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9271 Results

April 4, 2022

Business Outlook Survey—First Quarter of 2022

In the first-quarter 2022 Business Outlook Survey, reports of labour-related capacity constraints and supply chain challenges remain widespread. Given these pressures and robust demand, businesses anticipate stronger price growth—and they expect the Russian invasion of Ukraine to add more cost pressures. As public health restrictions ease, firms that were hit hard during the pandemic anticipate their sales will pick up.
April 4, 2022

Backgrounder on the Business Outlook Survey question on firms’ average expected wage increase

Firms participating in the Business Outlook Survey (BOS) are asked several questions about labour markets. One such question is whether they expect wage growth to increase or decrease over the next 12 months. The responses to this question, combined with related confidential comments, give a picture of the state of wage pressures in the economy. This, along with wage data and several labour market indicators, inform the Bank about labour market conditions.
Content Type(s): Background materials
April 4, 2022

Canadian Survey of Consumer Expectations—First Quarter of 2022

This survey took place in mid-February 2022 before Russia invaded Ukraine on February 24, 2022. Follow-up interviews took place in March and provide some insight into how consumers perceive the effects of the conflict. Short-term inflation expectations have reached record-high levels because of supply disruptions and the COVID 19 pandemic. Consumers think the Russian invasion of Ukraine will make high inflation worse. Despite greater concerns about inflation today, longer-term expectations have remained stable and are below pre-pandemic levels. This suggests that long-term inflation expectations remain well anchored and that survey respondents believe the current rise in inflation will not last. Although workers anticipate significant price increases in the near term, they believe their wages will increase only modestly. This is a source of dissatisfaction for them. Despite expecting higher interest rates, consumers continue to anticipate strong spending growth on a broad range of goods and services.

Temel Taskin

Temel Taskin is a Principal Economist in the Canadian Economic Analysis Department.
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