Conference Board mentions recession for Alberta, Prentice says no
A report by the Conference Board of Canada has sparked reaction from other economists and Alberta’s premier. The research organization suggests that the province could suffer more than just a slow down and that it could slip into recession. Alberta Premier Jim Prentice, speaking at a news conference in Edmonton, disagreed. He said that while forecasts show that economic growth will likely be curbed by declining oil revenues, it is not slip enough to trigger recession. ATB Financial economist Todd Hirsch concurred adding that if the weak oil price was to stay long term then there could be trouble but the outlook is for things to recover in the longer term. While most agree that there will have to be some measures taken to offset the losses to provincial revenue and that unemployment may cut consumer spending there is little expectation of recession.