Could Ontario become a "Have-not" province?

According to a report in today's National Post, it's a real possibility.

Ontario could lose its 'have' status
Provincial Rankings; Saskatchewan Set To Overtake B.C., Analysis Finds
Paul Vieira, National Post
Published: Thursday, August 02, 2007

OTTAWA - Ontario is in danger of losing its status as a "have" province while Saskatchewan is set to overtake British Columbia in terms of economic rankings, says an analysis by economic forecaster Global Insight Canada.

As a result, the forecaster said, Canada has gone from three "have" provinces in the early 1980s -- Alberta, British Columbia and Ontario -- to 1 "have" provinces, with Alberta representing the economic engine and Ontario only a fraction of its former self.

The analysis, released yesterday, further strengthens the argument that there are two economies in the country: one in the West, which is strong and vibrant, and another in the East, which is struggling under a stronger dollar and higher energy prices.

Perhaps the most startling element of the report, written by Global Insight managing director Dale Orr, is how far Ontario has fallen in terms of economic growth per capita, which is how standards of living are measured. This may not bode well for the province's Liberal government, which faces an election in October. Premier Dalton McGuinty's government has been under attack from economists who say the province's tax regime is not competitive in terms of attracting business investment and, as a result, its economy has suffered.