The 6% per year for ten years that Martin brought in was to recompense the provinces for their losses while he was balancing the budget. Chretien had no choice but to eliminate deficits and reduce the debt to GDP ration which they did by paying off $100 billion in federal debt. It is perfectly well known that Martin cut health care transfers, Bud isn't telling us anything new! What you and he both omit is that if Chretien and Martin had not acted then federal debt would have been downgraded, making debt repayments unaffordable at interest rates in those days. Martin wasn't simply punishing the provinces so that he could look good, he was between a rock and a hard place.