Weekly Digest – 04 December 2024

Welcome to our Weekly Digest – stay in the know with some recent news updates relevant to business and the economy.

Tax ‘holiday’ may spur economic growth, but ‘dark cloud’ hangs over future

The Bank of Canada will have to grapple with an underperforming economy, signs of a returning consumer and a “dark cloud” hanging over the nation’s trade prospects as it gears up for its final interest rate decision of the year.

Canada failed to diversify trade ahead of Trump tariff threats

Canada failed to cultivate new trade corridors that could have helped to mitigate the potential impact of Donald Trump’s tariff threats ahead of his return to the White House, experts tell Global News.

Quarterly GDP growth expected to fall short of BoC forecast, but debate over jumbo-sized cut continues

Canada’s economic growth is expected to have slowed in the third quarter of the year, well below the Bank of Canada’s forecast. But economists’ opinions vary on whether the slower growth will push the central bank to issue another jumbo-sized rate cut.

Canadian economy historically underperforming peers

The “historically unprecedented underperformance” of the Canadian economy relative to its peers is not likely to drastically improve soon. That was the somber message delivered by Nathan Janzen, assistant chief economist with RBC, who gave an economic update at the Truckload Carriers Association’s Bridging Border Barriers event Nov. 20.

What the GST holiday means for consumers — and why some economists are worried

After the federal government announced on Thursday that it would introduce a holiday season tax break on some goods, some Canadians welcomed the move, while others said they saw right through it.

Canada’s antitrust watchdog sues Google alleging anti-competitive conduct in advertising

Canada’s Competition Bureau is suing Alphabet’s Google over alleged anti-competitive conduct in online advertising, the antitrust watchdog said on Thursday. The Competition Bureau, in a statement, said it had filed an application with the Competition Tribunal seeking an order that, among other things, requires Google to sell two of its ad tech tools. It is also seeking a penalty from Google to promote compliance with Canada’s competition laws, the statement said.

Canadian productivity fell behind, but better policy can help us

Earlier this year, a senior Bank of Canada official took the unusual step of publicly referring to Canada’s stagnant productivity as an “emergency.” It is encouraging that the issue is now in the national spotlight. Boosting productivity is the only way to deliver sustainable increases in real incomes and improvements in living standards, particularly in the long-term.

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