BoC Governor Tiff Macklem said in in TV interview over the weekend that current high inflation will be “transitory but not short-lived”.
I think transitory, to economists, means sort of not permanent,” he said. “I think to a lot of people, transitory means it’s going to be over quickly. … I don’t know exactly what the right word is, but it’s probably something like, ‘transitory but not short-lived.'”
Macklem pointed to the latest economic projections, which indicated that inflation would rise further from current 18-year high of 4.4% to 5%, then gradually drop back to 2% by the end of next year. And that’s what he meant by “transitory but not short-lived”.
