All this talk about recession has me recessed. Or is it depression talk has me depressed. Not sure. One month ago our PM was saying that things were unsettled but there was no need to panic and now he is saying we may be on the verge of a depression. Just a quick reminder a depression is usually defined as a 10% contraction in the size of the economy. This kind of correction would easily double or triple unemployment and cripple the EI system as well as government finances.
Or is it just politics? Maybe Harper wants us to think depression to stay with the steady hand as they call it. Not sure what is so steady about going from a wait and see attitude to invoking the depression word in 30 days.