People caught in the slowing economic phase of the nation
The Conference Board of Canada’s Canadian Outlook-Summer 2012 has reported that the nation’s economic growth would be restricted to 2.2% in 2012 and 2.4% in 2013. It has been reported that this slowdown in the growth rate is actually due to European debt crisis and also due to the slowing economy in United States.
Pedro Antunes, Director, National and Provincial Forecast say, “Business leaders in Canada and the United States as well as households in both the countries are keenly aware of the precariousness of the global economic health.”
Experts also realize that there is no direct interdependence of Europe and North America on Canada. It cannot be denied that the economic crisis in Europe is shaking the economy of the whole world.
The slowing down of the economy is refraining the investors and holding them back from initiating business.
Austerity plans made by federal and provincial Governments will have a negative impact on public sector’s share of overall gross domestic product in the next few years to come.
Amid all this the, the good news is that the household debt has shown an upward movement of 150% of disposable income in the first half of the on-going year.
The introduction of tighter mortgage rues amongst all this turmoil is another jolt to the citizens.
Global economy has surely brought in multifarious impacts. One hand the prices have gone up so the percentage of expenditure in running a house has also gone up.
On the other hand the income is restricted due to slow down in the economy in all the sectors.
Buying a possession has become difficult for all who have been planning to buy one at this point of time.
The changing rules and regulations especially on the housing fronts have stalled the plans of many who have been saving for the last few years to buy a home now.
The global economy is reversely affecting the national economy which in turn is affecting the income, expenditure and savings of every Canadian family. Overall the loss is larger than calculated as people are not only losing their money but are also getting demotivated to think that their plans for years would not be implemented at least till the time the economic front of the nation gets stable.