As the federal campaign enters its final phase, we at the Ontario division of the Canadian Taxpayers Federation thought it would be useful to see what the parties' various promises mean for our province. Considered the main battleground in the campaign, all parties have trolling ferociously for votes here, and many of their policies deal directly with issues of concern to Ontario taxpayers.

Leading the pack: the infamous fiscal imbalance. The alleged imbalance represents the discrepancy between what Ontario takes in and what it pays out in terms of transfer payments. According to Premier Dalton McGuinty, Ottawa is awash in surpluses while Ontario suffers from a $23-billion gap which prevents it from delivering services for which it is responsible, like health care and education.

This logic conveniently ignores the fact that if the province reined in out-of-control spending, this "gap" wouldn't exist in the first place. But the federal parties are nonetheless offering their solutions: under the both the federal Liberals' and Tories' tax cut plans, Ottawa would take in less tax, which in theory this would leave the provinces room to take in more. (Not that we recommend this, especially when taxpayers currently fork over almost half their paycheques to various levels of government.)

However, the real cause of Ontario's woes isn't a new imbalance, but the old equalization formula. The federal government should either reduce the amount of money it takes from "have" provinces like Ontario or transfer tax points. This would allow wealth-generating jurisdictions to keep more of what they produce, which would be more efficient economic policy for all provinces, including Ontario.

Another big issue for Ontario is health care. The Tories are promising a "wait times guarantee" and would allow Canadians to seek treatment in other provinces; the Liberals promise more money and a "wait times action plan"; the NDP would try to stamp out all private health care, presumably with the same boot they are using in their television campaign ads. (Ironic, considering news reports revealed this week that NDP leader Jack Layton had surgery at a private clinic in the 1990's).

More money, tracking wait times, and shipping patients from Toronto to Edmonton aren't the answer to Ontario's health care woes. All of these options miss the point, which is that more, not less private care is the key to bringing down wait times and ensuring better care for all. A mixed delivery system, such as exists in European countries, would be the best option for Canada, but unfortunately federal politicians are so busy wrapping themselves in the Canada Health Act they've blinded themselves to this reality.

Finally, education. Premier McGuinty is ramping up education spending, as recommended in the Rae report released last year. Now comes the news that the Liberals would pay part - and in some cases all - of university students' tuition. Would this take the pressure off the province and allow it to scale back its planned spending hikes Hard to say. The Liberals' policy might well increase the number of student who attend university, putting more - not less - pressure on the system here, since tuition costs account for an average of 15% of the cost of a student's education. And with the most universities of any province, Ontario would face more pressure than the rest of the country.

In the end, Ontario voters should remember there is only one taxpayer, and politicians can't promise you a thing they don't take from you first. The goal should be to reduce our overall tax burden, not simply shift it around. It should also be to improve efficiencies in delivery of services, like health care - and that means thinking outside the public monopoly box. It should mean less waste, more accountability and - well you get the idea. The things the Canadian Taxpayers Federation continues to fight for between elections, after the campaign posters come down and parties' promises are forgotten.