Economic Factors Of The Canada Adopt Market Oriented...

Economic Factors The Economic policy of the Government- Canada adopt market-oriented economic policies which clearly indicates that there are free flow and competitive market this results that there is no major impact of policies. Instead of low productivity growth Canada gets 10th rank in terms of GDP and also ranks 21st in terms of purchasing power parity (international monetary fund There is light labor market regulation and it is also flexible and there are skill shortages. The economy is dependent on the mainly on the natural resources and service sector. The fall in crude oil price affected GDP. In the budgetary part 2015 it is indicated that government is encouraging investments and supporting research by maintain low tax burden for the commercial and small businesses and funding the research. (budget.gc.ca) So is can be advised that the Canada will be an ideal place for investment for upcoming 4-5 years. Because of low taxes and currently the government is encouraging investments. Thus it can be said that the Canada will the ideal place for doing a business. GDP GDP Growth (Trend) - The economy of Canada shortens by 0.4 % in the last three months’ quarter. In the first and second quarter of 2015 it also shortens by 0.2% and 0.1% respectively but at the end of the year, it will able to achieve moderate results. This narrow down in Canadian economy is mainly caused by the decline in crude petroleum output. Since 2009 this is the biggest contraction in theShow MoreRelatedForeign Exchange And Foreign Currency2256 Words   |  10 Pagesframes the monetary policy to maintain a desirable Foreign exchange rate regulate the flow of foreign currency in an economy. Now let us understand the correlation interplay between foreign currency the various economic parameters. 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