John Ibbitson (Martin buys NDP support) gets it mostly right:

Jack Layton told Paul Martin that the price of survival was nothing less than the equivalent of a new Speech from the Throne, written by the NDP. Paul Martin, dizzy from gazing into the abyss, surrendered without a fight. We have, today, not just a whole new budget, one radically different from that presented by Finance Minister Ralph Goodale in February, but a whole new government agenda, the agenda of the NDP. This agenda, which the Liberals agreed to in principle yesterday, includes billions in new spending: on social housing, university tuition, public transit, foreign aid, pension protection, the environment, to be paid for by gutting corporate tax cuts and by diverting surplus funds meant to pay down the debt -- in short, by abandoning the very fiscal discipline on which the Prime Minister made his reputation... Mr. Goodale should resign. His budget lies in ruins. The new NDP budget will significantly increase federal spending, much of it in areas of provincial jurisdiction, while reducing economic competitiveness and fiscal probity. The Finance Minister had said repeatedly such measures were fiscally impossible. What can he say now?

But then spoils it all by adding this:

The Conservatives will fight these changes to the death. It makes a mockery of their support for the February budget, which no longer exists.

No, no, no. Haven't you heard? They're a moderate, mainstream party. Speaking out against unbudgeted multi-billion-dollar spending sprees is for extremists.