Mr. Speaker, it is a pleasure to make some comments on the March 6 budget of the government.
As I enter the House each day I like to look at some of the Canadians who come to this place. I wonder what they are thinking about when they come here. I wonder if they are as much in awe of this place as I was when I came to the House, to think of the things that happen in this place. I see young people, grade school children who have come for a visit. I see some older children, parents and grandparents. They are Canadians.
Like every member of Parliament I would like to be sure when I speak in this place, that no matter what the age might be of Canadians who are listening to the speech in the gallery, they will think that something good, productive or constructive was said. From time to time statements are made in this place which are more or less one sided. It makes me think of the cliché that if one is not part of the solution, one must be part of the problem.
During the debate we have had on the budget there has been a lot of talk about Canada's national debt which is about $600 billion. It is not an amount which people are insensitive to. No one in this place is insensitive to it. This amount was accumulated over the last 25 years. It reflects the amount of money Canadians took out of the system more than they put in. It is the amount of money we contributed to improve the health care plan and social programs in this country. In that accumulated sum, $350 billion of that is benefits to Canadians.
Governments do not have money. Governments manage the money of Canadians. That $350 billion has grown as a result of interest and compound interest. The balance of that $550 billion to $600 billion of national debt represents interest.
It is in our best interest-excuse the pun-to look at ways we can get our fiscal house in order to not only bring the deficit down but to eliminate it, the shortfall of revenue over expense every year. We have to get to the position where we are creating a surplus so that the surplus can be used to discharge that long term debt.
If Canada had a balance sheet in which all its assets and liabilities were disclosed, we know the liability would be a long term debt of some $600 billion. However, the Fraser Institute and the United Nations have said that Canada is the second wealthiest country in the world on a per capita basis. The reason they can say that is that Canada has a wealth of assets.
According to the Fraser Institute, with our resources excluding land value, Canada is worth about $3 trillion. There really is a dowry or an equity in this country. The money we owe to foreigners and other Canadians for the national debt is not just money that was given away. It was invested in this country. It was invested in our people, our youth, our health.
I see the health minister. I know Canada's health program is the strongest element within Canadian society which holds the country together. It creates the unity within this country and will keep the country united. We have a strong health care system which we are committed to. In good times as well as bad we will not compromise the five principles of the Canada Health Act.
Confidence and stability are the principles which must be reflected in budgets. I hope the people who come here and who listen will feel that in recent years Canada has demonstrated a stability within its affairs, that government has generated a level of confidence, that the right things are happening.
When this government came to office the amount of deficit represented something like 6 per cent of our GDP. The finance minister in his first budget brought it down to 5 per cent of GDP. In the next budget he brought it down to 4 per cent. In the current fiscal year which ends on March 31, 1997, it will be down to 3 per cent. The last time the finance minister addressed the issue of the long term outlook for the deficit he said that in the subsequent year it would be down to 2 per cent.
We are so very very close to delivering a balanced budget. It is something we want to do and I do not think there is disagreement on that. The only disagreement is over the velocity at which it happens.
Some would suggest we have to balance the budget at all costs regardless of the impact on seniors, regardless of the impact on health care, regardless of the impact on jobs and youth. I do not agree. Our budget has to be a compassionate budget. It has to be responsive to the important needs of Canadians, and it has to be done in a fair and equitable way. Are there spending mismanagement or problems in a corporation? Of course there are. In a government? Of course there are. There are always things we can improve upon. We have to look for the things we have improved upon.
I want to talk a little about the national debt because it is not in isolation. There are assets and good things in this country which we have not invested in. They will be with us and are for our children in the long term.
I say to all the young people: Canada is the best country in the world, one of the richest countries in the world and it is going to stay that way. Canadians have demonstrated that we have the know how, that we can operate in a global economy, that we can act responsibly and that we can work together in a proud, generous, tolerant and prosperous nation. This is what makes the United Nations look at Canada and say that is why we are the best country in the world.
Seniors are a tremendous asset to Canada. They led us in bad times through the depression. They led us through the war times. They led us at times when we needed the help. The Prime Minister has said on many occasions that we will never, never abandon Canada's seniors.
In his speech on March 6 the finance minister said: "We believe that the right to a secure retirement should be available to all and not become the preserve only of those who are well off". That is an important commitment.
The seniors are affected in this budget by the creation of what is called a seniors benefit. It is a replacement for the current benefits for seniors, including old age security, the guaranteed income supplement and the age and pension income credits. It is a single tax free benefit to begin in the year 2001.
Some of my constituents have asked why 2001. The important aspect of that is it is going to take time to phase in and allow people to arrange and manage their affairs so that when they do retire they have had an adequate opportunity to make provisions for all their needs.
The Prime Minister committed not to reduce the pensions of today's seniors. The plan we have honours that commitment and goes well beyond it. Canadians who were 60 years of age and over on December 31, 1995 and their spouses whatever their age are guaranteed to receive pensions amounting to no less than previous entitlements. That means they are going to have an opportunity to either stay under the existing plan or go under the new seniors benefits. That is being sensitive to seniors. Many will receive more under the new plan. GIS recipients will receive $120 more a year and seniors will be able to choose the benefit that maximizes their pension.
Most future seniors will also be better off because the new system targets higher benefits for those with lower incomes. Seventy-five per cent of single seniors and couples will receive the same or higher benefits and nine out of ten single senior women will be better off.
The seniors benefits will be fully indexed to inflation and will treat senior couples equally through separate equal cheques for each spouse.
There are so many good things about the budget I would like to talk about but my time is coming to a close. To finish, I would like to say a little word to the family. I spoke on Bill C-10 not too long ago. During that speech I said that if the family is strong, the deficit will be gone. I urge my colleagues to work with me to consider ways in which we can improve the tax status of families that stay together and stop worrying about the tax benefits for those who decide not to stay together.