Nova Scotia's economy is traditionally largely resource-based, but has in recent decades become more diverse. Industries such as fishing, mining, forestry and agriculture remain very important, and have been joined by tourism, technology, film production, music and other cultural industries.
The province includes several regions of the Mi'kmaq nation of Mi'gma'gi, which covered all of the Maritimes, as well as parts of Maine, the Gaspé, and Newfoundland. Nova Scotia was already home to the Mi'kmaq people when the first European colonists arrived. In 1604, French colonists established the first permanent European settlement north of Florida at Port Royal, founding what would become known as Acadia. The British Empire obtained control of the region between 1713 and 1760, and established the new capital at Halifax in 1749. Nova Scotia was one of the founding four provinces to join Confederation with Canada in 1867; along with New Brunswick, Quebec, & Ontario.
Government
The government of Nova Scotia is a parliamentary democracy. Its unicameral legislature, the Nova Scotia House of Assembly, consists of fifty-two members. As Canada's head of state, Queen Elizabeth II is the Government of Nova Scotia's chief executive. Her duties in Nova Scotia are carried out by the Lieutenant-Governor, Mayann E. Francis. The government is headed by the Premier, Rodney MacDonald, who took office February 22, 2006. Halifax is home to the House of Assembly and Lieutenant-Governor.
The province's revenue comes mainly from the taxation of personal and corporate income, although taxes on tobacco and alcohol, its stake in the Atlantic Lottery Corporation, and oil and gas royalties are also significant. In 2006/07, the Province passed a budget of $6.9 billion, with a projected $72 million surplus. Federal equalization payments account for $1.385 billion, or 20.07% of the provincial revenue. While Nova Scotians have enjoyed balanced budgets for several years, the accumulated debt exceeds $12 billion (including forecasts of future liability, such as pensions and environmental cleanups), resulting in slightly over $897 million in debt servicing payments, or 12.67% of expenses.[2] The province participates in the HST, a blended sales tax collected by the federal government using the GST tax system.
Nova Scotia has elected three minority governments over the last decade. The Progressive Conservative government of John Hamm, and now Rodney MacDonald, has required the support of the New Democratic Party or Liberal Party since the election in 2003. Nova Scotia's politics are divided on regional lines in such a way that it has become difficult to elect a majority government. Rural mainland Nova Scotia has largely been aligned behind the Progressive Conservative Party, Halifax Regional Municipality has overwhelmingly supported the New Democrats, with Cape Breton voting for Liberals with a few Progressive Conservatives and New Democrats. This has resulted in a ? split of votes on a Province wide basis for each party, and difficulty in any party gaining a majority. Progressive Conservative Premier Dr. Hamm announced his retirement in late 2005 and was replaced by Rodney MacDonald after MacDonald won a closely contested leadership convention, defeating former finance minister, and the race's frontrunner, Neil LeBlanc on the first ballot and Halifax businessman Bill Black on the second. MacDonald is the second youngest premier in Nova Scotia's history.
The last election on June 13th 2006 elected 23 Progressive Conservatives, 20 New Democrats and 9 Liberals, leaving Nova Scotia with a Progressive Conservative minority government.
