Mr. Speaker, the hon. member indicated in her remarks that it was very complex topic and that the formula in the bill before us had some elements of complexity. I though I would take this opportunity to clarify a couple of things.
She made reference to Newfoundland and its ability to balance its budget. She felt that was politicization of the actual program. I want to clarify that equalization payments are made according to a formula. Every October the lookback takes place to see what has occurred not only in that province's economy but in the other standardized provinces. When we see what has happened in Ontario and compare what has happened in Ontario and how that increased the standards to what is happening in Newfoundland, we see an adjustment of the program. It is not only Newfoundland, it is other provinces.
If any provincial government decides to call an election sometime after October, I hope the member does not attribute that to politicization of the actual program.
She talked about British Columbia and the turmoil there. We know the Asian crisis is contributing to that. If British Columbia no longer has the ability to raise the kind of revenues it is raising today, it too would be eligible for equalization. Therefore this is a program that is based on formula and one that I think most Canadians support.