Canada's Economy gets Downgraded
- Thread starter mentalfloss
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The Canadian central bank is banking on a robust pickup in output starting in midyear, driven by a boost in sales of non-energy exports and buffeted by robust U.S. demand and a weaker currency. Mr. Poloz will issue a revised forecast next month, accompanied by the Bank of Canada’s latest interest-rate decision.
I dunno. The highways here are jammed, every day. The malls are full. The order books are full. Real estate still climbs, in spite of the dire warnings over the last decade and a half. I know that there are issues. Our collective indebtedness is dangerous but I don't see any sign of a downturn around here.
Speak for yourselves. I live on the proceeds of manufacturing Canadian designed and manufactured products and selling them around the world ... Big time in the US, as well.
Maybe, these periodic dips are actually good for us. They separate the wheat from the chaff, the competent from the Sad Sacks who don't know how to sell.
Product and price should speak for themselves.
There is viable product galore that takes forever to reach port. That is changing. Projects started under Chretien, passed to Martin and now Harper are just now being completed or nearly done. There is big change on the short term horizon.Western Canada is finally getting infrastructure.
What do you do when the grain plugs the outdated undersized sieves?
We sure have the knowhow in this country. We just tend to be a bit "timid" and stingy with our venture capital.
Proof that Dutch Disease was just an eastern myth. A year ago the high price of oil was causing the decline in manufacturing in Ontario. Now the low price of oil is causing the same problems. Most likely it is the pizz poor provincial governments elected in Ontario.
It is, is it? Says who?
You're the first one that I've heard who equates the low price of oil with a decline in manufacturing in Ontario. All manufacturing everywhere in the Western world is in decline because of competition from cheap labour places. None of that has anything to do with Alberta, whatsoever. Amazing, innit? The center of the universe might not be the whole reason for everything after all?
You gotta learn to pay attention to what is going on around you. A year or so ago when oil was hitting $150 MF and many others from the east were claiming that the high CDN$$ was caused by high crude prices and that was causing the downfall of manufacturing in Ontario. Seems this is not the case as both oil and the $$ are down yet manufacturing still sucks. Guess they will have to find a new boogyman.
I've never said that the low price of oil would result in the decline in manufacturing.
And I'm not surprised that people keep 'confusing' Dutch disease as the relationship between the loonie and manufacturing, when it is actually about the relationship between oil and the loonie.
We've created the petro-dollar, so the negative impact on oil prices also has a negative affect on the dollar - which is a relationship that we are clearly seeing these days.
A positive impact on manufacturing is possible in the short term, all else being equal. But that is simply not the case as Mexican employers are paying their workers criminally low wages.
You can partly thank Harper for that because of free trade deals with the EU.
Now, I can't say I'm surprised that the usual suspects are framing the issue differently.
They have a case of dementia, so inexplicably horrible, that I need to repeat the same points over and over again.
And I'm not surprised that people keep 'confusing' Dutch disease as the relationship between the loonie and manufacturing, when it is actually about the relationship between oil and the loonie.
We've created the petro-dollar, so the negative impact on oil prices also has a negative affect on the dollar - which is a relationship that we are clearly seeing these days.
A positive impact on manufacturing is possible in the short term, all else being equal. But that is simply not the case as Mexican employers are paying their workers criminally low wages.
You can partly thank Harper for that because of free trade deals with the EU.
Now, I can't say I'm surprised that the usual suspects are framing the issue differently.
They have a case of dementia, so inexplicably horrible, that I need to repeat the same points over and over again.
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You're picking-and-choosing your logic here MF.
Claims of Dutch Disease and a high loonie and later references to petro-dollars (in addition to fabricating data on O&G subsidies) is more than enough of a connection such that your message and the relationship(s) was crystal clear.
In the end, Canada did not pursue a bent towards a petro-dollar style of arrangement; the global market demand for the commodity did.
On the free trade agreement Harper made with the EU, hell. based on the low value of the Euro, his actions are turning out to be a helluva deal for Canucks (and Americans) that want European goods/services.
Did you mean 'huffer'?