Mr. Speaker, actually, my government colleague did not ask a question, he just made a comment. I would have preferred a question from him. I will try to analyze his comment to find out if there was anything he did not understand.
Speaking about equalization, one should first consider the ability to generate revenues, as well as the health and education needs. The equalization system needs to be reviewed. That is what is mentioned in the Seguin report. The member should read it.
He says that there is no fiscal imbalance, so I would ask him—but I cannot because I have to answer, and I am having a problem due to the lack of questions—I will simply tell him that in the 1970s the federal government was sharing health costs on a 50:50 basis. The provinces were paying half of the costs, and so did the central government. Today the latter pays a meagre 14%.
While on the subject of tax points, the parliamentary secretary referred to 30% and 32% only. If I asked my kid, a first grader, whether there is an imbalance, given the fact that I used to pay 50% while I now pay only 30%, he could easily answer. The government reduced the transfer payments beginning in 1993. There is no denying it.
Transfer the money to the provinces, transfer all the tax points--