Fairness in Confederation; the Ontario Perspective AIMS appoints MacKinnon as Senior Fellow

    TORONTO, Feb. 7 /CNW/ - David MacKinnon does not mince words when he
talks about Canada's system of subsidies, transfers and equalization.
    "The system of regional subsidies we have put in place hurts everybody
and, by itself, could prevent Canada from competing in the world of the twenty
first century," he told the Empire Club in Toronto today. The speech was the
first by MacKinnon in his new position as a Senior Fellow with the Atlantic
Institute for Market Studies (AIMS).
    AIMS acting President Charles Cirtwill says MacKinnon is a natural fit
for the new position at the Halifax-based Institute.
    "As a former senior public servant in Nova Scotia and Ontario, he has
seen the regional subsidy system from both sides and knows the harm it does to
both," Cirtwill explained at a news conference following the Empire Club
luncheon. "We welcome him to the Institute and look forward to the policy
debate his work will generate across this country."
    MacKinnon, who intends to provide the Ontario perspective on fairness in
confederation, wasted no time in generating that debate by telling the Empire
Club audience what regional subsidies are really doing in those recipient
    "The tidal waves of funding from Alberta and Ontario taxpayers to
recipient jurisdictions impairs economic growth by forcing labour costs to
national levels, well beyond what the local real economy can support, by
funding excessive public services and, over the years, by forcing unsubsidized
enterprises to compete with subsidized ones in the same sector," he said.

    MacKinnon, a native of Prince Edward Island, has a BA from Dalhousie, an
MBA from York and was awarded a Centennial Fellowship by the Canadian Imperial
Bank of Commerce and York University to study at York, Harvard and Oxford
Universities as well as the European Institute of Business Studies. He served
as Director, Planning and Economics and Executive Director, Development
Strategy in the Nova Scotia Department of Economic Development from 1976 to
1981. He later served in several senior capacities in the Ontario Public
Service, the Bank of Montreal and as CEO of the Ontario Hospital Association
from 1996 to 2003.

    The Commentary based on MacKinnon's remarks to the Empire Club can be
found at www.AIMS.ca/library/GoldenGoose.pdf

    The Atlantic Institute for Market Studies (AIMS) is a non-partisan social
and economic public policy think tank based in Halifax, NS (www.AIMS.ca).

For further information:

For further information: Charles Cirtwill, AIMS acting President, (902)

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