How Equalization Payments Could Be Hurting the Provinces They’re Meant to Help

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How Equalization Payments Could Be Hurting the Provinces They’re Meant to Help
The Carrilon hydro electric power station operated by Hydro-Québec in Pointe-Fortune, Quebec, in a file photo. Christopher O'Donnell/Shutterstock
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Canada’s equalization program is intended to level the playing field so all provinces can offer a comparable level of public services.

While some of the “have” provinces are complaining about unfairness of the program, some economists argue that the “have-not” provinces could be disadvantaged as well by lack of development due to disincentives.

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