Nouriel Roubini, the New York University economist who accurately predicted the U.S. housing slump would trigger a recession, said the Bank of Canada should take a stronger line on monetary policy to weaken the currency and spur the economy.
The Canadian bond market suggests manufacturers are being penalized for central bank policies that have allowed a commodity boom to drive up the country’s dollar in what’s being termed as “Dutch Disease” by critics.
Bank of Canada Governor Mark Carney rejected the idea the central bank has hurt domestic manufacturers by allowing a commodity boom to drive up the country’s dollar, calling it a “caricature” that would limit the beneficial development of the Alberta oil sands.
The reports coming out of the Philippines are all too familiar. Shattered villages, corpses strewn across battered beaches, dazed survivors picking through the wreckage of their former lives. As I write, Typhoon Haiyan (described in some news reports as a “supertyphoon”) appears to be the worst natural disaster in the nation’s history, and one of the worst ever in Asia -- a region that has known no shortage of calamities.