Tuesday, April 14, 2009

National Post Calls for the End of Equalization Payments

Three cheers for the National Post today who published an editorial calling for the end of the equalization payment scam:
That leaves Quebec, which will get $8-billion in equalization this year, almost 60% of the total. Though Quebec politicians would protest loudly at any threat to this jackpot, anyone visiting Quebec would be hard-pressed to find justification for the lavish outlay. Whether in terms of schools, universities, health care, social services, industry, culture or business, Quebec is as advanced and sophisticated a society as exists in Canada, having prospered mightily in recent years. Yet it continues to receive massive annual payments from other provinces, even as its noisy nationalists proclaim themselves a "nation," fully capable of handling their own affairs.

The situation no longer makes sense, and the longer it is allowed to drag on the more damaging and politically divisive it will become. Politically docile as they have been trained to be, Ontario residents are unlikely to quietly accept a continued annual outflow of billions of dollars to other provinces while their own services suffer and unemployment approaches double digits. Alberta, despite its image as the land of plenty, will struggle to meet its own needs until another oil boom comes along. Neither province should be expected to keep running deficits to finance programs in other provinces that long ago caught up to their own.

We need more of this kind of talk in Canada. Quebec lives off the fruits of the rest of Canada's labor, and feels entitled to it. To show their appreciation, they elect a separatist party to the majority of their federal seats in every election since 1993. People are finally starting to wake up to the scam. Desperate times do create opportunities. When money is tight, people start watching where their dollars go.

On that note, I hope the National Post survives as a newspaper. You'd never see this kind of idea in the Globe and Mail, and certainly not the Star.

1 comment:

  1. This is the current problem in Canada. More people are on the dole, then pay into the system, at all levels of government. The voting system is against the people that pay taxes. Look at Newfoundland, they finally start earning income from a government sponsored off shore oil development, and they still want welfare. This was a good article in the Post. Will the transfer payments ever stop, I doubt it. This is Canada we are talking about. Government programs never end.