The QE program of the European Union is supposed to pump up QE in Canada. However, this particular economic strategy hasn't been working very well. In fact, the Canadian economy isn't growing at all. This goes against the mainstream thought on how things should be done. Mainstream economists have been advising the Canadian government to do more to support their economy. Yet, the government seems to be cutting spending and reducing the size of government which decreases investment, knowledge and talent for business creation and growth.
There's no doubt that a lot of the blame can be attributed to the lack of effective policies from the federal government. Even though there has been some QE in other parts of the world, it's a different story in Canada. Economic policies are different in all countries. What's good for Germany, Greece or the United States is not always going to work out for Canada. That's the reason why there's no apparent economic recovery in Canada.
On the surface, the Canadian economy is doing fine. In fact, there's been a lot of QE programs and a lot of monetary policy initiatives that have pumped up the economy. But, these measures aren't effective at creating long-term sustainable economic growth. This is because the interest rates in Canada are too high. Interest rates in the US and in most other developed nations are much lower than they are in Canada.
In Canada, we have a small economy with a very small population. The country has a small import base and a low manufacturing sector. This means that we depend almost entirely on our trade partners to provide us with goods and services. These trading partners don't usually have very deep pockets and they're not interested in supporting a weak economy.
It would make sense to focus on building relationships with one another rather than having a single-minded focus on building economic growth. However, if this doesn't work, the government will have to do something to stimulate the economy. The way this will happen is through the QE program. The QE program or “QP” will be used to pump up the economy through increased spending by the banks and by private citizens.
There are two types of QE programs. One is quite risky and involves the central bank buying large quantities of currency. The goal here is to raise the value of the currency so that it will make more sense for international investors to purchase Canadian debt. At the same time, this type of QE program may cause inflation to occur. Inflation can lead to an increase in the purchasing power of the Canadian dollar and this will make Canadian products more expensive. If this happens, the QE program will be successful and you will see increased economic activity as a result.
The other type of QE program is one that doesn't have such an adverse effect on the value of the currency of the country in which it is done. This type of QE program is what's called a sovereign . . . . . . QE program. This means that the government of a particular country actually provides money to its sovereign currency in order to stimulate the economy. This QE program does not attempt to raise the value of the national currency of the country in which it's done. This QE program merely works to increase the economic activity of other countries that help support the Quebec economic recovery.
It's very important to remember that no matter how successful a country's QE program is at raising the value of its currency, the effects don't last long. This means that a currency is only worth as much as its exchange rate with other currencies. Once these monies' values begin to fluctuate, a great deal of the money that was originally invested in a particular country will be moving to the new destination. That means a great deal of people who have been watching the economy are now looking to cash in. If you're in the market for a home in Quebec, this is probably the best time to get your investment into the economy because interest is at an all-time low. With all of the current positive economic indicators, there is no reason to hold back when it comes to investing.