Canada's economy grows at fastest pace since 2000

[pampango]

Source: BBC

Canada's economy grew in the final three months of 2009 by the fastest pace in nine years, official figures have shown. The economy expanded by 5% on an annualised basis during the quarter, after growing at a rate of 0.9% in the previous three months.

The data was boosted by rising consumption, government spending and property investments. Canada's economy has rebounded strongly like its neighbour, the US. The US economy grew at an annualised rate of 5.9% in the last three months of 2009, the Commerce Department said last week, revised higher from the first estimate of 5.7%.

Canada's growth was the more than economists had predicted, and faster than the 3.3% that its central bank had expected.

It was the fastest growth rate since the third quarter of 2000.

Read more: http://news.bbc.co.uk/2/hi/business/8543650.stm

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Good news. Canada deserves a quick recovery from the recession which was not caused by their financial sector which is a model of good regulation.

[Oregone]

1. "which is a model of good regulation"

Their consumer loan regulations suck. This news will cause them to raise rates this year (in sync with them raising the regulation and harmonized sales tax kicking in two provinces) and their housing market will crash. It will crash hard and hurt their economy.

Their cheap, easy credit caused the average home price to jump from $274K to $328K last year (and wages did not keep pace). Its unsustainable, and even moreso when rates and regulations rise. Its going to be Harper's disaster.

But in the short term, its certainly good news for many sectors.