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2006 OECD Economic Outlook, Volume 2006 Issue 2

image of OECD Economic Outlook, Volume 2006 Issue 2

Twice a year, the OECD Economic Outlook analyses the major trends and examines the economic policies required to foster high and sustainable growth in member countries. Developments in major non-OECD economies are also evaluated. The present issue covers the outlook to end-2008. Together with a wide range of cross-country statistics, the Outlook provides a unique tool to keep abreast of world economic developments.

In addition to the themes featured regularly, this issue contains a special chapter entitled Has the rise in debt made households more vulnerable?, which addresses the following questions:

  • What factors explain the observed rise in household debt in many OECD countries?
  • Have asset price movements offset the impact on households’ financial positions?
  • Are some sectors or groups particularly vulnerable to adverse asset market or income developments?

English French, German

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Canada

Following tighter monetary conditions, terms-of-trade losses and weaker exports, activity has recently eased and the economy is estimated to be operating close to its potential level. Looking forward, it is expected to benefit from some pick-up in external markets while domestic demand decelerates modestly following its recent robust expansion. Inflation pressures are likely to remain limited, as energy prices have fallen from recent peaks and wages may rise only moderately.

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