Canada, Milk Cows and Alberta

Every time I see a car with Alberta plates on it, I think of milk cows.

In Canada, we have this wonderful political system that ignores regionalism and provinces in favor of a strong central government in Ottawa. Ottawa uses this power to reward her favorite pets by seizing wealth from successful provinces by various means and giving it to less successful provinces. Provinces that have become less successful because of their own poor economic policies. This is a few examples of how Ottawa does it.

	CPP, Alberta contributes far more than they receive because of their relatively young population, which will continue to be far younger than the Canadian average because of the fast economic growth in Alberta.
	Employment insurance, which is just another way of transferring wealth from provinces with strong economies (Alberta) to provinces which refuse to face up to their disastrous economic policies. It does this by taking EI payments from workers in Alberta, whom are rarely out of work, so rarely collect EI and paying EI out to workers in other provinces who receive more than they contribute on a regular basis. This also has the effect of encouraging those who are out of work to remain in areas of the country with high unemployment. A classic case of getting more of what you subsidize.
	Transfer payments, this one is simple, Alberta contributes $27 billion dollars a year to Ottawa, but only gets back $18 billion. That is a difference of $9 billion per year. For those of you who say that should not matter and that Alberta can afford that. If the Alberta government could have put that money away for ten years, they would have over $100 billion dollars with interest. Probably enough to pay all of Alberta’s provincial income taxes for the rest of time. Less than one year’s worth would pay off Alberta’s outstanding debt.

So, what can Albertans do about this situation? You already have the tools available to you. Without even mentioning separation, you have a good outline with the famous "Firewall" letter.

	Set up a separate Alberta pension plan, modeled on the Quebec Pension Plan. This would rob the CPP of a huge source of revenue and would ensure that Albertans have a more secure retirement.
	Hold a "Clarity Act" referendum on senate reform. This would force the Federal government into negotiations Whether they are successful or not, an important point would be made.
	Replace the RCMP with a provincial police force. Then order them not to enforce the federal gun laws. This would force the federal government to reconsider enacting stupid laws over provincial objections. It becomes very expensive for the federal government to setup a special system of courts and police just for one set of laws, whose public benefits are dubious at best.
	Separate Alberta’s income tax from the federal income tax. This would allow Alberta to have far more control of her tax policies with such things as introducing a true flat tax.
	Healthcare, bite the bullet and simply tell the federal government to mind their own business. If Alberta loses transfer payments because she refuses to toe the federal line on healthcare; she can use it to bash the feds without mercy. In addition, when Alberta’s healthcare policies start to have positive affects, use that to bash them some more.

All things considered, Alberta has several tools at her disposal with which to change things. If Albertans choose to do nothing..... well then… stop whining… get into that stall….and stand still so Mr. Dion can hook up the milking machine. And I'll be thinking of milk cows whenever I see a car with Alberta plates......

Editor