By Wade MacLauchlan
One of Canada’s greatest strengths is its understanding that every citizen deserves to share in our country’s great wealth and resources – and that all of us have the freedom to thrive and excel, regardless of where we choose to live.
It is especially important that our country expresses that perspective – not merely in sentiment – but in law and longstanding practices.
The federal equalization program is part of the glue that keeps Canada together, economically and politically.
Equalization does so by ensuring that every jurisdiction is able to provide roughly comparable levels of service at comparable levels of taxation. In other words, equalization is a program that helps to ensure that every citizen in our country enjoys the benefits of being Canadian.
Now, there will always be those who question the equalization program - the issue has most recently been discussed in advance of last week’s meeting of the Premiers in New Brunswick. Additionally, David McKinnon with the right-wing think tank Frontier Centre for Public Policy recently had an oped in this newspaper repeating the same tired arguments that fail to recognize the Maritime provinces’ contributions to Canada.
First of all, a program like equalization allows us to be a nation.
By ensuring that the natural bounty of our country benefits each and every one of us, equalization helps to assure a roughly level playing field – in which there are no ‘second-class’ Canadians.
Second, equalization allows Canada to have a national economy.
Prince Edward Island is committed to growing our prosperity, and to improving our incomes relative to the rest of Canada. Equalization is a central building block for our economic growth and fiscal capacity. In both 2016 and 2017, Prince Edward Island had the third-highest rate of year-over-year economic growth among the provinces. We are enjoying further growth in 2018, while maintaining balanced provincial budgets. This is a reflection of hard work, entrepreneurial leadership and innovation, without the advantage of either conventional energy or natural resources.
And these accomplishments are very important, because it means that our province will continue to grow its capacity to contribute to Canada’s economy and the welfare of Prince Edward Island – and become an ever-more active trading partner with other provinces.
Third, equalization means that Canada will continue to have a nationally mobile workforce – so that Canadians are able to work and prosper anywhere in our country,
More prosperous provinces have clearly benefited from the productive efforts of hundreds of thousands of workers who have been educated and trained in equalization-receiving provinces, and who often choose to retire to their province of origin. When it comes to trade, it is no accident that Prince Edward Island buys more than it sells and that Ontario is our most important trading partner.
Over the last several years Prince Edward Island has enjoyed a remarkable level of economic growth. Simultaneously, we have experienced a strong and stable increase in our population.
These achievements were hard-won – and they took a lot of work, discipline, care and energy.
Right now, Prince Edward Island is at a place where we are working very hard to continue building greater prosperity – both for the citizens who live here and as contributors to the national economy.
So, while I understand there will be critics of programs designed to build a stronger and more prosperous Canada, I would encourage them to look to the deeper issues of what it means to be a Canadian in 2018.
Wade MacLauchlan is the premier of Prince Edward Island