In a sense, yes. As the governor mentioned, the productivity growth rate and the potential growth rate for the Canadian economy are very important elements with regard to the implementation of the monetary policy. The medium and long term trends impact upon the potential growth rate. This may be because of investments in the environment or other types of investment. This has a direct impact on the implementation of the monetary policy. However, there are timeframes for the enforcement of the monetary policy. If we decide to change the interest rate, the impact upon the economy will be felt after 12 months or two years. That is the most important timeframe for the Bank of Canada. Long term trends impact upon the various factors over this period.
On April 30th, 2008. See this statement in context.