Follow the Money

Where is Albertas wealth actually going?

A profile of key public and private sector

economic trends in Alberta
from 1989 to 2008

Kevin Taft,
with assistance from
Junaid Jahangir (PhD cand.)
and Prof. Mel McMillan

May 2010

Contents
1: Introduction ............................................................................................................... 1
Why this report matters ................................................................................................ 1
Where do the numbers come from? ............................................................................... 2

2. Summary and Highlights .......................................................................................... 3

Albertas super-sized economy ...................................................................................... 4
Alberta government revenues ......................................................................................... 5
Alberta government spending ........................................................................................ 6
Some key fiscal indicators: ............................................................................................. 7

3: Albertas super-sized economy ............................................................................... 8

The big perspective ......................................................................................................... 8
The trend for the past 20 years ....................................................................................... 9

4. Alberta government revenues ................................................................................ 11

Revenues have been volatile, especially since 2001 ................................................... 11
As portion of economy, government revenue has been shrinking ............................ 12
As portion of economy, Alberta collects less than other provinces .......................... 13
Income taxes: Alberta collects a smaller portion than other provinces .................... 14
a. Income Taxes .............................................................................................................................. 14
b. Consumption taxes are much lower in Alberta ............................................................................ 16
c. Property taxes, sales of goods and services, and other taxes are similar .................................. 17
d. Health and drug insurance premiums were higher in Alberta ..................................................... 18

Royalties and investment income: the real Alberta advantage .................................. 19

a. Alberta collects more in royalties than the rest of Canada combined ......................................... 19
b. Interest and other investment income has fallen, but is recovering ............................................ 20

Alberta eliminates its deficits, but remains vulnerable ............................................... 21

Albertas journey from debt to surplus ........................................................................ 22
Discussion and analysis: revenue risks and opportunities ........................................ 23

5. Alberta government spending ............................................................................... 24

Albertas government spending is erratic, but has not soared .................................. 24
Discussion and analysis: three crucial lessons .......................................................... 25
Government spending has shrunk as a portion of the economy ............................... 26
Discussion and analysis: population, inflation, and economic growth ..................... 27
Expenditures vs. GDP in other provinces varies, but Alberta is lowest .................... 28
Discussion and analysis: the shift from public to private wealth............................... 29

6. Provincial spending: looking closer ...................................................................... 30

a. Alberta spends less on debt servicing ......................................................................................... 30
b. Transportation and communication spending has swung dramatically ....................................... 31
d. Alberta spending on resource conservation and industrial ......................................................... 33
development may reflect the higher costs of our commodity economy .......................................... 33

7. Provincial spendinghuman services.................................................................. 34

Alberta spends little on protection of persons and property ...................................... 34
Housing spending consumes tiny portion of provincial budget ................................ 35
Social services spending plunged and never recovered ............................................ 36
Overall spending on education similar to other provinces ......................................... 37
Health-care spending: different measures, different impressions ............................. 38
a. Adjusted for age, Alberta effectively spends more on public health care ................................... 39
b. As a portion of GDP, Albertas public health spending is relatively low ...................................... 40
c. As a portion of Albertas budget, public health spending leveled out .......................................... 41
d. Drilling down further into public health spending ......................................................................... 42

Discussion and analysis: public health care spending ............................................... 44

8. Is it time for a human services index? ............................................................... 45

Fragmented funding, fragmented services .................................................................. 45
Human services index reveals spending is not soaring ............................................. 48

9. So, where IS Albertas wealth going?.................................................................... 50

Personal incomes have risen ........................................................................................ 51
Corporation profits soar ................................................................................................ 52

10. Discussion and analysis: its time for a new debate .......................................... 54
References ................................................................................................................... 56
Appendix A .................................................................................................................. 57
Appendix B .................................................................................................................. 76
Appendix C .................................................................................................................. 86
Appendix D ................................................................................................................ 103

ii

1: Introduction
Why this report matters
This report answers questions, raises new questions, and willwe hopestimulate
debate. Very importantly, it does this using the most straightforward and reliable data
available, as free as any data can be from spin and distortion.
Alberta is a wealthy place, but how wealthy? Where is that wealth going?
Is health-care spending out of control? How much does the Alberta government
depend on royalties? Does our province spend more or less than other provinces?
Are taxes eating up more and more of our income?
These questions are vitally important to Alberta, both today and in the long term. So,
how do we address them?
Its not enough to rely on our gut feelings, on what we read and hear in the media, or
on what our government tells us.
Unfortunately, it can be difficult to make sense of government finances, even if you
follow them closely. Governments often announce the same funding several times, or
quietly cancel or delay budgeted spending. Government departments are created
and dissolved, program names and mandates change, and financial deals with other
partners come and go. Governments, opposition parties, interest groups and
lobbyists each have agendas, and media reports can be confusing.
Good decisions depend on good information, but good information can be hard to
find.
This report provides some of that good information. It gathers together arms-length,
highly credible data on Albertas provincial spending and revenues, and examines the
overall trends. It also compares Albertas data with data from Canadas other
provinces.

Where do the numbers come from?

Short answer: theyre in the public record, accessible to anyone who looks hard
enough.
Most figures in this report are based on the CANSIM database of Statistics Canada.
At the time of this analysis, CANSIM covered the period from 198889 to 200708.
Each provincial government reports its revenues and expenditures using different
accounting approaches and categories, and these change often as the years pass. In
order to allow comparisons across provinces and through the years, Statistics
Canada sorts and compiles information from every province and territory into
standard categories and publishes them in the CANSIM database.
Of course, the raw numbers alone dont offer a basis for direct comparison. For
example, each dollar collected and spent by our government in 1989 was worth
considerably more than one dollar today. Also, our provinces population has risen
dramatically in the past two decadesso its no surprise that todays provincial
budget is much larger than it was in 1989.
Therefore, to allow meaningful comparison, this report performs two simple
calculations on the data from the CANSIM database.
1. Per capita rates: To adjust for changes in Albertas population over time, and
for population differences among provinces, we divide the data by the
population, to find the rates per person, or in economic jargon, per capita.
2. 2002 dollars: To adjust for inflation, we standardize all of the data to reflect
the value of a dollar in 2002.
The report also brings in other information as needed, such as Statistics Canada data
on gross domestic product (the total value of goods and services produced in a year),
and on personal and corporate income.
In the area of health care spending, the CANSIM data is supplemented with data
from the Canadian Institute of Health Information (CIHI). This provides information
adjusted for the age structure of each province.
Specific data sources are itemized at the bottom of each graph, and are presented in
Appendix A, Appendix B and Appendix C. Appendix D contains the definitions
Statistics Canada uses for the categories in its database.

2. Summary and Highlights

Most of us have neither the patience nor the expertise to dig into the raw numbers,
and to sort them into something comprehensible.
But the raw numbers are out there, and the picture they paint doesnt always match
up with what we have been told.
Is Albertas government spending soaring? It has indeed risenand fallen, and risen,
and fallen. Adjusted for inflation and population growth, however, the provincial
government spent less in 200708 than it did in 198889. And, as a portion of its
economy, Alberta spends less than any other Canadian province.
Is health-care spending out of control? It has gone up, and will likely continue to rise.
But the increases have been more gradual than many people would think. And,
broken down further, the numbers show the sharpest rise has not been in hospital
care or physician care, but in other costs. To sustain our public health system, we
should study why these costs are rising, and how best to rein them in.
And what about human services in generalthings like health, education, income
supports, seniors, housing, police, and courts? Are we spending more than we can
afford? The numbers suggest otherwise. And there may be better ways to target the
money we are spending.
Above all, if Alberta is Canadas wealthiest provinceas it clearly iswhy is our
current provincial political debate one of cuts and crises, instead of investment and
prosperity? Even with the downturn in the global economy, shouldnt Alberta be in
better financial shape?
In short, where has all the money gone?
This report does not provide all the answers. But it does give us the tools to begin an
informed conversationone based not on myths or impressions, but on the actual
numbers.

Albertas super-sized economy

Albertas economy grew in real terms per capita by 76 percent from 1989 to 2008,
reaching a level 73 percent higher per person than the average of the other
provinces. Compared with the rest of Canada, Alberta is a very wealthy place.

Personal income in Alberta, after adjusting for inflation, rose from $28,440 per
person in 1989, to $39,524 in 2008. The 2008 average for the other nine provinces
was just over $31,000.

Corporate profits have soared in Alberta during the past two decades, from $3,635
per capita in 1989 to $15,050 in 2008 (adjusted for inflation)a rise of 414 percent.

In 2008, corporate profits per capita in Alberta were well over three times the
average in the other nine provinces.

Alberta government revenues

From 1989 to 2008, Alberta government revenues rose 23 percent when measured
as dollars per capita. But the economy grew far faster than the governmentso,
when measured against the soaring GDP (gross domestic product), revenues fell 25
percent. As a portion of the economy, Alberta collects significantly less than other
provinces.

Personal and corporate incomes are significantly higher in Alberta than in the other
provinces. But because income tax rates are lower than other provinces, Alberta
collects about the same number of dollars per person in income taxes. In other
words, when compared to an average of other Canadian provinces, our government
collects a significantly smaller proportion of our personal and corporate incomes.

Albertas huge government revenues from royaltiesmore than all other provinces
combinedgive it a massive advantage. For example, from 2003 to 2007 Albertas
royalties per capita averaged $3002 each year; the average for the rest of Canada
was $184.

The Alberta government achieved surpluses in the mid and late 1990s by cutting
public services to a level far below the Canadian average. Since then, Albertas
surplus and deficit situation closely mirrors the rise and fall of royalties.

Albertas economy is dangerously vulnerable to outside shocks, such as the events

of 9/11.

Alberta government spending

Albertas spending has risen and fallen erratically, but total government spending in
2008, adjusted for inflation and population growth, was 3.7 percent lower than in
1989.

For the past six years, Albertas per capita spending has been close to the average
of the other nine provinces.

From 1989 to 2008, Albertas spending as a portion of GDP shrank 40 percentand

is easily lowest among provinces.

Since 1995, Albertas spending on social services has been well below other
provinces.

Spending on housing, even with recent increases, remains well below 19891993
levels.

Spending on education (K12 plus post-secondary) has been modestly but

consistently higher in Alberta than other provinces. This may be because Alberta
has a younger population than other provinces, with more school and postsecondary aged citizens.

Spending on health has been very unstable, with a modest long-term rise. Spending
on hospitals, physicians, and prevention has not increased, but spending on other
areas has, and this needs further study.

Albertas spending on health, adjusted for its younger population, is higher than the
Canadian average.

Some key fiscal indicators:

Table 1: Changes in selected fiscal indicators in Alberta, 1989-1993 vs. 2004-2008

Health Care
K-12 Education
Post Secondary
Social Services
Personal Income
Corporate profits

1989-1993
Five Year Average
(per capita, 02 $)
2,061
1,248
819
1,546
28,214
2,923

2004-2008
Five Year
Average
(per capita, 02 $)
2,563
1,276
1,014
1,032
37,041
13,290

Change
(per capita, 02 $)
502
28
195
-514
8,828
10,367

Change
(%)
24.35%
2.28%
23.87%
-33.26%
31.29%
354.68%

Source: Appendix A, Table A1

3: Albertas super-sized economy

The big perspective
On a per-capita basis, Alberta has one of the largest economies in the world (TD Bank
Financial Group, 2007).
Its small population (equivalent to metro Montreal or metro Seattle) is spread across a
generous area (equivalent to Texas or France). As a province of Canada, it sits in one
of the wealthiest, most stable countries on Earth, and is adjacent to the largest market
in history, the United States.
Albertas economy has important forestry, coal, agriculture, tourism, transportation, and
other industries, but all of these are dwarfed by the oil and gas sector.
On a per-capita basis, the people of Alberta, through their government, own the largest
reserves of recoverable oil in the world51,900 barrels per person (CAPP, 2007). At
$80/barrel, thats equivalent to over $4 million per citizen. At the same time, Alberta is
one of the worlds largest exporters of natural gas.
Not surprisingly then, about half of Albertas economy is directly or indirectly supported
by oil and gas activity (Mansell and Schlenker, 2006).
Under the Constitution of Canada, the Alberta government owns these oil and gas
resources on behalf of its citizens, manages their development, collects royalties when
it sells them, and collects taxes from the economic activity they generate. Its policy is to
rely on private sector rather than state-owned corporations to develop the resource, so
Alberta is a global hotspot for private-sector petroleum companies. According to the
Canadian Association of Petroleum Producers,
A full 87% of the worlds known oil reserves are state-owned or state-controlled
by countries like the members of OPEC and Russia.
Only 13% (one barrel in six) is openly accessible to international oil companies.
Almost half of that accessible oil6 of the 13 percentage pointsis in Canadas
oil sands (CAPP, May 2009).
In other words, Alberta contains almost half of the entire worlds oil reserves that are
available for free-market development. If major private sector oil companies want to
grow their reserves and production, they likely head to Alberta.
As a result, in 2010 CAPP forecast that $1.07 trillion will be invested in Canadas oil and
gas industry over the next 25 years, most of it in Alberta. (A trillion is a thousand billion.)
CAPP estimates the economic impact of this on Alberta will be $2.55 trillion (CAPP,
Feb. 2010).
All this opportunity means Alberta has a super-sized economy. For example, in
September 2007, the TD Bank Financial Group issued a detailed analysis of Albertas

economy, with a focus on the Calgary-Edmonton Corridor. The highlights included the
following:

the Calgary-Edmonton corridor enjoyed a US$15,000 advantage in GDP

per person over the United States (pg.i);

GDP per capita in Alberta was larger than every country in the world except
Luxembourg (pg.2); and

corporate profits as a share of GDP were 22.8% in Alberta, compared to

12.2% in the rest of Canada (pg.6).

The trend for the past 20 years

Albertas extraordinary wealth, built over many decades, derives almost entirely from
the oil and gas industry.
Before oil and gas were discovered, Alberta was one of Canadas poorest provinces. It
holds the distinction of being the only province to ever default on its debt, which it did on
April 1, 1936, in the depths of the Great Depression (Ascah, 1999). When oil was struck
at Leduc in 1947, Albertas economy was smaller than Saskatchewans; today it is
about three times as large.
For the period covered by this study, 1989 to 2008, Albertas GDP per capita was larger
than the average in the rest of Canada (Fig. 3.1). Even in the mid- to late-1980s, when
Alberta was gripped by an economic slowdown, its economy remained substantially
larger per person. That gap has widened since.
While the rest of Canada saw a gradual climb in economic activity per person, from
about $32,000 in 1989 to about $39,000 in 2008, Alberta saw a much faster and higher
climb, from $38,000 in 1989, to almost $67,000 in economic activity per person in 2008
(Fig. 3.1). In short, Albertas economy grew in real terms by 76 percent in 20 years,
reaching a level 73 percent higher per person than the average of the other provinces.
By any financial measure, Alberta is a very wealthy place. But that wealth is based on a
commodity, and history repeatedly shows that economies based on a commodity are
prone to dramatic failures, whether the commodity is renewable (e.g., rubber, wheat,
tulips) or non-renewable (e.g., copper, silver, coal).
Albertas super-sized economy will not lastunless Albertans manage it well and seize
the opportunities it presents.

Albertans have the chance to do something extraordinary: to build a permanent

foundation for prosperity. Before we can do that, we need sound information. This paper
provides some of that informationwith a focus on the revenues and spending of our
provincial government, the legal owner and steward of our collective petroleum wealth.

10

4. Alberta government revenues

Revenues have been volatile, especially since 2001
In the past two decades, Albertas government revenues have grownbut the
economy has grown much faster. In other words, the government is collecting an
ever-smaller portion of the provinces overall wealth.
Per capita revenues rose from $7,452 in 1989, to $9,858 in 2008, after adjusting for
inflation (Fig. 4.1). This is an increase of 32 percent since 1989, or 1.6 percent per
year.
A closer look shows that, from 1989 to 2000, revenues stayed in a fairly narrow
range, dipping from the mid $7000 mark early in the 1990s, to the low $7000s in the
mid-1990s, and climbing to the higher $7000s by the year 2000.
From 2001 to 2008, revenue has been far more volatile. In 2001, driven by a spike
in natural gas royalties and the sale of the electrical power purchase agreements,
revenues soared 31 percent from the previous year, to reach $10,348 per capita.
The following year they plummeted 23 percent, to $7,976. From then until 2007
they climbed steadily, reaching over $10,000 per capita in both 2006 and 2007. In
2008 they dropped to $9,858. Though the data were not available for this study, it
seems certain revenues will have dropped further in 2009.

11

As portion of economy, government revenue has been shrinking

Albertas government revenues grew from 1989 to 2008, but Albertas economy grew
even faster. As a result, government revenues as a share of GDP fellfrom 20
percent in 1989, to 15 percent in 2008 (Fig. 4.2).
In general this has been a fairly gradual decline, but cumulatively it adds up to a 25
percent decrease in the proportion of the economy going to provincial revenues.

12

As portion of economy, Alberta collects less than other provinces

Alberta government revenues are a smaller portion of the provincial economy than
those of any other provincial government. With the exception of a spike in 2001,
Albertas revenues were below 20 percent of GDP every year since 1993. From 2002
to 2008 they averaged just under 16 percent.
For comparison, in 2008, while Albertas revenues were just under 15 percent of
GDP, Ontario and Saskatchewan collected 19 percent, B.C. 21 percent, and
Manitoba 24 percent.

Source: CANSIM.
ON Total Revenues: v645549, Nominal GDP: v687545,
MB Total Revenues: v645615, Nominal GDP: v687579
SK Total Revenues: v645681, Nominal GDP: v687613,
BC Total Revenues: v645813, Nominal GDP: v68768
See Appendix A, Tables A3 A4, A5, A6, A7 & A8

13

Income taxes: Alberta collects a smaller portion than other provinces

a. Income Taxes
Albertas combined personal and corporate income taxes have ranged between 4
percent and 6 percent of the combined total of personal and corporate income. There
is no clear trend of rising or falling. (Figure 4.4.)
Compared with the average of the other provinces, however, it is clear that Albertas
income taxes take a consistently smaller portion of personal and corporate income.

Note: Income taxes = Personal Income taxes + Corporation Income taxes;

Income = Personal Income + Corporation Profits before taxes
Source: CANSIM
Personal Income Taxes: AB v645750, Canada v645156, Corporation Income
Taxes: AB v645751, Canada v645157, Personal Income: AB v692008, Canada
v691801, Corporation Profits before Taxes: AB v687290, v687182
See Appendix A, Table A9

While the proportion of income collected in taxes has stayed in the 46 percent
range, corporate and personal income has grown. As a result, the Alberta
government collected a gradually increasing number of dollars per capita through
personal and corporate income taxes since 1989, even after inflation is considered.

14

Corporate and personal incomes in Alberta are higher than the Canadian average,
but income tax rates are lower. As a result, despite our provinces comparative
wealth, the Alberta government collects about the same amount of actual dollars in
income taxes per person as other provinces. (Figure 4.5.)

15

b. Consumption taxes are much lower in Alberta

Alberta does not have a general sales tax, so it collects far less per person in
consumption taxes than other provincial governments. (Note: Statistics Canada
includes net gaming revenues in these figures.)
Like other provinces, Alberta collects consumption taxes on specific items, including
alcohol, tobacco, and gasoline. Its revenue from these sources has increased from
$574 per person in 1989, to $909 in 2008 (adjusted for inflation). (Figure 4.6.)
Since 1989, Alberta has collected roughly half the amount in consumption taxes that
other provinces collect. In 2008, for example, Alberta collected $909 per person in
consumption taxes, while the average of other provinces was $1,724. If the Alberta
government collected consumption taxes at the average rate of other provinces, this
would provide about $2.9 billion per year in additional revenue.

16

c. Property taxes, sales of goods and services, and other taxes are similar
Albertas revenue from property and other taxes, and from the sale of goods and
services, is very similar to other provinces. The notable exceptions were in 199596,
when the province assumed control of education property taxes, and in 200102,
when the province sold rights related to electrical deregulation. (Figure 4.7.)
Figure 4.7: Sales of Goods and Services and Property and Other Taxes
(per capita 02 $)

Source: CANSIM.
Property, Sales of Goods and Services and Other Taxes: AB v645764, v645768, v645775;
Property, Sales of Goods and Services and Other Taxes: Canada v645170, v645174, v645181;
CPI (2002=100): AB v41694625, Canada v41693271;
Population: AB v469503, Canada v466668.
See Appendix A, Table A12

17

d. Health and drug insurance premiums were higher in Alberta

From 1989 to 2008, the Alberta government consistently collected three to five times
as much per capita in health and drug premiums, when compared to the average of
other provinces (Fig. 4.8.) This was because Alberta was one of the few provinces
that charged health care premiums. In 2008, for example, Albertans paid on average
$230 per person, while other Canadians paid $72. With the cancellation of Albertas
health care premiums in 2009, this gap should close.
Figure 4.8: Health and Drug Insurance Premiums (per capita 02$)

18

Royalties and investment income: the real Alberta advantage

a. Alberta collects more in royalties than the rest of Canada combined
Albertas oil and gas royalties set it apart from all other provinces (Fig. 4.9). Alberta
usually earns more in royalties than all the rest of Canada combined. Only three other
provinces (B.C., Saskatchewan, and Newfoundland) receive notable revenues from
royalties, and their totals come nowhere near Albertas. For the remaining six provinces,
royalty revenues are very small. From 20002008 Ontario averaged $19 per person a
year, and Quebec $27, compared to an average of $2863 in Alberta.
Royalties are often Albertas largest source of provincial income. In recent years,
royalties have exceeded corporate and personal income taxes combined.
From 1989 to 1999, Albertas royalties stayed in the range of $1000 to $1500 per
person per year. With the surge in natural gas prices in 2000, royalties jumped
dramatically, hitting about $3000 per person in both 2000 and 2001. Royalty revenue
then eased down with lower natural gas prices, until spiking again in 2005 and 2006,
as both oil and natural gas prices soared once again. (This data includes earnings
from oil and gas land rights auctions.)
From 2003 to 2007, Albertas royalties per capita averaged $3002 each year; the
average for the rest of Canada was $184. This is the real Alberta advantage, but it
comes from a non-renewable resourceand the world is increasingly working to reduce
its dependence on hydrocarbons.
Figure 4.9: Royalties (per capita 02 $)

Note: Royalty data not available for 2008

Source: CANSIM. Royalties: AB v690712, Canada v690584; CPI (2002=100): AB v41694625,
Canada v41693271; Population: AB v469503, Canada v466668. See Appendix A, Table A13

19

b. Interest and other investment income has fallen, but is recovering

During good times, Albertas petroleum wealth has allowed its government to create
various investment funds. These include the Heritage Fund, various endowment
funds for research and education, the Sustainability Fund, and an account for capital
projects.
Albertas income from interest and investments declined steadily from 1989 to 2002,
going from three times the average of other provinces in 1989, to almost the same as
other provinces by 2002 (Fig. 4.10). This is likely a result of provincial policies to pay
down debt instead of build up savings, combined with a steady decline in interest
rates. After 2002, with the provincial debt resolved, surplus revenues were channeled
back into existing funds (such as the Heritage Fund), and new funds were created
(e.g. the Sustainability Fund).
As a result, interest and investment income rose rapidly. By 2007, the Alberta
government earned $957 per capita from these sources (compared to an average of
$357 in other provinces). This $600 advantage over other provinces offsets about
three-quarters of the revenue Alberta foregoes by not have a sales tax similar to
other provinces (Fig. 4.6). If the Alberta governments investment income grows
enough, it could eventually offset all the revenue foregone by not having a sales tax.
Figure 4.10: Interest and Other Investment Income (per capita 02 $)

Source: CANSIM: Royalties: AB v690710, Canada v690582; CPI (2002=100): AB v41694625,

Canada v41693271; Population: AB v469503, Canada v466668. See Appendix A, Table A14

20

Alberta eliminates its deficits, but remains vulnerable

The 1993 decision by the Klein government to eliminate provincial government
deficits shows clearly in Figure 4.11. In 1993, the Alberta government ran a deficit of
$1,440 per capita, continuing a series of deficits that had begun several years before.
A short two years later the provincial government ran a surplus of $523 per capita,
and has had surpluses every year since, with one exception. Alberta has clearly
outperformed the Canadian average.
We can draw some vital points from this information:

First, as this report has shown, the sudden surpluses of the mid-1990s were not
caused by any surge in Albertas revenues. Subsequent sections of this report will
show that Albertas surpluses from 1994 to 1999 were achieved largely by cuts in
public servicesto levels far below the Canadian average.

Second, Albertas surplus and deficit strategies were strongly influenced by the
flow of royalties. Royalties were low through the 1990s, so surpluses were
achieved through cutting public services; royalties were high through the 2000s,
so public services could be restored while surpluses remained large. (Compare
figure 3.9 with this figure.)

Third, Alberta is dangerously vulnerable to international forces. A striking example

of this is the sudden deficit of $323 per capita in 2001-02. A single eventthe
9/11 attackssent a shudder through the global economy. The annual price of oil
fell 20 percent, from $30 a barrel to $24. More importantly for Alberta, the annual
price of natural gas fell by a third, from $5.76/GJ to $3.74/GJ.

Source: CANSIM Expenditures: Canada v645218, AB v645812

CPI: (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668
See Appendix A, Table A16

21

Albertas journey from debt to surplus

By the year 2000, the Alberta government had paid down enough debt and built up
enough savings to become a net creditor (Fig. 4.12). This process began in 1994 when
Albertas debt peaked, exceeding $4000 per capita (adjusted for inflation). From then
on, Alberta steadily and aggressively reduced its debt, and eventually began building up
net savings. By 2008, Statistics Canada figures show that the Alberta government had
net savings of $8417 per capita, or a total of almost $37 billion (adjusted for inflation).
Albertas performance here is far better than the average of the other provinces. In
2008, the average debt for the other provinces, $8198 per capita, was almost the same
as Albertas net surplus.

22

Discussion and analysis: revenue risks and opportunities

Albertas economy is rich, but brittle.
1. It is rich because of petroleum, which drives the economy. In 2008, Albertas
economy was an astonishing 73 percent per capita larger than the average of the
other nine provinces, reflecting investment and activity in natural gas, oil, and the
oil sands. This boosts both corporate and personal incomes, generating strong tax
revenues for the provincial government despite tax rates that are lower than the
Canadian average. Petroleum also generates royalties, which are often the
provinces single largest source of revenue.
2. This wealth has allowed Alberta to build up savings, giving the province a
substantial earnings advantage over other provinces. This helps Alberta avoid a
general sales tax. The surge in royalties and tax revenues in the 2000s allowed
the Alberta government to restore funding to public services (bringing them back
near the levels in other provinces) without raising tax rates or running deficits. The
data in this report shows that Alberta can certainly afford to sustain quality public
services.
3. But a serious weakness shows through: Albertas prosperity is brittle, easily
cracked by events outside its control. For all its wealth, Alberta remains highly
vulnerable to economic shocks to the prices of oil and gas. The clearest example
is the sudden reversal, from a surplus of $3153 per person in 200001 to a deficit
of $323 per person the very next year, in the economic aftermath of the 9/11
attacks.
This presents Alberta with a major fiscal problem: peoples needs for public
services do not fluctuate with the prices of oil and natural gas. Children need
schools, heart patients need surgery, seniors need supports, and roads need to
be maintainedwhether oil is $30 a barrel or $130, and whether natural gas is
$2/GJ or $10/GJ.
4. The hint of a solution is already in place. The interest earned from the Alberta
governments various savings accounts already comes close to offsetting the
revenue foregone by Alberta not having a general sales tax.
With an aggressive and disciplined long-term strategy, Alberta could build up
enough savings to offset any lost revenue from collapses in oil and gas prices.
This would provide Alberta with a very large fiscal shock absorbera reliable
income independent of oil and gas.

23

5. Alberta government spending

Albertas government spending is erratic, but has not soared
Despite the widespread claims that Albertas government spending has soared, the
long-term data shows no clear trend except erratic swings (Fig. 5.1).
It is possible to juggle the figures to claim both that spending has dropped in the long
term, or to show that it has jumped.
Average spending from 2004 to 2008 was $8017 per capita, a drop of 3.7 percent
from the average of 1989 to 1993. In other words, despite impressions and rhetoric,
Albertas government spent less per person in recent years than it did two decades
ago.
On the other hand, spending per capita jumped from the depths of the cuts in 1997
($6464) to 2008 ($8784). By this measure, spending climbed 34 percent from 1997 to
2008, or three percent a year.

24

Both of these claims are true, because Albertas government spending has been so
erratic. From 1989 to 1994, spending stayed in a narrow range; then in 1995, 1996,
and 1997 it was cut dramatically, by a total of 20 percent. It began clearly increasing
in 2000, and jumped to $8242 in 2001.
This was an election year that saw huge spending on energy rebates to
compensate for the impact of electricity deregulation, as well as generous publicsector labour settlements. Spending then dropped 11 percent the following year,
reflecting global economic uncertainty caused by the 9/11 attacks and fears over a
drop in royalty revenues. Then, from 2004 to 2008, spending increased a total of 17
percent, from $7,486 to $8,784 per person.

Discussion and analysis: three crucial lessons

The trends on spending suggest three crucial lessons:
1. Albertas total spending per capita in the past six years has been quite close to
the average of the other nine provinces (Fig. 4.1).
2. Albertas spending fluctuates dramatically. Over the long term we end up
spending about the average of other provinces, but the way we get there is
disruptive.
3. These gyrations in spending are likely inefficient and counterproductive. Albertas
spending patterns have tended to swing between feast and famine, with program
expansions, hiring drives, and capital splurges followed by layoffs, deferred
maintenance, and project postponements. This is a poor way to manage, and
likely reduces the value for money spent on public services.

25

Government spending has shrunk as a portion of the economy

Provincial spending per capita was essentially the same in 2008 as it was in 1989,
once we adjust for inflation. On the other hand, the economy grew dramatically, far
faster than population growth and inflation. In other words, while Albertas economy
soared, per capita provincial spending flatlined.
This means that over the past two decades, government spending became smaller
and smaller as a portion of the economy (Fig. 5.2). As a society, Alberta spent a
steadily shrinking portion of its increasing wealth on provincial public services.
In 1989, provincial spending was more than one-fifth of Albertas GDP; in 2008 it had
dropped to barely one-eighth. This amounts to a 40 percent drop in 20 years.

26

Discussion and analysis: population, inflation, and economic growth

There are often calls to limit rises in government spending to no more than population
growth and inflation. Although this would unquestionably halt real growth in
government spending, as a long-term policy it makes little sense.
Economies grow beyond increases in population and inflation. This is how societies
get richer. Albertas economy has grown 76 percent more than population and
inflation in the past 20 years (Fig. 2.1).
A policy of limiting government spending to inflation plus population growth would
permanently lock government spending to a given moment in history, freezing out
public services from the benefits of the increasing wealth of a society. Eventually this
would not only choke government spending, it would become a drag on the economy
and society, as education, infrastructure, health care, and all other public services fall
farther and farther behind.

27

Expenditures vs. GDP in other provinces varies, but Alberta is lowest

In Ontario during the past 20 years, provincial spending has fluctuated between
about 16 percent and 21 percent of GDP; in B.C. between about 19 percent and 24
percent; and in Manitoba between about 24 percent and 30 percent. Saskatchewan
has shown an even more dramatic long-term decline than Alberta, dropping from a
high of almost 35 percent of GDP in 1992, to below 17 percent in 2008, reflecting
the resource boom there (Fig. 5.3).
Fig. 5.3: Total Expenditures Alberta and Other Provinces as a % of GDP

Source: CANSIM
ON Total Expenditures: v645582, Nominal GDP: v687545
MB Total Expenditures: v645648, Nominal GDP: v687579
SK Total Expenditures: v645714, Nominal GDP: v687613
BC Total Expenditures: v645846, Nominal GDP: v687681
AB Total Expenditures: v645780, N Nominal GDP: v687647
See Appendix A Table A2, A3, A4, A5, A6, A6, A7

28

Discussion and analysis: the shift from public to private wealth

1. Provincial spending as a portion of GDP needs to be considered in conjunction
with other measures. Sudden changes in an economy, such as a short-term bust
or boom, can make it look as if provincial spending is swinging up or down, when
by other measures it is actually stable. Indeed, government spending can be a
valuable stabilizing factor that counteracts swings in the economy. It would be
poor policy to have spending too tightly tied to the GDP.
2. As well, where per capita GDP is extremely high because of an extraordinarily
valuable resource, as is the case in Alberta, it can be misleading to compare us
to other provinces using this measure. It creates the impression that Alberta
spends less than it really does by most measures.
3. In Alberta, where the trend shows a long-term decline in spending as a portion of
GDP, it is reasonable to conclude that the government could afford to spend a
larger portion of its GDP on provincial services than it does.
4. One key point for policy consideration is this: if Alberta is consistently wealthier
than other provinces, with a more productive economy, why shouldnt the people
of Alberta enjoy consistently better public services such as roads, schools, health
care, and parks? More importantly, how can this wealth be secured for long-term
prosperity?

29

6. Provincial spending: looking closer

The broad spending trends described above conceal important details. This analysis
looks at spending in most key areas, dividing them into two broad categories. The
first includes debt, transportation and communication, environment, and resource
conservation and industrial development. The second covers spending focused on
human services: housing, protection of persons and property, social services,
education, and health care. A handful of smaller spending areas are not considered
in this analysis.

a. Alberta spends less on debt servicing

The Alberta government spends less on debt servicing than any other provincial
government (Fig. 6.1). Spending on debt has plummeted, from a peak of $1,024 per
person in 1995, to $136 in 2008. As a result, in 2008 Albertas per capita debt cost
was $558 lower than the other provinces. This helps the Alberta government spend
more on programs and keep taxes lower.

30

b. Transportation and communication spending has swung dramatically

Albertas spending in this area (e.g., highways, water pipelines, transit, and
telecommunications) has swung dramatically up and down (Fig. 6.2). From just over
$500 per person in 1989, it fell to under $300 from 1995 to 1999, as construction
projects were delayed and maintenance deferred. It jumped by over 30 percent in
2000; then in 2003 it dropped back to the levels of 1999. From 2005 to 2008 it more
than doubled, rising from $336 per person to $709, far above the rest of the country.
When the swings are averaged out, Albertas spending on transportation and
communication from 2000 to 2008 ranked fourth in the country.
(Table B5, Appendix B.)

31

c. Albertas spending on environment has varied greatly

Spending on environmental services (e.g., pollution control, water purification,
sewage treatment, and environmental management) has varied a lot, particularly in
recent years. From 1991 to 1994 it dropped, but unlike most other services it then
climbed notably through the mid-1990s. However, beginning in 1999 it began a
marked decline, falling from $111 per capita in 1998 to an average of $65 for the
years 2003, 2004, and 2005.
Since then, spending has climbed. Nonetheless, despite the far larger economy and
the rise of environmental concerns, Alberta still spent less per person on the
environment in the three years 2006, 2007, and 2008 (avg. $125) than it did in the
three years 1989, 1990, and 1991 (avg. $141).
However, compared to most other provinces, Albertas spends more on the
environment (Fig. 6.5). From 2000 to 2008, only P.E.I. and Newfoundland spent more
than Alberta on the environment (App. B, Table B7). Of course, it could well be the
case that no other province faces environmental challenges on the scale of Albertas.

32

d. Alberta spending on resource conservation and industrial

development may reflect the higher costs of our commodity economy
Spending in this area covers such things as agriculture subsidies, support for the oil
and gas industry, managing forestry, and promoting tourism. It reached highs of
about $1000 per capita in both 1989 and 1993. From 1996 to 2001 it fell to a much
lower range, reaching as low as $302. Then, largely driven by costs associated with
the BSE crisis in the beef industry, spending rose in 2003 and 2004, before returning
to the more typical $500 range by 2006.
Albertas spending in this area is consistently higher than the average of the other
provinces, probably because of costs associated with regulating the energy industry,
and various supports to agriculture.

33

7. Provincial spendinghuman services

One of the biggest surprises from the Statistics Canada figures is that Albertas
spending on human services, whether policing and courts, housing, education, social
services, or health care, is still essentially at the level of 20 years ago. This section goes
into this issue in detail, with a particular focus on health care spending.

Alberta spends little on protection of persons and property

Compared to spending in most other areas, spending on this area (e.g., police, courts,
corrections services, firefighting) has been fairly stable (Fig. 7.1). During the past 20
years it has generally been in a range between about $200 and $260 per person; in
2008, the spending level per capita was virtually identical to that of 1989.
Through the period 2000 to 2008, Alberta ranked last among provinces for spending on
protection of persons and property, well below mid-range provinces such as Ontario and
B.C., and distantly behind top-spending provinces such as Saskatchewan and
Newfoundland (App. C, Table C2).

34

Housing spending consumes tiny portion of provincial budget

In Alberta, spending on housing consumes a very small portion of the provincial
budget. From a high of $186 per capita in 1991, spending on housing seemed almost
in danger of disappearing for the ten years from 1996 to 2006, reaching a low of $34
in 2001, and staying below $50 every year from 1999 to 2003 (Fig. 7.2). In 2007 and
2008, in the midst of a housing crisis, spending rose to $80 and $110 respectively,
still below the level of every year from 1989 to 1993.
When compared to other provinces, Albertas spending is below average (App. B,
Table B9). From 2000 to 2008, Albertas average annual spending on housing per
capita was $57; Ontario spent $69 and Saskatchewan spent the most at $139.

35

Social services spending plunged and never recovered

One of the most pronounced and consistent patterns in provincial spending relates to
social services (e.g., social assistance, programs for seniors and the disabled, etc.).
Albertas spending on these areas was above the average of the other provinces
from 1989 to 1994. At its highest in 1994, Alberta spent $1,818 per person on social
services, compared to $1,566 across other provinces (Fig. 7.3).
Policy changes then led to a sharp and permanent decline in Albertas spending on
social services. From 1994 to 1995, per capita spending was cut in half, falling in one
year from $1,818 to $933. This placed Albertas spending on social services 40
percent below the average of other provinces. For the entire period from 1995 to
2008, Albertas spending on social services has fluctuated in a narrow range between
$900 and $1,100, well below the average of other provinces. From 2005 to 2008, for
example, Albertas per capita spending on social services was 33 percent lower than
the national average.

36

Overall spending on education similar to other provinces

Albertas per capita spending on overall education has been similar to levels in other
provinces for the past 20 years (Fig. 7.4). For the past ten years it has been modestly
but consistently above average. Albertas young population is presumably a factor in
this; with more citizens in the typical school and post-secondary age groups, one
would expect Alberta to spend more on education than other provinces. It may well
be that Albertas spending on education per student-aged citizen is below the
national average, but confirming that would require additional analysis.
Albertas overall spending in education has been relatively stable, avoiding the sharp
drops and surges in other areas of spending. From 2000 to 2008, spending gradually
climbed from $1,965 per capita to $2,415, an increase of 23 percent.
A more detailed analysis shows that spending on post-secondary education fell from
1989 to 1997, from $862 to $698. It then commenced a steady climb, reaching $1157
per capita in 2008 (Table C15, Appendix C). Spending on K12 education dipped
from the early 1990s to the mid 1990s, and then modestly climbed from a low in 1996
of $1,122 per capita, to $1,259 in 2008 (Table C7, Appendix C).
Note: these calculations combine provincial and local spending on K12 education, to
account for the wide range of funding models across the provinces.

37

Health-care spending: different measures, different impressions

In public debates, provincial spending on health care gets singled out because it is big,
it can have life-and-death impact, and its caught in the endless ideological, political,
and economic tussle over private versus public delivery.
It is easy to create different impressions about health-care spending, so it is important to
use several measures.
a. Alberta spends slightly less per capita on public health care than other provinces
When Statistics Canada CANSIM data for overall health spending per capita, is
adjusted for inflation, the results show that Alberta consistently spends slightly less than
other provinces (Fig. 7.5).

38

a. Adjusted for age, Alberta effectively spends more on public health care
However, spending on health care is affected by the age of a provinces population. In
general, the higher the proportion of elderly people in a population, the greater the need
for spending on health care.
The Canadian Institute for Health Information (CIHI) adjusts provincial spending on
health care to reflect the different age structures of each province. Because Alberta has
a younger population than other provinces, but spends nearly the same per capita as
other provinces, by this measure it effectively spends more on health care, vying with
Newfoundland and Labrador for top spot.
CIHIs age-adjusted calculations for Albertas health spending are higher in comparison
to the unadjusted figures from Statistics Canada (Fig. 7.6).

Note: Data point for CIHI age/sex standardized for 2003 is not available
Source: CANSIM: v645792
CIHI: Table B.4.1, Table 7: National Health Expenditure Trends, 1975 2009, Table
1: Provincial and Territorial Government Health Expenditure by Age Group, Sex and
Major Category: Recent and Future Growth Rates May 2005
See Appendix C, Table C10

39

b. As a portion of GDP, Albertas public health spending is relatively low

Yet another picture emerges when one looks at public health care spending as a portion
of the overall economy. This is recognized around the world as a useful measure of
health care spending. Since 1994, public spending on health care in Alberta has been
between four and five percent of GDP. This is far below the spending rate of other
provinces, which consistently averages about seven percent (Fig. 7.7).
(Private spending on health care, which is far larger than most Canadians realize, would
raise these figures by about half if it were included, lifting the Canadian percentage of
GDP spent on health care to above ten percent.)

40

c. As a portion of Albertas budget, public health spending leveled out

Finally, the public is often told that public health care spending is spiralling, consuming
larger and larger portions of provincial spending and displacing money for other
priorities. The numbers do not support this. The portion of provincial spending going to
health care gradually increased from about 2000 to 2005 (Fig. 7.8). Then from 2006 to
2008 it leveled out for both Alberta and the rest of Canada, in the range of 31 percent to
33 percent. By this measure, Albertas spending was average.

41

d. Drilling down further into public health spending

Statistics Canada divides public health spending into four major components, in order to
reveal the underlying trends in total health care spending (Fig. 7.9).
Figure 7.9: Alberta Health Component Expenditures (per capita 02 $)

1. Albertas spending on hospital care has followed a roller coaster path for the past
20 years, as the government spent and cut, spent and cut. From $1,021 per
person in 1989, it fell to $854 two years later, then rose to $993 in 1993, only to
be sliced to $636 in 1996. After a one-year rise of 13 percent it fell to its lowest
modern level, $603 per capita in 1998. That is a 40 percent drop in spending per
capita on hospital care over ten years.
Spending on hospitals rose modestly in 1999, then fell back to near-record lows in
2000 and 2001. Since then, it has risen sporadically, rising quickly to $936 per
capita in 2005, then dropping slightly, then rising again to $997 by 2008.

42

After all the ups and downs, the Alberta government spent less per capita on
hospitals in 2008 than it did in 1989.
2. Public spending on medical care (i.e., physician treatment, public drug programs,
etc.) also swung significantly up and down, moving mostly within a range of $800
to $1000 per capita. It has not varied as erratically as spending on hospital care,
but it is difficult to see a clear long-term trend.
3. Preventive care takes a consistently very small portion of health spending. While
it rose in the past 20 years, it never consumed as much as $100 per capita
annually.
4. The most marked rise in Albertas public health care spending has been in the
category of other health services. Having stayed consistently at about $200 per
person each year from 1989 to 1997, it began to rise sharply in 1998. By the year
2002, spending in this area had tripled to $666. Since then, its rise has slowed; by
2008 it reached $686. In 1993, the start of our study period, spending on other
health services stood at about one-fifth the level of either hospital care or medical
care. By 2008, it had soared to about two-thirds.
This category is the only category to show a large sustained cost increase in the
past 20 years, and accounts for easily the largest part of the long-term increase in
Albertas health care spending.
What does this category include? Among many things it includes lab services,
administration, ambulances, expenditures on ancillary enterprises, and grants to
health-oriented organizations. (Appendix B.) Given the data available for this
research, it is not possible to know which specific areas have been driving up
costs, or why, but it is an important area for further analysis.
Clearly, though, the answers to rising health-care spending need not lie in
sacrificing hospital care, medical care or preventive care.

43

Discussion and analysis: public health care spending

Taking all of these measures together, we reach some important conclusions:
1. Spending on health care in Alberta is slowly rising, but not at an alarming rate.
2. The Alberta government spent less per capita on hospitals in 2008 than it did in
1989.
3. Spending on health care in Alberta is low as a portion of the GDP; the province
has ample wealth to sustain current rates of spending.
4. When Albertas relatively young population is considered, 2008 levels of
spending are slightly higher than other provinces and, if sustained and properly
managed, should provide for a good health care system.
5. Health spending is gradually consuming a larger portion of provincial spending,
which is to be expected as the population gradually ages.
6. Rises in health care spending are not being driven by hospital care or medical
services, so it makes little sense to target these areas for cuts.
7. There needs to be further investigation into the category of Other Health
Services to see why those costs have risen so much. They vaulted up starting
in 1997. Was this the result of contracting out and privatization? Of a surge in
spending on electronic health records and I.T.? Of a build-up of administration
in the regional health authorities? Or was it something else?

44

8. Is it time for a human services index?

Fragmented funding, fragmented services
Provincial governments across Canada plan, fund, and administer human services
through separate streams. These separate streams tend to fragment the way we
think about, plan, and deliver human services. But the reality of human needs is not
so tidy. Social problems overlap and reinforce one another.
Homeless people, for example, are often homeless because they struggle with
mental illness. Children from impoverished households may do poorly in school
because they are hungry. Seniors with serious chronic illnesses and no place to live
occupy beds in hospitals for months. Mentally ill people are discharged from
emergency rooms because there are no beds available, only to wind up back in
police custody, and eventually in courts and jails.
But government thinking, funding, and programs typically treat these issues in
isolation. Hospitals have little say on housing policies; police and courts struggle to
find mental health treatment for offenders; cuts are made to programs trying to pull
children and families out of poverty.
The separate trends provided by Statistics Canada are presented in Figure 8.1. As
noted at greater length in earlier sections, spending on education, and to a greater
degree on health, zig-zagged in a modest long-term increase. Spending on housing,
and on protection of persons and property, remained low through the entire period,
with housing almost disappearing from the graph. The most dramatic shift was in
social service funding, which plunged in the mid-1990s and never recovered.
When we view these separate trends together on a single graph, we start to discern
possible connections. Did the plunge in social services funding have any relation to
education, such as Albertas inordinately bad drop-out rate? Did the slide in housing
programs contribute to pressures on health care, as hard-to-house people ended up
on the street and then in medical emergencies? How might Alberta reach an effective
balance between services that aim to prevent and reduce social problems (housing,
social services, schools) and those that treat them (police, courts, hospitals)?

45

46

Albertas government manages each of these streams of funds separately (along with
the programs they support), as if they were completely unrelated. Yet housing,
health, education, justice, poverty, and social problems are profoundly
interconnected.
Consider the amount the Alberta government spent per capita in 2008 on the
following areas (2002$):
Funding Stream (2008)

Expenditure (per capita 02$)

Health Care:

2,750

Education (K-PSE):

2,620

Social Services:

1,103

Justice and Protective Services:

255

Housing:

110
Total

6838

Source: Healthcare, Appendix C, Table C9;, Education (K-PS), App. C, Table C6;
Social Services, App. C, Table C5; Protective Services, App. C, Table C2; Housing, App. C, Table C4.

An extra $55 a year would increase the budget for housing by a huge 50 percent, but
would only add 2 percent to the health care budget.
Where would those $55 have a bigger impact?
Who in government is asking questions like that?

47

Human services index reveals spending is not soaring

If we bring together the five Statistics Canada categories of human services spending
to create a single human services index, two things stand out (Fig. 8.2).
First, the increase in funding for human services in both Alberta and Canada has
been very slow. For Alberta, the increase is from $5,613 in 1989 to $6,838 in
2008, or an average of 1.1 percent a year for the past 20 years.
Second, from 2000 to 2008, funding in Alberta has stayed very close to the
Canadian average. For the six years before that Alberta was below average,
and for the six years from 1989 to 1994 Alberta was above average.
Clearly, funding for human services is not soaring in Alberta, or in Canada. In Alberta,
the rate of growth in human service spending falls far below the rate of economic
growth.
A human services index like this encourages decision-makers to take a
comprehensive approach to funding and programs that are focused directly on
helping people live betterthings like health, education, income supports, seniors,
housing, police, courts, and other similar program. And it helps cut through the myth
that we somehow spend more on social programs than we can afford.

48

49

9. So, where IS Albertas wealth going?

This research began as an effort to get solid information on trends in the Alberta
governments health spending. We discovered that health spending, while erratic,
was no higher in 2008 than in 1989 (adjusting for inflation and population growth).
This led to a new, obvious question: what is happening in spending in other areas?
The answer, presented earlier in this report, is that overall spending in Alberta is in
line with other provinces, and was actually slightly lower in 2008 than 20 years prior,
when measured in dollars per capita. When measured as a portion of the GDP,
provincial spending in 2008 was far lower than 1989.
We clearly have a mystery on our hands. The economic pizza has grown from
medium to extra large, but public services are still just getting two pieces. Whos
eating all the rest?
Perhaps all that extra money is still going to the provincial government, and is not
being spent. For example, the government may be saving it up for emergencies, or
for future generations. Section 4 of this report shows that this is true, to some extent.
Unlike provincial spending, provincial revenues have risen when measured as dollars
per capita (though they have fallen as a portion of the GDP). With revenues up and
spending flat, the provincial government has consistently run surpluses since 1995.
This has enabled the province to dramatically reduce its debt, as reflected in the
sharp drop in debt costs, and to build up savings, as reflected in the rise in interest
and earned income.
But, this still leaves a massive amount unaccounted for. From 1989 to 2008
provincial government revenues per capita rose by 23 percent, but the GDP per
capita grew by 76 percent. A smaller and smaller portion of Albertas economy was
being invested in public services and government savings. The rest of Albertas
wealth went somewhere.

50

Personal incomes have risen

Personal income in Alberta, after adjusting for inflation, rose from an average of
$28,440 per person in 1989, to $39,524 in 2008 (Fig. 9.1). In other words, on average
every person in Alberta earned $11,084 more in 2008 than in 1989an increase of
39 percent.

Compared to other provinces, average personal income in Alberta is high, as would

be expected. The average income in 2008 for the other nine provinces was just over
$31,000 (adjusted for inflation).
Even though personal incomes in Alberta grew 39%, the economy grew 76%. So
personal incomes were a steadily shrinking portion of the economy.
Alberta sometimes feels like a province where people drive luxury cars on potholed
roads, live in fine homes but cannot get a family doctor, and holiday in the tropics but
hold bake sales to buy books for their childrens schoolsand this data helps explain
why. Average personal incomes have risen substantially, while spending on public
services has not. Support for public services in Alberta has fallen far behind growth in
the economy.

51

Corporation profits soar

In the past 20 years, while a steadily smaller piece of the economy has gone to public
services and personal incomes, a steadily larger piece has gone to corporate profits.
Statistics Canada reports that corporation profits before taxes, adjusted for
population and inflation, rose dramatically in Alberta from 1989 to 2008. After dipping
to a low of $2,170 per capita in 1992, they rose rapidly, reaching $6,259 in 1997.
(This is the year that spending on public services in Alberta reached its lowest level,
after four years of cuts.)
Corporate profits dipped in 1998, and then more than doubled in the next two years,
reaching $10,640. Dropping back to $7,425 in 2002, they then soared, doubling again
by 2005, to reach $14,283. Modest declines in 2006 and 2007 were followed by a
substantial jump in 2008, to $15,050 per capita, after adjusting for inflation.

52

In short, corporate profits in Alberta grew 314% from 1989 to 2008, even after
adjusting for inflation and population growth.
To put it differently, in 1989 total corporate profits in Alberta were a bit less than
provincial spending on health care and social services combined; by 2008, corporate
profits were 70% greater than all provincial spending combined.
This rate of increase was far faster than overall economic growth, which meant that
corporate profits increased from less than one-tenth of Albertas GDP, to nearly a
quarter.
Corporation income taxes rose along with the rise in corporation incomes, but
because Albertas corporate tax rates are relatively low, a correspondingly small
portion of this wealth went to the provincial government. In 2008, provincial income
taxes took 7.2 percent of corporate profits, so of the $15,050 in profits per capita,
corporations paid $1,077 in provincial income taxes.
And unlike personal income, or provincial government revenues and spending,
corporate profits comprised a much larger portion of the GDP. In fact, corporate
profits more than doubled their share of the economy from 1989 to 2008, rising from
9.6 percent to 22.6 percent.
The very high corporate profits in Alberta stand out when compared to other
provinces. Statistics Canada data indicates that, in 2008, corporate profits per capita
in Alberta were well over three times the average of $4,428 in the other nine
provinces.
While spending on public services in Alberta is very close to the Canadian average,
corporate profits are 340 percent higher than the Canadian average, and have been
far higher throughout the entire 20 years covered by the data.

53

10. Discussion and analysis: its time for a new debate

By two important measuresas a percent of the GDP, and on a per capita basis
corporate profits in Alberta are far higher now than they were twenty years ago, and
are far higher in Alberta than in other provinces.
These high profits undoubtedly play a major role Albertas prosperity. Profits create
jobs, generate wealth and investment, as well as taxes that help pay for public
services. Stable profits contribute to a stable economy.
Profits are one component of a modern economy; taxes are another component, as
are government spending and personal incomes (among many other things).
There is widespread debate about appropriate levels for taxes and government
spending through such measures as tax-to-GDP ratios and government spending
per capita. It seems reasonable that there should be similar debates about levels of
corporate profits. The TD Financial Group, for example, made note of Albertas very
high profit-to-GDP ratio in its 2007 report The Tiger That Roared Across Alberta.
When we discuss corporate profits, we must steer clear of simplistic, polarized
positions. Corporate profits are not the root of all evil. At the same time, it is
possible to propose a discussion about corporate profits without being a communist
bent on driving investors out of Alberta. (Early drafts of this paper have provoked
both these reactions.)
To be fruitful, this debate needs to explore many issues:

Where are the high profits coming from? Are they spread widely across all
sectors and most businesses, or are they concentrated in Albertas dominant oil
and gas industry? If they are concentrated in oil and gas, are they higher in
conventional oil, or in natural gas, or in the oilsands?

Are the high profits spread across large and small corporations? Across local,
Canadian, and multinational corporations?

In a balanced market, competition soon brings high profits down to average, as

competitors vie with one another for market share by lowering prices. Before
long, highly profitable corporations see their profits regress to the mean, i.e.,
return to average as others cut into their business.
So why are profits in Alberta consistently so much higher than elsewhere? Is it
better management? Better regulation? Ineffective competition?

Are profits high in Alberta because corporate taxes are lower, attracting more
corporations to locate here, and to grow? If so, how will Alberta defend this
advantage if other jurisdictions decide to duplicate it?

54

Are profits high in Alberta because the energy sector, especially the oilsands, are
extremely capital intensive, so the higher profits are merely a reflection of higher
capital investment? In short, are the higher rewards in Alberta a reflection of
higher risks?

Are higher profits a result of the Alberta government selling its oil and gas
resources to corporations below market value, which allows the corporations to
collect the full value of the resource instead of the government?

How do the benefits play out? How much of the profit stays in Alberta? In
Canada? In short, who really benefits?

What is the appropriate perspective for the government to take, when long-term
spending on public services is flat and the real value of the Heritage Fund has
dropped, while corporate profits have soared?

55

References
Ascah, R., 1999. The Dominion, the Banks and Albertas Social Credit. University of
Alberta Press, Edmonton, AB. 216 pp.
Canadian Association of Petroleum Producers (CAPP), April 2006. Canadian crude oil:
a reliable and growing supply of North American energy.
http://www.capp.ca/default.asp?V_DOC_ID=763&PubID=102070
(Accessed August 2007).
Canadian Association of Petroleum Producers (CAPP), 2009. Energy Exports, Should
We? Presentation by David Collyer, CAPP President, to CAMPUT
(Canadian Association Of Members Of Public Utility Tribunals) Conference
2009 (PDF | 512KB | May11 09).
http://www.capp.ca/library/presentations/Pages/default.aspx#2eHlvH0MoHRv
(Accessed May, 2010)
Canadian Association of Petroleum Producers (CAPP), 2010. Canada Oil & Gas State
of the Industry and Outlook for 2010. Presentation by Greg Stringham, CAPP
VP, Oil Sands and Markets to the Edmonton Petroleum Club
(PDF | 2.0MB | Feb01 10)
(Accessed May, 2010).
Mansell, R.L. and Schlenker, R., 2006. Energy and the Alberta Economy: Past and
Future Impacts and Implications Paper No. 1 of the Alberta Energy Futures
Project. Institute for Sustainable Energy, Environment and Economy,
University of Calgary. http://www.iseee.ca/files/iseee/ABEnergyFutures01.pdf (Accessed May 12, 2010)
TD Bank Financial Group, September 27, 2007. The Tiger that Roared Across Alberta
Executive Summary.
http://www.td.com/economics/special/db0907_alta.pdf
(Accessed May 12, 2010)

56

Appendix A

57

Appendix A - List of Tables

Table A1: Real GDP per capita

Table A2: Alberta and Others Real Revenue per capita (2002$)
Table A3: Alberta Revenue and Expenditures as % of GDP
Table A4: Ontario, Revenue and Expenditures as portion of GDP, 1989-2008
Table A5: Quebec, Revenue and Expenditures as portion of GDP, 1989-2008
Table A6: Manitoba Revenue and Expenditures as % of GDP
Table A7: Saskatchewan Revenue and Expenditures as % of GDP
Table A8: British Columbia Revenue and Expenditures as % of GDP
Table A9: Alberta and Others Personal and Corporate Income Taxes as a % of Income
Table A10: Alberta Real Personal and Corporate Income and Taxes per capita (2002 $)
Table A11: Alberta and Others Real Consumption Taxes Per Capita (2002 $)
Table A12: Alberta and Others Real Property, Sales of Good and Services and Other
Taxes per Capita (2002 $)
Table A13: Alberta and Others Real Health and Drug Insurance Premiums per Capita
(2002 $)
Table A14: Alberta and Others Real Royalties per Capita (2002 $)
Table A15: Alberta and Others Real Interest and Other Investment Income per Capita
(2002 $)
Table A16: Alberta and Others Real Surplus/ Deficits per capita (2002 $)
Table A17: Alberta and Others Real Net Financial Debt Per Capita (2002 $)

58

Table A1: Real GDP per capita (2002$)

Year

CA GDP ($)

AB GDP ($)

CAN CPI

AB CPI

CAN pop

AB pop

v687341

v687647

v41693271

v41694625

v466668

v469503

CAN-AB GDP

CAN-AB pop

Others Real
per capita

AB Real
per capita

1989

657,728,000,000

67,377,000,000

74.8

70.9

27,276,781

2,498,325

590,351,000,000

24,778,456

31,852

38,038

1990

679,921,000,000

73,257,000,000

78.4

75.0

27,691,138

2,547,788

606,664,000,000

25,143,350

30,776

38,338

1991

685,367,000,000

72,892,000,000

82.8

79.4

28,037,420

2,592,306

612,475,000,000

25,445,114

29,071

35,414

1992

700,480,000,000

74,936,000,000

84.0

80.6

28,371,264

2,632,672

625,544,000,000

25,738,592

28,933

35,315

1993

727,184,000,000

81,179,000,000

85.6

81.4

28,684,764

2,667,292

646,005,000,000

26,017,472

29,007

37,389

1994

770,873,000,000

88,041,000,000

85.7

82.6

29,000,663

2,700,606

682,832,000,000

26,300,057

30,295

39,468

1995

810,426,000,000

92,036,000,000

87.6

84.5

29,302,311

2,734,519

718,390,000,000

26,567,792

30,867

39,831

1996

836,864,000,000

98,634,000,000

88.9

86.4

29,610,218

2,775,133

738,230,000,000

26,835,085

30,945

41,137

1997

882,733,000,000

107,048,000,000

90.4

88.1

29,905,948

2,829,848

775,685,000,000

27,076,100

31,691

42,938

1998

914,973,000,000

107,439,000,000

91.3

89.2

30,155,173

2,899,066

807,534,000,000

27,256,107

32,451

41,547

1999

982,441,000,000

117,080,000,000

92.9

91.4

30,401,286

2,952,692

865,361,000,000

27,448,594

33,936

43,383

2000

1,076,577,000,000

144,789,000,000

95.4

94.5

30,685,730

3,004,198

931,788,000,000

27,681,532

35,284

51,001

2001

1,108,048,000,000

151,274,000,000

97.8

96.7

31,019,020

3,058,017

956,774,000,000

27,961,003

34,988

51,156

2002

1,152,905,000,000

150,594,000,000

100.0

100.0

31,353,656

3,128,364

1,002,311,000,000

28,225,292

35,511

48,138

2003

1,213,175,000,000

170,113,000,000

102.8

104.4

31,639,670

3,183,396

1,043,062,000,000

28,456,274

35,657

51,185

2004

1,290,906,000,000

189,743,000,000

104.7

105.9

31,940,676

3,239,471

1,101,163,000,000

28,701,205

36,644

55,309

2005

1,373,845,000,000

219,810,000,000

107.0

108.1

32,245,209

3,322,200

1,154,035,000,000

28,923,009

37,290

61,206

2006

1,449,215,000,000

238,410,000,000

109.1

112.3

32,576,074

3,421,253

1,210,805,000,000

29,154,821

38,066

62,053

2007

1,532,944,000,000

256,915,000,000

111.5

117.9

32,927,372

3,510,892

1,276,029,000,000

29,416,480

38,904

62,067

2008

1,600,081,000,000

291,256,000,000

114.1

121.6

33,311,389

3,585,142

1,308,825,000,000

29,726,247

38,588

66,809

Source: CANSIM GDP: CAN v687341 AB v687647 CPI: (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

59

Table A2: Alberta and Others Real Revenue per capita (2002 $)
AB Revenue
v645747

CAN CPI
v41693271

AB CPI
v41694625

CAN pop
v466668

AB pop
v469503

CAN-AB
Revenue

CAN-AB
pop

Others Real
Revenue per
capita

AB Real
Revenue
per capita

Year

CAN Revenue
v645153

1989

134,104,000,000

13,200,000,000

74.8

70.9

27,276,781

2,498,325

120,904,000,000

24,778,456

6,523

7,452

1990

145,888,000,000

13,952,000,000

78.4

75.0

27,691,138

2,547,788

131,936,000,000

25,143,350

6,693

7,301

1991

154,781,000,000

15,790,000,000

82.8

79.4

28,037,420

2,592,306

138,991,000,000

25,445,114

6,597

7,671

1992

154,798,000,000

15,252,000,000

84.0

80.6

28,371,264

2,632,672

139,546,000,000

25,738,592

6,454

7,188

1993

159,212,000,000

15,603,000,000

85.6

81.4

28,684,764

2,667,292

143,609,000,000

26,017,472

6,448

7,186

1994

165,212,000,000

15,870,000,000

85.7

82.6

29,000,663

2,700,606

149,342,000,000

26,300,057

6,626

7,114

1995

174,925,000,000

17,867,000,000

87.6

84.5

29,302,311

2,734,519

157,058,000,000

26,567,792

6,748

7,732

1996

182,814,000,000

17,486,000,000

88.9

86.4

29,610,218

2,775,133

165,328,000,000

26,835,085

6,930

7,293

1997

183,264,000,000

19,019,000,000

90.4

88.1

29,905,948

2,829,848

164,245,000,000

27,076,100

6,710

7,629

1998

189,937,000,000

19,928,000,000

91.3

89.2

30,155,173

2,899,066

170,009,000,000

27,256,107

6,832

7,706

1999

199,796,000,000

19,161,000,000

92.9

91.4

30,401,286

2,952,692

180,635,000,000

27,448,594

7,084

7,100

2000

216,086,000,000

22,388,000,000

95.4

94.5

30,685,730

3,004,198

193,698,000,000

27,681,532

7,335

7,886

2001

238,130,000,000

30,600,000,000

97.8

96.7

31,019,020

3,058,017

207,530,000,000

27,961,003

7,589

10,348

2002

229,823,000,000

24,953,000,000

100.0

100.0

31,353,656

3,128,364

204,870,000,000

28,225,292

7,258

7,976

2003

239,046,000,000

27,086,000,000

102.8

104.4

31,639,670

3,183,396

211,960,000,000

28,456,274

7,246

8,150

2004

254,062,000,000

30,075,000,000

104.7

105.9

31,940,676

3,239,471

223,987,000,000

28,701,205

7,454

8,767

2005

278,992,000,000

32,773,000,000

107.0

108.1

32,245,209

3,322,200

246,219,000,000

28,923,009

7,956

9,126

2006

300,507,000,000

39,971,000,000

109.1

112.3

32,576,074

3,421,253

260,536,000,000

29,154,821

8,191

10,404

2007

319,397,000,000

42,429,000,000

111.5

117.9

32,927,372

3,510,892

276,968,000,000

29,416,480

8,444

10,250

2008

338,970,000,000

42,978,000,000

114.1

121.6

33,311,389

3,585,142

295,992,000,000

29,726,247

8,727

9,858

Source: CANSIM Revenue: AB v645747, Canada v645153 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

60

Table A3: Alberta Revenue and Expenditures as % of GDP

Year

Nominal GDP ($)

Total
expenditures ($)

Total Revenues
($)

Expenditures/
GDP (%)

Revenues/ GDP
(%)

(1)

v687647
(2)

v645780
(3)

v645747
(4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

67,377,000,000

14,687,000,000

13,200,000,000

21.80%

19.59%

1990

73,257,000,000

15,933,000,000

13,952,000,000

21.75%

19.05%

1991

72,892,000,000

16,868,000,000

15,790,000,000

23.14%

21.66%

1992

74,936,000,000

17,375,000,000

15,252,000,000

23.19%

20.35%

1993

81,179,000,000

18,731,000,000

15,603,000,000

23.07%

19.22%

1994

88,041,000,000

18,337,000,000

15,870,000,000

20.83%

18.03%

1995

92,036,000,000

16,884,000,000

17,867,000,000

18.34%

19.41%

1996

98,634,000,000

16,230,000,000

17,486,000,000

16.45%

17.73%

1997

107,048,000,000

16,364,000,000

19,019,000,000

15.29%

17.77%

1998

107,439,000,000

17,016,000,000

19,928,000,000

15.84%

18.55%

1999

117,080,000,000

17,957,000,000

19,161,000,000

15.34%

16.37%

2000

144,789,000,000

19,704,000,000

22,388,000,000

13.61%

15.46%

2001

151,274,000,000

22,933,000,000

30,600,000,000

15.16%

20.23%

2002

150,594,000,000

25,785,000,000

24,953,000,000

17.12%

16.57%

2003

170,113,000,000

24,452,000,000

27,086,000,000

14.37%

15.92%

2004

189,743,000,000

25,683,000,000

30,075,000,000

13.54%

15.85%

2005

219,810,000,000

27,511,000,000

32,773,000,000

12.52%

14.91%

2006

238,410,000,000

31,150,000,000

39,971,000,000

13.07%

16.77%

2007

256,915,000,000

33,313,000,000

42,429,000,000

12.97%

16.51%

2008

291,256,000,000

38,294,000,000

42,978,000,000

13.15%

14.76%

Source: CANSIM. Total Revenues: v645747, Total Expenditures: v645780, Nominal GDP: v687647

61

Table A4: Ontario Revenue and Expenditures as portion of GDP, 1989-2008

Year

Nominal GDP ($)

Total
expenditures ($)

Total Revenues
($)

Expenditures/
GDP (%)

Revenues/ GDP (%)

(1)

v687545
(2)

v645582
(3)

v645549
(4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

278,791,000,000

45,748,000,000

45,414,000,000

16.41%

16.29%

1990

282,834,000,000

49,145,000,000

50,422,000,000

17.38%

17.83%

1991

283,094,000,000

55,134,000,000

52,936,000,000

19.48%

18.70%

1992

286,493,000,000

61,476,000,000

50,738,000,000

21.46%

17.71%

1993

293,405,000,000

63,416,000,000

51,477,000,000

21.61%

17.54%

1994

311,096,000,000

64,364,000,000

53,324,000,000

20.69%

17.14%

1995

329,317,000,000

65,737,000,000

56,346,000,000

19.96%

17.11%

1996

338,173,000,000

67,363,000,000

60,377,000,000

19.92%

17.85%

1997

359,353,000,000

64,883,000,000

59,834,000,000

18.06%

16.65%

1998

377,897,000,000

65,616,000,000

61,871,000,000

17.36%

16.37%

1999

409,020,000,000

70,742,000,000

66,243,000,000

17.30%

16.20%

2000

440,759,000,000

71,913,000,000

73,232,000,000

16.32%

16.61%

2001

453,701,000,000

76,064,000,000

77,209,000,000

16.77%

17.02%

2002

477,763,000,000

78,065,000,000

76,760,000,000

16.34%

16.07%

2003

493,081,000,000

84,809,000,000

80,294,000,000

17.20%

16.28%

2004

516,106,000,000

91,484,000,000

85,006,000,000

17.73%

16.47%

2005

537,383,000,000

95,644,000,000

94,058,000,000

17.80%

17.50%

2006

560,286,000,000

102,156,000,000

97,863,000,000

18.23%

17.47%

2007

585,723,000,000

106,896,000,000

104,930,000,000

18.25%

17.91%

2008

587,827,000,000

114,267,000,000

113,628,000,000

19.44%

19.33%

Source: CANSIM: ON Total Revenues: v645549, Total Expenditures: v645582, Nominal GDP: v687545

62

Table A5: Quebec Revenue and Expenditures as portion of GDP, 1989-2008

Year

Nominal GDP

Total expenditures

Total Revenues

Exp/ GDP

Rev/ GDP

-1

v687511 (2)

v645516 (3)

v645483 (4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

148,431,000,000

38,818,000,000

35,932,000,000

26.15%

24.21%

1990

153,330,000,000

39,988,000,000

38,209,000,000

26.08%

24.92%

1991

155,156,000,000

44,065,000,000

40,701,000,000

28.40%

26.23%

1992

158,362,000,000

46,910,000,000

42,157,000,000

29.62%

26.62%

1993

162,229,000,000

49,082,000,000

43,261,000,000

30.25%

26.67%

1994

170,478,000,000

50,082,000,000

44,199,000,000

29.38%

25.93%

1995

177,331,000,000

51,586,000,000

44,985,000,000

29.09%

25.37%

1996

180,526,000,000

52,394,000,000

47,982,000,000

29.02%

26.58%

1997

188,424,000,000

51,195,000,000

47,027,000,000

27.17%

24.96%

1998

196,258,000,000

51,786,000,000

48,809,000,000

26.39%

24.87%

1999

210,809,000,000

54,120,000,000

54,384,000,000

25.67%

25.80%

2000

224,928,000,000

57,157,000,000

56,909,000,000

25.41%

25.30%

2001

231,624,000,000

60,297,000,000

62,186,000,000

26.03%

26.85%

2002

241,448,000,000

64,239,000,000

60,619,000,000

26.61%

25.11%

2003

250,752,000,000

67,643,000,000

62,589,000,000

26.98%

24.96%

2004

262,761,000,000

70,277,000,000

66,697,000,000

26.75%

25.38%

2005

272,049,000,000

72,737,000,000

71,395,000,000

26.74%

26.24%

2006

282,220,000,000

77,362,000,000

74,922,000,000

27.41%

26.55%

2007

297,384,000,000

84,072,000,000

81,775,000,000

28.27%

27.50%

2008

302,225,000,000

86,476,000,000

86,387,000,000

28.61%

28.58%

Source: CANSIM: QUE Total Revenues: v645483, Total Expenditures: v645516, Nominal GDP: v687511

63

Table A6: Manitoba Revenue and Expenditures as % of GDP

Nominal GDP
($)

Total
expenditures ($)

Total Revenues
($)

Expenditures/
GDP (%)

Revenues/ GDP
(%)

(1)

v687579
(2)

v645648
(3)

v645615
(4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

23,370,000,000

5,954,000,000

6,019,000,000

25.48%

25.76%

1990

24,193,000,000

6,472,000,000

6,239,000,000

26.75%

25.79%

1991

24,029,000,000

6,728,000,000

6,427,000,000

28.00%

26.75%

1992

24,434,000,000

7,226,000,000

6,866,000,000

29.57%

28.10%

1993

24,590,000,000

7,302,000,000

6,792,000,000

29.69%

27.62%

1994

25,958,000,000

7,366,000,000

6,907,000,000

28.38%

26.61%

1995

26,966,000,000

7,255,000,000

7,390,000,000

26.90%

27.40%

1996

28,434,000,000

7,364,000,000

7,603,000,000

25.90%

26.74%

1997

29,751,000,000

7,402,000,000

7,514,000,000

24.88%

25.26%

1998

30,972,000,000

7,687,000,000

7,722,000,000

24.82%

24.93%

1999

31,966,000,000

7,912,000,000

8,036,000,000

24.75%

25.14%

2000

34,057,000,000

8,770,000,000

8,687,000,000

25.75%

25.51%

2001

35,157,000,000

9,025,000,000

9,299,000,000

25.67%

26.45%

2002

36,559,000,000

9,314,000,000

9,268,000,000

25.48%

25.35%

2003

37,451,000,000

9,310,000,000

9,320,000,000

24.86%

24.89%

2004

39,748,000,000

9,823,000,000

9,613,000,000

24.71%

24.18%

2005

41,681,000,000

10,228,000,000

10,688,000,000

24.54%

25.64%

2006

45,029,000,000

10,940,000,000

10,962,000,000

24.30%

24.34%

2007

48,718,000,000

11,384,000,000

11,474,000,000

23.37%

23.55%

2008

50,834,000,000

12,345,000,000

12,400,000,000

24.28%

24.39%

Year

Source: CANSIM: MB Total Revenues: v645615, Total Expenditures: v645648, Nominal GDP: v687579

64

Table A7: Saskatchewan Revenue and Expenditures as % of GDP

Year

Nominal GDP ($)

Total
expenditures ($)

Total Revenues
($)

Expenditures/
GDP (%)

Revenues/ GDP
(%)

(1)

v687613
(2)

v645714
(3)

v645681
(4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

19,977,000,000

5,692,000,000

5,235,000,000

28.49%

26.21%

1990

21,227,000,000

6,610,000,000

6,115,000,000

31.14%

28.81%

1991

21,393,000,000

6,511,000,000

6,350,000,000

30.44%

29.68%

1992

21,220,000,000

7,284,000,000

6,068,000,000

34.33%

28.60%

1993

22,928,000,000

6,574,000,000

6,444,000,000

28.67%

28.11%

1994

24,480,000,000

7,244,000,000

6,352,000,000

29.59%

25.95%

1995

26,425,000,000

6,728,000,000

6,801,000,000

25.46%

25.74%

1996

28,944,000,000

6,604,000,000

6,613,000,000

22.82%

22.85%

1997

29,157,000,000

6,627,000,000

6,831,000,000

22.73%

23.43%

1998

29,550,000,000

6,610,000,000

6,859,000,000

22.37%

23.21%

1999

30,778,000,000

7,064,000,000

7,284,000,000

22.95%

23.67%

2000

33,828,000,000

7,651,000,000

7,641,000,000

22.62%

22.59%

2001

33,127,000,000

7,460,000,000

8,622,000,000

22.52%

26.03%

2002

34,343,000,000

8,403,000,000

7,793,000,000

24.47%

22.69%

2003

36,653,000,000

9,221,000,000

8,580,000,000

25.16%

23.41%

2004

40,796,000,000

8,735,000,000

8,586,000,000

21.41%

21.05%

2005

43,996,000,000

9,098,000,000

10,016,000,000

20.68%

22.77%

2006

45,498,000,000

9,475,000,000

10,169,000,000

20.83%

22.35%

2007

50,811,000,000

10,085,000,000

10,728,000,000

19.85%

21.11%

2008

63,509,000,000

10,525,000,000

11,957,000,000

16.57%

18.83%

Source: CANSIM: SK Total Revenues: v645681, Total Expenditures: v645714, Nominal GDP: v687613

65

Table A8: British Columbia Revenue and Expenditures as % of GDP

Year

Nominal GDP ($)

Total
expenditures ($)

Total Revenues
($)

Expenditures/
GDP (%)

Revenues/ GDP
(%)

(1)

v687681
(2)

v645846
(3)

v645813
(4)

(5) = (3)/(2)

(6) = (4)/(2)

1989

75,582,000,000

14,204,000,000

15,381,000,000

18.79%

20.35%

1990

79,350,000,000

16,179,000,000

16,963,000,000

20.39%

21.38%

1991

81,849,000,000

17,839,000,000

17,962,000,000

21.80%

21.95%

1992

87,242,000,000

20,633,000,000

18,664,000,000

23.65%

21.39%

1993

94,077,000,000

21,836,000,000

20,237,000,000

23.21%

21.51%

1994

100,512,000,000

23,240,000,000

22,807,000,000

23.12%

22.69%

1995

105,670,000,000

24,878,000,000

24,682,000,000

23.54%

23.36%

1996

108,865,000,000

25,531,000,000

25,411,000,000

23.45%

23.34%

1997

114,383,000,000

26,178,000,000

25,689,000,000

22.89%

22.46%

1998

115,641,000,000

27,082,000,000

26,843,000,000

23.42%

23.21%

1999

120,921,000,000

33,935,000,000

26,129,000,000

28.06%

21.61%

2000

131,333,000,000

28,876,000,000

27,877,000,000

21.99%

21.23%

2001

133,514,000,000

29,979,000,000

30,216,000,000

22.45%

22.63%

2002

138,193,000,000

31,770,000,000

29,721,000,000

22.99%

21.51%

2003

145,642,000,000

31,859,000,000

30,026,000,000

21.87%

20.62%

2004

157,675,000,000

32,312,000,000

31,699,000,000

20.49%

20.10%

2005

169,664,000,000

32,638,000,000

36,008,000,000

19.24%

21.22%

2006

182,310,000,000

34,378,000,000

38,247,000,000

18.86%

20.98%

2007

191,598,000,000

37,360,000,000

40,938,000,000

19.50%

21.37%

2008

197,931,000,000

39,603,000,000

41,966,000,000

20.01%

21.20%

Source: CANSIM: BC Total Revenues: v645813, Total Expenditures: v645846, Nominal GDP: v687681

66

Table A9 : Alberta and Others Income taxes as a % of Income

Year

CAN Personal
income
v691801

CAN Corporation
profits before
taxes
v687182

AB Personal
income
v692008

AB Corporation
profits before
taxes
v687290

CAN Income

AB Income

Others Income

AB

Others

1989

546,324,000,000

59,661,000,000

50,377,000,000

6,439,000,000

605,985,000,000

56,816,000,000

549,169,000,000

4.55%

6.26%

1990

586,566,000,000

44,936,000,000

55,010,000,000

6,857,000,000

631,502,000,000

61,867,000,000

569,635,000,000

5.15%

6.65%

1991

605,322,000,000

32,920,000,000

57,519,000,000

4,674,000,000

638,242,000,000

62,193,000,000

576,049,000,000

5.79%

7.15%

1992

620,653,000,000

32,648,000,000

58,975,000,000

4,604,000,000

653,301,000,000

63,579,000,000

589,722,000,000

5.96%

6.76%

1993

633,059,000,000

41,102,000,000

61,013,000,000

6,406,000,000

674,161,000,000

67,419,000,000

606,742,000,000

5.08%

6.33%

1994

646,348,000,000

65,464,000,000

62,088,000,000

10,769,000,000

711,812,000,000

72,857,000,000

638,955,000,000

5.27%

6.58%

1995

672,111,000,000

76,270,000,000

64,528,000,000

12,431,000,000

748,381,000,000

76,959,000,000

671,422,000,000

5.36%

6.47%

1996

687,203,000,000

80,335,000,000

66,938,000,000

14,571,000,000

767,538,000,000

81,509,000,000

686,029,000,000

5.52%

6.94%

1997

715,495,000,000

87,932,000,000

72,952,000,000

15,604,000,000

803,427,000,000

88,556,000,000

714,871,000,000

5.47%

7.03%

1998

748,321,000,000

86,132,000,000

78,279,000,000

11,670,000,000

834,453,000,000

89,949,000,000

744,504,000,000

6.35%

7.11%

1999

783,060,000,000

110,769,000,000

81,151,000,000

16,236,000,000

893,829,000,000

97,387,000,000

796,442,000,000

6.42%

6.89%

2000

840,382,000,000

135,978,000,000

89,094,000,000

30,206,000,000

976,360,000,000

119,300,000,000

857,060,000,000

5.32%

6.86%

2001

876,471,000,000

127,073,000,000

98,131,000,000

28,909,000,000

1,003,544,000,000

127,040,000,000

876,504,000,000

4.97%

7.08%

2002

898,843,000,000

135,229,000,000

101,072,000,000

23,229,000,000

1,034,072,000,000

124,301,000,000

909,771,000,000

5.43%

6.64%

2003

931,773,000,000

144,501,000,000

105,664,000,000

32,944,000,000

1,076,274,000,000

138,608,000,000

937,666,000,000

4.95%

5.98%

2004

984,164,000,000

168,219,000,000

115,269,000,000

40,750,000,000

1,152,383,000,000

156,019,000,000

996,364,000,000

4.05%

5.82%

2005

1,035,586,000,000

186,585,000,000

128,285,000,000

51,294,000,000

1,222,171,000,000

179,579,000,000

1,042,592,000,000

3.92%

6.34%

2006

1,106,195,000,000

196,130,000,000

145,775,000,000

49,771,000,000

1,302,325,000,000

195,546,000,000

1,106,779,000,000

3.90%

6.51%

2007

1,170,715,000,000

204,131,000,000

159,030,000,000

50,845,000,000

1,374,846,000,000

209,875,000,000

1,164,971,000,000

5.36%

6.91%

2008

1,226,585,000,000

215,799,000,000

172,306,000,000

65,613,000,000

1,442,384,000,000

237,919,000,000

1,204,465,000,000

5.47%

7.26%

Note: Income taxes = Personal Income taxes + Corporation Income taxes; Income = Personal Income + Corporation Profits before taxes
Source: CANSIM Personal Income Taxes: AB v645750, Canada v645156, Corporation Income Taxes: AB v645751, Canada v645157,
Personal Income: AB v692008, Canada v691801, Corporation Profits before Taxes: AB v687290, v687182

67

Table A10: Alberta and Others Real Corporate and Personal Income taxes per capita (2002 $)

Year

CAN Corporate
and Personal
Income taxes

AB Corporate
and Personal
Income taxes

CAN CPI

AB CPI

CAN pop

AB pop

v41693271

v41694625

v466668

v469503

CAN-AB CT
and PIT

CAN-AB
pop

Others
Real
CT&PIT
taxes per
capita

AB
Real
CT
and
PIT
per
capita

1989

36,975,000,000

2,584,000,000

74.8

70.9

27,276,781

2,498,325

34,391,000,000

24,778,456

1,856

1,459

1990

41,075,000,000

3,187,000,000

78.4

75.0

27,691,138

2,547,788

37,888,000,000

25,143,350

1,922

1,668

1991

44,759,000,000

3,600,000,000

82.8

79.4

28,037,420

2,592,306

41,159,000,000

25,445,114

1,954

1,749

1992

43,680,000,000

3,788,000,000

84.0

80.6

28,371,264

2,632,672

39,892,000,000

25,738,592

1,845

1,785

1993

41,822,000,000

3,427,000,000

85.6

81.4

28,684,764

2,667,292

38,395,000,000

26,017,472

1,724

1,578

1994

45,886,000,000

3,841,000,000

85.7

82.6

29,000,663

2,700,606

42,045,000,000

26,300,057

1,865

1,722

1995

47,579,000,000

4,124,000,000

87.6

84.5

29,302,311

2,734,519

43,455,000,000

26,567,792

1,867

1,785

1996

52,129,000,000

4,497,000,000

88.9

86.4

29,610,218

2,775,133

47,632,000,000

26,835,085

1,997

1,876

1997

55,132,000,000

4,841,000,000

90.4

88.1

29,905,948

2,829,848

50,291,000,000

27,076,100

2,055

1,942

1998

58,634,000,000

5,712,000,000

91.3

89.2

30,155,173

2,899,066

52,922,000,000

27,256,107

2,127

2,209

1999

61,133,000,000

6,250,000,000

92.9

91.4

30,401,286

2,952,692

54,883,000,000

27,448,594

2,152

2,316

2000

65,163,000,000

6,351,000,000

95.4

94.5

30,685,730

3,004,198

58,812,000,000

27,681,532

2,227

2,237

2001

68,372,000,000

6,320,000,000

97.8

96.7

31,019,020

3,058,017

62,052,000,000

27,961,003

2,269

2,137

2002

67,154,000,000

6,752,000,000

100.0

100.0

31,353,656

3,128,364

60,402,000,000

28,225,292

2,140

2,158

2003

62,963,000,000

6,866,000,000

102.8

104.4

31,639,670

3,183,396

56,097,000,000

28,456,274

1,918

2,066

2004

64,293,000,000

6,325,000,000

104.7

105.9

31,940,676

3,239,471

57,968,000,000

28,701,205

1,929

1,844

2005

73,182,000,000

7,036,000,000

107.0

108.1

32,245,209

3,322,200

66,146,000,000

28,923,009

2,137

1,959

2006

79,679,000,000

7,617,000,000

109.1

112.3

32,576,074

3,421,253

72,062,000,000

29,154,821

2,266

1,983

2007

91,793,000,000

11,252,000,000

111.5

117.9

32,927,372

3,510,892

80,541,000,000

29,416,480

2,456

2,718

2008

100,477,000,000

13,017,000,000

114.1

121.6

33,311,389

3,585,142

87,460,000,000

29,726,247

2,579

2,986

Source: CANSIM Income Taxes: AB v645749, Canada v645155 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

68

Table A11: Alberta and Others Real Consumption Taxes per capita (2002 $)

AB pop

CAN-AB
consumption
taxes

CAN-AB
pop

Others Real
Consumption
taxes
per capita

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

70.9

27,276,781

2,498,325

27,097,000,000

24,778,456

1,462

574

78.4

75.0

27,691,138

2,547,788

29,170,000,000

25,143,350

1,480

545

1,218,000,000

82.8

79.4

28,037,420

2,592,306

29,317,000,000

25,445,114

1,392

592

31,462,000,000

1,389,000,000

84.0

80.6

28,371,264

2,632,672

30,073,000,000

25,738,592

1,391

655

1993

31,879,000,000

1,418,000,000

85.6

81.4

28,684,764

2,667,292

30,461,000,000

26,017,472

1,368

653

1994

33,277,000,000

1,611,000,000

85.7

82.6

29,000,663

2,700,606

31,666,000,000

26,300,057

1,405

722

1995

35,043,000,000

1,795,000,000

87.6

84.5

29,302,311

2,734,519

33,248,000,000

26,567,792

1,429

777

1996

36,754,000,000

1,919,000,000

88.9

86.4

29,610,218

2,775,133

34,835,000,000

26,835,085

1,460

800

1997

37,312,000,000

1,968,000,000

90.4

88.1

29,905,948

2,829,848

35,344,000,000

27,076,100

1,444

789

1998

39,203,000,000

2,113,000,000

91.3

89.2

30,155,173

2,899,066

37,090,000,000

27,256,107

1,490

817

1999

42,157,000,000

2,186,000,000

92.9

91.4

30,401,286

2,952,692

39,971,000,000

27,448,594

1,568

810

2000

43,999,000,000

2,281,000,000

95.4

94.5

30,685,730

3,004,198

41,718,000,000

27,681,532

1,580

803

2001

48,824,000,000

2,442,000,000

97.8

96.7

31,019,020

3,058,017

46,382,000,000

27,961,003

1,696

826

2002

49,221,000,000

2,626,000,000

100.0

100.0

31,353,656

3,128,364

46,595,000,000

28,225,292

1,651

839

2003

52,817,000,000

2,894,000,000

102.8

104.4

31,639,670

3,183,396

49,923,000,000

28,456,274

1,707

871

2004

54,841,000,000

3,019,000,000

104.7

105.9

31,940,676

3,239,471

51,822,000,000

28,701,205

1,725

880

2005

57,084,000,000

3,220,000,000

107.0

108.1

32,245,209

3,322,200

53,864,000,000

28,923,009

1,740

897

2006

58,925,000,000

3,421,000,000

109.1

112.3

32,576,074

3,421,253

55,504,000,000

29,154,821

1,745

890

2007

60,560,000,000

3,765,000,000

111.5

117.9

32,927,372

3,510,892

56,795,000,000

29,416,480

1,732

910

2008

62,429,000,000

3,962,000,000

114.1

121.6

33,311,389

3,585,142

58,467,000,000

29,726,247

1,724

909

Year

CAN
consumption
taxes

AB
consumption
taxes

CAN CPI

AB CPI

CAN pop

(1)

v645161
(2)

v645755
(3)

v41693271
(4)

v41694625
(5)

1989

28,114,000,000

1,017,000,000

74.8

1990

30,212,000,000

1,042,000,000

1991

30,535,000,000

1992

AB Real
Consumption
taxes
per capita

Source: CANSIM, Consumption Taxes: AB v645755, Canada v645161 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

69

Table A12: Alberta and Others Real Sales of Good and Services Property and Other Taxes per capita (2002 $)
Others Real
taxes per
capita

AB Real taxes
per capita

Year

CAN taxes

AB taxes

CAN CPI

AB CPI

CAN pop

AB pop

CAN-AB taxes

CAN-AB
pop

(1)

v645170,
v645174
v645181
(2)

v645764,
v645768,
v645775
(3)

v41693271
(4)

v41694625
(5)

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

1989

18,023,000,000

1,725,000,000

74.8

70.9

27,276,781

2,498,325

16,298,000,000

24,778,456

879

974

1990

20,259,000,000

1,817,000,000

78.4

75.0

27,691,138

2,547,788

18,442,000,000

25,143,350

936

951

1991

23,433,000,000

1,932,000,000

82.8

79.4

28,037,420

2,592,306

21,501,000,000

25,445,114

1,021

939

1992

24,952,000,000

2,034,000,000

84.0

80.6

28,371,264

2,632,672

22,918,000,000

25,738,592

1,060

959

1993

26,751,000,000

2,097,000,000

85.6

81.4

28,684,764

2,667,292

24,654,000,000

26,017,472

1,107

966

1994

28,109,000,000

2,332,000,000

85.7

82.6

29,000,663

2,700,606

25,777,000,000

26,300,057

1,144

1,045

1995

30,243,000,000

3,412,000,000

87.6

84.5

29,302,311

2,734,519

26,831,000,000

26,567,792

1,153

1,477

1996

31,344,000,000

3,191,000,000

88.9

86.4

29,610,218

2,775,133

28,153,000,000

26,835,085

1,180

1,331

1997

32,722,000,000

3,343,000,000

90.4

88.1

29,905,948

2,829,848

29,379,000,000

27,076,100

1,200

1,341

1998

34,740,000,000

3,526,000,000

91.3

89.2

30,155,173

2,899,066

31,214,000,000

27,256,107

1,254

1,364

1999

38,112,000,000

3,498,000,000

92.9

91.4

30,401,286

2,952,692

34,614,000,000

27,448,594

1,357

1,296

2000

41,449,000,000

3,574,000,000

95.4

94.5

30,685,730

3,004,198

37,875,000,000

27,681,532

1,434

1,259

2001

44,597,000,000

6,031,000,000

97.8

96.7

31,019,020

3,058,017

38,566,000,000

27,961,003

1,410

2,039

2002

42,583,000,000

4,038,000,000

100.0

100.0

31,353,656

3,128,364

38,545,000,000

28,225,292

1,366

1,291

2003

45,155,000,000

4,237,000,000

102.8

104.4

31,639,670

3,183,396

40,918,000,000

28,456,274

1,399

1,275

2004

47,532,000,000

4,650,000,000

104.7

105.9

31,940,676

3,239,471

42,882,000,000

28,701,205

1,427

1,355

2005

50,280,000,000

5,020,000,000

107.0

108.1

32,245,209

3,322,200

45,260,000,000

28,923,009

1,462

1,398

2006

52,835,000,000

5,282,000,000

109.1

112.3

32,576,074

3,421,253

47,553,000,000

29,154,821

1,495

1,375

2007

54,445,000,000

5,557,000,000

111.5

117.9

32,927,372

3,510,892

48,888,000,000

29,416,480

1,491

1,342

2008

56,822,000,000

5,944,000,000

114.1

121.6

33,311,389

3,585,142

50,878,000,000

29,726,247

1,500

1,363

Source: CANSIM
Property, Sales of Goods and Services and Other Taxes: AB v645764, v645768, v645775
Property, Sales of Goods and Services and Other Taxes: Canada v645170, v645174, v645181
CPI (2002=100): AB v41694625, Canada v41693271. Population: AB v469503, Canada v466668

70

Table A13: Alberta and Others Real Health and Drug Insurance Premiums per capita (2002 $)
Others Real
premiums
per capita

AB Real
premiums
per capita

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

2,325,000,000

24,778,456

125

150

2,547,788

2,036,000,000

25,143,350

103

149

28,037,420

2,592,306

665,000,000

25,445,114

32

159

80.6

28,371,264

2,632,672

742,000,000

25,738,592

34

189

85.6

81.4

28,684,764

2,667,292

776,000,000

26,017,472

35

195

453,000,000

85.7

82.6

29,000,663

2,700,606

783,000,000

26,300,057

35

203

1,589,000,000

563,000,000

87.6

84.5

29,302,311

2,734,519

1,026,000,000

26,567,792

44

244

1996

1,579,000,000

610,000,000

88.9

86.4

29,610,218

2,775,133

969,000,000

26,835,085

41

254

1997

1,648,000,000

620,000,000

90.4

88.1

29,905,948

2,829,848

1,028,000,000

27,076,100

42

249

1998

1,699,000,000

633,000,000

91.3

89.2

30,155,173

2,899,066

1,066,000,000

27,256,107

43

245

1999

2,017,000,000

700,000,000

92.9

91.4

30,401,286

2,952,692

1,317,000,000

27,448,594

52

259

2000

1,950,000,000

673,000,000

95.4

94.5

30,685,730

3,004,198

1,277,000,000

27,681,532

48

237

2001

2,178,000,000

700,000,000

97.8

96.7

31,019,020

3,058,017

1,478,000,000

27,961,003

54

237

2002

2,282,000,000

729,000,000

100.0

100.0

31,353,656

3,128,364

1,553,000,000

28,225,292

55

233

2003

3,000,000,000

935,000,000

102.8

104.4

31,639,670

3,183,396

2,065,000,000

28,456,274

71

281

2004

3,132,000,000

962,000,000

104.7

105.9

31,940,676

3,239,471

2,170,000,000

28,701,205

72

280

2005

3,206,000,000

941,000,000

107.0

108.1

32,245,209

3,322,200

2,265,000,000

28,923,009

73

262

2006

3,258,000,000

921,000,000

109.1

112.3

32,576,074

3,421,253

2,337,000,000

29,154,821

73

240

2007

3,268,000,000

951,000,000

111.5

117.9

32,927,372

3,510,892

2,317,000,000

29,416,480

71

230

2008

3,457,000,000

1,004,000,000

114.1

121.6

33,311,389

3,585,142

2,453,000,000

29,726,247

72

230

CAN
premiums

AB premiums

CAN CPI

AB CPI

CAN pop

AB pop

CAN-AB
premiums

CAN-AB
pop

(1)

v645179
(2)

v645773
(3)

v41693271
(4)

v41694625
(5)

v466668
(6)

v469503
(7)

(8)=(2)-(3)

1989

2,591,000,000

266,000,000

74.8

70.9

27,276,781

2,498,325

1990

2,320,000,000

284,000,000

78.4

75.0

27,691,138

1991

993,000,000

328,000,000

82.8

79.4

1992

1,144,000,000

402,000,000

84.0

1993

1,199,000,000

423,000,000

1994

1,236,000,000

1995

Year

Source: CANSIM
Health and Drug Insurance Premiums: AB v645773, Canada v645179
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

71

Table A14: Alberta and Others Real Royalties per capita (2002 $)
CAN-AB
Royalties

CAN-AB
pop

Others Real
Royalties
per capita

AB Real
Royalties per
capita
(11)=(3)*100/
[(7)*(5)]

Year

CAN Royalties

AB Royalties

CAN CPI

AB CPI

CAN pop

AB pop

(1)

v690584
(2)

v690712
(3)

v41693271
(4)

v41694625
(5)

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

1989

4,009,000,000

2,162,000,000

74.8

70.9

27,276,781

2,498,325

1,847,000,000

24,778,456

100

1,221

1990

4,565,000,000

2,687,000,000

78.4

75.0

27,691,138

2,547,788

1,878,000,000

25,143,350

95

1,406

1991

4,056,000,000

2,260,000,000

82.8

79.4

28,037,420

2,592,306

1,796,000,000

25,445,114

85

1,098

1992

4,024,000,000

2,218,000,000

84.0

80.6

28,371,264

2,632,672

1,806,000,000

25,738,592

84

1,045

1993

5,096,000,000

2,681,000,000

85.6

81.4

28,684,764

2,667,292

2,415,000,000

26,017,472

108

1,235

1994

6,892,000,000

3,476,000,000

85.7

82.6

29,000,663

2,700,606

3,416,000,000

26,300,057

152

1,558

1995

6,320,000,000

2,888,000,000

87.6

84.5

29,302,311

2,734,519

3,432,000,000

26,567,792

147

1,250

1996

7,398,000,000

3,586,000,000

88.9

86.4

29,610,218

2,775,133

3,812,000,000

26,835,085

160

1,496

1997

7,263,000,000

3,874,000,000

90.4

88.1

29,905,948

2,829,848

3,389,000,000

27,076,100

138

1,554

1998

6,823,000,000

2,876,000,000

91.3

89.2

30,155,173

2,899,066

3,947,000,000

27,256,107

159

1,112

1999

7,604,000,000

3,885,000,000

92.9

91.4

30,401,286

2,952,692

3,719,000,000

27,448,594

146

1,440

2000

14,134,000,000

8,867,000,000

95.4

94.5

30,685,730

3,004,198

5,267,000,000

27,681,532

199

3,123

2001

13,311,000,000

8,643,000,000

97.8

96.7

31,019,020

3,058,017

4,668,000,000

27,961,003

171

2,923

2002

10,372,000,000

5,786,000,000

100.0

100.0

31,353,656

3,128,364

4,586,000,000

28,225,292

162

1,850

2003

13,327,000,000

8,423,000,000

102.8

104.4

31,639,670

3,183,396

4,904,000,000

28,456,274

168

2,534

2004

14,668,000,000

9,315,000,000

104.7

105.9

31,940,676

3,239,471

5,353,000,000

28,701,205

178

2,715

2005

19,035,000,000

12,842,000,000

107.0

108.1

32,245,209

3,322,200

6,193,000,000

28,923,009

200

3,576

2006

19,402,000,000

13,628,000,000

109.1

112.3

32,576,074

3,421,253

5,774,000,000

29,154,821

182

3,547

2007

17,191,000,000

10,924,000,000

111.5

117.9

32,927,372

3,510,892

6,267,000,000

29,416,480

191

2,639

Source: CANSIM Royalties: AB v690712, Canada v690584 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

72

Table A15: Alberta and Others Real Interest and Other Investment Income per capita (2002 $)
CAN-AB
pop

Others Real
Income
per capita

AB Real
Income
per capita

Year

CAN Income

AB Income

CAN CPI

AB CPI

CAN pop

AB pop

CAN-AB
Income

(1)

v690582
(2)

v690710
(3)

v41693271
(4)

v41694625
(5)

v466668
(6)

v469503 (7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

1989

9,337,000,000

2,173,000,000

74.8

70.9

27,276,781

2,498,325

7,164,000,000

24,778,456

387

1,227

1990

9,555,000,000

2,344,000,000

78.4

75.0

27,691,138

2,547,788

7,211,000,000

25,143,350

366

1,227

1991

10,418,000,000

2,176,000,000

82.8

79.4

28,037,420

2,592,306

8,242,000,000

25,445,114

391

1,057

1992

10,457,000,000

2,317,000,000

84.0

80.6

28,371,264

2,632,672

8,140,000,000

25,738,592

376

1,092

1993

10,669,000,000

2,078,000,000

85.6

81.4

28,684,764

2,667,292

8,591,000,000

26,017,472

386

957

1994

10,450,000,000

1,918,000,000

85.7

82.6

29,000,663

2,700,606

8,532,000,000

26,300,057

379

860

1995

11,259,000,000

2,117,000,000

87.6

84.5

29,302,311

2,734,519

9,142,000,000

26,567,792

393

916

1996

11,148,000,000

2,065,000,000

88.9

86.4

29,610,218

2,775,133

9,083,000,000

26,835,085

381

861

1997

11,268,000,000

2,161,000,000

90.4

88.1

29,905,948

2,829,848

9,107,000,000

27,076,100

372

867

1998

11,245,000,000

2,121,000,000

91.3

89.2

30,155,173

2,899,066

9,124,000,000

27,256,107

367

820

1999

11,115,000,000

2,231,000,000

92.9

91.4

30,401,286

2,952,692

8,884,000,000

27,448,594

348

827

2000

12,107,000,000

2,169,000,000

95.4

94.5

30,685,730

3,004,198

9,938,000,000

27,681,532

376

764

2001

11,058,000,000

1,750,000,000

97.8

96.7

31,019,020

3,058,017

9,308,000,000

27,961,003

340

592

2002

10,334,000,000

1,384,000,000

100.0

100.0

31,353,656

3,128,364

8,950,000,000

28,225,292

317

442

2003

11,314,000,000

2,128,000,000

102.8

104.4

31,639,670

3,183,396

9,186,000,000

28,456,274

314

640

2004

11,372,000,000

2,409,000,000

104.7

105.9

31,940,676

3,239,471

8,963,000,000

28,701,205

298

702

2005

12,618,000,000

2,913,000,000

107.0

108.1

32,245,209

3,322,200

9,705,000,000

28,923,009

314

811

2006

14,585,000,000

3,794,000,000

109.1

112.3

32,576,074

3,421,253

10,791,000,000

29,154,821

339

987

2007

15,673,000,000

3,961,000,000

111.5

117.9

32,927,372

3,510,892

11,712,000,000

29,416,480

357

957

Source: CANSIM Royalties: AB v690710, Canada v690582 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

73

Table A16: Alberta and Others Real Surplus/ Deficits per capita (2002 $)
CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

AB pop

v645218

v645812

v41693271

v41694625

v466668

v469503

CAN-AB
Expenditures

CAN-AB pop

Others Real
per capita

AB Real
per capita

1989

-4,242,000,000

-1,486,000,000

74.8

70.9

27,276,781

2,498,325

-2,756,000,000

24,778,456

-149

-839

1990

-3,083,000,000

-1,981,000,000

78.4

75.0

27,691,138

2,547,788

-1,102,000,000

25,143,350

-56

-1,037

1991

-7,636,000,000

-1,078,000,000

82.8

79.4

28,037,420

2,592,306

-6,558,000,000

25,445,114

-311

-524

1992

22,317,000,000

-2,123,000,000

84.0

80.6

28,371,264

2,632,672

-20,194,000,000

25,738,592

-934

-1,001

1993

24,540,000,000

-3,127,000,000

85.6

81.4

28,684,764

2,667,292

-21,413,000,000

26,017,472

-961

-1,440

1994

22,339,000,000

-2,467,000,000

85.7

82.6

29,000,663

2,700,606

-19,872,000,000

26,300,057

-882

-1,106

1995

15,341,000,000

983,000,000

87.6

84.5

29,302,311

2,734,519

-16,324,000,000

26,567,792

-701

425

1996

10,276,000,000

1,255,000,000

88.9

86.4

29,610,218

2,775,133

-11,531,000,000

26,835,085

-483

523

1997

-6,688,000,000

2,654,000,000

90.4

88.1

29,905,948

2,829,848

-9,342,000,000

27,076,100

-382

1,065

1998

-3,260,000,000

2,912,000,000

91.3

89.2

30,155,173

2,899,066

-6,172,000,000

27,256,107

-248

1,126

1999

10,339,000,000

1,203,000,000

92.9

91.4

30,401,286

2,952,692

-11,542,000,000

27,448,594

-453

446

2000

2,134,000,000

2,683,000,000

95.4

94.5

30,685,730

3,004,198

-549,000,000

27,681,532

-21

945

2001

12,485,000,000

7,667,000,000

97.8

96.7

31,019,020

3,058,017

4,818,000,000

27,961,003

176

2,593

2002

-8,682,000,000

-832,000,000

100.0

100.0

31,353,656

3,128,364

-7,850,000,000

28,225,292

-278

-266

2003

10,131,000,000

2,634,000,000

102.8

104.4

31,639,670

3,183,396

-12,765,000,000

28,456,274

-436

793

2004

-7,337,000,000

4,393,000,000

104.7

105.9

31,940,676

3,239,471

-11,730,000,000

28,701,205

-390

1,281

2005

7,467,000,000

5,262,000,000

107.0

108.1

32,245,209

3,322,200

2,205,000,000

28,923,009

71

1,465

2006

8,030,000,000

8,820,000,000

109.1

112.3

32,576,074

3,421,253

-790,000,000

29,154,821

-25

2,296

2007

9,364,000,000

9,117,000,000

111.5

117.9

32,927,372

3,510,892

247,000,000

29,416,480

2,203

2008

7,951,000,000

4,684,000,000

114.1

121.6

33,311,389

3,585,142

3,267,000,000

29,726,247

96

1,074

Year

Source: CANSIM Expenditures: Canada v645218, AB v645812 CPI: (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

74

Table A17: Alberta and Others Real Net Financial Debt Per Capita (2002 $)
CA

AB

CAN CPI

AB CPI

CAN pop

AB pop

Year

v151590

v151790

v41693271

v41694625

v466668

v469503

CA-AB

CA-AB pop

Others Debt
per capita

AB Debt
per capita

1989

101,510,000,000

1,221,000,000

74.8

70.9

27,276,781

2,498,325

100,289,000,000

24,778,456

5,411

689

1990

112,015,000,000

3,512,000,000

78.4

75.0

27,691,138

2,547,788

108,503,000,000

25,143,350

5,504

1,838

1991

116,652,000,000

2,342,000,000

82.8

79.4

28,037,420

2,592,306

114,310,000,000

25,445,114

5,426

1,138

1992

143,065,000,000

4,152,000,000

84.0

80.6

28,371,264

2,632,672

138,913,000,000

25,738,592

6,425

1,957

1993

173,691,000,000

7,646,000,000

85.6

81.4

28,684,764

2,667,292

166,045,000,000

26,017,472

7,456

3,522

1994

202,446,000,000

9,346,000,000

85.7

82.6

29,000,663

2,700,606

193,100,000,000

26,300,057

8,567

4,190

1995

224,041,000,000

8,513,000,000

87.6

84.5

29,302,311

2,734,519

215,528,000,000

26,567,792

9,261

3,684

1996

235,896,000,000

7,084,000,000

88.9

86.4

29,610,218

2,775,133

228,812,000,000

26,835,085

9,591

2,954

1997

241,746,000,000

4,022,000,000

90.4

88.1

29,905,948

2,829,848

237,724,000,000

27,076,100

9,712

1,613

1998

245,223,000,000

1,603,000,000

91.3

89.2

30,155,173

2,899,066

243,620,000,000

27,256,107

9,790

620

1999

258,271,000,000

391,000,000

92.9

91.4

30,401,286

2,952,692

257,880,000,000

27,448,594

10,113

145

2000

256,157,000,000

-2,504,000,000

95.4

94.5

30,685,730

3,004,198

258,661,000,000

27,681,532

9,795

-882

2001

241,813,000,000

-9,983,000,000

97.8

96.7

31,019,020

3,058,017

251,796,000,000

27,961,003

9,208

-3,376

2002

249,431,000,000

-9,118,000,000

100.0

100.0

31,353,656

3,128,364

258,549,000,000

28,225,292

9,160

-2,915

2003

255,888,000,000

-10,575,000,000

102.8

104.4

31,639,670

3,183,396

266,463,000,000

28,456,274

9,109

-3,182

2004

259,988,000,000

-14,345,000,000

104.7

105.9

31,940,676

3,239,471

274,333,000,000

28,701,205

9,129

-4,181

2005

259,014,000,000

-19,661,000,000

107.0

108.1

32,245,209

3,322,200

278,675,000,000

28,923,009

9,005

-5,475

2006

252,534,000,000

-27,643,000,000

109.1

112.3

32,576,074

3,421,253

280,177,000,000

29,154,821

8,808

-7,195

2007

242,183,000,000

-34,974,000,000

111.5

117.9

32,927,372

3,510,892

277,157,000,000

29,416,480

8,450

-8,449

2008

241,364,000,000

-36,694,000,000

114.1

121.6

33,311,389

3,585,142

278,058,000,000

29,726,247

8,198

-8,417

Source: CANSIM Net Financial Debt: Canada v151590, AB v151790 CPI: (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

75

Appendix B

76

Appendix B - List of Tables

Table B1: Alberta & Others Real Expenditures per capita (02 $)
Table B2: Alberta & Others Expenditures as % of GDP
Table B3: Alberta & Others Real Debt Charges per capita (02 $)
Table B4: Alberta & Others Real Transportation and Communication Expenditures per
capita (02 $)
Table B5: Provincial Real Transportation and Communication Expenditures per capita
(2002 $)
Table B6: Alberta and Others Real Environment Expenditure per capita (02 $)
Table B7: Provincial Others Real Environment Expenditure per capita (02 $)
Table B8: Alberta & Others Real Resource Conservation & Industrial Development
Expenditures per capita (2002 $)

77

Table B1: Alberta and Others Real Expenditures per capita (2002 $)

AB pop

CAN-AB
Expenditures

CAN-AB
pop

Others Real
Expenditures
per capita

AB Real
Expenditures
per capita

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

70.9

27,276,781

2,498,325

123,659,000,000

24,778,456

6,672

8,292

78.4

75.0

27,691,138

2,547,788

133,038,000,000

25,143,350

6,749

8,338

16,868,000,000

82.8

79.4

28,037,420

2,592,306

145,550,000,000

25,445,114

6,908

8,195

177,115,000,000

17,375,000,000

84.0

80.6

28,371,264

2,632,672

159,740,000,000

25,738,592

7,388

8,188

1993

183,752,000,000

18,731,000,000

85.6

81.4

28,684,764

2,667,292

165,021,000,000

26,017,472

7,410

8,627

1994

187,551,000,000

18,337,000,000

85.7

82.6

29,000,663

2,700,606

169,214,000,000

26,300,057

7,508

8,220

1995

190,266,000,000

16,884,000,000

87.6

84.5

29,302,311

2,734,519

173,382,000,000

26,567,792

7,450

7,307

1996

193,090,000,000

16,230,000,000

88.9

86.4

29,610,218

2,775,133

176,860,000,000

26,835,085

7,414

6,769

1997

189,953,000,000

16,364,000,000

90.4

88.1

29,905,948

2,829,848

173,589,000,000

27,076,100

7,092

6,564

1998

193,197,000,000

17,016,000,000

91.3

89.2

30,155,173

2,899,066

176,181,000,000

27,256,107

7,080

6,580

1999

210,136,000,000

17,957,000,000

92.9

91.4

30,401,286

2,952,692

192,179,000,000

27,448,594

7,537

6,654

2000

213,952,000,000

19,704,000,000

95.4

94.5

30,685,730

3,004,198

194,248,000,000

27,681,532

7,356

6,941

2001

225,645,000,000

22,933,000,000

97.8

96.7

31,019,020

3,058,017

202,712,000,000

27,961,003

7,413

7,755

2002

238,505,000,000

25,785,000,000

100.0

100.0

31,353,656

3,128,364

212,720,000,000

28,225,292

7,537

8,242

2003

249,176,000,000

24,452,000,000

102.8

104.4

31,639,670

3,183,396

224,724,000,000

28,456,274

7,682

7,357

2004

261,398,000,000

25,683,000,000

104.7

105.9

31,940,676

3,239,471

235,715,000,000

28,701,205

7,844

7,486

2005

271,525,000,000

27,511,000,000

107.0

108.1

32,245,209

3,322,200

244,014,000,000

28,923,009

7,885

7,660

2006

292,477,000,000

31,150,000,000

109.1

112.3

32,576,074

3,421,253

261,327,000,000

29,154,821

8,216

8,108

2007

310,033,000,000

33,313,000,000

111.5

117.9

32,927,372

3,510,892

276,720,000,000

29,416,480

8,437

8,048

2008

331,019,000,000

38,294,000,000

114.1

121.6

33,311,389

3,585,142

292,725,000,000

29,726,247

8,630

8,784

Year

CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

(1)

v645186
(2)

v645780
(3)

v41693271
(4)

v41694625
(5)

1989

138,346,000,000

14,687,000,000

74.8

1990

148,971,000,000

15,933,000,000

1991

162,418,000,000

1992

Source: CANSIM Total Expenditures: AB v645780, Canada v645186; CPI (2002=100): AB v41694625, Canada v41693271; Population: AB v469503, Canada v466668

78

Table B2: Alberta and Others Expenditures as % of GDP

AB
expenditures
($)

CA - AB GDP ($)

CA-AB
expenditures ($)

Others
Expenditures/
GDP (%)

Alberta
Expenditures/
GDP (%)

Year

CA GDP ($)

AB GDP ($)

CA
expenditures ($)

(1)

v687341
(2)

v687647
(3)

v645186
(4)

v645780
(5)

(6)=(2)-(3)

(7)=(4)-(5)

(8)=(7)/(6)

(9)=(5)/(3)

1989

657,728,000,000

67,377,000,000

138,346,000,000

14,687,000,000

590,351,000,000

123,659,000,000

20.95%

21.80%

1990

679,921,000,000

73,257,000,000

148,971,000,000

15,933,000,000

606,664,000,000

133,038,000,000

21.93%

21.75%

1991

685,367,000,000

72,892,000,000

162,418,000,000

16,868,000,000

612,475,000,000

145,550,000,000

23.76%

23.14%

1992

700,480,000,000

74,936,000,000

177,115,000,000

17,375,000,000

625,544,000,000

159,740,000,000

25.54%

23.19%

1993

727,184,000,000

81,179,000,000

183,752,000,000

18,731,000,000

646,005,000,000

165,021,000,000

25.54%

23.07%

1994

770,873,000,000

88,041,000,000

187,551,000,000

18,337,000,000

682,832,000,000

169,214,000,000

24.78%

20.83%

1995

810,426,000,000

92,036,000,000

190,266,000,000

16,884,000,000

718,390,000,000

173,382,000,000

24.13%

18.34%

1996

836,864,000,000

98,634,000,000

193,090,000,000

16,230,000,000

738,230,000,000

176,860,000,000

23.96%

16.45%

1997

882,733,000,000

107,048,000,000

189,953,000,000

16,364,000,000

775,685,000,000

173,589,000,000

22.38%

15.29%

1998

914,973,000,000

107,439,000,000

193,197,000,000

17,016,000,000

807,534,000,000

176,181,000,000

21.82%

15.84%

1999

982,441,000,000

117,080,000,000

210,136,000,000

17,957,000,000

865,361,000,000

192,179,000,000

22.21%

15.34%

2000

1,076,577,000,000

144,789,000,000

213,952,000,000

19,704,000,000

931,788,000,000

194,248,000,000

20.85%

13.61%

2001

1,108,048,000,000

151,274,000,000

225,645,000,000

22,933,000,000

956,774,000,000

202,712,000,000

21.19%

15.16%

2002

1,152,905,000,000

150,594,000,000

238,505,000,000

25,785,000,000

1,002,311,000,000

212,720,000,000

21.22%

17.12%

2003

1,213,175,000,000

170,113,000,000

249,176,000,000

24,452,000,000

1,043,062,000,000

224,724,000,000

21.54%

14.37%

2004

1,290,906,000,000

189,743,000,000

261,398,000,000

25,683,000,000

1,101,163,000,000

235,715,000,000

21.41%

13.54%

2005

1,373,845,000,000

219,810,000,000

271,525,000,000

27,511,000,000

1,154,035,000,000

244,014,000,000

21.14%

12.52%

2006

1,449,215,000,000

238,410,000,000

292,477,000,000

31,150,000,000

1,210,805,000,000

261,327,000,000

21.58%

13.07%

2007

1,532,944,000,000

256,915,000,000

310,033,000,000

33,313,000,000

1,276,029,000,000

276,720,000,000

21.69%

12.97%

2008

1,600,081,000,000

291,256,000,000

331,019,000,000

38,294,000,000

1,308,825,000,000

292,725,000,000

22.37%

13.15%

Source: CANSIM Total Expenditures: AB v645780, Canada v645186; Nominal GDP: AB v687647, Canada v687341

79

Table B3: Alberta and Others Real Debt Charges per capita (2002 $)

AB pop

CAN-AB Debt
Charges

CAN-AB
pop

Others Real
Debt Charges
per capita

AB Real
Debt
Charges
per capita

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

70.9

27,276,781

2,498,325

13,035,000,000

24,778,456

703

509

78.4

75.0

27,691,138

2,547,788

14,142,000,000

25,143,350

717

632

1,434,000,000

82.8

79.4

28,037,420

2,592,306

15,978,000,000

25,445,114

758

697

18,531,000,000

1,423,000,000

84.0

80.6

28,371,264

2,632,672

17,108,000,000

25,738,592

791

671

1993

20,327,000,000

1,642,000,000

85.6

81.4

28,684,764

2,667,292

18,685,000,000

26,017,472

839

756

1994

23,146,000,000

1,899,000,000

85.7

82.6

29,000,663

2,700,606

21,247,000,000

26,300,057

943

851

1995

25,147,000,000

2,367,000,000

87.6

84.5

29,302,311

2,734,519

22,780,000,000

26,567,792

979

1,024

1996

26,090,000,000

2,197,000,000

88.9

86.4

29,610,218

2,775,133

23,893,000,000

26,835,085

1,002

916

1997

25,489,000,000

2,028,000,000

90.4

88.1

29,905,948

2,829,848

23,461,000,000

27,076,100

958

813

1998

24,466,000,000

1,834,000,000

91.3

89.2

30,155,173

2,899,066

22,632,000,000

27,256,107

909

709

1999

25,625,000,000

1,883,000,000

92.9

91.4

30,401,286

2,952,692

23,742,000,000

27,448,594

931

698

2000

25,410,000,000

1,518,000,000

95.4

94.5

30,685,730

3,004,198

23,892,000,000

27,681,532

905

535

2001

25,919,000,000

1,516,000,000

97.8

96.7

31,019,020

3,058,017

24,403,000,000

27,961,003

892

513

2002

24,597,000,000

1,213,000,000

100.0

100.0

31,353,656

3,128,364

23,384,000,000

28,225,292

828

388

2003

23,961,000,000

890,000,000

102.8

104.4

31,639,670

3,183,396

23,071,000,000

28,456,274

789

268

2004

23,338,000,000

658,000,000

104.7

105.9

31,940,676

3,239,471

22,680,000,000

28,701,205

755

192

2005

23,243,000,000

681,000,000

107.0

108.1

32,245,209

3,322,200

22,562,000,000

28,923,009

729

190

2006

23,144,000,000

594,000,000

109.1

112.3

32,576,074

3,421,253

22,550,000,000

29,154,821

709

155

2007

23,632,000,000

601,000,000

111.5

117.9

32,927,372

3,510,892

23,031,000,000

29,416,480

702

145

2008

24,124,000,000

595,000,000

114.1

121.6

33,311,389

3,585,142

23,529,000,000

29,726,247

694

136

Year

CAN Debt
Charges

AB Debt
Charges

CAN CPI

AB CPI

CAN pop

(1)

v645194
(2)

v645788
(3)

v41693271
(4)

v41694625
(5)

1989

13,936,000,000

901,000,000

74.8

1990

15,350,000,000

1,208,000,000

1991

17,412,000,000

1992

Source: CANSIM Debt Charges: AB v645788, Canada v645194;;CPI (2002=100): AB v41694625, Canada v41693271; Population: AB v469503, Canada v466668

80

Table B4: Alberta and Others Real Transportation and Communication Expenditures per capita (2002 $)
AB pop

CAN-AB
Expenditures

CAN-AB
pop

Others Real
expenditures
per capita

AB Real
expenditures
per capita

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

70.9

27,276,781

2,498,325

6,154,000,000

24,778,456

332

519

78.4

75.0

27,691,138

2,547,788

7,062,000,000

25,143,350

358

506

972,000,000

82.8

79.4

28,037,420

2,592,306

7,705,000,000

25,445,114

366

472

8,461,000,000

816,000,000

84.0

80.6

28,371,264

2,632,672

7,645,000,000

25,738,592

354

385

1993

8,316,000,000

781,000,000

85.6

81.4

28,684,764

2,667,292

7,535,000,000

26,017,472

338

360

1994

7,545,000,000

691,000,000

85.7

82.6

29,000,663

2,700,606

6,854,000,000

26,300,057

304

310

1995

8,663,000,000

662,000,000

87.6

84.5

29,302,311

2,734,519

8,001,000,000

26,567,792

344

286

1996

8,713,000,000

618,000,000

88.9

86.4

29,610,218

2,775,133

8,095,000,000

26,835,085

339

258

1997

8,362,000,000

576,000,000

90.4

88.1

29,905,948

2,829,848

7,786,000,000

27,076,100

318

231

1998

8,028,000,000

672,000,000

91.3

89.2

30,155,173

2,899,066

7,356,000,000

27,256,107

296

260

1999

10,586,000,000

759,000,000

92.9

91.4

30,401,286

2,952,692

9,827,000,000

27,448,594

385

281

2000

9,486,000,000

1,215,000,000

95.4

94.5

30,685,730

3,004,198

8,271,000,000

27,681,532

313

428

2001

8,552,000,000

1,217,000,000

97.8

96.7

31,019,020

3,058,017

7,335,000,000

27,961,003

268

412

2002

8,755,000,000

1,309,000,000

100.0

100.0

31,353,656

3,128,364

7,446,000,000

28,225,292

264

418

2003

9,224,000,000

905,000,000

102.8

104.4

31,639,670

3,183,396

8,319,000,000

28,456,274

284

272

2004

9,606,000,000

1,077,000,000

104.7

105.9

31,940,676

3,239,471

8,529,000,000

28,701,205

284

314

2005

10,366,000,000

1,205,000,000

107.0

108.1

32,245,209

3,322,200

9,161,000,000

28,923,009

296

336

2006

13,367,000,000

2,003,000,000

109.1

112.3

32,576,074

3,421,253

11,364,000,000

29,154,821

357

521

2007

14,168,000,000

2,102,000,000

111.5

117.9

32,927,372

3,510,892

12,066,000,000

29,416,480

368

508

2008

16,802,000,000

3,093,000,000

114.1

121.6

33,311,389

3,585,142

13,709,000,000

29,726,247

404

709

Year

CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

(1)

v645197
(2)

v645791
(3)

v41693271
(4)

v41694625
(5)

1989

7,074,000,000

920,000,000

74.8

1990

8,028,000,000

966,000,000

1991

8,677,000,000

1992

Source: CANSIM;
Transportation and Communication: AB v645791, Canada v645197
CPI (2002=100): AB v41694625, Canada v41693271;
Population: AB v469503, Canada v466668

81

Table B5: Provincial Real Transportation and Communication Expenditures per capita (2002 $)
Year
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

Quebec
312
318
293
303
307
290
293
291
282
255
287
284
285
320
388
337
339
375
387
412

Ontario
287
297
357
322
308
242
307
302
283
269
340
174
182
170
195
206
232
316
292
330

Manitoba
283
304
288
262
267
246
266
257
229
212
245
245
213
211
219
223
160
277
473
401

Saskatchewan
378
389
375
311
237
269
258
284
293
304
275
271
317
356
334
327
320
349
437
442

Alberta
519
506
472
385
360
310
286
258
231
260
281
428
412
418
272
314
336
521
507
707

BC
386
501
448
475
388
375
446
405
376
319
665
604
324
295
267
314
339
383
401
404

NF&L
467
523
468
443
513
468
527
504
442
583
608
667
712
658
574
555
495
651
826
840

PEI
711
704
692
728
699
642
610
577
650
727
708
664
639
665
570
666
564
624
688
726

Nova Scotia
393
427
344
324
382
343
350
381
312
295
308
245
263
213
251
282
273
280
364
352

New
Brunswick
474
549
578
547
546
577
570
656
614
576
561
866
610
512
432
461
489
491
506
1,117

Source: CANSIM;
Expenditures: QUE ONT MB
SK
AB
BC
NF&L PEI
NS
NB
GDP: QUE v687511 ON v687545 MB v687579 SK v687613 AB v687647 BC v687681 NF&L v687375 PEI v687409 NS v687443 NB v687477
Population: QUE v468243 ONT v468558 MB v468873 SK v469188 AB v469503 BC v469818 NF&L v466983 PEI v467298 N S v467613 NB v467928

82

Table B6: Alberta and Others Real Environment Expenditures per capita (2002 $)

Year

CAN
Expenditures
v645216

AB
Expenditures
v645810

CAN CPI
v41693271

AB CPI
v41694625

CAN pop
v466668

AB pop
v469503

CAN-AB
Expenditures

CAN-AB pop

Others Real
per capita

AB Real
per capita

1989

1,588,000,000

241,000,000

74.8

70.9

27,276,781

2,498,325

1,347,000,000

24,778,456

73

136

1990

1,882,000,000

275,000,000

78.4

75.0

27,691,138

2,547,788

1,607,000,000

25,143,350

82

144

1991

2,109,000,000

294,000,000

82.8

79.4

28,037,420

2,592,306

1,815,000,000

25,445,114

86

143

1992

2,188,000,000

230,000,000

84.0

80.6

28,371,264

2,632,672

1,958,000,000

25,738,592

91

108

1993

2,061,000,000

202,000,000

85.6

81.4

28,684,764

2,667,292

1,859,000,000

26,017,472

83

93

1994

1,911,000,000

193,000,000

85.7

82.6

29,000,663

2,700,606

1,718,000,000

26,300,057

76

87

1995

2,144,000,000

405,000,000

87.6

84.5

29,302,311

2,734,519

1,739,000,000

26,567,792

75

175

1996

2,080,000,000

301,000,000

88.9

86.4

29,610,218

2,775,133

1,779,000,000

26,835,085

75

126

1997

1,923,000,000

312,000,000

90.4

88.1

29,905,948

2,829,848

1,611,000,000

27,076,100

66

125

1998

1,707,000,000

287,000,000

91.3

89.2

30,155,173

2,899,066

1,420,000,000

27,256,107

57

111

1999

1,512,000,000

212,000,000

92.9

91.4

30,401,286

2,952,692

1,300,000,000

27,448,594

51

79

2000

1,681,000,000

273,000,000

95.4

94.5

30,685,730

3,004,198

1,408,000,000

27,681,532

53

96

2001

1,401,000,000

234,000,000

97.8

96.7

31,019,020

3,058,017

1,167,000,000

27,961,003

43

79

2002

1,525,000,000

223,000,000

100.0

100.0

31,353,656

3,128,364

1,302,000,000

28,225,292

46

71

2003

1,715,000,000

230,000,000

102.8

104.4

31,639,670

3,183,396

1,485,000,000

28,456,274

51

69

2004

1,646,000,000

214,000,000

104.7

105.9

31,940,676

3,239,471

1,432,000,000

28,701,205

48

62

2005

1,822,000,000

242,000,000

107.0

108.1

32,245,209

3,322,200

1,580,000,000

28,923,009

51

67

2006

2,009,000,000

479,000,000

109.1

112.3

32,576,074

3,421,253

1,530,000,000

29,154,821

48

125

2007

2,314,000,000

473,000,000

111.5

117.9

32,927,372

3,510,892

1,841,000,000

29,416,480

56

114

2008

2,506,000,000

593,000,000

114.1

121.6

33,311,389

3,585,142

1,913,000,000

29,726,247

56

136

Source: CANSIM;
Environment: AB v645810, Canada v645216
CPI (2002=100): AB v41694625, Canada v41693271;
Population: AB v469503, Canada v466668

83

Table B7 : Provincial Expenditures on Environment per capita (2002$)

1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008

Quebec
102
109
106
94
97
104
108
114
95
88
76
66
60
63
68
62
61
63
83
80

Ontario
60
67
77
83
77
59
52
56
49
34
33
46
29
31
29
29
31
26
29
31

Manitoba
25
27
28
33
46
49
60
36
51
60
56
55
47
40
36
36
44
57
57
48

Saskatchewan
128
138
153
207
64
100
66
69
89
62
82
74
78
88
96
92
100
88
98
93

Alberta
136
144
143
108
93
87
175
126
125
111
79
96
79
71
69
62
67
125
114
136

BC
67
87
85
102
98
85
79
61
61
52
34
32
36
45
60
54
57
54
57
59

NF&L
23
24
43
34
48
30
51
45
31
100
92
88
92
104
131
120
114
136
155
168

PEI
51
59
55
63
70
87
102
58
57
57
56
139
98
168
253
185
153
188
191
232

Nova Scotia
45
55
58
57
47
37
55
58
38
38
41
42
30
29
37
36
53
42
41
57

New
Brunswick
51
60
62
92
81
87
116
111
91
90
84
83
30
28
57
59
70
47
88
67

Source: CANSIM;
Expenditures: QUE ONT MB
SK
AB
BC
NF&L PEI
NS
NB
GDP: QUE v687511 ON v687545 MB v687579 SK v687613 AB v687647 BC v687681 NF&L v687375 PEI v687409 NS v687443 NB v687477
Population: QUE v468243 ONT v468558 MB v468873 SK v469188 AB v469503 BC v469818 NF&L v466983 PEI v467298 N S v467613 NB v467928

84

Table B8: Alberta and Others Real Resource Conservation and Industrial Development Expenditures per capita (2002 $)

Year
(1)

CAN
Expenditures
v645215
(2)

AB
Expenditures
v645809
(3)

CAN CPI

AB CPI

v41693271
(4)

v41694625
(5)

CAN pop
v466668
(6)

AB pop
v469503
(7)

CAN-AB
Expenditures
(8)=(2)-(3)

CAN-AB
pop
(9)=(6)-(7)

Others Real
Resource
Conservation
& Industrial
Development
Expenditures
per capita

AB Real
Resource
Conservation
& Industrial
Development
Expenditures
per capita

(10)=(8)*100/
(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

1989

7,478,000,000

1,775,000,000

74.8

70.9

27,276,781

2,498,325

5,703,000,000

24,778,456

308

1,002

1990

8,478,000,000

1,696,000,000

78.4

75.0

27,691,138

2,547,788

6,782,000,000

25,143,350

344

888

1991

7,975,000,000

1,614,000,000

82.8

79.4

28,037,420

2,592,306

6,361,000,000

25,445,114

302

784

1992

9,815,000,000

1,856,000,000

84.0

80.6

28,371,264

2,632,672

7,959,000,000

25,738,592

368

875

1993

9,349,000,000

2,142,000,000

85.6

81.4

28,684,764

2,667,292

7,207,000,000

26,017,472

324

987

1994

8,242,000,000

1,546,000,000

85.7

82.6

29,000,663

2,700,606

6,696,000,000

26,300,057

297

693

1995

7,284,000,000

1,139,000,000

87.6

84.5

29,302,311

2,734,519

6,145,000,000

26,567,792

264

493

1996

7,209,000,000

1,039,000,000

88.9

86.4

29,610,218

2,775,133

6,170,000,000

26,835,085

259

433

1997

6,954,000,000

885,000,000

90.4

88.1

29,905,948

2,829,848

6,069,000,000

27,076,100

248

355

1998

6,487,000,000

782,000,000

91.3

89.2

30,155,173

2,899,066

5,705,000,000

27,256,107

229

302

1999

7,868,000,000

948,000,000

92.9

91.4

30,401,286

2,952,692

6,920,000,000

27,448,594

271

351

2000

8,752,000,000

1,236,000,000

95.4

94.5

30,685,730

3,004,198

7,516,000,000

27,681,532

285

435

2001

8,922,000,000

1,174,000,000

97.8

96.7

31,019,020

3,058,017

7,748,000,000

27,961,003

283

397

2002

9,797,000,000

1,648,000,000

100.0

100.0

31,353,656

3,128,364

8,149,000,000

28,225,292

289

527

2003

11,459,000,000

2,426,000,000

102.8

104.4

31,639,670

3,183,396

9,033,000,000

28,456,274

309

730

2004

10,228,000,000

2,108,000,000

104.7

105.9

31,940,676

3,239,471

8,120,000,000

28,701,205

270

614

2005

10,288,000,000

1,972,000,000

107.0

108.1

32,245,209

3,322,200

8,316,000,000

28,923,009

269

549

2006

10,916,000,000

1,967,000,000

109.1

112.3

32,576,074

3,421,253

8,949,000,000

29,154,821

281

512

2007

11,709,000,000

2,047,000,000

111.5

117.9

32,927,372

3,510,892

9,662,000,000

29,416,480

295

495

2008

12,391,000,000

1,786,000,000

114.1

121.6

33,311,389

3,585,142

10,605,000,000

29,726,247

313

410

Source: CANSIM Resource Conservation and Industrial Development: AB v645809, Canada v645215 CPI (2002=100): AB v41694625,
Canada v41693271Population: AB v469503,
Canada v466668

85

Appendix C

86

Appendix C List of Tables

Table C1: Alberta and Others Real Protection of Persons and Property Expenditures per capita (02 $)
Table C2: Provincial Expenditures on Protection of Persons & Property (per capita 02$)
Table C3: Alberta and Others Real Housing Expenditure per capita (02 $)
Table C4: Provincial Real Housing Expenditure per capita (02 $)
Table C5: Alberta & Others Real
12 & Post-Secondary Expenditures per capita (02 $)
Table C7: Alberta & Others K-12 Education Expenditures per Capita (2002 $)
Table C8: Alberta & Others Post-Secondary Education Expenditures per Capita (2002 $)
Table C9: Alberta & Others Real Health Expenditures per capita (02 $)
Table C10: Alberta Age Adjusted Health Expenditure per capita (02 $)
Table C11: Health Expenditures as Percentage of GDP
Table C12: Health Expenditures as % of Total Budget (2002 $)
Table C13: Spending on Specific Health Components Per Capita (2002 $)

87

Table C1: Alberta and Others Real Protection of Persons and Property Expenditures per capita (2002 $)
CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

AB pop

v645196

v645790

v41693271

v41694625

v466668

1989

4,801,000,000

454,000,000

74.8

70.9

1990

5,311,000,000

544,000,000

78.4

1991

5,928,000,000

495,000,000

1992

6,374,000,000

1993

v469503

CAN-AB
Expenditures

Others
Real
AB Real
CAN-AB pop per capita per capita

27,276,781

2,498,325

4,347,000,000

24,778,456

235

256

75.0

27,691,138

2,547,788

4,767,000,000

25,143,350

242

285

82.8

79.4

28,037,420

2,592,306

5,433,000,000

25,445,114

258

240

542,000,000

84.0

80.6

28,371,264

2,632,672

5,832,000,000

25,738,592

270

255

6,432,000,000

543,000,000

85.6

81.4

28,684,764

2,667,292

5,889,000,000

26,017,472

264

250

1994

6,430,000,000

506,000,000

85.7

82.6

29,000,663

2,700,606

5,924,000,000

26,300,057

263

227

1995

6,385,000,000

433,000,000

87.6

84.5

29,302,311

2,734,519

5,952,000,000

26,567,792

256

187

1996

6,553,000,000

473,000,000

88.9

86.4

29,610,218

2,775,133

6,080,000,000

26,835,085

255

197

1997

6,808,000,000

542,000,000

90.4

88.1

29,905,948

2,829,848

6,266,000,000

27,076,100

256

217

1998

7,432,000,000

549,000,000

91.3

89.2

30,155,173

2,899,066

6,883,000,000

27,256,107

277

212

1999

7,302,000,000

544,000,000

92.9

91.4

30,401,286

2,952,692

6,758,000,000

27,448,594

265

202

2000

7,763,000,000

553,000,000

95.4

94.5

30,685,730

3,004,198

7,210,000,000

27,681,532

273

195

2001

8,167,000,000

569,000,000

97.8

96.7

31,019,020

3,058,017

7,598,000,000

27,961,003

278

192

2002

8,681,000,000

658,000,000

100.0

100.0

31,353,656

3,128,364

8,023,000,000

28,225,292

284

210

2003

9,041,000,000

621,000,000

102.8

104.4

31,639,670

3,183,396

8,420,000,000

28,456,274

288

187

2004

9,423,000,000

671,000,000

104.7

105.9

31,940,676

3,239,471

8,752,000,000

28,701,205

291

196

2005

9,370,000,000

826,000,000

107.0

108.1

32,245,209

3,322,200

8,544,000,000

28,923,009

276

230

2006

9,836,000,000

990,000,000

109.1

112.3

32,576,074

3,421,253

8,846,000,000

29,154,821

278

258

2007

10,607,000,000 992,000,000

111.5

117.9

32,927,372

3,510,892

9,615,000,000

29,416,480

293

240

2008

11,494,000,000 1,112,000,000

114.1

121.6

33,311,389

3,585,142

10,382,000,000 29,726,247

306

255

Year

Source: CANSIM
Protection of Persons & Property: AB v645790, Canada v645196
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

88

Table C2: Provincial Expenditures on Protection of Persons & Property per capita (2002$)
Year

Quebec

Ontario

Man

Sask

Alberta

BC

NF&L

PEI

NS

NB

1989

259

217

214

229

256

213

287

247

219

179

1990

243

239

224

235

285

228

305

225

225

185

1991

267

261

222

237

240

228

288

209

231

187

1992

263

279

225

240

255

266

293

225

223

190

1993

268

266

232

243

250

258

264

236

219

192

1994

256

263

222

250

227

275

272

269

204

209

1995

250

248

243

245

187

272

287

229

215

215

1996

250

245

253

247

197

258

304

190

268

207

1997

283

229

234

247

217

262

332

244

230

215

1998

326

235

424

263

212

258

284

204

243

201

1999

283

243

320

301

202

252

304

233

240

203

2000

255

266

380

306

195

271

310

239

239

210

2001

262

261

300

345

192

308

355

255

246

216

2002

273

264

314

369

210

297

423

270

267

227

2003

293

265

309

380

187

279

401

261

271

232

2004

304

261

328

379

196

274

433

268

302

238

2005

284

261

284

370

230

232

408

266

268

240

2006

275

259

315

401

258

251

433

253

283

259

2007

301

274

312

426

240

248

547

255

298

263

2008

296

294

355

456

254

262

570

256

322

242

Source: CANSIM;
Expenditures: QUE ONT MB
SK
AB
BC
NF&L PEI
NS
NB
GDP: QUE v687511 ON v687545 MB v687579 SK v687613 AB v687647 BC v687681 NF&L v687375 PEI v687409 NS v687443 NB v687477
Population: QUE v468243 ONT v468558 MB v468873 SK v469188 AB v469503 BC v469818 NF&L v466983 PEI v467298 N S v467613 NB v467928

89

Table C3 : AB Expenditures on Housing per capita 2002$)

Year

CAN
Expenditure
v645189

AB
Expenditure
v645783

Can CPI
v41693271

ABCPI
v41694625

CAN pop
v466668

AB pop
v469503

CAN-AB
Expenditures

CAN-AB pop

Others Real
per capita

AB Real
per capita

1989

1732000000

204000000

74.8

70.9

27,276,781

2,498,325

1528000000

24778456

82

115

1990

1816000000

221000000

78.4

75.0

27,691,138

2,547,788

1595000000

25143350

81

116

1991

2141000000

382000000

82.8

79.4

28,037,420

2,592,306

1759000000

25445114

83

186

1992

2284000000

248000000

84.0

80.6

28,371,264

2,632,672

2036000000

25738592

94

117

1993

2462000000

298000000

85.6

81.4

28,684,764

2,667,292

2164000000

26017472

97

137

1994

2481000000

234000000

85.7

82.6

29,000,663

2,700,606

2247000000

26300057

100

105

1995

2618000000

294000000

87.6

84.5

29,302,311

2,734,519

2324000000

26567792

100

127

1996

2518000000

155000000

88.9

86.4

29,610,218

2,775,133

2363000000

26835085

99

65

1997

2632000000

122000000

90.4

88.1

29,905,948

2,829,848

2510000000

27076100

103

49

1998

2559000000

146000000

91.3

89.2

30,155,173

2,899,066

2413000000

27256107

97

56

1999

2391000000

124000000

92.9

91.4

30,401,286

2,952,692

2267000000

27448594

89

46

2000

2366000000

101000000

95.4

94.5

30,685,730

3,004,198

2265000000

27681532

86

36

2001

2662000000

102000000

97.8

96.7

31,019,020

3,058,017

2560000000

27961003

94

34

2002

2085000000

121000000

100.0

100.0

31,353,656

3,128,364

1964000000

28225292

70

39

2003

1790000000

152000000

102.8

104.4

31,639,670

3,183,396

1638000000

28456274

56

46

2004

1941000000

195000000

104.7

105.9

31,940,676

3,239,471

1746000000

28701205

58

57

2005

2037000000

184000000

107.0

108.1

32,245,209

3,322,200

1853000000

28923009

60

51

2006

2312000000

242000000

109.1

112.3

32,576,074

3,421,253

2070000000

29154821

65

63

2007

2700000000

330000000

111.5

117.9

32,927,372

3,510,892

2370000000

29416480

72

80

2008

3102000000

480000000

114.1

121.6

33,311,389

3,585,142

2622000000

29726247

77

110

Source: CANSIM
Housing: AB v645783, Canada v645189
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

90

Table C4 : Provincial Expenditures on Housing per capita (2002$)

Quebec

Ontario

Manitoba

Saskatchewan

Alberta

BC

NF&L

PEI

Nova
Scotia

New Brunswick

1989

58

86

89

168

115

37

121

62

128

67

1990

59

85

93

149

116

34

135

68

112

69

1991

57

97

88

125

186

36

108

64

112

70

1992

64

118

87

92

117

42

95

54

100

117

1993

68

132

75

81

137

29

107

61

102

70

1994

55

146

68

65

105

26

101

35

112

73

1995

55

149

76

66

127

19

113

25

112

63

1996

45

151

74

58

65

30

111

41

99

65

1997

36

170

70

53

49

20

106

32

87

83

1998

43

147

66

129

56

20

94

25

83

74

1999

47

124

61

117

46

25

96

32

69

67

2000

50

117

62

158

36

18

86

39

54

60

2001

42

131

69

157

34

35

92

38

74

81

2002

45

78

61

131

39

32

81

37

84

81

2003

42

41

62

134

46

35

81

35

107

77

2004

53

44

56

123

57

31

79

34

90

78

2005

50

47

63

130

51

30

72

27

124

83

2006

53

49

64

127

63

41

77

39

148

86

2007

50

56

66

135

80

68

92

57

146

93

2008

68

56

67

154

110

64

121

55

147

98

Source: CANSIM;
Expenditures: QUE ONT MB
SK
AB
BC
NF&L PEI
NS
NB
GDP: QUE v687511 ON v687545 MB v687579 SK v687613 AB v687647 BC v687681 NF&L v687375 PEI v687409 NS v687443 NB v687477
Population: QUE v468243 ONT v468558 MB v468873 SK v469188 AB v469503 BC v469818 NF&L v466983 PEI v467298 N S v467613 NB v467928

91

Table C5: Alberta and Others Real Social Services Expenditures per capita (2002 $)
Year

CAN Social
Services
Expenditures

AB Social
Services
Expenditures

AB pop

CAN-AB Social
Services
Expenditures

CAN-AB
pop

Others Real
Social Services
per capita

AB Real
Social Services
per capita

CAN CPI

AB CPI

CAN pop

(1)

v631850
(2)

v632444
(3)

v41693271
(4)

v41694625
(5)

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100
/[(7)*(5)]

1989

26,913,000,000

2,612,000,000

74.8

70.9

27,276,781

2,498,325

24,301,000,000

24,778,456

1,311

1,475

1990

28,356,000,000

2,822,000,000

78.4

75.0

27,691,138

2,547,788

25,534,000,000

25,143,350

1,295

1,477

1991

31,033,000,000

3,125,000,000

82.8

79.4

28,037,420

2,592,306

27,908,000,000

25,445,114

1,325

1,518

1992

34,664,000,000

3,414,000,000

84.0

80.6

28,371,264

2,632,672

31,250,000,000

25,738,592

1,445

1,609

1993

37,008,000,000

3,590,000,000

85.6

81.4

28,684,764

2,667,292

33,418,000,000

26,017,472

1,501

1,653

1994

39,362,000,000

4,056,000,000

85.7

82.6

29,000,663

2,700,606

35,306,000,000

26,300,057

1,566

1,818

1995

38,348,000,000

2,157,000,000

87.6

84.5

29,302,311

2,734,519

36,191,000,000

26,567,792

1,555

933

1996

38,020,000,000

2,166,000,000

88.9

86.4

29,610,218

2,775,133

35,854,000,000

26,835,085

1,503

903

1997

36,912,000,000

2,367,000,000

90.4

88.1

29,905,948

2,829,848

34,545,000,000

27,076,100

1,411

949

1998

36,920,000,000

2,428,000,000

91.3

89.2

30,155,173

2,899,066

34,492,000,000

27,256,107

1,386

939

1999

38,152,000,000

2,429,000,000

92.9

91.4

30,401,286

2,952,692

35,723,000,000

27,448,594

1,401

900

2000

39,115,000,000

2,512,000,000

95.4

94.5

30,685,730

3,004,198

36,603,000,000

27,681,532

1,386

885

2001

42,168,000,000

3,361,000,000

97.8

96.7

31,019,020

3,058,017

38,807,000,000

27,961,003

1,419

1,137

2002

44,094,000,000

3,599,000,000

100.0

100.0

31,353,656

3,128,364

40,495,000,000

28,225,292

1,435

1,150

2003

44,952,000,000

3,605,000,000

102.8

104.4

31,639,670

3,183,396

41,347,000,000

28,456,274

1,413

1,085

2004

46,300,000,000

3,399,000,000

104.7

105.9

31,940,676

3,239,471

42,901,000,000

28,701,205

1,428

991

2005

48,432,000,000

3,666,000,000

107.0

108.1

32,245,209

3,322,200

44,766,000,000

28,923,009

1,447

1,021

2006

51,980,000,000

3,971,000,000

109.1

112.3

32,576,074

3,421,253

48,009,000,000

29,154,821

1,509

1,034

2007

56,705,000,000

4,189,000,000

111.5

117.9

32,927,372

3,510,892

52,516,000,000

29,416,480

1,601

1,012

2008

60,316,000,000

4,808,000,000

114.1

121.6

33,311,389

3,585,142

55,508,000,000

29,726,247

1,637

1,103

Note: Provincial and Local government consolidated data

Source: CANSIM Social Services: AB v632444, Canada v631850 CPI (2002=100): AB v41694625, Canada v41693271, Population: AB v469503, Canada v466668

92

Table C6: Alberta & Others K-12 & Post-Secondary Expenditures per capita (2002 $)
Year

CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

CAN-AB pop

Others
Real per
capita

AB Real
per
capita

AB pop

v631858-9

v632452-3

v41693271

v41694625

v466668

v469503

CAN-AB
Expenditures

1989

36,605,000,000

3,632,000,000

74.8

70.9

27,276,781

2,498,325

32,973,000,000

24,778,456

1,779

2,050

1990

39,502,000,000

3,923,000,000

78.4

75.0

27,691,138

2,547,788

35,579,000,000

25,143,350

1,805

2,053

1991

43,340,000,000

4,146,000,000

82.8

79.4

28,037,420

2,592,306

39,194,000,000

25,445,114

1,860

2,014

1992

47,635,000,000

4,382,000,000

84.0

80.6

28,371,264

2,632,672

43,253,000,000

25,738,592

2,001

2,065

1993

50,017,000,000

4,670,000,000

85.6

81.4

28,684,764

2,667,292

45,347,000,000

26,017,472

2,036

2,151

1994

49,836,000,000

4,758,000,000

85.7

82.6

29,000,663

2,700,606

45,078,000,000

26,300,057

2,000

2,133

1995

50,954,000,000

4,742,000,000

87.6

84.5

29,302,311

2,734,519

46,212,000,000

26,567,792

1,986

2,052

1996

50,689,000,000

4,476,000,000

88.9

86.4

29,610,218

2,775,133

46,213,000,000

26,835,085

1,937

1,867

1997

50,371,000,000

4,539,000,000

90.4

88.1

29,905,948

2,829,848

45,832,000,000

27,076,100

1,872

1,821

1998

50,937,000,000

4,839,000,000

91.3

89.2

30,155,173

2,899,066

46,098,000,000

27,256,107

1,852

1,871

1999

52,327,000,000

5,217,000,000

92.9

91.4

30,401,286

2,952,692

47,110,000,000

27,448,594

1,847

1,933

2000

54,331,000,000

5,579,000,000

95.4

94.5

30,685,730

3,004,198

48,752,000,000

27,681,532

1,846

1,965

2001

57,233,000,000

6,195,000,000

97.8

96.7

31,019,020

3,058,017

51,038,000,000

27,961,003

1,866

2,095

2002

60,512,000,000

6,792,000,000

100.0

100.0

31,353,656

3,128,364

53,720,000,000

28,225,292

1,903

2,171

2003

64,112,000,000

7,180,000,000

102.8

104.4

31,639,670

3,183,396

56,932,000,000

28,456,274

1,946

2,160

2004

67,669,000,000

7,799,000,000

104.7

105.9

31,940,676

3,239,471

59,870,000,000

28,701,205

1,992

2,273

2005

70,601,000,000

8,077,000,000

107.0

108.1

32,245,209

3,322,200

62,524,000,000

28,923,009

2,020

2,249

2006

78,068,000,000

8,635,000,000

109.1

112.3

32,576,074

3,421,253

69,433,000,000

29,154,821

2,183

2,247

2007

80,342,000,000

9,386,000,000

111.5

117.9

32,927,372

3,510,892

70,956,000,000

29,416,480

2,163

2,268

2008

85,747,000,000

10,530,000,000

114.1

121.6

33,311,389

3,585,142

75,217,000,000

29,726,247

2,218

2,415

Source: CANSIM
K-12 & Post-Secondary: AB v632452-3, Canada v631858-9
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

93

Table C7: Alberta & Others K-12 Education Expenditures per Capita (2002 $)
CAN
Expenditures

AB
Expenditures

CAN CPI

AB CPI

CAN pop

AB pop

Year

v631858

v632452

v41693271

v41694625

v466668

v469503

CAN-AB
Expenditures

CAN-AB
pop

Others Real
per capita

AB Real
per capita

1989

23,567,000,000

2,106,000,000

74.8

70.9

27,276,781

2,498,325

21,461,000,000

24,778,456

1,158

1,189

1990

25,326,000,000

2,301,000,000

78.4

75.0

27,691,138

2,547,788

23,025,000,000

25,143,350

1,168

1,204

1991

27,898,000,000

2,512,000,000

82.8

79.4

28,037,420

2,592,306

25,386,000,000

25,445,114

1,205

1,220

1992

30,908,000,000

2,711,000,000

84.0

80.6

28,371,264

2,632,672

28,197,000,000

25,738,592

1,304

1,278

1993

32,603,000,000

2,928,000,000

85.6

81.4

28,684,764

2,667,292

29,675,000,000

26,017,472

1,332

1,349

1994

32,177,000,000

3,014,000,000

85.7

82.6

29,000,663

2,700,606

29,163,000,000

26,300,057

1,294

1,351

1995

33,195,000,000

3,058,000,000

87.6

84.5

29,302,311

2,734,519

30,137,000,000

26,567,792

1,295

1,323

1996

32,694,000,000

2,772,000,000

88.9

86.4

29,610,218

2,775,133

29,922,000,000

26,835,085

1,254

1,156

1997

32,690,000,000

2,798,000,000

90.4

88.1

29,905,948

2,829,848

29,892,000,000

27,076,100

1,221

1,122

1998

32,732,000,000

2,931,000,000

91.3

89.2

30,155,173

2,899,066

29,801,000,000

27,256,107

1,198

1,133

1999

33,030,000,000

3,207,000,000

92.9

91.4

30,401,286

2,952,692

29,823,000,000

27,448,594

1,170

1,188

2000

33,700,000,000

3,347,000,000

95.4

94.5

30,685,730

3,004,198

30,353,000,000

27,681,532

1,149

1,179

2001

35,134,000,000

3,571,000,000

97.8

96.7

31,019,020

3,058,017

31,563,000,000

27,961,003

1,154

1,208

2002

36,435,000,000

3,965,000,000

100.0

100.0

31,353,656

3,128,364

32,470,000,000

28,225,292

1,150

1,267

2003

37,972,000,000

4,247,000,000

102.8

104.4

31,639,670

3,183,396

33,725,000,000

28,456,274

1,153

1,278

2004

39,447,000,000

4,473,000,000

104.7

105.9

31,940,676

3,239,471

34,974,000,000

28,701,205

1,164

1,304

2005

40,659,000,000

4,538,000,000

107.0

108.1

32,245,209

3,322,200

36,121,000,000

28,923,009

1,167

1,264

2006

46,421,000,000

4,882,000,000

109.1

112.3

32,576,074

3,421,253

41,539,000,000

29,154,821

1,306

1,271

2007

46,828,000,000

5,318,000,000

111.5

117.9

32,927,372

3,510,892

41,510,000,000

29,416,480

1,266

1,285

2008

49,083,000,000

5,488,000,000

114.1

121.6

33,311,389

3,585,142

43,595,000,000

29,726,247

1,285

1,259

Source: CANSIM
K-12 Education: AB v632452-3, Canada v631858-9
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

94

Table C8: Alberta & Others Post-Secondary Education Expenditures per Capita (2002 $)

CAN-AB pop

Others
Real
per capita

AB Real
per capita

11,512,000,000

24,778,456

621

862

2,547,788

12,554,000,000

25,143,350

637

849

28,037,420

2,592,306

13,808,000,000

25,445,114

655

794

80.6

28,371,264

2,632,672

15,056,000,000

25,738,592

696

787

85.6

81.4

28,684,764

2,667,292

15,672,000,000

26,017,472

704

802

1,744,000,000

85.7

82.6

29,000,663

2,700,606

15,915,000,000

26,300,057

706

782

17,759,000,000

1,684,000,000

87.6

84.5

29,302,311

2,734,519

16,075,000,000

26,567,792

691

729

1996

17,995,000,000

1,704,000,000

88.9

86.4

29,610,218

2,775,133

16,291,000,000

26,835,085

683

711

1997

17,681,000,000

1,741,000,000

90.4

88.1

29,905,948

2,829,848

15,940,000,000

27,076,100

651

698

1998

18,205,000,000

1,908,000,000

91.3

89.2

30,155,173

2,899,066

16,297,000,000

27,256,107

655

738

1999

19,297,000,000

2,010,000,000

92.9

91.4

30,401,286

2,952,692

17,287,000,000

27,448,594

678

745

2000

20,631,000,000

2,232,000,000

95.4

94.5

30,685,730

3,004,198

18,399,000,000

27,681,532

697

786

2001

22,099,000,000

2,624,000,000

97.8

96.7

31,019,020

3,058,017

19,475,000,000

27,961,003

712

887

2002

24,077,000,000

2,827,000,000

100.0

100.0

31,353,656

3,128,364

21,250,000,000

28,225,292

753

904

2003

26,140,000,000

2,933,000,000

102.8

104.4

31,639,670

3,183,396

23,207,000,000

28,456,274

793

883

2004

28,222,000,000

3,326,000,000

104.7

105.9

31,940,676

3,239,471

24,896,000,000

28,701,205

828

970

2005

29,942,000,000

3,539,000,000

107.0

108.1

32,245,209

3,322,200

26,403,000,000

28,923,009

853

985

2006

31,647,000,000

3,753,000,000

109.1

112.3

32,576,074

3,421,253

27,894,000,000

29,154,821

877

977

2007

33,514,000,000

4,068,000,000

111.5

117.9

32,927,372

3,510,892

29,446,000,000

29,416,480

898

983

2008

36,664,000,000

5,042,000,000

114.1

121.6

33,311,389

3,585,142

31,622,000,000

29,726,247

932

1,157

CAN
Expenditures

AB
Expenditures

CAN-AB
Expenditures

CAN CPI

AB CPI

CAN pop

AB pop

Year

v631859

v632453

v41693271

v41694625

v466668

v469503

1989

13,038,000,000

1,526,000,000

74.8

70.9

27,276,781

2,498,325

1990

14,176,000,000

1,622,000,000

78.4

75.0

27,691,138

1991

15,442,000,000

1,634,000,000

82.8

79.4

1992

16,727,000,000

1,671,000,000

84.0

1993

17,414,000,000

1,742,000,000

1994

17,659,000,000

1995

Source: CANSIM
K-12 Education: AB v632453, Canada v631859
CPI (2002=100): AB v41694625, Canada v41693271
Population: AB v469503, Canada v466668

95

Table C9: Alberta and Others Real Health Expenditures Per Capita (2002 $)
AB pop

CAN-AB
Health
Expenditures

CAN-AB
pop

Others Real
Health
expenditures
per capita

AB Real Health
expenditures
per capita

v466668
(6)

v469503
(7)

(8)=(2)-(3)

(9)=(6)-(7)

(10)=(8)*100/
[(9)*(4)]

(11)=(3)*100/
[(7)*(5)]

70.9

27,276,781

2,498,325

33,006,000,000

24,778,456

1,781

2,005

78.4

75.0

27,691,138

2,547,788

36,370,000,000

25,143,350

1,845

2,024

4,119,000,000

82.8

79.4

28,037,420

2,592,306

39,735,000,000

25,445,114

1,886

2,001

48,154,000,000

4,386,000,000

84.0

80.6

28,371,264

2,632,672

43,768,000,000

25,738,592

2,024

2,067

1993

49,963,000,000

4,800,000,000

85.6

81.4

28,684,764

2,667,292

45,163,000,000

26,017,472

2,028

2,211

1994

50,588,000,000

4,543,000,000

85.7

82.6

29,000,663

2,700,606

46,045,000,000

26,300,057

2,043

2,037

1995

50,793,000,000

4,179,000,000

87.6

84.5

29,302,311

2,734,519

46,614,000,000

26,567,792

2,003

1,809

1996

52,185,000,000

3,989,000,000

88.9

86.4

29,610,218

2,775,133

48,196,000,000

26,835,085

2,020

1,664

1997

52,386,000,000

4,245,000,000

90.4

88.1

29,905,948

2,829,848

48,141,000,000

27,076,100

1,967

1,703

1998

55,491,000,000

4,708,000,000

91.3

89.2

30,155,173

2,899,066

50,783,000,000

27,256,107

2,041

1,821

1999

59,607,000,000

5,154,000,000

92.9

91.4

30,401,286

2,952,692

54,453,000,000

27,448,594

2,135

1,910

2000

62,834,000,000

5,741,000,000

95.4

94.5

30,685,730

3,004,198

57,093,000,000

27,681,532

2,162

2,022

2001

67,947,000,000

6,148,000,000

97.8

96.7

31,019,020

3,058,017

61,799,000,000

27,961,003

2,260

2,079

2002

73,669,000,000

7,186,000,000

100.0

100.0

31,353,656

3,128,364

66,483,000,000

28,225,292

2,355

2,297

2003

79,229,000,000

7,664,000,000

102.8

104.4

31,639,670

3,183,396

71,565,000,000

28,456,274

2,446

2,306

2004

84,973,000,000

8,422,000,000

104.7

105.9

31,940,676

3,239,471

76,551,000,000

28,701,205

2,547

2,455

2005

89,556,000,000

8,896,000,000

107.0

108.1

32,245,209

3,322,200

80,660,000,000

28,923,009

2,606

2,477

2006

94,323,000,000

9,825,000,000

109.1

112.3

32,576,074

3,421,253

84,498,000,000

29,154,821

2,657

2,557

2007

102,031,000,000

10,673,000,000

111.5

117.9

32,927,372

3,510,892

91,358,000,000

29,416,480

2,785

2,578

2008

108,241,000,000

11,987,000,000

114.1

121.6

33,311,389

3,585,142

96,254,000,000

29,726,247

2,838

2,750

CAN Health
Expenditures

AB Health
Expenditures

CAN CPI

AB CPI

CAN pop

(1)

v645198
(2)

v645792
(3)

v41693271
(4)

v41694625
(5)

1989

36,557,000,000

3,551,000,000

74.8

1990

40,237,000,000

3,867,000,000

1991

43,854,000,000

1992

Year

Source: CANSIM Health Expenditures: AB v645792, Canada v645198 CPI (2002=100): AB v41694625, Canada v41693271 Population: AB v469503, Canada v466668

96

Table C10: Alberta Age Adjusted Health Expenditure

Year

CIHI Age/Sex
Adjusted Expenditure
per capita

CANSIM Expenditure
per capita
v645792

2002

2687

2297

2003

2306

2004

2902

2455

2005

3124

2477

2006

3194

2557

2007

3252

2578

Note: Data point for CIHI age/sex standardized for 2003 is not available
Source: CANSIM: v645792
CIHI: Table B.4.1, Table 7: National Health Expenditure Trends, 1975 2009,
Table 1: Provincial and Territorial Government Health Expenditure by Age Group,
Sex and Major Category: Recent and Future Growth Rates May 2005

97

Table C11: Health Expenditures as Percentage of GDP

CA - AB GDP ($)

CA-AB Health
expenditures
($)

Others Health
Expenditures/
GDP (%)

Alberta
Health
Expenditures/
GDP (%)

Year

CA GDP ($)

AB GDP ($)

CA Health
expenditures ($)

AB Health
expenditures
($)

(1)

v687341
(2)

v687647
(3)

v645198
(4)

v645792
(5)

(6)=(2)-(3)

(7)=(4)-(5)

(8)=(7)/(6)

(9)=(5)/(3)

1989

657,728,000,000

67,377,000,000

36,557,000,000

3,551,000,000

590,351,000,000

33,006,000,000

5.59%

5.27%

1990

679,921,000,000

73,257,000,000

40,237,000,000

3,867,000,000

606,664,000,000

36,370,000,000

6.00%

5.28%

1991

685,367,000,000

72,892,000,000

43,854,000,000

4,119,000,000

612,475,000,000

39,735,000,000

6.49%

5.65%

1992

700,480,000,000

74,936,000,000

48,154,000,000

4,386,000,000

625,544,000,000

43,768,000,000

7.00%

5.85%

1993

727,184,000,000

81,179,000,000

49,963,000,000

4,800,000,000

646,005,000,000

45,163,000,000

6.99%

5.91%

1994

770,873,000,000

88,041,000,000

50,588,000,000

4,543,000,000

682,832,000,000

46,045,000,000

6.74%

5.16%

1995

810,426,000,000

92,036,000,000

50,793,000,000

4,179,000,000

718,390,000,000

46,614,000,000

6.49%

4.54%

1996

836,864,000,000

98,634,000,000

52,185,000,000

3,989,000,000

738,230,000,000

48,196,000,000

6.53%

4.04%

1997

882,733,000,000

107,048,000,000

52,386,000,000

4,245,000,000

775,685,000,000

48,141,000,000

6.21%

3.97%

1998

914,973,000,000

107,439,000,000

55,491,000,000

4,708,000,000

807,534,000,000

50,783,000,000

6.29%

4.38%

1999

982,441,000,000

117,080,000,000

59,607,000,000

5,154,000,000

865,361,000,000

54,453,000,000

6.29%

4.40%

2000

1,076,577,000,000

144,789,000,000

62,834,000,000

5,741,000,000

931,788,000,000

57,093,000,000

6.13%

3.97%

2001

1,108,048,000,000

151,274,000,000

67,947,000,000

6,148,000,000

956,774,000,000

61,799,000,000

6.46%

4.06%

2002

1,152,905,000,000

150,594,000,000

73,669,000,000

7,186,000,000

1,002,311,000,000

66,483,000,000

6.63%

4.77%

2003

1,213,175,000,000

170,113,000,000

79,229,000,000

7,664,000,000

1,043,062,000,000

71,565,000,000

6.86%

4.51%

2004

1,290,906,000,000

189,743,000,000

84,973,000,000

8,422,000,000

1,101,163,000,000

76,551,000,000

6.95%

4.44%

2005

1,373,845,000,000

219,810,000,000

89,556,000,000

8,896,000,000

1,154,035,000,000

80,660,000,000

6.99%

4.05%

2006

1,449,215,000,000

238,410,000,000

94,323,000,000

9,825,000,000

1,210,805,000,000

84,498,000,000

6.98%

4.12%

2007

1,532,944,000,000

256,915,000,000

102,031,000,000

10,673,000,000

1,276,029,000,000

91,358,000,000

7.16%

4.15%

2008

1,600,081,000,000

291,256,000,000

108,241,000,000

11,987,000,000

1,308,825,000,000

96,254,000,000

7.35%

4.12%

Source: CANSIM Health Expenditures: AB v645792, Canada v645198; Nominal GDP: AB v687647, Canada v687341

98

Table C12: Health Expenditures as % of Total Budget (2002 $)

CA - AB Total
Expenditures ($)

CA-AB Health
expenditures
($)

Others Health
Expenditures/
Total Budget
(%)

Alberta
Expenditures/
Total Budget
(%)

v645792
(5)

(6)=(2)-(3)

(7)=(4)-(5)

(8)=(7)/(6)

(9)=(5)/(3)

36,557,000,000

3,551,000,000

123,659,000,000

33,006,000,000

26.69%

24.18%

15,933,000,000

40,237,000,000

3,867,000,000

133,038,000,000

36,370,000,000

27.34%

24.27%

162,418,000,000

16,868,000,000

43,854,000,000

4,119,000,000

145,550,000,000

39,735,000,000

27.30%

24.42%

1992

177,115,000,000

17,375,000,000

48,154,000,000

4,386,000,000

159,740,000,000

43,768,000,000

27.40%

25.24%

1993

183,752,000,000

18,731,000,000

49,963,000,000

4,800,000,000

165,021,000,000

45,163,000,000

27.37%

25.63%

1994

187,551,000,000

18,337,000,000

50,588,000,000

4,543,000,000

169,214,000,000

46,045,000,000

27.21%

24.78%

1995

190,266,000,000

16,884,000,000

50,793,000,000

4,179,000,000

173,382,000,000

46,614,000,000

26.89%

24.75%

1996

193,090,000,000

16,230,000,000

52,185,000,000

3,989,000,000

176,860,000,000

48,196,000,000

27.25%

24.58%

1997

189,953,000,000

16,364,000,000

52,386,000,000

4,245,000,000

173,589,000,000

48,141,000,000

27.73%

25.94%

1998

193,197,000,000

17,016,000,000

55,491,000,000

4,708,000,000

176,181,000,000

50,783,000,000

28.82%

27.67%

1999

210,136,000,000

17,957,000,000

59,607,000,000

5,154,000,000

192,179,000,000

54,453,000,000

28.33%

28.70%

2000

213,952,000,000

19,704,000,000

62,834,000,000

5,741,000,000

194,248,000,000

57,093,000,000

29.39%

29.14%

2001

225,645,000,000

22,933,000,000

67,947,000,000

6,148,000,000

202,712,000,000

61,799,000,000

30.49%

26.81%

2002

238,505,000,000

25,785,000,000

73,669,000,000

7,186,000,000

212,720,000,000

66,483,000,000

31.25%

27.87%

2003

249,176,000,000

24,452,000,000

79,229,000,000

7,664,000,000

224,724,000,000

71,565,000,000

31.85%

31.34%

2004

261,398,000,000

25,683,000,000

84,973,000,000

8,422,000,000

235,715,000,000

76,551,000,000

32.48%

32.79%

2005

271,525,000,000

27,511,000,000

89,556,000,000

8,896,000,000

244,014,000,000

80,660,000,000

33.06%

32.34%

2006

292,477,000,000

31,150,000,000

94,323,000,000

9,825,000,000

261,327,000,000

84,498,000,000

32.33%

31.54%

2007

310,033,000,000

33,313,000,000

102,031,000,000

10,673,000,000

276,720,000,000

91,358,000,000

33.01%

32.04%

2008

331,019,000,000

38,294,000,000

108,241,000,000

11,987,000,000

292,725,000,000

96,254,000,000

32.88%

31.30%

Year

CA Total
Expenditures
($)

AB Total
Expenditures ($)

CA Health
expenditures
($)

AB Health
expenditures
($)

(1)

v645186
(2)

v645780
(3)

v645198
(4)

1989

138,346,000,000

14,687,000,000

1990

148,971,000,000

1991

Source: CANSIM Health Expenditures: AB v645792, Canada v645198; Total Expenditures: AB v645780, Canada v645186

99

Table C13: Spending on Specific Health Components Per Capita (2002 $)

Year

Hospital care

Medical care

Preventive
care

Other health
services

AB CPI

AB pop

AB Real Health expenditures per capita ($)

Medical care
(9)=(3)*100
/[(7)*(6)]

Preventive
care
(10)=(4)*100
[(7)*(6)]

Other health
services
(11)=(5)*100
/[(7)*(6)]

(1)

v645793
(2)

v645794
(3)

v645795
(4)

v645796
(5)

v41694625
(6)

v469503
(7)

Hospital
care
(8)=(2)*100
/[(7)*(6)]

1989

1,809,000,000

1,430,000,000

53,000,000

259,000,000

70.9

2,498,325

1,021

807

30

146

1990

1,910,000,000

1,585,000,000

62,000,000

310,000,000

75.0

2,547,788

1,000

829

32

162

1991

1,757,000,000

1,828,000,000

66,000,000

468,000,000

79.4

2,592,306

854

888

32

227

1992

1,873,000,000

1,957,000,000

70,000,000

486,000,000

80.6

2,632,672

883

922

33

229

1993

2,155,000,000

2,061,000,000

71,000,000

513,000,000

81.4

2,667,292

993

949

33

236

1994

1,885,000,000

2,087,000,000

62,000,000

508,000,000

82.6

2,700,606

845

936

28

228

1995

1,620,000,000

1,972,000,000

75,000,000

511,000,000

84.5

2,734,519

701

853

32

221

1996

1,526,000,000

1,771,000,000

99,000,000

593,000,000

86.4

2,775,133

636

739

41

247

1997

1,790,000,000

1,791,000,000

98,000,000

566,000,000

88.1

2,829,848

718

718

39

227

1998

1,559,000,000

1,830,000,000

220,000,000

1,097,000,000

89.2

2,899,066

603

708

85

424

1999

1,782,000,000

1,851,000,000

174,000,000

1,346,000,000

91.4

2,952,692

660

686

64

499

2000

1,757,000,000

2,023,000,000

192,000,000

1,769,000,000

94.5

3,004,198

619

713

68

623

2001

1,846,000,000

2,205,000,000

216,000,000

1,881,000,000

96.7

3,058,017

624

746

73

636

2002

2,180,000,000

2,664,000,000

258,000,000

2,084,000,000

100.0

3,128,364

697

852

82

666

2003

2,392,000,000

2,922,000,000

262,000,000

2,088,000,000

104.4

3,183,396

720

879

79

628

2004

2,971,000,000

3,085,000,000

284,000,000

2,081,000,000

105.9

3,239,471

866

899

83

607

2005

3,360,000,000

3,375,000,000

345,000,000

1,816,000,000

108.1

3,322,200

936

940

96

506

2006

3,354,000,000

3,667,000,000

376,000,000

2,429,000,000

112.3

3,421,253

873

954

98

632

2007

3,881,000,000

3,950,000,000

378,000,000

2,463,000,000

117.9

3,510,892

938

954

91

595

2008

4,347,000,000

4,227,000,000

424,000,000

2,990,000,000

121.6

3,585,142

997

970

97

686

Source: CANSIM
Hospital care: v645793, Medical care: v645794, Preventive care: v645795, Other health services: v645796 CPI (2002=100): v41694625, Population: v469503

100

Table C14: Others Real Expenditures by Sector (per capita (2002 $)) and Social Services Index

CAN CPI
v41693271

Other
Prov.
Total pop.

Other
Prov.
Health

Other
Prov.
Social
Services

Other
Prov.
Educ.

Other
Prov.
Protection
of
persons &
property

Year

Other Prov.
Health

Other Prov.
Social Services

Other Prov.
Education

Other Prov.
Protection of
persons and
property

1989

33,006,000,000

24,301,000,000

27,598,000,000

4,347,000,000

1,528,000,000

74.8

24,778,456

1,781

1,311

1,489

235

82

4,898

1990

36,370,000,000

25,534,000,000

29,194,000,000

4,767,000,000

1,595,000,000

78.4

25,143,350

1,845

1,295

1,481

242

81

4,944

1991

39,735,000,000

27,908,000,000

32,177,000,000

5,433,000,000

1,759,000,000

82.8

25,445,114

1,886

1,325

1,527

258

83

5,079

1992

43,768,000,000

31,250,000,000

35,022,000,000

5,832,000,000

2,036,000,000

84.0

25,738,592

2,024

1,445

1,620

270

94

5,454

1993

45,163,000,000

33,418,000,000

36,318,000,000

5,889,000,000

2,164,000,000

85.6

26,017,472

2,028

1,501

1,631

264

97

5,521

1994

46,045,000,000

35,306,000,000

37,043,000,000

5,924,000,000

2,247,000,000

85.7

26,300,057

2,043

1,566

1,643

263

100

5,615

1995

46,614,000,000

36,191,000,000

36,871,000,000

5,952,000,000

2,324,000,000

87.6

26,567,792

2,003

1,555

1,584

256

100

5,498

1996

48,196,000,000

35,854,000,000

38,038,000,000

6,080,000,000

2,363,000,000

88.9

26,835,085

2,020

1,503

1,594

255

99

5,472

1997

48,141,000,000

34,545,000,000

36,465,000,000

6,266,000,000

2,510,000,000

90.4

27,076,100

1,967

1,411

1,490

256

103

5,226

1998

50,783,000,000

34,492,000,000

37,732,000,000

6,883,000,000

2,413,000,000

91.3

27,256,107

2,041

1,386

1,516

277

97

5,317

1999

54,453,000,000

35,723,000,000

45,616,000,000

6,758,000,000

2,267,000,000

92.9

27,448,594

2,135

1,401

1,789

265

89

5,679

2000

57,093,000,000

36,603,000,000

43,745,000,000

7,210,000,000

2,265,000,000

95.4

27,681,532

2,162

1,386

1,656

273

86

5,563

2001

61,799,000,000

38,807,000,000

45,168,000,000

7,598,000,000

2,560,000,000

97.8

27,961,003

2,260

1,419

1,652

278

94

5,702

2002

66,483,000,000

40,495,000,000

48,147,000,000

8,023,000,000

1,964,000,000

100.0

28,225,292

2,355

1,435

1,706

284

70

5,850

2003

71,565,000,000

41,347,000,000

51,164,000,000

8,420,000,000

1,638,000,000

102.8

28,456,274

2,446

1,413

1,749

288

56

5,953

2004

76,551,000,000

42,901,000,000

54,814,000,000

8,752,000,000

1,746,000,000

104.7

28,701,205

2,547

1,428

1,824

291

58

6,149

2005

80,660,000,000

44,766,000,000

56,706,000,000

8,544,000,000

1,853,000,000

107.0

28,923,009

2,606

1,447

1,832

276

60

6,221

2006

84,498,000,000

48,009,000,000

61,652,000,000

8,846,000,000

2,070,000,000

109.1

29,154,821

2,657

1,509

1,938

278

65

6,447

2007

91,358,000,000

52,516,000,000

62,707,000,000

9,615,000,000

2,370,000,000

111.5

29,416,480

2,785

1,601

1,912

293

72

6,664

2008

96,254,000,000

55,508,000,000

66,408,000,000

10,382,000,000

2,622,000,000

114.1

29,726,247

2,838

1,637

1,958

306

77

6,816

Other Prov.
Housing

Other
Prov.
Housing

Index

101

Table C15 : Alberta Real Expenditures per capita (2002 $) and Social Services Index

AB Education
v645804

Protection of
persons and
property
v645790

Housing
v645783

AB CPI
v41694625

AB pop
v469503

AB
Health

AB
Social
Services

AB
Educ.

Protection
of persons
and
property

Housing

Index

Year

AB Health
v645792

AB Social
Services
v632444

1989

3,551,000,000

2,612,000,000

3,122,000,000

454,000,000

204,000,000

70.9

2,498,325

2,005

1,475

1,763

256

115

5,613

1990

3,867,000,000

2,822,000,000

3,345,000,000

544,000,000

221,000,000

75.0

2,547,788

2,024

1,477

1,751

285

116

5,651

1991

4,119,000,000

3,125,000,000

3,462,000,000

495,000,000

382,000,000

79.4

2,592,306

2,001

1,518

1,682

240

186

5,627

1992

4,386,000,000

3,414,000,000

3,554,000,000

542,000,000

248,000,000

80.6

2,632,672

2,067

1,609

1,675

255

117

5,723

1993

4,800,000,000

3,590,000,000

3,740,000,000

543,000,000

298,000,000

81.4

2,667,292

2,211

1,653

1,723

250

137

5,974

1994

4,543,000,000

4,056,000,000

3,863,000,000

506,000,000

234,000,000

82.6

2,700,606

2,037

1,818

1,732

227

105

5,918

1995

4,179,000,000

2,157,000,000

4,612,000,000

433,000,000

294,000,000

84.5

2,734,519

1,809

933

1,996

187

127

5,053

1996

3,989,000,000

2,166,000,000

4,722,000,000

473,000,000

155,000,000

86.4

2,775,133

1,664

903

1,969

197

65

4,798

1997

4,245,000,000

2,367,000,000

4,785,000,000

542,000,000

122,000,000

88.1

2,829,848

1,703

949

1,919

217

49

4,838

1998

4,708,000,000

2,428,000,000

5,110,000,000

549,000,000

146,000,000

89.2

2,899,066

1,821

939

1,976

212

56

5,004

1999

5,154,000,000

2,429,000,000

5,330,000,000

544,000,000

124,000,000

91.4

2,952,692

1,910

900

1,975

202

46

5,032

2000

5,741,000,000

2,512,000,000

5,788,000,000

553,000,000

101,000,000

94.5

3,004,198

2,022

885

2,039

195

36

5,176

2001

6,148,000,000

3,361,000,000

6,440,000,000

569,000,000

102,000,000

96.7

3,058,017

2,079

1,137

2,178

192

34

5,620

2002

7,186,000,000

3,599,000,000

7,364,000,000

658,000,000

121,000,000

100.0

3,128,364

2,297

1,150

2,354

210

39

6,050

2003

7,664,000,000

3,605,000,000

7,079,000,000

621,000,000

152,000,000

104.4

3,183,396

2,306

1,085

2,130

187

46

5,753

2004

8,422,000,000

3,399,000,000

7,730,000,000

671,000,000

195,000,000

105.9

3,239,471

2,455

991

2,253

196

57

5,951

2005

8,896,000,000

3,666,000,000

8,397,000,000

826,000,000

184,000,000

108.1

3,322,200

2,477

1,021

2,338

230

51

6,117

2006

9,825,000,000

3,971,000,000

9,042,000,000

990,000,000

242,000,000

112.3

3,421,253

2,557

1,034

2,353

258

63

6,265

2007

10,673,000,000

4,189,000,000

9,948,000,000

992,000,000

330,000,000

117.9

3,510,892

2,578

1,012

2,403

240

80

6,313

2008

11,987,000,000

4,808,000,000

11,424,000,000

1,112,000,000

480,000,000

121.6

3,585,142

2,750

1,103

2,620

255

110

6,838

Source: CANSIM
Expenditures: Health v645783, Social Services v632444 Education v645804 Protection of persons & property v645790 Housing v645783
CPI (2002=100): AB v41694625,
Population: AB v469503, Canada v466668

102

Appendix D

Classification of government revenue and expenditures

Revenue
Own source revenue
Income taxes
(a) Personal income tax - Encompasses general levies on income of individuals and
unincorporated businesses as well as special levies on income, such as surtax, which
governments charge from time to time. The proceeds from the income tax on capital gains of
individuals and unincorporated businesses are included here. Also, refundable tax credits are in
this category, and they are grossed up as revenue and expenditures.
(b) Corporation income tax - Includes most federal and provincial taxes on taxable profits of
corporations. It also includes special taxes which are
occasionally levied on profits of corporations and refundable tax credits
which are grossed up as revenue and expenditures.
(c) Mining and logging taxes - Accounts for specific taxes which are sometimes levied on
profits of natural resource based industry. Also included are refundable tax credits that are
grossed up as revenue and expenditures. These taxes were previously classified to natural
resource revenue.
(d) Taxes on payments to non-residents - Includes the federal tax withheld
at source on payments to non-residents (both individuals and
corporations) of dividends, interest, rents, royalties, alimony, managerial fees and amounts
arising from trusts and estates as well as withholdings on foreign insurance companies.
(e) Other income taxes - Includes income taxes which cannot be allocated to
any of the other categories.
Consumption taxes
(a) General sales tax - The proceeds of the federal Goods and Services Tax
(GST) and of provincial retail sales taxes are recorded in this
classification. In April 1996, the federal government reached an
agreement with three provinces to harmonize their provincial retail sales taxes with the federal
GST (Newfoundland, New Brunswick and Nova Scotia). The federal remittances for this new
Harmonized Sales Taxes (HST) to these provinces are classified under this category.
(b) Alcoholic beverages tax - Includes liquor gallonage tax and all forms of
special levies, excise tax, excise duty or other, imposed on the production
and sale of alcoholic beverages.
(c) Tobacco tax - Encompasses special levies such as excise tax, excise duty and provincial
specific taxes on the production and sale of tobacco products. General sales taxes and customs
duties applicable to tobacco
products are included under their respective headings.
(d) Amusement tax - Includes tax receipts from admissions to theaters,
cinemas, recreational, cultural or other entertainment activities. Taxes
levied by provincial governments on pari-mutual betting at horse race
tracks and on casinos. gaming activities are also included here.
(e) Gasoline and motive fuel taxes - Includes the proceeds of specific taxes
on gasoline, on aviation and diesel fuel and on propane or other
substances when used as motive fuel.

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(f) Customs duties - Apply only to the federal level and take into account the
proceeds from levies on commodities imported into Canada e.g.,
manufactured goods and food, beverages and tobacco.
(g) Remitted liquor profits - Accounts for total remitted profits of government
owned liquor boards. Because government owned liquor boards operate
as fiscal monopolies their profits are treated as taxes on products
(indirect taxes).
(h) Remitted gaming profits - Accounts for total remitted profits of
government owned lottery and other gaming corporations. Because
government owned lottery and other gaming corporations operate as fiscal
monopolies, their profits are considered as taxes on products (indirect
taxes).
(i) Other consumption taxes - Includes air transportation tax, taxes on
meals and hotels and miscellaneous consumption taxes.
Property and related taxes
(a) General property taxes - In Canada, taxation of real property (land and
improvements) is shared by provincial and local governments. In the
statistical data on provincial governments, the amount shown as revenue
from real property taxation is exclusive of amounts collected for and
passed on to local governments which include the amount collected for
and remitted to them with the amount they collected themselves. Property
owned and occupied by most general governments is exempt from
property tax. To compensate for the loss of revenue due to the exemption, grant in lieu of taxes
are paid by the federal and provincial governments to
provincial and local governments raising property taxes. Includes lot levies
(the additional lump sum development charges levied on properties
benefiting from local improvements or additional capital facilities), special
assessments (levies made by a municipality on a specific group of
properties to pay for a service such as the provision of a sidewalk,
supplied to those properties only) and grants in lieu of taxes.
(b) Capital taxes - Includes the taxes levied by federal and provincial
governments on the paid-up capital of corporations.
(c) Other property-related taxes - Includes land transfer taxes, business
taxes and wealth transfer taxes.
Other taxes
(a) Payroll taxes - Encompasses tax revenues levied as a percentage of
wages and salaries. In some provinces, the proceeds from these taxes are
used to help finance a number of functions while in others they are
specifically assigned to health and/or education or to worker training. As of
1998, four provinces were levying a payroll tax. - Newfoundland and
Labrador, Quebec, Ontario and Manitoba. Employer contributions to CPP,
QPP, EI, etc., which to an extent are also based on salaries and wages
paid by the employer are brought under the category . Contributions to
Social Insurance Plans.
(b) Motor vehicle licences - Accounts for the proceeds of registration fees,
drivers, licences, permits and other fees relating to the ownership and
operation of motor vehicles.
(c) Natural resource taxes and licences - Accounts for the proceeds of

105

taxes levied on private properties or production of natural resources.

Freehold mineral right tax is classified under this category. Also includes
licence fees paid to be able to conduct activities related to natural
resources but except activities connected to exploration of natural
resources.
(d) Miscellaneous taxes - Includes agricultural insurance premiums,
insurance premium taxes, hunting and fishing licences, liquor licences and
other licences and permits, business fines and penalties and business
donations.
Health and drug insurance premiums
Includes premiums levied by some provinces and used specifically to finance their
hospitalization, medical care and drug insurance programs.
Contributions to social insurance plans
These contributions are broken down into five types of plans: Employment Insurance (EI)
contributions, contributions to workers, compensation boards, contributions to non-autonomous
pension plans, contributions to Canada and Quebec Pension Plans and other social insurance
plan contributions.
Sales of goods and services
As providers of public goods and services, institutions within the government component of the
public sector engages in transactions of commercial nature with organizations or individuals in
the private sector and with other institutions within the government component. The revenue
generated from such transactions are called Sales of Goods and Services, which could be
defined as receipts of fees and charges paid in proportion to the cost or distribution of the
government goods and services provided to the payer.
Investment Income
This category includes natural resource royalties, remitted trading profits, interest income and
other investment income.
Other revenue from own sources
Includes other fines and penalties, capital transfers from own sources, other donation and
miscellaneous revenue from own sources.
Transfers
General purpose transfers from other government sub-sectors
General purpose transfers are broken down by level of government from which the transfers
originate. Transfers from the federal government are compiled as general purpose capital
transfers from the federal government, statutory subsidies, shares of federal taxes on preferred
share dividends and on the income of certain public utilities, tax revenue guarantees,
equalization, the Canada Health and Social Transfer, reciprocal taxation and stabilization.
Specific purpose transfers from other government sub-sectors
Specific purpose transfers are broken down by level of government from which the transfers
originate. This group covers transfers that must be applied to particular activities such as:
federal transfers to provinces for the improvement of certain highways; provincial transfers to
municipalities for sewage and refuse disposal; provincial transfers to education and health
institutions to help them finance their operations.

106

Expenditures
General government services
This classification includes executive and legislative services general administration and other
expenditures of a general nature.
Protection of persons and property
Includes outlays for services provided to ensure the security of persons and property. Protection
extends beyond safeguard from external aggression and criminal action; it includes measures to
protect the individual from negligence and abuse, and activities to ensure the orderly transaction
of affairs of the community. The category includes national defence, courts of law, correction
and rehabilitation services, policing, firefighting and regulatory services.
Transportation and communications
This category includes outlays for all phases of the acquisition, construction, operation and
maintenance of the relevant transportation and communications facilities and equipment as well
as expenditures pertaining to related engineering and technical surveys. This function includes
the government transfers to own business enterprises engaged in the transportation activities,
especially public transit and railway services. Included are air transport, road transit, public
transit, rail transport, water transport, pipelines and telecommunications.
Health
Includes expenditures made to ensure that necessary health services are available to all
citizens. Residential care facilities and other health and social services institutions providing
medical care and professional nursing supervision are considered as institutions providing
health services while those providing room and board with no or limited medical care and
nursing supervision are considered as institutions providing social services. Also included are
expenditures of hospitals, ancillary enterprises, i.e., entities that exist to furnish goods and
services to patients, staff and others (food services, parking, etc.).
Four sub-functions identify the major components of this classification.
(a) Hospital care - Covers outlays in respect of all kinds of hospital services,
i.e., those provided by general hospitals, public health clinics, as well as
by acute disease, chronic disease, convalescent, isolation and mental
hospitals. It also includes expenditures pertaining to nursing schools
attached to hospitals. Where nursing schools come under the responsibility of the Department
of Education, the related expenditures are
allocated to the sub-function Education - post-secondary. Expenditures
of all hospitals (private, public, religious, etc.) are included except for
national defence and veterans hospitals whose costs are allocated to the
National Defence and Veterans Benefits sub-functions respectively.
(b) Medical care - Comprises outlays in respect of general medical care and
drug programs as well as outlays incurred for dental and visiting-nurse
services and on out-patient care services. It also includes outlays for
medical care provided by hospitals, public residential care facilities, workers. compensation
boards and other public health and social services institutions. Transfers to private residential
care facilities and other health and social services institutions to help them finance their medical
care activities are included here.
(c) Preventive care - Consists of a wide variety of outlays which are intended
to prevent the occurrence of diseases and to mitigate their effect. It covers
public health clinics; communicable disease control services (including

107

immunization, treatment, isolation and quarantine outside hospital

premises); food and drug inspection services; hospitals which offer
preventive services to patients; government establishments (not located in
hospitals, e.g., residential care facilities and other health and social
services institutions) providing nursing, hygiene and nutrition advisory
services, and government organizations conducting research on the causes and consequences
of particular diseases or addictions (i.e.,
cancer treatment foundations). Also included are transfers to private
facilities providing preventive care, i.e., private residential care facilities.
(d) Other health services - Includes outlays on clinics for the treatment of
retarded or emotionally disturbed persons and on laboratory and
diagnostic services, grants to health-oriented organizations, and
expenditures on other health-related services such as health department
administration, health statistics, staff training and other services of health
establishments (e.g., hospitals and other health and social services
institutions), ambulance services, medical rehabilitation and indemnities to
injured persons and their dependants which cannot be allocated to the
other sub-functions. Also included are outlays on protection of health and
health inspection, and expenditures of ancillary enterprises of health and
social services institutions.
Social services
Covers actions taken by government, either alone or in co-operation with the citizenry, to offset
or to forestall situations where the well-being of individuals or families is threatened by
circumstances beyond their control. It goes beyond the concept of welfare which covers
assistance (transfers) and services to individuals who are so disadvantaged that the universal
social security services are inadequate to provide for their well-being or who fail to qualify for
support from those services. The function comprises the following six sub-functions:
(a) Social assistance - Consists of transfer payments (including refundable
tax credits) to help individuals and families maintain a socially acceptable
level of earnings. Although the workers compensation benefits, pension
plan benefits, veterans benefits and motor vehicle accident
compensations, are considered a form of income assistance, they are
reported in separate sub-functions. This sub-function comprises the
following programs: the general welfare payments to disadvantaged
individuals, the refundable tax credits and rebates for low-and-middle
income individuals or families (which are used more and more as
instruments of social policy to offset taxation of the elderly and
disadvantaged i.e., property and sales tax credits), outlays relating to
contributory plans such as the Canada Pension Plan and the Quebec
Pension Plan, and non-contributory plans, such as old age security
(including the guaranteed income supplement), family allowance
payments and child tax benefits made under federal and provincial
governments programs, the employment insurance benefits, the rent
supplement, the spouses allowances and the blind and disabled persons
allowances. The administration costs related to those programs are also
included.
(b) Workers. compensation benefits - Includes expenditures on
administration and for benefits, other than rehabilitation and medical care,
related to workers compensation schemes.

108

(c) Pension plan benefits and other expenditures. Accounts for the
following transactions: (i) Pensions and other benefits paid under pension
schemes that are embedded in the governments budgetary framework
(pay as you go plans) such as the Public Service Superannuation Plan of
Saskatchewan and (ii) Pension and other benefits paid under the
nonautonomous pension schemes, i.e. plans that have full separate
accounts within the Consolidated Revenue Fund but are not separate
institutional units such as the federal Public Service Superannuation
Account and the annual surpluses (contributions of employees and
Employers plus interest earnings less pensions and benefits paid), of the
non-autonomous pension plans which are considered households claims
on government.
(d) Veterans benefits - As well as administrative costs, pensions, allowances
and grants, it includes outlays pertaining to the administration of veterans
hospitals, to the provision of medical supplies and prosthetic appliances,
to the provision of medical, educational and social welfare services and to
the forgiveness of loans under the Veterans Land Act.
(e) Motor vehicle accident compensations - Includes compensations paid
to victims of bodily injuries provided for by government automobile
insurance plans.
(f) Other social services - Accounts for expenses related to the provision of
services to old age, to persons who are unable to lead a normal life due to
a physical or mental impairment, to persons temporarily unable to work
due to sickness, to households with dependent children, to persons who are survivors of a
deceased person (spouse, children, etc.) and to other
needy persons. It also includes direct expenditures of public institutions (hospitals, residential
care facilities, other health and social services institutions) providing social services and
transfers to private organizations (e.g., residential care facilities) providing similar services.
Education
Includes the costs of developing, improving and operating educational systems and the
provision of specific education services. Also included are expenditures of universities. ancillary
enterprises, i.e., entities providing goods and services to students, staff and others (bookstores,
food services, residences, parking). It is subdivided into the following four sub-functions:
(a) Elementary and secondary education - Encompasses outlays for
educational services from kindergarten to senior matriculation. It also
includes expenditure for technical and vocational training which is
provided separately at the secondary school level as well as expenditure
for general administration and maintenance of standards, contributions of
governments, as employers, to teachers pension plans, support to
students, the construction of buildings and the operation of education
programs. Also included are expenses for pupil transportation, and for text
books, electronics, equipment and supplies used in the education process.
Schools for the handicapped, schools for Indians and Inuit and transfers to
private elementary and secondary schools come under this sub-function.
(b) Post-secondary education - Refers to the kind of education generally
obtained in universities or in degree and non-degree granting community
colleges and specialized educational institutions. Included in these
colleges and institutions are teachers. colleges, advanced technical
institutes and junior colleges, CEGEPS, music conservatories and schools

109

specializing in the instruction and training of artists, and nursing education

provided by universities and colleges. This category includes the transfers
or direct expenditures for the operations of universities, colleges and
institutions providing this kind of education. Also includes are bursaries,
scholarships and other types of financial assistance to students (loan
forgiveness, interest relief, etc.) as well as refundable learning tax credits.
(c) Special retraining services - Comprises outlays made for the purpose of
upgrading the skills of individuals. It includes the cost of courses provided
under the Federal Manpower Training Program and the new Labor Market
Development Agreement, the purchases of on-the-job training for
unemployed insurance recipients, cash allowances or subsidies to
workers and persons available for work undergoing training, tax credits
intended to encourage systematic employee training by corporations and
other similar services. Excluded is police training, which is classified as
Protection of Persons and Property.
(d) Other education - Covers outlays that either overlap or cannot be
allocated to the other sub-functions. It includes the general administration
expenses of departments of education, the costs of statistical and
research activities pertaining to education and the expenses of
apprenticeship training. Payments made by one government to another or
to the private sector to encourage proficiency in the official languages are
also included, as are costs of special instructional arrangements such as
evening classes and correspondence courses. Expenditures of ancillary
enterprises of colleges and universities, e.g., bookstores and cafeterias,
are included here.
Resource conservation and industrial development
This classification includes a wide array of services related to the conservation and
development of natural resources and the development and promotion of industries. Included
are agriculture, fish and game, oil and gas, forestry, mining, water power and tourist promotion.
Environment
While certain components of this function are similar to some sub-functions of Protection of
Persons and Property and others with sub-functions of Health, they are grouped in this
function through their common aim of ensuring the most favorable environment for people and
of minimizing the deleterious effects of modern living on that environment. Included are water
purification and supply, sewage collection and disposal, garbage and waste collection and
disposal, pollution control and other environmental services.
Recreation and culture
The purpose of this function is to portray government participation in the field of leisure either
through developing, improving or operating leisure facilities or through assistance payments to
individuals and private organizations engaged in promoting leisure activities.
Labour, employment and immigration
Included in this function are outlays related to the development and promotion of labour
relations and fair employment conditions, as well as to various immigration programs.
Housing

110

This function now includes all government outlays on housing with the exception of transfers
(rent supplement) to individuals made to help alleviating their current rental cost which are
allocated to the sub-function Social Assistance.
Foreign affairs and international assistance
Provides for expenditures pertaining to the formal relations of Canada with other sovereign
states. It accounts for contributions made to foster economic development and to improve social
conditions in foreign lands, e.g., the expenditures of the Canadian International Development
Agency. (Expenditures on trade or immigration promotion abroad and cultural exchange with
foreign countries are respectively classified under Trade and Industry, Immigration and
Culture).
Regional planning and development
Covers expenditures related to community and region development affairs and services. These
include expenditures on planning and zoning and on community and regional development.
Research establishments
This function provides for expenditures pertaining to organizations like the National Research
Council of Canada and certain provincial research establishments whose prime purpose is pure
or applied scientific research and the promotion of developments resulting from such activities.
Also included are grants to individuals and non-government establishments engaged in similar
types of research as well as refundable tax credits for research and development. It does not
cover the expenditure of the Medical Research Council which is allocated to the function
Health.
General purpose transfers to other governments subsectors
As in the case of revenue, intergovernmental transfers are classified and specified by level of
government sub-sectors. Included in this function are the Canada Health and Social Transfer
(CHST) which has replaced the Established Programs Financing (EPF) and Canada Assistance
Plan (CAP) transfers previously classified as specific purpose transfers and the Quebecs
transfer to the federal government of the proceeds of the 3.0 personal income tax points granted
to Quebec under the ex Youth Allowances Program. Specific purpose transfers are not included
here. Because they are made on the condition that the recipient carries out specific programs,
they are included in the related expenditure functions.
Debt charges
This category is subdivided into interest and other debt charges. It excludes debt retirement
as well as realized and unrealized gains and losses on foreign exchange which are now
classified as part of the Financing Account, and not considered as expenditures.
Other expenditures
This category provides for expenditures which cannot be allocated to any of the other functions.
It is occasionally used in the estimate cycles to include contingency reserves which are there
mainly to handle unforeseen changes in the economy. It also includes the balancing
adjustments or residual error of the consolidation exercise.

111