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Benjamin Tal never imagined himself the defender of the Canadian housing market, but the deputy chief economist at Canadian Imperial Bank of Commerce squared off Thursday against a U.S. commentator to call out what he sees as our bloated real estate market.

The Thursday morning debate, closed to the public, was part of a global investor conference, held in conjunction with the International Monetary Fund spring meetings in Washington.

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Mr. Tal faced Seth Daniels, managing partner of JKD Capital, who believes Canada is set for a significant housing correction followed by a recession — something driving the “short Canada” philosophy that evolved in the U.S. and globally.

“Everything is relative because I’m not exactly the most bullish guy [on housing],” Mr. Tal, told the Financial Post in an interview a day ahead of the meeting. “The only issue is the magnitude.”

The difference is important because investors abroad shorting the Canadian market have the ability to affect the economy by creating enough negative sentiment to affect consumers, said Mr. Tal, who has called for a correction of 10% to 15% in prices.