In the monetary policy report, we develop in some detail what we think the sources of growth are. Thanks to exceptional monetary and fiscal policies; thanks to very effective vaccines; and thanks fundamentally to the adaptability, the resilience and the innovation of Canadians and Canadian businesses we've had a remarkable recovery, the fastest on record.
But our economy is now moving into excess demand. We are more than fully recovered from the pandemic, and growth needs to moderate. If you look at the sources of growth going forward, you see that households' balance sheets are in good shape, they have record-low unemployment, wages are going up, households are in good financial health, and they're spending. They're particularly spending on many of the services that they couldn't buy through the pandemic.
Businesses are telling us they're reaching capacity limits. They're telling us that they have ambitious investment plans to add capacity so they can respond to that increase in demand. The U.S. economy is robust and it's also hitting its own capacity limits, so that is increasing the demand for our imports.
If you look at the economy, you see that the recovery has been very consumer-led, and we're starting to see some broadening with stronger investment and stronger exports.