Bank of Canada signals it will gradually raise benchmark interest rate from its current level of 1.75% to between 2.5% and 3.5%.
Liberals could take action this fall.
Growth rooted by solid consumer spending, stronger exports and stimulus from the federal government.
Decision comes as the federal government claims its budget will include big-ticket spending to give the economy a boost.
Many of the 800 commitments made in 2014 have yet to be carried out.
PM says boosting growth-generating projects such as infrastructure would ease Canada’s economic woes.
Carolyn Wilkins says “some degree of stimulus” will be needed to keep inflation on target.
Think tank says more stimulus is needed.
Unemployment and weak export prices remain a problem, but Oliver says the government won’t be opening its wallet.
Deficits and debt the result of spending beyond the recession.
A stronger US economy and a weaker loonie will support commodity prices and boost demand for Canadian exports.
Lower inflation clears the way for the country to cut interest rates and boost spending.
Central Bank cuts interest rate by 0.31 percentage points to 6%.
Will this economic reversal hurt Harper’s political capital?