"Equalization" and the "Constitutional Entrenchment" Myth

May 12, 2008 by · Leave a Comment 

For days now, major daily newspapers have featured one or more reports or columns about the Canadian federal government’s “equalization program”. In a nutshell, the equalization program works like this:

  1. The federal government overtaxes Canadians, so that it has more money than it needs to pay for services that it is authorized, by the constitution, to provide.
  2. The federal government takes the extra revenue, and contributes it to provincial coffers in an effort to ensure that each province has the same amount of money for its various socialist programs (notably, health care, welfare, and education).

Under this program, people who get skinned are called residents of the “Have” provinces. People who get stuff they didn’t pay for are called residents of the “Have Not” provinces. Read more