Look at this chart.
Mortgage credit in Canada is still expanding month-to-month — around 0.2–0.5%. Annualized, that’s 3–6% growth. Here’s the issue:
GDP is crawling along at ~1–2%. Household incomes are only rising ~2–3%. Yet debt growth is running ahead of both. That’s the definition of an exponential trap: debt compounding faster than the economy th…
