Confidence in the Canadian economy took a dramatic dive over the summer in the midst of the COVID-19 pandemic — a whipsaw pivot seen around the world but sharper in Canada than any other country surveyed in a new global public opinion poll.
Sixty-one per cent of Canadians who took part in the Pew Research Center survey released Thursday described the country's current economic situation as bad, more than twice the 27 per cent who said the same thing last year.
Of the 14 countries included in the poll, the 12 that were also asked the same question last year all reported double-digit reversals in sentiment, with Canada's 34 percentage-point change leading the way.
"The sharpest uptick in negative assessments has come in Canada, where second-quarter losses in gross domestic product were estimated at 12 per cent," the centre said in a release. "Negative assessments have also grown by 30 percentage points in the UK, U.S. and Australia."
The Canadian segment of the survey, conducted by phone with 1,037 adult respondents between June 15 and July 27, carries a margin of error of 3.7 percentage points, 19 times out of 20.
Of those surveyed in the U.S., 69 per cent said they believe the economy is doing poorly, compared with 30 per cent who disagreed — a finding roughly in line with the 14-country median results of 68 per cent and 31 per cent.
Only in Europe did a majority of respondents say their domestic economies were faring well, with Denmark and Sweden leading the way, at 74 per cent and 68 per cent, respectively.
The two Scandanavian nations are notable for their dramatically different pandemic strategies: Sweden initially adopted a libertarian, herd-immunity approach, while Denmark was the second country in Europe to impose a nationwide lockdown.
"But even (in Sweden), GDP is expected to contract by roughly 5 per cent in 2020, and Swedes are 11 percentage points more likely to think economic conditions in their country are poor than in 2019."
The Pew report documents an unsurprisingly dismal outlook for the world's economic prospects, with Canada and the U.S. as notable outliers.
Of Canadian respondents, 48 per cent said they expect the economy to improve over the next 12 months, compared with 34 per cent who expect the opposite and 17 per cent predicting no change. In the U.S., the optimism is even stronger: 52 per cent said they see a brighter future ahead, compared with 32 per cent who do not.
Only Spain, Germany and Australia reported similar levels of optimism.
Almost across the board, those who disapproved of how their country has handled the outbreak were more likely to describe the economy as poor. In Canada, 85 per cent of those disappointed in the government's handling of COVID-19 had a negative view of the economy, compared with 58 per cent of those who gave the feds a passing grade on the pandemic.
In the U.S., 87 per cent of those disappointed in the Trump administration's handling of the outbreak described the economy as bad, compared with 50 per cent of those who said the government has done a good job.