Canadian economists issue warnings
Posted Jul 28, 2011 7:28 am.
This article is more than 5 years old.
Canadian economists are out with a warning over the U.S. debt showdown; our country will feel an impact, even if the United States government manages to avoid default on its debt or a credit downgrade.
Thursday, U.S. congress faces a vote on the latest plan to get that country’s finances in order.
Companies in Canada that deal with exports will likely be hit, including the auto, lumber, oil and gas industries.
If these lucrative sectors begin to dip it may lead to slower economic growth and then job losses as a result.
660News Business Editor Mike Eppel says the dollar could fly a little lower.
The Republican debt plan in congress could be close, but even if it passes it may mean nothing in the end because the democratic controlled senate says it will vote down the bill.
Over the next decade, the U.S. government may have to cut up to $4-trillion in spending.
