RSM100Y1 Lecture Notes - Canadian Dollar
Document Summary
Examining the present (tracking current business cycle in us and canada) Introduce stabilization macro of eco100 (how applies to current business cycle) what to watch out for and tools of analysis for short term macroeconomic environment. examine statements about how current cycle developed boxes to understand eloements behind statement. Late 2007 at least mid 2009, economy has undergone a slowdown in growth of. trend growth is usually positive, even positive, but below trend rate of growth counts as a slowdown. Generally, growth below trend unemployment eventually rises. recession period (2+ consecutive quarters) where gdp declines (negative growth) 81-82 and 90-91 downturns severity about same size, not larger. several sources to slowdown and recession: began with 1 key component of us gdp (namely residential construction). In canada, initial impacts were net exports then inventories.