The Globe and Mail reports in its Wednesday, March 26, edition that Canada's goal to eliminate interprovincial trade barriers has received praise amid U.S. tariff threats. The Globe's Nojoud Al Mallees writes that federal, provincial and territorial governments began negotiations to recognize regulatory standards for consumer goods (excluding food) and to establish a process for recognizing labour credentials by June 1. Prime Minister Mark Carney has stated that removing internal trade barriers could outweigh the impact of U.S. tariffs, potentially boosting the economy by $250-billion, or over $6,000 per Canadian. Premiers have expressed similar estimates. Some economists question those figures, and Trevor Tombe, a researcher on interprovincial trade, claims politicians are cherry-picking his work for the most optimistic scenarios. CIBC economist Avery Shenfeld, who co-authored a study critiquing Prof. Tombe's work, says: "There's no harm in championing the cause of removing these interprovincial barriers, because there will be some economic gain realized from more trade. The only hazard is getting too confident about our ability to replace the U.S. market with domestic demand."
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