A CIRANO study co-authored by two Uqamians lends credence to this hypothesis.
Economists have noted for many years that there are correlations between the confidence of entrepreneurs - or consumers - and fluctuations in the economy. For example, falls in Canadian business and consumer confidence were found to have preceded the 1991 and 2008 recessions. Do fluctuations in confidence cause or merely herald changes in economic activity? This is the question addressed in an article published on October 3 in CIRANO's Perspectives magazine: "Pessimism risks plunging us into recession". ESG UQAM Economics Department professor Dalibor Stevanovic and doctoral student Adam Kader Touré co-authored the article with Université Laval professor Kevin Moran.
Full article and Source: Actualités UQAM