The global recession has affected both the Australian and Canadian economies, but the previous highs of our respective terms of trade and good domestic policies will see both countries through the global recession said Reserve Bank governor Glenn Stevens. At an event hosted by the Canadian Australian Chamber of Commerce, Stevens compared the two economies and presented a positive outlook for both. "Looking to the future, both our countries have reason to believe that we will come through this episode in reasonable shape," said Stevens. "Both economies have slipped into recession as international forces have taken hold, albeit through differing chains of causation," he said. "But there are good grounds to think that both countries should be in a relatively good position and well placed to take part in a renewed international expansion. He mentioned that recent developments suggested recovery would begin later this year, though initial growth would be slow. Stevens also spoke against protectionism and said openness of trade and capital flows would be the key to recovery: "Countries like ours need to keep making the point that trade is not a zero-sum game; it is collectively a positive-sum process that stimulates innovation and productivity, increases global growth and raises living standards."