Ever since this government was formed, we have been repeating that we want to get the government machine back on track in order to lead Canada to economic prosperity, an economic prosperity which will allow us to create jobs and make us competitive, not only on the Canadian scene but also internationally.
Two principles underlie this vision of prosperity and govern all of the changes to regional development policies. The first thing that the government wanted to do, and did in fact do-I again stress for the benefit of the House that the people across the way keep on hollering because hearing the truth hurts, but Mr. Speaker, thank God for the House of Commons, a wonderful democratic forum in which we can express ourselves freely without fear and tell the public the truth-now back to the two principles underlying the reform of the government machine and the reform of regional development policies.
There is the issue of the rationalization of public spending. I think that the Minister of Finance's budget eloquently makes the point that the first steps towards rationalizing spending have already been taken. The Minister of Intergovernmental Affairs conducted a major program review which will eventually lead to program cuts, programs which will more effectively target the public, programs which will meet their real needs. This rationalization of spending shows that this government is responsible and can manage the debt and the deficit.
The second underlying principle is the rethinking of the state's role. When they say they are rethinking the state's role, that means that they are going to take a sharp turn. In the past, not only in Canada but throughout the world, we have had governments that were very interventionist. Today, with all the problems with public finances, government has to play a different role, a role business people have asked us to play. The government has to fine tune its decision making to reflect the needs of various sectors, and it must also consider partnerships.
While we are on the subject of regional development policies, perhaps we should mention a splendid tool for regional development that is part of the federal apparatus, and I am referring to the Federal Office of Regional Development for Quebec. If we consider the two principles I just mentioned, the issue of scaling down spending, well I must say the FORDQ has done its share. For instance, its budget will be cut by 70 per cent over three years, which means from $487.5 million to $142.9 million in 1997-98. This is a significant reduction, and I think we can say that the FORDQ is doing its share.
Well, I think the changes announced quite recently by the Minister of Finance and the Minister responsible for the Federal Office of Regional Development (Quebec) are a clear indication of this desire to make some real changes and rethink the role of government so that we can fine tune our response to the needs of Canadians. In this respect, our first conclusion must be that from now on, regional development will be the job of small business.
Small businesses in Canada create 85 per cent of the jobs. They are a very dynamic tool that should be encouraged in every respect. And the government should be there to act as a partner.
Before going ahead with the restructuring of FORDQ, the minister consulted the business community.