Gentzen's consistency argument associates finite arithmetic derivations with effective ordinal notations below epsilon zero. An alleged contradiction admits an effective proof reduction preserving the contradictory end-sequent and strictly decreasing the assigned ordinal. Termination would therefore produce a normal contradiction, excluded by inspection of the logical rules and true atomic axioms. This explains why the relevant transfinite induction principle implies formal consistency statement. For a finite slow-well-ordering formulation one additionally needs the controlled-termination miniaturization theorem, rather than assuming that ordinary proof reductions have linearly growing size. The reduction program is discussed in math.stanford.edu/~feferman/papers/reductive.pdf .
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