The current economic climate of Canada, including information on: • Inflation Rate • Interest Rates • GDP

answer oll parts

Canada has an employment insurance program (El) that provides income for those out of work. In this framework unemployment is a) still a problem because the employment insurance program provides only eligible unemployed persons with a small amount of funds that may not even be enough to cover their basic needs. Moreover the unemployed workers are sitting idle, not producing goods and services for consumption. b)not a problem because the employment insurance program is available to all workers in all occupations and provides sufficent funds to cover all of the worker's needs until they find another job. Moreoever there are enough goods and services available for consumption even if some workers sit idle. c)not a problem because the employment insurance program covers more than 70% of Canadian workers and this provides enough of the unemployed enough funds to cover their basic needs until they find another job. d)still a problem because the employment insurance program is not available…

Scenario 1: An increase in the unemployment rate to 7.4% has occurred. Inflation has increased causing a decline in consumer spending. Exports have declined by more than $4 billion. This has caused a decrease in GDP by 3.7%.