Source: Ashley Robinson, Commodity News Service Canada, November 20, 2018
While overall the Canadian economy is operating past capacity there are still a few provinces that have an opportunity to grow, mainly Saskatchewan and Alberta, according to an analyst.
“(Saskatchewan and Alberta) have not recovered from the earlier downturn and that’s in contrast to provinces such as Ontario and BC that are operating at, if not beyond capacity,” said Paul Ferley, assistant chief economist for the Royal Bank of Canada during the economic outlook for 2019 at Grain World in Winnipeg, Man. on Nov. 14.
The Canadian economy has been operating over capacity, which has led to the Bank of Canada tightening in fiscal policy in order to moderate growth and control inflation. The Bank of Canada has been doing this by raising interest rates.
