The International Monetary Fund (IMF) World Economic Outlook report, released last January, predicted that recent tax cuts in the United States will provide a temporary boost to the American economy. This, in turn, will help stimulate the Canadian economy.
Canada’s economy is expected to grow 2.3 percent this year, up from last October’s estimate of 2.1 percent. The upswing is expected to continue into 2019, with a growth rate of two percent. In the US, as a result of lower corporate tax rates, growth will increase to 2.7 percent, up from 2.3 percent in 2017, the international lending agency predicted.
On a global scale, the IMF reported that world output is expected to grow 3.9 percent this year. ◊