UPDATE 1-Canada PM tries to use market turmoil as election campaign tool

(Adds quotes from prime minister, opposition leader,
background)
By David Ljunggren
OTTAWA, Aug 24 (Reuters) - Canadian Prime Minister Stephen
Harper seized on global stock market turmoil on Monday to argue
voters should stick with his Conservative government in the Oct.
19 election, warning that the policies of his opponents would be
dangerous for the economy.
Harper's ruling right-of-center Conservatives - seeking a
rare fourth consecutive mandate - have long prided themselves on
their handling of the economy, though the country is teetering
on recession due in large part to low oil prices.
Recent polls suggest the party is neck-and-neck with the New
Democrats and the Liberals, and could well lose its majority in
the House of Commons.
Asked about stock markets currently hit hard by bad news
from China, Harper said the policies of his two opponents - to
the left of him on the political spectrum - would be damaging
because they would be paid for by tax hikes and deficits.
"This is a ridiculous and very dangerous position for the
Canadian economy," he told a televised news conference in
Drummondville, Quebec.
Harper said Canada had solid economic fundamentals, low debt
and stable banks and should stick to Conservative policies
designed to cut taxes and boost growth.
The government, he added, had a range of tools it could use
in case of "much more serious circumstances." He did not give
details.
Harper also happened to be on the campaign trail during the
2008 economic crash, when he was pilloried for saying he saw
"some great buying opportunities." Canada escaped much of the
financial crisis intact, due in part to its regulatory system
and conservative banks.
Asked whether felt the same way about the current downturn,
Harper declined to comment directly.
Ottawa's balance sheet has been hurt by a collapse in the
price of oil, which is more than 60 percent lower than it was in
June 2014.
Thomas Mulcair, leader of the left-leaning New Democrats,
said Harper had made a big mistake by betting crude prices would
stay high and promoting policies that favored increased oil
extraction.
"It would be very difficult to do worse than Mr. Harper ...
he managed our economy very poorly," he said in Toronto.
Asked how he would handle the economy, Liberal leader Justin
Trudeau said Canada needed a plan for growth that involved
targeted investments, tax breaks and more spending on
infrastructure.