Canada report

Provinces might get health care money

The Canadian government is considering turning over billions of dollars to the provinces for health care if the public doesn't mind going into debt.

Finance Minister John Manley said the government would consider releasing $2-billion more for hospital spending next year from its "rainy-day" fund. That is, if taxpayers are willing to risk a return to government budget deficits.

The move would risk Canada's hard-won credibility as a fiscally cautious nation, Manley said as he prepared for talks with provincial leaders over finances.

Ultimately it will be a decision for Paul Martin, who is poised to succeed the retiring Prime Minister Jean Chretien early next year before an election expected later in 2004.

As finance minister in the 1990s, Martin led the Liberal government's battle to balance the books at the time of a $42-billion budget deficit.

A slowing economy is expected to erode the surplus to $3-billion, putting pressure on the federal government and provincial premiers who face spending shortfalls.

More than 1,500 people packed a Winnipeg synagogue Thursday for Israel "Izzy" Asper's funeral.

The man who built Canada's largest media empire died unexpectedly. He was 71.

Prime Minister Jean Chretien and his expected successor, Paul Martin, were among the mourners.

Asper was the founder of Canwest-Global Communications, with daily newspapers and TV stations across Canada and interests in Ireland, New Zealand and Australia.

A former leader of the Manitoba Liberal party, Asper had long-standing heart problems.

Canada's same-sex marriage opponents have lost a major battle in the Supreme Court, but the fight continues. The court ruled 5-0 to refuse two right-wing coalitions a chance to challenge an Ontario Court of Appeal decision approving the marriages. The court found the legal definition of marriage as being a union of a man and woman violates equality rights.

There are signs the Canadian government might agree to toughen some provisions of its marijuana decriminalization bill in response to critics. The Liberals want to quickly approve legislation that would eliminate jail terms and criminal records for anyone in possession of small amounts of marijuana. John Walters, the U.S. drug czar, said Canada's approach is out of step with the rest of the hemisphere.

Canada's rapidly appreciating dollar is causing big problems for manufacturers who are finding their goods much more expensive in the United States and abroad, and in less demand.

The dollar hit an eight-year high of 75.66 U.S. cents Friday while the U.S. dollar dropped to $1.3217 Canadian, before bank exchange fees.

The Bank of Canada's key interest rate is unchanged at 2.75 percent and the prime lending rate is 4.5 percent.

Canadian stock exchanges are higher, with the Toronto index at 7,633 points and the Canadian Venture Exchange at 1,413 points.

Lotto 6-49: (Wednesday) 3, 11, 18, 34, 37 and 41; bonus 5. (Oct. 4) 3, 28, 29, 32, 37 and 45; bonus 34.

Nova Scotia Premier John Hamm traveled to Ottawa Thursday and appealed directly to Prime Minister Jean Chretien for emergency aid after Hurricane Juan caused more than $100-million in damage. Chretien, who neither called Hamm nor visited the stricken area around Halifax, said he was "looking at what we can do." There was no indication of what assistance there would be for farmers, fishermen and foresters whose livelihoods were decimated by the ferocious winds.

Former Saskatchewan politician Colin Thatcher has been granted his request for consideration of parole after serving 19 years in prison for the murder of his ex-wife. Thatcher was convicted of first-degree murder in the death of JoAnn Wilson and is serving a life sentence. She was found beaten and shot to death in her Regina garage in January 1983 while in the middle of a bitter divorce and custody battle. Thatcher will be eligible for day parole in 2006 and full parole in 2009.

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