As Employment Benefits Run Dry...
Financial Armageddon has an interesting post on consumer spending, saving and income. Spending hasn't dropped off nearly as much as wages and it is suggested employment benefits are bridging the gap.
That means that as people lose benefits the potential for reduced spending is significant.
One of the things I always thought was holding Vancouver's economy back was the disposible income had declined so much with local people, all business could do was struggle.