<description>&lt;p&gt;Ongoing conflict in the Middle East has pushed global oil prices higher, raising questions about the impact to Canada’s oil-exporting economy.&lt;/p&gt;&lt;p&gt;This shock differs fundamentally from the past including 2015’s oil price collapse, which drove structural changes in Canada’s energy sector over the past decade. The result: A surprisingly neutral net effect from today’s high oil prices on real economic growth.&lt;/p&gt;&lt;p&gt;In this episode of the 10-Minute Take, join RBC Economics’ Claire Fan and Carrie Freestone as they discuss:&lt;/p&gt;&lt;ul&gt;&lt;li&gt;Why domestic energy investment isn’t likely to surge despite higher oil prices.&lt;/li&gt;&lt;li&gt;How the price shock can benefit some sectors but hurt others, creating a fractured impact.&lt;/li&gt;&lt;li&gt;What to expect for Bank of Canada rate decisions as inflation pressures evolve.&lt;/li&gt;&lt;/ul&gt;&lt;br/&gt;&lt;p&gt;&lt;/p&gt;</description>

The 10-Minute Take

The 10-Minute Take

Are higher oil prices good or bad for Canada’s economy?

MAR 26, 202610 MIN
The 10-Minute Take

Are higher oil prices good or bad for Canada’s economy?

MAR 26, 202610 MIN

Description

Ongoing conflict in the Middle East has pushed global oil prices higher, raising questions about the impact to Canada’s oil-exporting economy.This shock differs fundamentally from the past including 2015’s oil price collapse, which drove structural changes in Canada’s energy sector over the past decade. The result: A surprisingly neutral net effect from today’s high oil prices on real economic growth.In this episode of the 10-Minute Take, join RBC Economics’ Claire Fan and Carrie Freestone as they discuss:Why domestic energy investment isn’t likely to surge despite higher oil prices.How the price shock can benefit some sectors but hurt others, creating a fractured impact.What to expect for Bank of Canada rate decisions as inflation pressures evolve.