Equalization, in a Canadian context, means the Federal government take money from the “high-income” provinces (Alberta) and gives it to the other provinces (most notably the Maritimes and Manitoba) to fund their federally-funded social services. I wrote about it a long time ago.
The other day it occurred to me that Equalization imposes a political cost on Alberta in addition to the obvous economic costs. Because equalization artificially increases the standard of living in have-not provinces, and artificially depresses the standard of living in Alberta, it discourages internal migration from economically depressed areas to Alberta. Why move when the Federal Government will magically make money flow to you, just because you don’t live in Alberta?
Why does that matter politically? Alberta’s House of Commons representation is alloted by population, of course. Alberta currently has 28 seats. The have-not provinces (Manitoba plus the Maritimes) have 46 seats, some of which would probably shift to Alberta if it became necessary to move here in order to enjoy our stronger economy.
The next tier of have-nots includes Quebec. Since the number of MPs for Quebec is fixed by statute at 75, Quebec determines the ratio of citizens to MPs. So if Quebec’s population started dropping because of internal emigration, all the other provinces would gain MPs, not just the province which gains citizens. (But the one which gains citizens would gain more MPs.) Possible gain: some of Saskatchewan’s 14 MPs and unknown if the number of MPs increases because Quebec’s population declines.
