To understand how these links are changing, it's important to understand the differences in how the structures of the U.S. and Canadian economies have been responding to recent global developments. Global cyclical and structural developments Over the past decade, we have seen a number of economic shocks that have affected the U.S. and Canadian economies differently. Why has this happened?
Part of the reason has to do with the rise to prominence of economies such as China and India. Because of their size and their growing share of world output, it is their influence, rather than the U.S. economy, that is increasingly shaping the global business cycle and determining the prices of traded goods, including commodity prices.