Canada's economic growth slows to 3.1%: What you need to know

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Canada's economic growth slows to 3.1%: What you need to know
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Canada's economic growth slows to 3.1%: What you need to know — via financialpost Economy Canada

first-quarter growth would come in at an annual rate of three per cent, and it reckons Canada’s “potential” growth rate — the pace at which the economy can expand without stoking inflation — is about two per cent. So, yes, 3.1 per cent is a pretty good number.

Consumer spending isn’t a surprise, because the labour market is red hot and households have lots of pent-up demand after two years of living in various states of pandemic lockdown. There is probably room for yet more growth, since Statistics Canada observed that spending on automobiles and services remains below pre-pandemic levels.

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