Watch above: Bloomberg’s Ottawa bureau chief Theo Argitis and Scott Clark, a former deputy finance minister look over the horizon to try to see where Canada’s economy is heading.
The health of a nation’s economy has a lot of moving parts, meaning predictions often involve a lot of ifs, ands or buts.
Forecasters are anticipating further weakness with the loonie, which could possibly dip below 90 cents over the next two years as slow growth and low inflation pull it down.
As for the housing market, the International Monetary Fund has indicated Canada has the most over-valued housing market in the world. But forecasters closer to home don’t agree.
WATCH: Guessing what will happen with the economy over the next 12 months is a little like gazing into a crystal ball. The weekly West Block primer takes a look at some of the data.
Low interest rates, meanwhile, have made borrowing very cheap. Will that continue? Well, there are plenty of opinions on that, but the only one that really counts is that of the governor of the Bank of Canada—and he says the rates will stay low for quite some time.
So it’s not an easy prediction, but Bloomberg bureau chief Theo Argitis and Scott Clark, a former deputy finance minister, look at what will determine how Canada’s economy will fare in 2014, and what the most influential factors will be.
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