GDP goes down in February

[mentalfloss]

Canadian economy shrinks slightly in February

Canada's gross domestic product declined by 0.2 per cent in February, which means the country's overall economy contracted.

Temporary closures in mining and other industries contributed to the decline, Statistics Canada said Monday.

Decreases in mining and oil and gas extraction, manufacturing, utilities, as well as forestry and logging outpaced advances in construction, the agency said.

In the services sector, gains in finance and insurance outweighed declines in retail trade, transportation and warehousing.

Canadian economy shrinks slightly in February - Business - CBC News

 

[Machjo]

With the overall debt Canadians currenty carry, it's inevitable, so I won't blame any government for this. If the goal is sustainability, the market will bear ony so much growth, and sometimes contraction which could be a good thing as the economy stabilizes.

 

[JLM]

Canadian economy shrinks slightly in February

Canada's gross domestic product declined by 0.2 per cent in February, which means the country's overall economy contracted.

0.2%????????? I question if it can really be measured that accurately. How many samples is this figure extrapolated from? :smile:

 

[captain morgan]

January and Feb are the first months right after high-spending times during X-mas and holidays. Factor in the inevitable tax bills that come due in April and those numbers aren't bound to increase until early summer.

 

[mentalfloss]

The story has been updated with an objective explanation..

Mining, manufacturing decreases outpace construction advances

Temporary closures in mining and other industries contributed to the decline, Statistics Canada said Monday.

Economists had been expecting a slight 0.2 per cent rise in GDP, so the decline was a surprise.

The Canadian dollar fell more than half a cent to 101.4 cents US following the news.

Decreases in mining and oil and gas extraction, manufacturing, utilities, as well as forestry and logging outpaced advances in construction, the agency said.

Output in the oil and gas sector shrank by 0.9 per cent due to "unplanned maintenance activities in Alberta," Statistics Canada noted.

Natural gas production also declined.

Canadian economy shrinks slightly in February - Business - CBC News

 

[Machjo]

Decline in the resource sector can be a good thing for the long term since we'd rather value-added jobs anyway since resources are finite after all.

 

[mentalfloss]

Decline in the resource sector can be a good thing for the long term since we'd rather value-added jobs anyway since resources are finite after all.

Value-added jobs like manufacturing? ;-)

 

[petros]

Mining...to be specific it was potash turn arounds.

 

[mentalfloss]

Mining...to be specific it was potash turn arounds.

Oil and gas also went down.

 

[petros]

Yeah turn arounds in oil and gas as we speak.

 

[Machjo]

Value-added jobs like manufacturing? ;-)

The article mentioned construction, which is also adding value to the two-by-fours and four-by-fours.

 

[petros]

No shortage of manufacturing in the west.

 

[mentalfloss]

The article mentioned construction, which is also adding value to the two-by-fours and four-by-fours.

True. If it only it wasn't outpaced by dutch manufacturing declines.

 

[petros]

Declines in Ontario? No biggie.

 

[mentalfloss]

Declines in Ontario? No biggie.

:roll:

 

[petros]

Have you figured out what a turn around is yet?

 

[Machjo]

It is unfortunate that there was a decline in manufacturing, but at the same time, we can't artificially grow the economy unsustainably either. I'll criticize Harper for many things, but not overall economic growth, since no government can control that entirely.

And Petros, I do agree that there are still plenty of jobs; we should just train the unemployed for those jobs.

 

[mentalfloss]

It is unfortunate that there was a decline in manufacturing, but at the same time, we can't artificially grow the economy unsustainably either. I'll criticize Harper for many things, but not overall economic growth, since no government can control that entirely.

I'll criticize any government that promises economic growth knowing that they cannot have any significant control over it.

 

[petros]

Machjo. You could have 100 unemployed and 100 jobs open but only 10% of the 100 will find work. You can retrain tiil the cows come home but if someone isn't suitable for the job they just aren't suitable.

 

[Machjo]

I'll criticize any government that promises economic growth knowing that they cannot have any significant control over it.

Did Harper promise economic growth? I cannot remember that. To the best of my knowledge he promissed to create more opportunity for growth, which is not the same thing. But I stand to be corrected. Any links?

Machjo. You could have 100 unemployed and 100 jobs open but only 10% of the 100 will find work. You can retrain tiil the cows come home but if someone isn't suitable for the job they just aren't suitable.

Then we need to match them to the jobs. Even in a wheelchair, or if deaf, there are jobs that can be suitable under the circumstances.