Done with the circle jerk yet people?
In the end the entire federation thought good enough of equalization payments to enshrine them in the 1982 Constitution Act. And Flames in 07 that is an absolutely ridiculous assertion. Do you think that having massive disparities of services and programs across the federation is good for economic efficiency? Canada's equalization system is a unique and universally praised model around the world. Other federations and confederations have studied our equalization system with envy.
Why? Because it works. Now that said, it is a little broken right now thanks to that moron Paul Martin and to sky rocketing oil and gas prices where are putting pressures on the system in two different ways.
If anyone wants to have a discussion about equalization I'm all for it. Has anyone read the report by Al O'Brien (for DM of Finance in AB) on how to fix equalization? It's very good and likely to be controversial for some of the Alberta folk. I personally think it's very well done and I only have a couple of grievances with the report.
You can read it here:
http://www.eqtff-pfft.ca/english/index.asp