Economics Newsletter – Week of October 19th 2020

Written By: Amit Shteyer & Hannah Lobbezoo

Canada’s Economy at a Glance

Economics Society News, Events, and Articles

Articles:

News:

Join our virtual ECON lounge on Discord!

Grad Program Info Session Series at Wilfrid Laurier University on October 28th at 4:00pm (EST). If interested register here.

This week’s special article, featuring UW professor Mikal Skuterud

When did you last work? 1.3M jobless Canadians have passed critical 6-month mark:
Long-term unemployment is at a worse level than it was in Canada during the 2008 financial crisis. Over 1.3 million Canadians have been unemployed for over six months. How will they bounce back? Read more.

News and Noteworthy

World Economic Outlook: A Long and Difficult Ascent
The International Monetary Fund’s semi-annual global outlook outlines projected near and medium-term growth rates and risks for the global economy and the complex challenges that policyholders will need to address. The common theme? The global economy’s ascent back to pre-pandemic levels is riddled with setbacks and obstacles. Read More.

Canada’s Economic Forecasts Slashed As COVID-19’s Second Wave Takes Hold
It is predicted that Canada’s recovery from COVID-19 will be even slower than previously thought due to the presence of a second wave. Unemployment levels will remain higher than pre-pandemic levels for at least the next three years. Read more.

Is CERB Killing The Recovery? The Arguments For And Against
Businesses are claiming that they are having difficulty hiring employees due to CERB. It is so generous that it is making individuals more inclined to remain unemployed rather than work. Read more.

Macklem puts ‘dangerously over-leveraged’ Canadians on notice
The Bank of Canada is keeping a close eye on the housing market as the low interest rate environment persists. The worry is that with Canadians becoming over-leveraged, and the interest rate environment persisting the Canadian economy is vulnerable to future shocks, such as a second wave. Read More.

COVID-19 travel restrictions hurting Canada’s economic recovery: Stats Can
Travel restrictions put in place to curb the spread of COVID-19 are expected to cost the country between 400,000-500,000 jobs in 2020 and shave as much as 37.1 billion from total economic output. Read More.

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