In a recent interview with BNN Bloomberg, Chief Economist Charles St-Arnaud noted that there could be a risk of a collapse in consumer debt should Canada head into a recession in 2023 and people begin losing their jobs.
“If one person loses their income in a two-person household its likely they won’t survive the debt trap,” Charles St-Arnaud, the chief economist with Alberta Central, said.
He also noted that the biggest risk facing the Canadian economy is the household debt picture as consumer income gets squeezed between inflation and paying down massive debt levels that accumulated over the last decade when interest rates were low.
To read the full interview, click on the link above.