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Economy

Trudeau considered best to manage pandemic, revive economy, survey suggests – TimminsToday

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OTTAWA — A new poll suggests Prime Minister Justin Trudeau would be well placed to fight an election this fall, seen as the leader best able to care for Canadians during the COVID-19 pandemic and to get the economy back on its feet.

Respondents to the poll, conducted by Leger and the Association for Canadian Studies, were split about the prospect of a confidence vote triggering a federal election this fall, with 42 per cent opposed to an election and 38 per cent in favour.

But if there were an election today, 38 per cent of decided voters said they’d support Trudeau’s Liberals, compared to 30 per cent for the Conservatives, 18 per cent for the NDP and six per cent for the Greens.

The Bloc Quebecois were at 33 per cent in Quebec, statistically tied with the Liberals in that province at 32 per cent, with the Conservatives well behind at 16 per cent, the NDP at 12 per cent and the Greens at four per cent.

When asked specifically which party would earn their vote should Erin O’Toole be at the helm of the Conservatives, Liberal support actually bumped up one point while Conservative support dropped to 27 per cent.

However, the poll suggests O’Toole — who was crowned Conservative leader in the wee hours of Monday morning, one day after the survey was completed —  is an unknown quantity for a majority of Canadians.

Asked if they’d be more or less likely to vote Conservative if O’Toole was at the helm, fully 51 per cent said they didn’t know. Another 37 per cent said they’d be less likely while just 13 per cent said they’d be more likely.

While Conservative fortunes could improve as voters get to know O’Toole, the poll suggests he will need time to make a dent in their largely positive impression of Trudeau.

Respondents rated Trudeau by a significant margin as the most decisive, intelligent, and charismatic leader and the best communicator. He was also deemed the most caring and compassionate, although on that score NDP Leader Jagmeet Singh was rated a relatively close second.

Singh got top marks on honesty and integrity, with 24 per cent saying he best shows those qualities, compared to 16 per cent for Trudeau, who has been mired for months in the WE Charity scandal, and 12 per cent for O’Toole.

In Quebec, Bloc Leader Yves-Francois Blanchet was rated the most honest, decisive and intelligent and the best communicator.

On the issues that would likely dominate an election campaign in the fall, Trudeau enjoyed a substantial lead over rival leaders. (The Greens, who are in the midst of a leadership contest were not included in these questions).

He was seen as the leader who’d do the best job getting Canada’s pandemic-ravaged economy back on track by 30 per cent, compared to 20 per cent for O’Toole, 11 per cent for Singh and just three per cent for Blanchet.

He was rated the best leader to manage the federal deficit, projected to hit almost $350 billion this year due to the pandemic (27 per cent to O’Toole’s 23 per cent, Singh’s nine per cent and Blanchet’s three per cent).

He was also rated the leader who’d do the best job caring for Canadians hurt by the pandemic (35 per cent to O’Toole’s 13 per cent, Singh’s 19 per cent and Blanchet’s four per cent)

And he was seen by far as the leader who would best keep Canadians safe from a second wave of the deadly coronavirus that causes COVID-19 (39 per cent to O’Toole’s 13 per cent, Singh’s 12 per cent and Blanchet’s three per cent).

Trudeau last week prorogued Parliament until Sept. 23, when he intends to introduce a throne speech laying out a post-pandemic recovery plan for the country. Trudeau has all but dared opposition parties to bring his government down over the throne speech, which will be put to a confidence vote.

Leger executive vice-president Christian Bourque said Liberal support has rebounded since the WE Charity affair exploded in late June. But it could dip again if there are new revelations or when the federal ethics watchdog releases the findings of his investigation into possible conflict of interest violations by Trudeau and his former finance minister, Bill Morneau.

If it weren’t for that ethical cloud hanging over the government, Bourque said the poll suggests a fall election “would be great timing for Mr. Trudeau” — while O’Toole is still unknown.

“I think the Conservatives need time,” Bourque said in an interview, adding that Blanchet is the only leader for whom there appears to be no potential downside to a fall election.

The online survey of 1,516 adult Canadians was conducted Aug. 21-23. It cannot be assigned a margin of error because internet-based polls are not considered random samples.

The poll also gauged Canadians’ views on the pandemic and its impact on the economy.

Forty-three per cent of respondents said they fear the economic crisis, already the deepest since the Great Depression, will get worse in the next 12 months; only 21 per cent believe it will get better while 25 per cent think it will stay the same.

Fully 77 per cent predicted there’ll be a second wave of the pandemic. And 58 per cent said they think it is likely that over the next three months the country will be plunged back into lockdown, with businesses closed and citizens ordered once again to stay at home.

Despite those fears, 68 per cent said they would not take a free dose of the untested vaccine Russia has produced to immunize against COVID-19; only 14 per cent said they would take it, 18 per cent said they didn’t know.

Seventy-six per cent said they remain very or somewhat satisfied with the measures the federal Liberal government has taken to deal with the pandemic; 77 per cent said the same of their provincial governments.

This report by The Canadian Press was first published Aug. 25, 2020.

Joan Bryden, The Canadian Press

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Economy

Canada’s unemployment rate holds steady at 6.5% in October, economy adds 15,000 jobs

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OTTAWA – Canada’s unemployment rate held steady at 6.5 per cent last month as hiring remained weak across the economy.

Statistics Canada’s labour force survey on Friday said employment rose by a modest 15,000 jobs in October.

Business, building and support services saw the largest gain in employment.

Meanwhile, finance, insurance, real estate, rental and leasing experienced the largest decline.

Many economists see weakness in the job market continuing in the short term, before the Bank of Canada’s interest rate cuts spark a rebound in economic growth next year.

Despite ongoing softness in the labour market, however, strong wage growth has raged on in Canada. Average hourly wages in October grew 4.9 per cent from a year ago, reaching $35.76.

Friday’s report also shed some light on the financial health of households.

According to the agency, 28.8 per cent of Canadians aged 15 or older were living in a household that had difficulty meeting financial needs – like food and housing – in the previous four weeks.

That was down from 33.1 per cent in October 2023 and 35.5 per cent in October 2022, but still above the 20.4 per cent figure recorded in October 2020.

People living in a rented home were more likely to report difficulty meeting financial needs, with nearly four in 10 reporting that was the case.

That compares with just under a quarter of those living in an owned home by a household member.

Immigrants were also more likely to report facing financial strain last month, with about four out of 10 immigrants who landed in the last year doing so.

That compares with about three in 10 more established immigrants and one in four of people born in Canada.

This report by The Canadian Press was first published Nov. 8, 2024.

The Canadian Press. All rights reserved.

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Economy

Health-care spending expected to outpace economy and reach $372 billion in 2024: CIHI

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The Canadian Institute for Health Information says health-care spending in Canada is projected to reach a new high in 2024.

The annual report released Thursday says total health spending is expected to hit $372 billion, or $9,054 per Canadian.

CIHI’s national analysis predicts expenditures will rise by 5.7 per cent in 2024, compared to 4.5 per cent in 2023 and 1.7 per cent in 2022.

This year’s health spending is estimated to represent 12.4 per cent of Canada’s gross domestic product. Excluding two years of the pandemic, it would be the highest ratio in the country’s history.

While it’s not unusual for health expenditures to outpace economic growth, the report says this could be the case for the next several years due to Canada’s growing population and its aging demographic.

Canada’s per capita spending on health care in 2022 was among the highest in the world, but still less than countries such as the United States and Sweden.

The report notes that the Canadian dental and pharmacare plans could push health-care spending even further as more people who previously couldn’t afford these services start using them.

This report by The Canadian Press was first published Nov. 7, 2024.

Canadian Press health coverage receives support through a partnership with the Canadian Medical Association. CP is solely responsible for this content.

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Trump’s victory sparks concerns over ripple effect on Canadian economy

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As Canadians wake up to news that Donald Trump will return to the White House, the president-elect’s protectionist stance is casting a spotlight on what effect his second term will have on Canada-U.S. economic ties.

Some Canadian business leaders have expressed worry over Trump’s promise to introduce a universal 10 per cent tariff on all American imports.

A Canadian Chamber of Commerce report released last month suggested those tariffs would shrink the Canadian economy, resulting in around $30 billion per year in economic costs.

More than 77 per cent of Canadian exports go to the U.S.

Canada’s manufacturing sector faces the biggest risk should Trump push forward on imposing broad tariffs, said Canadian Manufacturers and Exporters president and CEO Dennis Darby. He said the sector is the “most trade-exposed” within Canada.

“It’s in the U.S.’s best interest, it’s in our best interest, but most importantly for consumers across North America, that we’re able to trade goods, materials, ingredients, as we have under the trade agreements,” Darby said in an interview.

“It’s a more complex or complicated outcome than it would have been with the Democrats, but we’ve had to deal with this before and we’re going to do our best to deal with it again.”

American economists have also warned Trump’s plan could cause inflation and possibly a recession, which could have ripple effects in Canada.

It’s consumers who will ultimately feel the burden of any inflationary effect caused by broad tariffs, said Darby.

“A tariff tends to raise costs, and it ultimately raises prices, so that’s something that we have to be prepared for,” he said.

“It could tilt production mandates. A tariff makes goods more expensive, but on the same token, it also will make inputs for the U.S. more expensive.”

A report last month by TD economist Marc Ercolao said research shows a full-scale implementation of Trump’s tariff plan could lead to a near-five per cent reduction in Canadian export volumes to the U.S. by early-2027, relative to current baseline forecasts.

Retaliation by Canada would also increase costs for domestic producers, and push import volumes lower in the process.

“Slowing import activity mitigates some of the negative net trade impact on total GDP enough to avoid a technical recession, but still produces a period of extended stagnation through 2025 and 2026,” Ercolao said.

Since the Canada-United States-Mexico Agreement came into effect in 2020, trade between Canada and the U.S. has surged by 46 per cent, according to the Toronto Region Board of Trade.

With that deal is up for review in 2026, Canadian Chamber of Commerce president and CEO Candace Laing said the Canadian government “must collaborate effectively with the Trump administration to preserve and strengthen our bilateral economic partnership.”

“With an impressive $3.6 billion in daily trade, Canada and the United States are each other’s closest international partners. The secure and efficient flow of goods and people across our border … remains essential for the economies of both countries,” she said in a statement.

“By resisting tariffs and trade barriers that will only raise prices and hurt consumers in both countries, Canada and the United States can strengthen resilient cross-border supply chains that enhance our shared economic security.”

This report by The Canadian Press was first published Nov. 6, 2024.

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