In the fall, Alberta will hold a referendum on Canada’s Equalization system. The Alberta government wants leverage to force the federal government to negotiate a new formula that could significantly reduce the amount provided to Atlantic Canada each year.
Do provincial governments in Atlantic Canada rely too much on tax revenues generated elsewhere in the country? Do we suffer from a culture of dependency? Huddle editor Mark Leger hosts a conversation with Don and David about this important and controversial topic. In addition to the Equalization program, Mark, Don and David discuss Employment Insurance and other income and transfer programs. What role do things like geography, wages and immigration play? Don and David offer their insights and what they think can be done to address the challenges governments face with such programs.