Canadian Economy is Fine

Except for this:

Canadians lost 71,000 jobs in November – almost triple expectations – and the unemployment rate crept up to 6.3 per cent, as Ontario employers felt the harsh impact of the U.S. recession.

That’s the biggest month of job losses since the recessionary period of 1982, and puts the unemployment rate at its highest point since November, 2006. In percentage terms, it’s the biggest month of job losses since February, 1991, also a time of recession. It comes after three months of solid job creation in Canada, but widespread job losses elsewhere in the world, especially the United States, mired in recession.   [more]

Oh and there’s this:

The loonie closed in on a four-year low Friday after a week of declines driven by a jump in the Canadian unemployment rate, political upheaval in Ottawa, sliding crude oil prices and a firming United States dollar.

The Canadian dollar was down 1.28 cents, to 76.96 cents (U.S.), in mid-morning trading as Statistics Canada reported that the economy shed about 71,000 jobs in November, bumping the unemployment rate up to 6.3 per cent from October’s 6.2 per cent. The currency had recovered a bit to 77.20 cents just before noon.

Currency strategists said the dollar had fallen as low as 76.82 cents in intra-day trading in October – but had not closed below 77 cents since September, 2004.

Canada’s jobless figures capped a week of dismal economic news, and economists noted that the loonie was down even before the jobless numbers came out.   [more]

Economist Andrew Jackson says, among other things, this:

These numbers are at least as bad as those we saw in the brutal 1989 to 1992 manufacturing led recession. With almost 400,000 manufacturing jobs now lost since the peak in 2002 this downturn is likely to be far worse… unless governments respond to this crisis very quickly and in a very determined way.

The numbers also leave little room for doubt that the Canadian economy as a whole has now entered a recession.

But sure, Canadians can wait till the end of January for a new budget and economic stimulus while Stephen Harper re-fits his crown.  My son has run out of employment as an apprentice electrician – no apprencticeship hours and he doesn’t complete his education in January, as previously expected.  My first grandchild is due February 2nd but hey, I’m sure the new little family can wait a few months for an income.  I know I can come up with some food money out of my disability pension.  Or maybe my elderly mother can help out – well, maybe not.  She lost 30% of the money in her RRIF over the last few months.  I bet we can find her a sleeping bag in a bus shelter.

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