Public Policy Groups Criticize Equalization Grants
Two independent Canadian public policy groups don’t have much good to say about equalization grants. The Fraser Institute and the Atlantic Institute for Market Studies says the grants act as a disincentive for the development of natural resources in New Brunswick and Nova Scotia. AIMS Director of Research Ben Eisen says equalization makes it easier for “political actors” to turn their backs on developing natural resources, even though they’re a potential source of jobs, revenue, and economic growth.
Equalization and Resource Development in the Maritimes
AIMS Director of Research Ben Eisen and Fraser Institute Senior Fellow Mark Milke authored the study, “Nova Scotia, New Brunswick, and the Equalization Policy Crutch” and Eisen appeared on CBC Radio Mainstreet to discuss it with host Stephanie Domet. Eisen remarks that “Keeping an open mind and a positive attitude towards resource development is one approach to driving prosperity that governments in the region should take.”
Nova Scotia, New Brunswick Rely on Equalization While Shunning Resource Development
Equalization payments are discouraging at least two provinces–Nova Scotia and New Brunswick–from developing their natural resources and generating prosperity for their residents, finds Nova Scotia, New Brunswick and the Equalization Policy Crutch, a new essay released jointly today by the Fraser Institute and the Atlantic Institute for Market Studies (AIMS), two independent, non-partisan Canadian public policy think-tanks. “Equalization makes it easier for Nova Scotia and New Brunswick to forego natural resource development that would help spur economic growth while Saskatchewan, for example, is developing its natural resources and is now a net contributor to Canada’s equalization program,” said Ben Eisen, director of research and programs at AIMS.
The Ongoing Quest for Economic Diversification in Alberta
AIMS Senior Fellow Robert Roach discusses how Alberta can diversify its economy: "Diversification works best when it arises from the grassroots of the economy where market forces are harnessed rather than repressed. But for it to really take off over the long-term, it needs to be supported by an education and business development infrastructure that unleashes the inherent creativity and entrepreneurialism of Albertans.
Eisen on CBC Newsmaker with Harry Forestall
AIMS Director of Research Ben Eisen joins CBC host Harry Forestall to discuss his new study, coauthored with Mark Milke of the Fraser Institute, “Nova Scotia, New Brunswick, and the Equalization Policy Crutch. In the interview with Forestall, Eisen remarks that “The argument that we make is the equalization program creates a disincentive. It’s one reason that it’s easier for governments, in this instance, New Brunswick and Nova Scotia, or recipient provinces in general, not to aggressively pursue natural resource development.”
Study’s Author Discusses Pro-fracking Stance
AIMS Director of Research Ben Eisen joins CTV Atlantic host Steve Murphy to discuss his new study, coauthored with Mark Milke of the Fraser Institute, “Nova Scotia, New Brunswick, and the Equalization Policy Crutch.” In the “One-on-one” interview with Murphy, Eisen remarks that “Equalization creates perverse incentives with respect to natural resource development, and frankly, some other kinds of economic development. We’re suggesting that the formula needs to be changed, and the policy needs to be changed, so that there aren’t these disincentives that discourage generating own-source revenue.”