OTTAWA — Canada’s economy is increasingly being caught in the tail winds of the downward global spiral, but some of the country’s problems are also homegrown.
The Bank of Canada says low interest policies that it and other central banks have put in place are adding another layer of risk to the already stressed global financial system.
The Canadian central bank says near record level interest rates that have been in place since the 2008-09 recession are taking their toll on insurance companies, pension funds.
Rick Newman submits:It sounds dreadful. After drifting down consistently since last fall, the unemployment rate has suddenly shot up again, from 9.7 percent in March to 9.9 percent in April. But don't despair: A rising unemployment rate is actually one of the best signs yet that the economy is bouncing back.
Ever since the economic growth in the USA fell back below 2% on a year-over-year basis, which was in early 2011, there has been talk of below stall speed (the speed, below which an airplane losses lift and falls down to earth) growth and an unavoidable recession. With good reason: Since WWII every time year-over-year growth in the US had fallen below 2%, a recession followed in due course.
I have a pretty cool interactive map below that will let you graph the unemployment rates based on parameters that you can choose.
First let's take a look at the current unemployment rate and a discussion of the parameters that define it.
The government's mishandling of Argentina's economy has hit new highs recently with the implementation of price controls on food. It is a notoriously ineffective policy that tends to create shortages and spawns black markets.
After dropping for the past two years, global unemployment is on the rise again according to the International Labor Organization, a UN jobs watchdog. 2013 is expected to top 200 million unemployed for the first time with the epicenter in the advanced economies as 28 million jobs have been lost since the onset of the crisis. Critically, for the globalists, they unsurprisingly note that macro imbalances have been passed on to the labor market to a significant degree.