14 h. ago
Bank of Canada warns U.S. tariffs would have 'severe' impact
Tariffs could weaken the country's economy in the next two years, says Bank of Canada (BoC) governor Tiff Macklem.While speaking to members of the Mississauga Board of Trade and the Oakville Chamber of Commerce on Friday, Feb. 21, Macklem highlighted the uncertainties brought about by tariff threats and compared its potential impact to the pandemic."In the pandemic, we had a steep recession followed by a rapid recovery as the economy reopened. This time, if tariffs are long-lasting and broad-based, there won't be a bounce-back," he stated."We may eventually regain our current rate of growth, but the level of output would be permanently lower. It's more than a shock — it's a structural change."He stated that even the period of uncertainty is "already causing harm" and that a trade conflict would cost people their jobs and reduce exports and investments.The immediate impact of tariffs on CanadaMacklem pointed out that the threat of tariffs has brought about uncert...
Economics
