes for paperback novels.  The Canadian price is 25% higher than the US price.  We are paying these prices despite the dollar being on parity and the publishers being in North America.

  6. Compare on-line prices at Pier 1 and  IKEA; you will find many items are 50%-60% more here than in the US. The 11% claim is laughable; however because it’s “reported” by the media most Canadians will believe it.

  7. So, if we can get lower pricing like the U.S. Can we get a reduction in our minimum wage-hydro costs-insurance-and all the other expenses incurred through owning a business? It’s not the retailer hiking the prices (it’s the wholesaler and the overhead associated with business).