The expansion of Canada’s economy could be prolonged without driving up inflation, the governor of the Bank of Canada said Tuesday.
Stephen Poloz was speaking at Queen’s University and said there is untapped potential in the economy with Canadian companies needing to expand capacity to meet demand.
“Growing their sales further means increasing investment, leading to the creation of new jobs and increased aggregate supply,” the Governor said. “Obviously, this is a phase worth nurturing.”
Greater participation in the workforce by youth, women, indigenous peoples, Canadians with disabilities and recent immigrants to Canada could add another 500,000 workers overall, enabling expansion of the economy without adding inflation.