The most direct impact on Mr. Lazar's industry would come from the movement in the Canadian dollar that would result from lower interest rates. Canadian financial assets would be seen as less attractive vis-à-vis American assets. There would be a smaller inflow of cash to buy those assets in Canada, which would take some pressure off the Canadian dollar, and money would flow elsewhere. Given the sensitivity of the forest sector to the Canadian dollar, I think that's by far the most important route by which a lower interest rate leading to a lower dollar would impact upon his business.
When we say we have room to lower the dollar, I think we're talking mainly about the possibility of a slowdown in the United States and the fact that the United States has lowered its interest rates to some extent. But I would be careful, frankly, because the inflation aspects are non-trivial at this point. Canada is in a strange situation I think of looking at a slightly split economy geographically, and we are looking at some substantial inflationary pressures out west, as we know. There is a sense that the Canadian economy as a whole, absent sectors that are obviously hurting from the dollar, is pretty close to full employment, if not there already. Further massive stimulus, if you like, through a substantial decrease in interest rates, I would argue, is probably not the most prudent course.