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Only the federal and provincial governments have clear powers which cannot be usurped by another level of government. Under the terms of the British North America Act of 1867, the federal government was given jurisdiction over
Provincial governments were given jurisdiction over
Shared jurisdiction, although with federal government supremacy in the case of dispute, included
The federal government still retains the right to disallow any statute of law passed by a provincial government. However, it has not exercised this power since 1943.
Under the original act, the Fathers of Confederation saw the need for a strong federal government and weaker provincial governments. This was in contrast to the governmental system established in the USA. However, Canadian society has gradually evolved towards a strengthening of provincial jurisdictions. Provincial governments now often claim equality with the federal government.
Intergovernmental affairs continue to preoccupy Canada's provincial/territorial and federal governments. Jurisdiction over health and education, in particular, have grown into ongoing issues during the 1990s and into the new millennium.
As well, jurisdiction over some matters of taxation remain in disputed from time to time.
The relations between provincial governments and the federal government, and among provincial governments are characterized in particular by economic welfare. Three provinces - British Columbia, Alberta, and Ontario - are economically strong. Thus, their governments usually transfer monies to the other provinces through the federal government's various equalization programs.
Other provinces are more or less dependent on federal government economic assistance. This is particularly so with the culturally strong but economically weak provinces of Atlantic Canada. For example, in 1997, transfer payments from the federal government made up between 36% and 43% of the revenue of the Atlantic provinces , and 32% of the revenue of the province of Manitoba.