Blogs & Comment

Transfer Payments

What would happen if all provinces received transfer payments at the same per capita level as Nunavit? What if all provinces received these amounts at the national per capita average? Well, payments to all Canadians at the Nunavit level would total 84% of national GDP and almost 2.5 times all revenue received by the federal government in 2007. If payments went out to everyone at the national average, Nunavit would drop from receiving a total of $1,237,000,000 to $52,000,000.
The table below looks at the some dynamics of payments received by provinces outside of “own source” revenue from a few angles.
The first columns show the total amounts and per capita amounts of specific and general purpose transfers from other government sub sectors for 2007. The per capita amounts go from $1,007 in Alberta to a whopping $39,758 for every person in Nunavit. For a family of four, the range is $4,028 to $159,032. The national average is about $1,685 for a person and $6,740 for a family of four.
The next three columns give percentages for each province’s share of transfer payments, population, and transfers as a portion of total provincial revenues.
The last two columns rework the numbers to show how much each area would get if it received transfers at the per capita rate of Nunavit and secondly if receipts were the same as the national per capita average.

Source: Statistics Canada
Transfers are the total of specific and general purpose transfers from other government subsectors