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Canadians are concerned about fallout from fiscal cliff

Survey says 54% are not better of financially than they were a year ago.


TORONTO — Almost two-thirds of Canadians are concerned Canada’s economy will be hurt by the impact of the US fiscal cliff, according to a survey by Ipsos Reid for Sun Life Financial.

The Annual Check-Up Survey polled 1,277 Canadians about how they feel about their personal finances and the economy. Sixty-three per cent expressed concern about the fiscal cliff, a situation created by a package of tax increases and spending cuts that could be implemented in the US in the new year.

Ontarians registered the highest rate of concern at 70%.

Bank of Canada Governor Mark Carney warned during an interview with the Globe and Mail that a failure by President Barak Obama and Congress to avoid the steep tax hikes and spending cuts that will kick in on Jan. 1 could drag Canada close to another recession.

The survey also found that 54% of Canadians are not better off financially than they were a year ago.

Ontarians (31%) and Quebecers (28%) are more likely to be pessimistic about the Canadian economy in 2013. They were the only provinces above the national average (26%).

Sixty per cent of Ontarians and 57% of Atlantic Canadians say they are not better off financially than they were a year ago. The national average is 54%.