Why did Canada do this?
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Quebec is not the only province that receives those, if I recall. Pretty much all of them do, except for Alberta, I think.
Correct. Long ago, Alberta, Ontario and BC were "payers" and some provinces were roughly even. Quebec and the Maritimes were always "takers" though.
BC fell to socialists & became a taker. Ontario fell to Liberals and became a taker. Only Alberta pays out more than it receives in Federal money.