Carney Rejects High Canada Dollar Causing Dutch Disease
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Bank of Canada Governor Mark Carney rejected the idea the central bank has hurt domestic manufacturers by allowing a commodity boom to drive up the country’s dollar, calling it a “caricature” that would limit the beneficial development of the Alberta oil sands.
The prices of crude oil, Canada’s largest commodity export, and other primary materials have been boosted over the past decade by emerging-market demand that will continue for years, Carney, 47, said in a speech today near Calgary, home to energy companies like Suncor Energy Inc. and Encana Corp.