supply  Both these regulations were introduced to control potential sources of dioxins and furans in the pulping process. Pentachlorophenol is no longer used by the sawmilling industry and therefore this regulation is redundant. The petrochemical agency has cleaned up the oil based defoaming agents, making the second regulation also redundant.

supply  The Department of National Defence today is absorbing more cuts. It is being cut to the extent that it no longer has the resources required to continue the peacekeeping operations that Canadians and this government continue to expect of it around the world. I am going to do a bit of very simple arithmetic.

supply  However, the situation changed progressively in the sense that interest groups have now come into existence all over the country and have direct access to the government.Consequently, the other place is no longer the repository of the public's claims. Unfortunately, the Upper House has now become the place where an outgoing Prime Minister rewards political friends. I am not saying that all the members of the other place got there like that, and I do not want to take anything away from their personal and professional qualifications.

Points Of Order  If there seemed to be an imbalance during the last few weeks, that is because sometimes we have days that are a bit longer and I can recognize members who wish to ask questions. I will review what happened this week and during the past month, and we will discuss the matter with the House Leaders.

Department Of Finance  The accounting firm of Ernst & Young has been hired by the finance department to study the department's longer term deficit forecasts. They are to examine why the department's forecasts over the years have been so inaccurate and what can be done about this. Could the Minister of Finance tell the House why he has chosen an outside accounting firm as opposed to having the office of the Auditor General study the problems of the Department of Finance, and could he tell the House how much the study will cost?

Supply  These are all signs that people are simply giving up on a tax system that has burdened them to the point where they can no longer make ends meet and they are seeking illegal ways to get around it. I would like to compliment the hon. member and ask him a specific question. He has answered my question partly but could he highlight the differences between the committee he is recommending and the existing public accounts committee.

Supply  Still according to the Auditor General, it appears that the federal government, in this case the Department of the Solicitor General, does not include some major cost items such as departmental administration at headquarters, EDP services, office rental and certain employee benefits paid by the federal government. The list is much longer on page 533 of the Auditor General's report, which I think the government would do well to read in preparation for its upcoming budget. As I said before, for the duration of the 20 year contract, the agreement, which is reviewed every five years, cannot be adjusted without the mutual consent of the federal government and the provinces.

Supply  And we will not succeed either if the provinces do not undertake the same exercise. The problem is no longer one of jurisdiction. It is more a matter of redefining the responsibilities of the state. By this I mean not only the things which the state can do better than the private sector, but also the fiscal responsibilities which it can delegate.

Taxation  Speaker, the Liberal government is presently contemplating, as the previous government did, no longer allowing as a federal tax deduction taxes paid on total payroll. The Conseil du patronat du Québec says that this would unduly penalize small and medium-sized businesses, especially in Quebec where they are more labour intensive than their Canadian counterparts.

Cigarette Smuggling  Mr. Speaker, we have a national program to make sure that the smuggling of cigarettes no longer exists in Canada. Under this program we have made exactly the same offer to all provincial governments. They will decide if they want to participate, yes or no. I said in the House that we have to proceed with a reduction in taxation at the request of the head of the RCMP.

Supply  Ask the people in Markham-Whitchurch-Stouffville if they feel they live in a true democracy. When families are in a financial crisis and can no longer borrow money to support their standard of living, they sit around the kitchen table and talk about how everyone is going to pull together to make ends meet. Canada is just like a family.

Supply  It summarizes spending as it is presented in the federal budget and in the public accounts. In addition, a longer background document called "Federal Spending" provides even more detail. Members will be happy to see that the public accounts recently tabled in the House were accepted without reservation by the Auditor General.

Income Tax Act  Our friends would do well to listen. When the subject is taxation, we have the impression that they are no longer listening, that they are afraid-

Income Tax Act  You are going to see that in the excise tax with the cigarette smuggling situation. What we have to do is to get governments to start looking longer term. We do have to simplify the system. That is how to make it effective.

Federal-Provincial Fiscal Arrangements And Federal Post-Secondary Education And Health Contributions Act  Be that as it may, after World War II, there was a mass communication explosion; our planet was about to become a global village. It was no longer possible to deny the people their right to a better education and better training. All young people wanted to study and our system quickly overflowed, to such an extent that in 1967 we had to create the CEGEPs, general and vocational colleges.