With the current prices of groceries and everything else, what has led us to this point? more in correlation to why the cost of living feels for myself anyways like it has gotten worse.
In: Economics
Canada along with the good ole USA adopted an extremely dovish monetary policy when the global economy shut down due to COVID in 2020. This means that, in order to prevent a global recession, the Bank of Canada lowered the rate for banks to borrow money to almost 0% and printed a ton of money to ‘stimulate’ investment. The by-product of dovish monetary policy is inflation because when there is a large supply of dollars in circulation, the dollar loses value against all other assets (real estate, eggs, oil, etc.).
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