Damage will be worst in Alberta, and growth in all of Canada will fall.
In a common-sense conclusion, TD Bank economists say Canada’s economy will suffer if the massive oil price discount for Canadian oil continues.
The damage will be worst in Alberta, and overall growth in the country will fall by 0.5%.
Keep in mind, considering that economic growth is already struggling to keep up with inflation and population growth, a 0.5% fall would shift Canada closer to a recession.
A recession or serious economic decline in an election year would seriously hurt the prospects of the Trudeau government, and that fear of losing power is probably the only thing would cause them to help the energy sector.
And yet, even that doesn’t seem to be happening, as the recent economic update included no specific measures for the oil industry, and legislation like C-69 will make pipeline approvals nearly impossible and push even more investment out of the country.
Simply put, Trudeau and his far-left radical advisers want the oil industry to collapse, and they’re doing everything possible behind the scenes to make that happen, while pretending – through empty words and token gestures – like they care about the industry.