21 September 2018

Another issue is the NAFTA agreement, as if it’s not done under the same or better conditions than the existing deal, it may also restrain the economic growth. Moreover, a regulatory burden to raise the oil pipeline capacity will have a negative influence on the growth as well.

In addition to it, in case the inflation exceeds the necessary level, the central bank may raise its interest rate even higher than expected. In OECD’s opinion, it will reduce the borrowers’ ability to pay off their mortgages, causing a market correction (prices decline).