Bank of Canada governor Tiff Macklem says that although a slowing economy may not seem like a good thing, it is when economy is overheated.
“That doesn’t sound like a good thing, but when the economy is overheated, it is,” he said.To slow the economy domestically, the Bank of Canada has embarked on one of the fastest monetary policy tightening cycles in its history. It has hiked its key interest rate eight consecutive times since March, bringing it from near-zero to 4.5 per cent.
As gas prices have fallen and supply chains have improved, inflation in Canada has slowed since peaking at 8.1 per cent in the summer. Macklem called this a “welcome development,” but stressed inflation is still too high.For inflation to get back to two per cent, Macklem said wage growth will have to slow, along with other prices.
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.
Slowing growth 'good thing' when economy overheated: BoC's MacklemBank of Canada governor Tiff Macklem says that although a slowing economy may not seem like a good thing, it is when economy is overheated.
Read more »
Tiff Macklem: Slowing growth a 'good thing' when economy is overheated - BNN BloombergBank of Canada governor Tiff Macklem says that although a slowing economy may not seem like a good thing, it is when the economy is overheated.
Read more »
Macklem reiterates BoC rate hike pause as monetary policy enters new phaseAfter delivering a quarter-point increase in late January, the bank announced a “conditional pause” to further rate hikes
Read more »
The Week Ahead: Macklem speaks at first event after rate hike; latest jobs data - BNN BloombergA look at what investors will be watching in the upcoming week.
Read more »
Tech layoffs: Dell to axe 6,650 jobs as it fights slowing demand - National | Globalnews.caDell Technologies Inc. had about 133,000 employees as of Jan. 28, 2022, of which, about one-third were based in the United States.
Read more »
Faced with slowing economy, B.C. promises to keep spending taps openThe B.C. government says it is already planning ‘historic’ new spending levels on the public health care system
Read more »