Why Is the Issue of Who Is Responsible for the Welfare

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The Answer is The issue of who is responsible for the welfare of older adults is complicated by the multi-level structure of government in Canada (federal, provincial, regional, and local). The British North America Act (1867) gave the federal government jurisdiction over social matters and economic security (public pensions) but left other, related responsibilities to the provinces. However, the provinces could not afford to offer all necessary services and became dependent on the federal government for transfer payments to pay for health care, education, social welfare, and transportation. When the federal debt and deficits grow, transfer payments to the provinces are reduced. One outcome of reduced federal transfer payments is that the quality of and accessibility to health care, higher education, and community social services that are delivered by the provinces is reduced. And, in turn, the provinces reduce transfer payments to regional and municipal governments-a process known as "downloading" fiscal responsibility to a lower level of government and to the individual, who must now pay for a service that might previously have been provided by a government agency. This process represents a "retrenchment" of the welfare state.

Why Is the Issue of Who Is Responsible for the Welfare

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