Quote:
Originally Posted by Torture
Sure, but if every province said "I want to leave just like Alberta and I'll take the same math" you'd apparently be at 9x the assets of the entire plan.
Ontario and Alberta alone leaving based on this math would be >100% of assets. It's lunacy and doesn't even withstand the most minimal of scrutiny.
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I mean, I haven't reviewed the math but assuming it's as stated (contributions by Albertans, less withdrawals by Albertans brought to present value by the returns on the CPP fund) then if the country split the plan up on that basis it would work out to exactly 100% of assets.
Of course, some provinces whose citizens have taken out much more money than they've put in would have a huge deficit and would have to contribute.
But the fact that apparently more than 50% of the CPP fund FOR THE ENTIRE COUNTRY has come from excess contributions made by Albertans seems, on the face of it, to suggest that Alberta is in fact getting a bad deal here.
Obviously we can't take half the money and leave, we've already subsidized that, just because it isn't fair doesn't mean we'll get the money back. But it does make, "leave now and stop subsidizing going forward" a potentially more attractive choice.
I'd be strongly in favour of it if I though Aimco could competently manage the money and do so without political interference. Unfortunately I think neither of those are true.