Economists meet with Alberta officials, say worst appears to be over
' Alberta Finance Minister Joe Ceci met with key economists Wednesday to look ahead to 2017, with the consensus being the worst is over for the provincial economy. But Avery Shenfeld, chief economist of CIBC, said how much things will improve is still up in the air and tied to the price of oil. Ceci and the economists discussed a range of issues, including Alberta's looming carbon tax. Shenfeld said while taxes are always a balancing act, the upside of the carbon levy is that it will be recycled back into the economy and is likely less harmful than, say, a higher direct tax on oil producers. Mary Webb, with Scotiabank Economics, said what's good about the carbon tax is that Alberta has tailored it to suit its needs rather than having one imposed from the outside.
"All of Canada is going to be adjusting to a carbon price," said Webb.
She said when it comes to oil, they have to take into account not only supply, but also what the future demand will be given the growth in renewable energy.
"Renewable energy is obviously an area where we've seen already huge strides in technology that has impacted the price. It's now more affordable," said Webb.'
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