Quote:
Originally Posted by CliffFletcher
Transfer payments move wealth from high-earning Canadians to lower earning Canadians. We’re fortunate enough to live in part of the country with more high-earning citizens than New Brunswick or Manitoba (partly because their younger and more productive people have moved here), so there’s a net shift of money out of the province.
You know where a similar transfer happens? From Alberta’s cities, which are young and productive, to Alberta’s rural communities, made up of people who are older and have lower incomes. Should we scrap this socialist model, keep Calgary taxes in Calgary, and let hospitals and schools in rural Alberta close?
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Equalality is always available to every citizen. They just have to move to the location with the more productive economy.
It's never a good idea to transfer wealth from more productive jurisdictions to less productive jurisdictions. It just reduces labour mobility.
Equalization would be more justifiable if we didn't have freedom of movement. Anyone can move to Alberta.