Every other week, we release 5 Minutes for Business, a publication written by Hendrik Brakel, our Senior Director of Economic, Financial and Tax Policy. In these publications, Hendrik briefly describes current issues that affect the Canadian economy and provides insight on what it will mean for Canadians today and the future. In this week’s edition, he looks at how the international economy will affect Canada.
Greece is once again at the precipice, insolvent and in need of another €85 billion to stave off collapse and recapitalize its shattered banks. At the same time, China’s stock market is in a 1929-style meltdown. Either one of these events would be a big shock to the global economy, but to have both at the same time is an economic earthquake.
What does it all mean for Canada? The outlook for commodities depends very much on global demand. Collectively, the European Union is the world’s largest economy. The world’s largest consumer of commodities is China. How long before this wave hits us, and how hard will it hit?
One thing is for sure: this will have important repercussions on the federal elections. Leaders will have to explain what they will do about Canada’s weak economy. Here at the Canadian Chamber, we have our own idea about this. Read on to find out more.
Read 5 Minutes for Business.
For more information, please contact Hendrik Brakel.