RBC forecasts that the real gross domestic product in Canada is going to grow by 3.6 percent this year. If this prediction turns out to be true, according to assistant chief economist for the bank, Paul Ferley, it would clearly demonstrate that Canada is entering “the expansion phase”.  From the Canadian provinces, Labrador and Newfoundland are predicted to be the leaders in GDP growth this year, increasing by 4.1 percent. Ontario, British Columbia, Alberta and Saskatchewan should do pretty well, each growing by more than 3 percent. 

 

In 2011, the bank expects GDP in our country to come in at 3.5 percent.  These predictions are actually slightly more optimistic than the last one by the RBC. I am just curious what caused this positive turnaround.