Commission on the Reform of Ontario's Public Services

452
CHART 20.2 Nominal GDP per Capita,
Ontario versus Rest of Canada
Per Cent
130
125
120
115
110
105
100
95
90
85
80
75
Rest of Canada = 100
70
1980 1985 1990 1995 2000 2005
Sources: National Accounts and Ontario Economic Accounts.
Some degree of disparity is natural when Ontario has a comparative economic advantage
relative to other provinces. Progressive tax systems, for example, tend to extract more
revenue per capita from wealthier provinces. But this is no longer the case for Ontario:
per capita GDP has been below the national average since 2006, clearly demonstrating
the perverse structure of Canadian fiscal federalism. 3
3 Calculation based on 2010 StatsCan data for provincial population and GDP.
2009