Impact on falling oil prices

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A new report from the conference board of Canada says the Federal Government will take a major hit this year because of the collapse in oil prices.

The board predicts federal revenues will be down more than 4 billion dollars in 2015, and the lower crude prices will drain provincial incomes by nearly 10 billion dollars.

The price of oil closed Tuesday at just under $47 a barrel.   That’s less than half of what it was trading at last summer.

Governments may be feeling the effect of falling gas prices but it will be a while before we reap the benefits.