Inflation, which first began creeping higher in 2021, took off dramatically last year and peaked at 8.1 per cent in the summer
OTTAWA — After a steep and rapid climb in prices, Canada's inflation rate is expected to fall significantly this year, giving comfort to economists worried about untamed price growth but little relief to Canadians who have fallen behind.The run-up in prices was sparked by what Desjardins' chief economist Jimmy Jean called a "perfect storm" — the reopening of economies after COVID-19 restrictions, the Russian invasion of Ukraine and the disruptions in supply chains.
A base-year effect refers to the impact of price movements from a year ago on the calculation of the year-over-year inflation rate. Economists tracking month-over-month changes in prices have noticed price pressures easing for a while now. The forecasts come with a major caveat, however: Canada must be spared from unexpected global events that could cause another rise in inflation.
"A good part of the purchasing power erosion we saw over the last year or so, that's likely to be permanent, unfortunately," Jean said. "Unless and until we see incomes pick up." With affordability still top of mind for many Canadians, Jean said "governments are going to be under pressure to perhaps offer more support, especially for the households that are very in need."
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
GOLDSTEIN: Canada’s greenhouse gas emissions reportedly rise again in 2021Canada’s greenhouse gas emissions went up by 19 million tonnes, or by 2.8%, in 2021 according to the Canadian Climate Institute
Read more »
GOLDSTEIN: Canada’s greenhouse gas emissions reportedly rise again in 2021Canada’s greenhouse gas emissions went up by 19 million tonnes, or by 2.8%, in 2021 according to the Canadian Climate Institute
Read more »
Opinion | Affordability — not inflation — is the biggest crisis Canada’s economy faces todayOpinion: Five fiscal approaches, writes ArmineYalnizyan, could lower costs, tackle long-term affordability and create more economic resilience.
Read more »
Canada's inflation rate is expected to fall significantly this year. Here's whyOTTAWA — After a steep and rapid climb in prices, Canada's inflation rate is expected to fall significantly this year, giving comfort to economists worried about untamed price growth but little relief to Canadians who have fallen behind. Inflation, which first began creeping higher in 2021, took off dramatically last year and peaked at 8.1 per cent in the summer. That's well above the two per cent inflation target the Bank of Canada is supposed to maintain. The run-up in prices was sparked by wh
Read more »
You Can Now Shop for Glossier Products at Sephora Canada | Elle CanadaCanadian beauty lovers—rejoice! You can now shop for glossier products online and in-store at Sephora Canada.
Read more »
Federal disaster aid program for 2021 B.C. floods now tops $1 billion - Terrace StandardToday’s announcement in Abbotsford is for $557 million, the second payment installment
Read more »