Politics Insider: Bank of Canada Governor warns trade war would permanently weaken the Canadian economy

Open this photo in gallery: Bank of Canada governor Tiff Macklem participates in a news conference on Jan. 29.Justin Tang/The Canadian Press Hello, welcome to Politics Insider. Let's look at what happened today. Bank of Canada Governor Tiff Macklem warned that a full-blown trade war with the United States would permanently weaken the Canadian economy and cautioned that the central bank has few tools to respond to a structural shift toward protectionism. "In the pandemic, we had a steep recession followed by a rapid recovery as the economy reopened. This time, if tariffs are long-lasting and broad-based, there won't be…