Let me start with the reminder that global warming means wider, less predictable swings. Not just warmer weather.
But more to the point, taxing people less doesn't always help. Alberta, with it's no provincial sales tax, is a place I'm leaving for the exact reason that there's no money for infrastructure or services.
Without taxes there are no backstops for me to fall back on (like a robust transit system). To me, that's more financial insecurity, not more.
Selective lowering of taxes doesn't imply less money for infrastructure for the affected areas. Gov could (should imo) tax big cities more to develop underdeveloped cities.
The Federal government will assist with highway and road maintenance, but they are technically and legally the responsibility of the provinces and territories [0]
As Alberta collects less tax revenue (in PST & GST) than several other provinces [1], they have less available to spend on infrastructure. My life is made worse (through rock chips and potholes) due to the government of Alberta not collecting more taxes.
While you're right the feds could make up the difference, that seems extraordinarily unlikely - their argument, to my knowledge, has always been that provinces should help themselves (that is, collect tax revenue approximately equal to the other provinces) before demanding more from equalization payments. I would assume they'd take a similar stance regarding other spending.
Please correct me if I've misunderstood or assumed incorrectly though :)
Isn't this the issue then? Assuming a north province can have taxes equal to e.g. BC and Ontario seems erroneous. What's the incentive in living in harsher climate, less populated area?
But more to the point, taxing people less doesn't always help. Alberta, with it's no provincial sales tax, is a place I'm leaving for the exact reason that there's no money for infrastructure or services.
Without taxes there are no backstops for me to fall back on (like a robust transit system). To me, that's more financial insecurity, not more.