More competition needed in Canada to fight inflation long-term, Senate report finds
Despite the range of opinion among the crowd, the Senate report said there was a broad consensus among most participants on a few items.Firstly, Canada’s economy is set to slow in the months to come as the effects of higher interest rates take their toll and work to stifle too-high inflation.
While witnesses were in agreement that the rise in rates is “justified” and that high inflation was now being driven by more domestic factors, there was no consensus on the duration of the looming downturn.The report also took a critical eye on Canada’s sectors with high levels of concentration, including groceries, banking, energy and telecommunications.
The Senate heard from Jim Stanford, director of the Centre for the Future of Work, that these sectors have seen a rise in profits over the inflationary period. He argued that this suggests the companies were “exerting their market power to take advantage of supply chain disruptions and strong consumer spending,” per the report.Stanford advocated for excess profits tax in these sectors, with revenue here being fed to support for lower-income Canadians.
“The experts agree: creating a more competitive environment for Canadian enterprises would be a hedge against future inflation and drive costs down for consumers,” said Sen. Colin Deacon, the committee’s deputy chair, in a statement. Stemming from the committee, the Senate report recommends additional transparency from the Bank of Canada in its inflation interventions and constraining government spending, limiting investments to targeted spending.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Canada Soccer Business says it has been ‘misunderstood,’ wants to help national teamsMark Noonan, who doubles as CEO of Canada Soccer Business and commissioner of the CPL, said ‘it’s time for us to do a better job of telling our story in a very transparent way’
Read more »
Canada women's national team asking for equal resources heading towards its World CupFour veteran leaders of the Canadian women’s national team shared their side of the argument in a pay equity dispute
Read more »
Canada women's national team asking for equal resources heading towards its World CupFour veteran leaders of the Canadian women’s national team shared their side of the argument in a pay equity dispute
Read more »
Canada women's national team asking for equal resources heading towards its World CupFour veteran leaders of the Canadian women’s national team shared their side of the argument in a pay equity dispute
Read more »
Canada women's national team asking for equal resources heading towards its World CupFour veteran leaders of the Canadian women’s national team shared their side of the argument in a pay equity dispute
Read more »
MPs call on committee to probe Canada Soccer amid dispute with women’s national teamThree MPs on the House committee on Canadian heritage told The Globe and Mail that Canada Soccer’s culture and financial practices should be scrutinized
Read more »