Finally, the Bank of Canada’s forecasting department, which saw bad things coming back in January 2015 before anyone else, got one wrong. The central bank predicted Canada’s economy would stall in the fourth quarter. In fact, gross domestic product increased 0.2% from the third quarter. Hooray.
Statistics Canada closed the books on a lousy year March 1 with its report on fourth-quarter GDP. The economy grew 1.2%—the weakest outside a recession since the early 1990s. The disintegration of investment in nonresidential structures and machinery and equipment subtracted almost a full percentage point from GDP; only 2009 and 1982 were worse in that regard, and neither of those years stand out as high points in Canada’s economic history. Exports of goods and services declined in the fourth quarter, tarnishing somewhat the 2.6% surge in the third quarter that had generated excitement.
Continue reading at Canadian Business ...