The Paradox of Equalization: Solving Inequity by Increasing Disparities ...

• Main Author: Fuss, Jake
• Format: Article in Journal/Newspaper
• Language: English
• Published: Faculty of Graduate Studies 2018
• Subjects: Newfoundland; Canada; British Columbia; Prince Edward Island
• Online Access: https://dx.doi.org/10.11575/prism/34951; https://prism.ucalgary.ca/handle/1880/109329

The design of the equalization system is a policy concern in Canada because it has extensive political, social, and economic implications. Equalization is intended to ensure all provinces can offer similar public services and to reduce fiscally induced migration across the country. The program is entrenched in the constitution and has been in operation since 1957. However, equalization has been reformed numerous times over the decades and controversy has followed with each new iteration of the system. In 2018-19, fiscal equalization payments will total $18.96 billion and will be split between six provinces. Quebec will receive $11.73 billion, or 61.88% of the total amount, while Prince Edward Island will receive the most per capita at $2,835. Conversely, the provinces of Alberta, British Columbia, Saskatchewan, and Newfoundland & Labrador will not receive any money. This project was designed to determine the level of success equalization has had in meeting its own objectives and constitutional ...