2dimes wrote:So you think Quebec would be just as strong economically if they separated and became a country Duke?
I think they would end up with the same standard of living, let's put it that way. They might have less of some arbitrary measure of wealth, but the basics of putting meat on the table, etc., would not change much.
2dimes wrote:I think as the OP points out Scotland gets similar transfer payments. They would need a currency if they left and that alone would be pretty expensive if they did not start using Euros or something. If they were using Euros and economically seperate that would be completely different.
Having a currency doesn't cost much. It did, when currency meant gold or silver, but in the days of unbacked paper money all you have to do is say "this piece of toilet paper is legal tender" and that's that. Of course there's some short term pain and some extra hassles while you switch over, but in the end it doesn't mean much.
Transfer payments are mainly government-to-government. Yes, Scotland is a net beneficiary of national taxes there, just as Quebec is here, but you have to keep your eye on the ball. When the federal government transfers money to the provincial government, not much changes for the people. Yes, they may benefit from some of that money, but it's almost always for things of limited marginal utility. Rarely do those payments have much to do with putting meat on the table or gas in the car. If the feds didn't give Quebec any money, the bridges over the St. Lawrence might get a little more rusty instead of getting nice facelifts. People would bitch and moan about the rusty bridges, but at the end of the day they really wouldn't have any less poutine in their bowl.