1. Prepared by: Ipsos Reid
POR
FINAL REPORT Finance Canada Public Consultations POR September 30, Prepared for: Department of Finance «Ce rapport est aussi disponible en français sur demande»
Contract number: /001/CY
Contract Date:
Prepared by: Ipsos Reid

2. Outline Most Important Issues Facing Canada
Current State of the Economy
Future of the Economy
Personal Prospects
How to Improve the Economy
Canada's Economic Action Plan
State of Federal Finances
Tackling the Deficit
Conclusions

3. Methodology
A national telephone survey of 1,501 Canadian adults. Conducted between September 4 and 10, 2009.
Margin of error is ± 2.5 percentage points, 19 times out of 20.
Some questions are tracked from previous Finance Canada consultations.
The “Top of Mind Issues” data is taken from the September 2009 Ipsos Trend Report (telephone survey n=1,004).
Region
Sample Size
Margin of Error
Canada
1,501
±2.5
British Columbia
221
±6.6
Alberta
220
Sask./Man.
150
±8.0
Ontario
415
±4.8
Quebec
275
±5.9
Atlantic Canada

4. Most Important Issues Facing Canada
Thinking of the issues presently facing Canada, which one do you feel should receive the greatest attention from Canada’s leaders? (Source: Ipsos-Reid Trend Report, September 2009)
It’s a crowded agenda and will remain crowded as long as the economy and unemployment aren’t pressing issues.
Economic optimism is really the driver/reason these other issues exists but its been this way for so long now its hard to know what will happen if/when the economy declines.
The short-term agenda is sparse. What Canadians see as the big issues are long-term consensus with no true sense of immediate crisis.  Both healthcare and the environment are long-term concerns for which the role of government is ambigious.  Nobody is seen as carrying the blame, and nobody is seen as being uniquely positioned to deliver a solution.  Canadians are living with what exists, and deferring the big debates to the future.
Afghanistan does have a sense of immediacy as an issue, but the public is very divided on this.  If Quebec is taken out of the mix, a majority in ROC support Canada's current role.
Base: n=1,004 Canadian adults

5. Most Important Issues Across Canada
Thinking of the issues presently facing Canada, which one do you feel should receive the greatest attention from Canada’s leaders? (Source: Ipsos-Reid Trend Report, September 2009)
British Columbia
Economy - 51%
Healthcare - 31%
Environment - 16%
Jobs/ unemployment - 13%
Atlantic Canada
Economy - 39%
Healthcare - 34%
Environment - 12%
Jobs/ unemployment -11%
Saskatchewan/Manitoba
Economy - 41%
Healthcare - 26%
Crime - 11%
Government/ politics - 6%
Quebec
Economy - 38%
Environment - 32%
Healthcare - 26%
Armed forces/Defense - 9%
Alberta
Economy - 45%
Healthcare - 38%
Education - 12%
Environment - 10%
Ontario
Economy - 49%
Healthcare - 25%
Jobs/unemployment -16%
Environment - 15%
Base: n=1,004 Canadian adults

6. Confidence in the Economy
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree:
% Agree (5,6,7)
Base: All respondents n=1,501

7. Confidence in The Economy
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree:
Key Demographics
I have confidence in the economy (63% agree)
Alberta (72%), Sask./Man. (73%)
University (70%) vs. High school or less (59%)
Employed (64%) vs. Unemployed (50%)
Married (65%) vs. Single (57%)
I’m worried about loosing my job (28% agree)
Ontario (34%)
35 to 54 years (32%)
High school or less (32%) vs. University (22%)
Less than $40K (32%) vs. $70K+ (24%)
Non-white collar occupations (30%) vs. White collar (23%)
Divorcees (40%)
Tenants (53%)
Green represents – score quite well
Yellow represents – somewhat lower scores
Red represents – very low scores
The lowest scores for health and wellness are in the US, Germany, Spain, and UK. In these countries, the net score is negative (meaning that more people say Coke is below average than say that Coke is above average).
Question text: For each of these companies, please tell me how each company compares with other major corporations, based on five attributes. When it comes to <insert attribute> would you say that <The Coca-Cola Company> is well above average, slightly above average, average, slightly below average, or well below average on that attribute?
Base: All respondents n=1,501

8. Confidence in the Canadian Economy by Region
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
I have confidence in the Canadian economy
Base: All respondents n=1,501

9. Concern about Job Loss By Region
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
I'm worried about losing my job
Base: All respondents n=1,501

10. Canadian and US Economies Linked
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree:
% Agree (5,6,7)
Base: All respondents n=1,501

11. Three in Four Are Optimistic About Economic Growth One Year From Now
In general, what do you think the state of the economy will be one year from now? Would you say it will be in a period of strong growth, moderate or slow growth, neither growing nor declining, moderate decline, or strong decline?
More optimistic that economy will be growing one year from now:
Post Secondary (81%)
University (77%)
$70K + (80%)
Employed (77%) vs. Unemployed (65%)
Retired (77%) vs. Students (62%)
Home owners *79%) vs. Tenants (68%)
2009 By Region
Base: All respondents n=1,501

12. Outlook for the Regional Economy
In general, what do you think the state of the economy in your region will be one year from now? Would you say it will be in a period of strong growth, moderate or slow growth, neither growing nor declining, moderate decline, or strong decline?
Growth
Neither
Decline
Gap BC
63%
14%
23%
+ 40
Alberta
81% 8%
+ 73
Sask/Man
72%
16%
11%
+61
Ontario
60%
19%
+ 41
Quebec
62%
21%
15%
+ 47
Atlantic
18%
+ 45
Base: n=1,004 Canadian adults

13. Personal Economic Situation – Today vs. One Year Ago
How would you say your personal financial or economic situation today compares with what it was like one year ago? Would you say your personal financial or economic situation today is in better shape than it was then, worse shape than it was then, or that there is no difference?
Base: All respondents n=1,501

14. Personal Economic Situation – One Year From Now
How do you expect your personal financial or economic situation to be one year from now compared to what it is like today? Do you expect that your personal financial or economic situation will be in better shape than it is now, worse shape than it is now, or no different from now?
Base: All respondents n=1,501

15. Personal Economic Situation – One Year From Now
How do you expect your personal financial or economic situation to be one year from now compared to what it is like today? Do you expect that your personal financial or economic situation will be in better shape than it is now, worse shape than it is now, or no different from now?
Base: All respondents n=1,501

16. Views on Government’s Economic Policies
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
Base: All respondents n=1,501

17. Views on Government’s Economic Policies
Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree:
% Agree (5,6,7)
* Jan ’08 and earlier: “Given the country’s economic success over the past year, I have confidence in the government’s ability to manage the economy in a slowdown.”
Base: All respondents n=1,501

18. Helpfulness of Economic Measures in the Long-term
Looking to the long term, if the federal government wants to make the Canadian economy as strong as possible for the future how helpful would the following be? Again, using a 7-point scale, where 7 means extremely helpful, 4 means indifferent, and 1 means not at all helpful.
Base: All respondents n=1,501

19. Helpfulness of Economic Measures in the Long-term
Looking to the long term, if the federal government wants to make the Canadian economy as strong as possible for the future how helpful would the following be? Again, using a 7-point scale, where 7 means extremely helpful, 4 means indifferent, and 1 means not at all helpful. % Extremely helpful (7)
Jan ’08
Sep ‘09
Change
Improving access and quality of education and training
44%
46% +2
Continuing to reduce personal taxes
24%
32% +8
Keeping the budget balanced
38%
30% -8
Providing support to science and technology -
28%
Ensuring economic growth is environmentally sustainable
36%
Reducing Canada’s national debt
Engaging in freer trade with other countries
17%
23% +6
Attracting more foreign investment in Canada
21% +3
Providing direct support to businesses
18%
Reducing corporate taxes to improve competitiveness 9%
14% +5
Base: All respondents n=1,501

20. Long-term Helpfulness of Economic Measures by Region
Looking to the long term, if the federal government wants to make the Canadian economy as strong as possible for the future how helpful would the following be? Again, using a 7-point scale, where 7 means extremely helpful, 4 means indifferent, and 1 means not at all helpful. % Extremely helpful (7) BC
ALB
SK/MB
ONT
QUE
ATL
Improving access and quality of education and training
38%
35%
40%
47%
51%
52%
Continuing to reduce personal taxes
31%
28%
25%
Keeping the budget balanced
26%
27%
33%
29%
32%
Ensuring economic growth is environmentally sustainable
22%
18%
36%
Providing support to science and technology
20%
Reducing Canada's national debt
24%
Engaging in Freer trade with other countries
21%
23%
17%
Attracting more foreign investment in Canada
14%
19%
12%
Providing direct support to businesses
13%
16%
Reducing corporate taxes to improve competitiveness 9%
Base: All respondents n=1,501

21. Most Say Canada Should Broaden Trade Relationships
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
Base: All respondents n=1,501

22. Support for Small Business = Jobs in Community
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
Support for small businesses means more job creation in my community
Base: All respondents n=1,501

23. Four in Ten Aware of Government’s Response to Global Economic Downturn
Have you heard, seen or read anything recently about how the Government of Canada has responded to the
global economic downturn?
What have you heard, seen or read?
Economic Stimulus package (14%)
Spending to stimulate economy (8%)
Infrastructure spending (8%)
Bailout of the auto industry (9%)
Company bailouts (5%)
Includes mentions of 4% and higher
Base: Top: All respondents (n=1,501) / Bottom: Respondents aware of the government’s response to the global economic downturn (n=717)

24. Most Support Government’s Plan to Invest Money into the Economy and Run a Deficit
To what extent do you support or oppose the Government of Canada's plan to invest money into the economy and in doing so running a deficit? Do you strongly support, somewhat support, somewhat oppose or strongly oppose this plan?
Base: All respondents n=1,501

25. Support for Stimulus, Despite Deficit
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
I believe we should spend whatever it takes to stimulate the economy in the short term, even if that means running a deficit
Base: All respondents n=1,501

26. Effectiveness of Measures in the Economic Downturn
Thinking of the economic downturn, how effective do you think each of the following measures could be in stimulating economic growth? Please use a 7-point scale, where 7 means very effective, 1, means very ineffective and 4 means neither effective nor ineffective.
Base: All respondents n=1,501

27. Effectiveness of Economic Measures in a Downturn – by Region
Thinking of the economic downturn, how effective do you think each of the following measures could be in stimulating economic growth? Please use a 7-point scale, where 7 means very effective, 1, means very ineffective and 4 means neither effective nor ineffective.
%Very Effective (7) BC
ALB
SK/MB
ONT
QUE
ATL
Investing in infrastructure such as roads and bridges to create jobs
34%
32%
42%
48%
45%
38%
Assisting the unemployed, including income support and job training
36%
31%
29%
44%
49%
41%
Providing assistance to communities most affected by this downturn to help create jobs
35%
46%
Lowering personal income taxes in Canada
37%
Providing tax credits to Canadian homeowners who renovate and improve their homes
33%
39%
Helping Canadian businesses take advantage of new opportunities
30%
28%
40%
Supporting workers in industries most affected by the economic downturn
26%
18%
Lowering business taxes in Canada
20%
21%
12%
24%
23%
Base: All respondents n=1,501

28. Government Should Better Control its Spending
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree? I think the government should better control its spending
Base: All respondents n=1,501

29. Government Needs to Do a Better Job Explaining Where Tax Dollars are Spent
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree? The Federal Government should do a better job explaining where Canadian tax dollars are spent
Base: All respondents n=1,501

30. The State of Federal Finances
Based on what you know, what is the current state of federal government finances? Is the government running an annual deficit (spending more money than they are receiving), running an annual surplus (receiving more money than they are spending), or are their finances basically in balance?
Base: All respondents n=1,501

31. Views on Balancing the Budget and Running a Deficit
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree? In light of the global economic downturn, it was necessary for government to run a budget deficit
Base: All respondents n=1,501

32. Tracking Perceptions of Tax Levels
In the last year, would you say that the federal government has been, in general reducing taxes, raising taxes or leaving taxes about the same?
Base: All respondents n=1,501

33. Reasons to Believe the Government Has Been Reducing Taxes
And what makes you think the Government has been reducing taxes?
(Asked of the 18% who say taxes are going down)
Reduction in income tax/ tax rates (17%)
Receiving more money on paycheque (5%)
Increase in personal exemptions (3%)
More/ new tax breaks (3%)
Increased tax returns (3%)
Drop in provincial tax (2%)
Home Renovation Tax Credit (4%)
Reductions in property taxes (3%)
Reductions for seniors/ retirees (2%)
Reductions for businesses (1%)
Income of spouses can be combined (1%)
Sep ’07 (top responses)
GST (41%)
General reductions (23%)
Special reductions (7%)
Base: Respondents who said government is reducing taxes n=242

34. Reasons to Believe the Government Has Been Raising Taxes
And what makes you think the Government has been raising taxes?
(Asked of the 20% who say taxes are rising)
Cost of living has increased faster than income (7%)
Everything is going up in price (5%)
Grocery taxes are up/ food costs more (3%)
Sep ’07 (top responses)
Income tax increases (19%)
General increases (13%)
Cost of living has increased (13%)
Base: Respondents who said government is raising taxes n=279

35. Views on Balancing the Budget and Running a Deficit
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
Base: All respondents n=1,501

36. Views on Balancing the Budget and Running a Deficit – by Region
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
%Strongly Agree (7) BC
ALB
SK/MB
ONT
QUE
ATL
I think the Government of Canada should return to a balanced budget as soon as possible
49%
50%
37%
48%
55%
40%
I don't expect the Government of Canada to balance its budget until the economy has recovered
42%
41%
28%
44%
38%
If the Government of Canada restores the budget to balance or a surplus, it will have a positive impact on the economy
43%
45%
33%
In light of the global economic downturn, it was necessary for the Government of Canada to run a budget deficit
29%
17%
30%
22%
Base: All respondents n=1,501

37. Views on Balancing the Budget and Running a Deficit – Key Demographics
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
% More likely to strongly agree (7)
% Less likely to strongly agree (7)
I think the Government of Canada should return to balanced budget as soon as possible
Quebec (55%), Alberta (50%)
55+ (59%)
High school or less (56%)
Saskatchewan/Manitoba (37%)
35-54 (44%), (43%)
University (38%)
I don’t expect the Government of Canada to balance its budget until the economy has recovered
Ontario (44%), B.C (42%), Alberta (41%)
55+ (50%)
Saskatchewan/Manitoba (28%)
18-34 (35%), (35%)
If the Government of Canada restores the budget to balance or surplus, it will have positive impact on economy
Alberta (45%)
55+ (48%)
High school or less (44%)
Saskatchewan/Manitoba (33%),
Quebec (33%)
18-34 (30%)
University (29%)
In light of the global economic downturn, it was necessary for the Government of Canada to run a budget deficit
Ontario (30%), Alberta (29%),
Quebec (28%), B.C. (28%)
55+ (34%)
Atlantic Canada (22%),
Saskatchewan/Manitoba (17%)
18-34 (25%), (24%)
Base: All respondents n=1,501

38. Focus on Cutting Current Wasteful Spending – or – Restraining Future Spending
Some people say that to better manage government finances and balance the budget, the government should focus on cutting current unnecessary and sometimes wasteful spending. Other people say that to better manage government finances and balance the budget, the government should focus on restraining future government spending. Which of these two statements is closer to your own opinion?
Base: All respondents n=1,501

39. Ways to Eliminate Wasteful Spending
What should the federal government do to eliminate wasteful spending?
(Total Mentions)
Cut back spending (17%)
Cut spending on unnecessary programs (6%)
Fewer employees/ downsize the government (9%)
Cut executive pay levels (8%)
Less bureaucracy (2%)
Eliminate duplicate positions/ services (1%)
Decrease/ eliminate government pension (1%)
Better management of their funds (8%)
Be more accountable (5%)
Better auditing (5%)
Clean up/ run the government better (1%)
Make a budget and stick to it (1%)
Focus on other priorities, like healthcare and education (6%)
Pull out of the war/ Afghanistan (3%)
No bailouts/ do not give companies money (2%)
Less focus on foreign aid/ non-Canadian interests (1%)
Reduce the number of people on welfare (1%)
Base: All respondents n=1,501

40. Has Government Made Progress in Reducing Wasteful Spending?
I'm going to read you a series of statements some people might make and ask you to tell me whether you agree or disagree with them. Please use a 7-point scale, where 7 means you strongly agree, 1, means you strongly disagree and 4 means you neither agree nor disagree?
The Government of Canada has made progress in reducing wasteful spending
Base: All respondents n=1,501

41. Conclusions
Confidence in the Government and the economy is down but not sharply, and not in line with media warnings from Fall 2008 that this would be the worst recession since the 1930s.
Looking forward, optimists out number pessimist by 6 to 1 when talking about the national economy and when talking about their own personal prospects the optimists out number the pessimist by 4 to 1.
Short term, the public’s focus and expectations for Government are still very much on ensuring economic growth and job creation.
Longer term, the debate over the deficit is just beginning and it remains to be seen whether the issue of deficit/government spending will increase in prominence (as it did in 1993) or whether concerns over healthcare and the environment will remain top of mind for most Canadians.