The State of the Canadian Economy: 2023 Edition

January 31, 2023

Perceptions of Canada’s economic state are an important driver of how consumers will spend (or not spend) in the coming months.   

Leger conducts an annual economic confidence survey measuring Canadians’ current and future confidence in the Canadian economy and their household finances. It also explores Canadians’ perspectives on topical economic subjects.   

Download our overall report to see the key findings at a national level. It includes trending analysis and interprovincial comparisons. Separate reports are available for download at the end of this article that dive deeper into the study’s findings in British Columbia, Alberta, Manitoba and Ontario.   

KEY HIGHLIGHTS: CANADIANS’ PERSPECTIVES ON THE STATE OF THE CANADIAN ECONOMY

CONFIDENCE IN THE CANADIAN ECONOMY

  • The upward trend in views of the Canadian economy in 2022 has been reversed in 2023, with perceptions back to the level of pessimism seen at the height of the pandemic in 2021. Those with a negative view now outweigh those with a positive view by a two-to-one margin. 
  • The proportion of Canadians who believe Canada is in a recession (69%) has increased since last year at this time, when 51% believed Canada was in a recession. 

map opinion recession Canada

CONFIDENCE IN HOUSEHOLD FINANCES

  • Perceptions of household finances – which were not highly impacted by COVID-19 – are also down sharply in 2023, although Canadians continue to be far more positive about their own finances than the economy as a whole. 
  • Looking forward, expectations of the national economy and household finances are down in 2023, signaling an expectation that things may get worse before they get better. 
  • As in the past, it is most common for Canadians to expect their household finances to be stable over the next six months, but at 23%, those who expect a decline are at a historic high.

British Columbia Report 

Alberta Report 

Manitoba Report 

Ontario Report 

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