Outlook 2008: Signs of Strength Despite Global Uncertainty
November 19, 2007
Vol. 42, No. 3, Fall 2007
This issue of Atlantic Report provides APEC's 2008 economic forecast and accompanying analysis for the four Atlantic provinces.
The collapse in the U.S. housing market and the resulting sub-prime crisis has sparked a global credit tightening and raised fears of a U.S. recession. Canada’s economy is most at risk from a weaker U.S. economy at the same time as its exporters are battling to adjust to a soaring loonie. In the Atlantic region, high prices for minerals and strong demand for energy are contributing to an increase in output and a revival in major project investment. Some other sectors also show promise. However, weak population and overall job growth continue to weigh on domestic economic conditions, with service sector expansion favouring larger urban centres.