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equalization payment

   Also found in: Wikipedia 0.03 sec.
equalization payment, grant
n
(Economics) Canadian a financial grant made by the federal government to a poorer province in order to facilitate a level of services equal to that of a richer province


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It seems that at the present time, Ontario does provide a net subsidy to the north of about $1,026 per capita, which Manitoba may not be able to pick up without a federal equalization payment.
The deal guarantees Newfoundland and Labrador at least 85 percent of its equalization payment from the previous year, and as much as 95 percent, depending on the province's revenues compared to other provinces.
The provincial government sounded the horn about unfair equalization payments and the $50-million hit it takes because of mining-related revenues, resulting in a promise from the federal government to address the issue.
 
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