I am generally positive about the Harper Government in Ottawa but the biggest area where they fall down on policy is the failure to heed Buchanan’s observations on transfers to governments.
Equalization
‘Hope springs eternal’ in the realm of New Year’s wishes
My third wish was for our provinces to take concrete steps to get their finances under control. Yet, once again, debt and deficits grew in every province except Saskatchewan, and Newfoundland and Labrador.
United in Dependence
Imagine that you have a pile of money and several kids. Some of those kids work hard and are quite self-sufficient. Some of them, on the other hand, just never quite seem able to look after themselves. Because you’re rich and you believe all your kids deserve a similar standard of living, you pay the ne’er-do-wells a good allowance accompanied by lots of well-meaning admonitions to try and harder and make something of themselves.
Catalonian Calls for Independence Increase: Regional Politician in Spain Causes Headaches for Prime Minister Rajoy With Pledge to Seek Referendum After Elections
Sunday’s elections in Catalonia could put the wealthy northern region on a path toward independence, possibly triggering a constitutional crisis in austerity-weary Spain.
Featured News
Leon Fontaine – A Passionate Canadian Thought Leader – RIP
This past weekend, we learned of the tragic and unexpected passing of Pastor Leon Fontaine at 59 years of age. Leon was a gifted leader playing many roles both nationally and internationally. He was, with his wife Sally, the senior Pastors at Springs Church with...
Public Inquiries and Public Trust
Testimony before the Public Order Emergency Commission reveals the case for government invoking the Emergencies Act is either weak or very weak. The Prime Minister was, in fact, opposed to members of his cabinet or senior public health officials meeting with protest...
Manitoba, The Supplicant Society
Special monograph of the entire 8-part series on a variety of topics affecting Manitoba competitiveness, well-being and prosperity by Law Professor Bryan Schwartz.
Redact All You Want, We’ve Gone Overboard on Equalization
What exactly does the government have to fear from a study of equalization payments? We don’t know. But according to a February report published by the Ontario Chamber of Commerce (“Dollars & Sense: A Case for Modernizing Canada’s Transfer Agreements”), the government has much to fear – most importantly the revelation that Canada’s equalization program now distributes billions of dollars a year to provinces that least need the help.
Equalization not Entrenched in Constitution
Even though more of the media now concedes that the system is quite broken some still repeat the popular myth that equalization is permanently set in concrete because “it is entrenched in the Canadian constitution.” Thankfully this is not true.
Ontarians Get Raw Deal in Wealth-Sharing System, Study Says
Canada’s outdated and inefficient fiscal arrangements are cheating Ontario taxpayers and undermining the nation’s productivity, warns a new study.
Dollars and Sense: A Case for Modernizing Canada’s Transfer Agreements
In a paper published by the Ontario Chamber of Commerce, Frontier Centre Senior Fellow David MacKinnon examines the flaws and unintended consequences of Canada’s equalization program. MacKinnon shows that Canada’s current approach to equalization is damaging to all of the provinces, including those that receive large equalization payments.
Time to Overhaul Equalization
With Ontario clamouring for change to Canada’s equalization payment system and even beneficiaries in Atlantic Canada questioning its worth, the time is ripe for an overhaul of what has become an antiquated model of fiscal federalism, which rewards failure and punishes success.
Ontario Gearing up for Renewed Fight with Ottawa Over Equalization
Ontario is gearing up for a battle with Ottawa over equalization after a new report by a leading business group slammed the national program for failing to level the playing field between Canada’s “have” and “have-not” provinces and territories.
Germany Knows What Doesn’t Work
It isn’t just Germany that is being forced to re-examine the way it redistributes income between rich and poor regions. In Italy, Spain and, most dramatically, in Belgium, the trend is unmistakable: the unbearable pressures put on state budgets by the financial crisis and the ensuing recession are flushing out all the hidden subsidies and transfers that governments have built into their economies in the name of national cohesion and social peace over the past six decades.
The Chattering Classes Need to Focus on Real Issues
Yes, the chattering classes are in a frenzy but the average Joe doesn’t give a hoot about the insertion of the word “not” into a document.