Economists tend to exaggerate their interpretations of economic data. Exaggeration may be all in a day’s work, but when the economy is experiencing a growth transition, it can be misleading.
by Stephen S. Poloz
It was no surprise that the provinces and the federal government did not reach an agreement on health care, with the cameras trained on every word from each of the leaders. When a camera is on a political leader, all you receive is political posturing for their constituents back home.
by David J. Marshall
It’s Friday night and, as usual, we found ourselves at a restaurant in Oakville. My wife said, “I really had a great time tonight. Oh, before I forget, remember the article you wrote about two economists who looked at the same US employment report but came up with exactly opposite viewpoints? Well, Mary Jane from my gym read your article in The Bay Street Times and thought you were so smart.
by David Yu, CFA
I am currently reading Bill Bonner’s Financial Reckoning Day. I just received it two days ago, am almost finished and can’t wait to start over again. Bill Bonner is a contrarian (a contrarian believes that money in Wall Street is not made by following the crowd). He is the publisher and CEO of The Daily Reckoning, a free email newsletter that should be in everyone’s inbox. On page 137 of his new novel, I found this little tidbit, quoting Alan Greenspan:
by Terry DeVries
Predicting the Canadian dollar has always been a tricky business. There are two paradigms in this pursuit: technical and fundamental.
by David J. Marshall
The cost of owning a home in Ontario was slightly higher in the second quarter of 2004 than it was the previous quarter, according to the Housing Affordability Index released by RBC Economics.
Eating out on a Friday night has been our family tradition for several years. This is our way to unwind after a busy workweek. So, one Friday evening in August, my wife and I were in one of our favourite restaurants in Oakville For some reason, I noticed she was a little quiet, as if she was troubled by something.
by David Yu, CFA
I had an interview with Craig Wright – Chief Economist of The Royal Bank of Canada. He had a very positive outlook for the Canadian dollar this year. We have already seen it rise in the past few weeks near the highs for the year. Just on the basis of trend alone one would expect a higher Canadian dollar by the end of the year.
by David J. Marshall
During the 1960’s and 1970’s, rising inflation and growing government deficits required policy makers to focus on domestic issues. The world economy always mattered to Canada because trade made up such a large portion of our economy. However, with 85% of our trade with the U.S., the events in the rest of the world seemed of little consequence to Canada. If anything, that only increased after the Free Trade Agreements in the late 1980’s.
by David J. Marshall
“The first half of 2004 laid to rest much of the uncertainty around Canada’s economic outlook,” said Craig Wright, vice-president and chief economist, RBC. “Canadian growth is on the upswing, domestic and external demand are healthy and the worst fears about the higher exchange rate have failed to materialize.”