Public authorities can facilitate improvements of this kind by removing obstacles to a more productive private sector. In the EU, such obstacles are largely related to national boundaries and to regulation of private businesses. Policy measures that promote competition and economic integration within the EU can significantly enhance productivity, employment, and economic growth.
More generally, in looking ahead, further progress in raising business and consumer confidence levels, and growth that is private-sector driven will be increasingly important in spurring full recovery here in British Columbia. Turning to the outlook for inflation, we see inflation returning to our 2 per cent target in the second quarter of 2011, with both upside and downside risks around this projection.