Thus, I think that in a world of floating exchange rates and mobile international capital, a number of emerging market economies came to the conclusion that the international financial system was so potentially unstable that the only way they could participate was by paying this large insurance premium in the form of cheap loans to the United States.
When the dust settles, oil will remain a very important sector for the Canadian economy. But the adjustments are weighing on investment, exports, and wage performance. Technological advances may also be prompting similar adjustments for a wide range of economic sectors. Automation puts certain jobs at risk—from manufacturing to financial advising —holding back wage increases and inflation.