High Real Interest Rates and the Slowing Down of Inflation Are Changing the Nature of the Business Cycle in Canada. the Fast Growing American Economy in the First Half of the Year Has Fostered Economic Growth in Canada in 1984 to a Level Above What Was Initially Forecasted. Business Investment in 1984 Remained Weak. in 1985, We Forecast a Real Gnp Growth of 2,5%. a Moderate Upswing in Business Investment Should Support the Growth of the Economy. the Unemployment Rate Will Remain Stable At 11% Whereas Inflation Will Stay in the 3,5% - 4% Range.
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Paper provided by Universite de Montreal, Departement de sciences economiques in its series Cahiers de recherche with number
8503.