The Atlantic Institute for Market Studies releasing an essay with the Fraser Institute on how New Brunswick and Nova Scotia rely on equalization payments yet shun natural resource development.

Ben Eisen of AIMS tells us when provinces are dependent on these payments it takes their economic destiny out of their hands.

He says the equalization payments come in for provinces that are underperforming relative to the national standard so the existence of the payments should be taken as evidence that the provinces are not reaching their economic potential and are not growing or being as vibrant as they would like.

Eisen says former ‘have not’ provinces like Newfoundland and Labrador and Saskatchewan are now more prosperous largely due to embracing resource development. 

*This article appeared on on 9 December 2014