While National Newswatch does not keep an archive of external articles for longer than 6 months, we do keep all articles written by contributors who post directly to our site. Here you will find all of the contributed and linked external articles from Erik Hertzberg.
Bank of Canada Governor Tiff Macklem offered support to Federal Reserve Chair Jerome Powell from US President Donald Trump’s attacks, as the Canadian policymaker called the independence of central banks “sacrosanct.”
Canada’s next prime minister is set to inherit a half-year of flat economic growth, economists predict, an immediate test of their governance as President Donald Trump’s trade war grinds business investment and exports lower. Economists surveyed by Bloomberg see the economy contracting 0.2% in the second quarter and no growth in the third quarter. That would put it on the...
Economists at one of Canada’s biggest lenders are raising doubts about the fiscal plans offered by the leading parties in the country’s election.
Canada’s Conservative Party is promising to run smaller deficits than the incumbent Liberals as it bets heavily on tax cuts and deregulation spurring an economic boom, especially in the country’s energy sector.
Canada’s fiscal position is set to worsen as the country’s two leading political parties vie to win an election by promising tax cuts and measures to protect industries from US President Donald Trump’s tariff barrage.
Prime Minister Mark Carney is expected to plunge Canada into an election campaign on Sunday, as US President Donald Trump’s trade war sharpens the focus on fixing long-standing problems that have hindered the Canadian economy.
Optimism among Canada’s small and medium-sized firms fell to the lowest level in at least a quarter-century after the US started a trade war with the country, according to the Canadian Federation of Independent Business. The CFIB’s Business Barometer index fell to 25 this month, according to a flash poll of 1,065 firms taken between March 5 and March 7...
Canada’s economy is headed for a contraction — the first since the Covid-19 crisis — if a tariff war with its largest trading partner lasts for long.
Bank of Canada Governor Tiff Macklem launched the central bank’s review of its framework, but strongly suggested that officials are likely to re-endorse the bank’s current approach to targeting 2% inflation.
The Ottawa-based central bank announced that Alexopoulos, a professor of economics at the University of Toronto, would join the bank’s governing council for a two-year term starting March 17. She joins the policymaking body as the second external deputy governor.
Governor Tiff Macklem has successfully wrestled down one of the worst inflationary crises in the Bank of Canada’s history, putting his nation on track for a soft landing. U.S. president-elect Donald Trump may dismantle all that with a stroke of a pen.
Donald Trump’s planned tax cuts would wipe out Canada’s slim corporate tax advantage, likely driving more capital from the northern nation and deepening its productivity crisis. Canada’s federal corporate income tax rate is 15%, compared to 21% in the US. After accounting for provincial and state levies, the two countries are roughly similar, with the corporate rate between 25% and...
Foreign direct investment into Canada remained steady in the third quarter, an encouraging sign that businesses continued to park capital in the northern nation even as uncertainty mounted ahead of the US election. FDI totaled C$27.1 billion ($19.3 billion) in the three months between July and September, Statistics Canada reported Thursday from Ottawa, driven by merger and acquisition activity and...
Canadian Prime Minister Justin Trudeau signaled a return to his free-spending playbook as inflation wanes and an election looms, accelerating a bond selloff due to expectations of faster growth and a deeper deficit. Most Read from Bloomberg
Canada’s budgetary watchdog says Justin Trudeau’s government has likely blown past a self-imposed fiscal guardrail, and is warning about the consequences of delaying the release of final spending and revenue numbers. Yves Giroux, the country’s parliamentary budget officer, expects the federal government ran a deficit of C$46.8 billion in 2023-24. That’s deeper than the C$40 billion forecast by Finance Minister...
The Bank of Canada’s second in command cautioned against “tinkering too much with the mortgage market” to fix housing affordability. Canada’s high home prices are primarily a function of a supply and demand imbalance, and the fix “will take time,” Senior Deputy Governor Carolyn Rogers said Wednesday in Toronto. While she said she was encouraged by “governments at all levels”...
The Bank of Canada is likely to make a jumbo cut to interest rates, acknowledging that borrowing costs should fall more quickly as inflation wanes and economic growth stagnates. Markets and economists expect policymakers led by Governor Tiff Macklem will cut the policy rate by half a percentage point to 3.75% on Wednesday, the first reduction of that magnitude since...
An ex-member of the Bank of Canada’s governing body said officials should cut borrowing costs by half a percentage point later this month. There are “good reasons” to move interest rates “back to as close to neutral as quickly as possible,” former Deputy Governor Paul Beaudry said, including boosting household and business optimism. Now that policymakers are more sure that...
Former Bank of Canada Governor Stephen Poloz is examining a list of ideas to get the country’s pension funds to invest more in the domestic economy – including the creation of a pooled fund that would make dealmaking easier for some of them. People in the industry have also told him the government may need to change regulations for pension...
Canada’s benchmark two-year yield briefly dropped below the 10-year for the first time in more than two years, as traders looked ahead to Federal Reserve cuts and Bank of Canada Governor Tiff Macklem made dovish comments to the Financial Times.
Economists see the Bank of Canada cutting interest rates for a third consecutive meeting next week, continuing what’s anticipated to be a steady downward trend in borrowing costs over the next year as inflation eases.
Prime Minister Justin Trudeau’s government has turned to raising taxes on businesses to help fund Canada’s budget, adding headwinds to an economy that’s already struggling to attract investment.
The Bank of Canada needs to wrap up its quantitative tightening program or fix distortions in short-term funding markets that are keeping effective interest rates higher, according to Canadian Imperial Bank of Commerce strategists. Canada’s central bank has been shrinking its balance sheet for more than two years, withdrawing the extraordinary stimulus it provided during the Covid-19 crisis. Assets have...
The leader of Canada’s Conservative Party has opened up a bigger lead among voters on the question of who would be the best economic manager, underscoring the political challenges faced by Prime Minister Justin Trudeau. About 30% of respondents in a recent Nanos Research Group survey for Bloomberg say they trust Pierre Poilievre the most among national party leaders to...
The Bank of Canada is doing a formal review of its pandemic-era policies, when it bought hundreds of billions in government bonds to suppress interest rates. It may represent a last chance for Governor Tiff Macklem to explain himself before one of his fiercest critics comes to power.
A Bank of Canada official defended the use of quantitative easing and extraordinary forward guidance during the pandemic, pushing back on criticisms that the policy actions were missteps that fueled inflation.
Finance Minister Chrystia Freeland’s upcoming budget has some in Canada’s business community concerned there will be tax increases to offset new government spending. Freeland and Prime Minister Justin Trudeau will almost certainly bring in a package of tools to boost housing supply in the April 16 budget, according to people familiar with the government’s plans, and may commit additional spending...
Record-breaking immigration is muddying the economic picture for the Bank of Canada, distorting key statistics and making its battle against inflation more difficult. A surge of newcomers – largely driven by an unplanned spike in foreign students and temporary workers – has pushed Canada’s population growth rate to 3.2 per cent, one of the fastest in the world.