Polity: Why Joyce is full of it on monetary policy

Written By: - Date published: 11:11 am, May 5th, 2014 - 33 comments
Categories: don brash, Economy, monetary policy, national, same old national, Steven Joyce - Tags: , , ,

polity_square_for_lynnlprent: Rob Salmond at Polity just saved me from having to write something like this post explaining economic basics to Steven Joyce today. Over the weekend Joyce demonstrated again why his tenure at MoBIE has been a failure for the overall economy. He fixates on one thing (like the business selling milk powder) to the exclusion of the overall picture. In part that is why we have neither expanding innovation or employment in our economy at present. He is a good tactical politician. But he is a fool on strategy.

Steven Joyce, Minister of Running Interference, is trumpeting a “back of the envelope calculation” this morning claiming it would take a six point rise in the Kiwisaver contribution rate to equal just a one point rise in interest rates. Ohmigod – that’s a 6:1 ratio! How horribly inefficient! And so on.

Here is why Joyce is spouting is a load of nonsense:

  1. Comparing apples with oranges
    A one percent change in interest rates takes, according to Joyce, around $2.5 billion out of new Zealanders’ disposable income. A 1% increase in savings rates only takes out around $400m. That is no surprise, because interest rates operate on capital holdings, while savings rates operate only oncurrent earnings. So the 6:1 thing is a rhetorical red herring, nothing more. If we compare apples with apples, Joyce is saying that KiwiSaver would need to collect an extra $2.5 billion from New Zealanders in order that banks do not have to collect the extra $2.5 billion from New Zealanders instead. True enough, but not really an argument.
  2. Ignoring most of the apples
    Labour has a wide range of policies designed to increase savings and expand what people can do with their savings, many of which will decrease the need to adjust the Variable Savings Rate (VSR). One is to make KiwiSaver universal, which will have a very large impact. Joyce’s calculations are all about how much Labour would have to change the VSR if it had absolutely no other policies that impact on savings. Which makes the analysis pretty much useless.
  3. Ignoring the world around him
    Joyce’s approach to monetary policy appears wilfully ignorant of interest rates in other countries. He keeps on about New Zealand’s interest rate history, instead. But nobody is choosing between New Zealand’s 2014 interest rates and New Zealand’s 1979 interest rates. For that, you need a DeLorean. Instead, millions of people are choosing between New Zealand’s 2014 interest rates and Japan’s or America’s or Australia’s 2014 rates. That is what is driving up our dollar, which is why managing growth without increasing interest rates is such a smart idea.
  4. Ignoring flow-on effects
    Assessing the impact of a policy on New Zealanders’ lives, you normally look at all the impacts of the policy, not just one. For example, if we manage heat in the economy through retirement savings rates instead of lending rates, we take away the major force driving the New Zealand dollar upwards (see above). That means our exports are more competitive, which means more foreign exchange earnings, a better balance of payments, and more jobs for New Zealanders. Oddly none of those obvious impacts appear in Joyce’s critique. Which is entirely disingenuous.

None of Joyce’s protests change the Labour’s fundamental point: If the economy is overheating, would you rather cool it down by giving your retirement account some money, or giving an Australian bank the money instead? If you would rather give the banks the money, National’s plan is for you. If you would rather give your retirement account the money, choice Labour’s plan.

This idea is entirely sensible, which is why it is getting praise from all over the spectrum, including even Don Brash!

Steven Joyce is treating the media and the public like fools. He thinks we will see “6:1” and run like terrified peasants. We aren’t that dumb.

33 comments on “Polity: Why Joyce is full of it on monetary policy ”

  1. Tom Gould 1

    You need to take everything Joyce says with a huge grain of salt. The problem with spinning exaggerated rants on everything opposition parties do, day after day, is that he can’t do serious. And, remember, this is the guy who promised a trillion dollars from an oil bonanza. Still waiting.

  2. captain hook 2

    Joyce will just say anything as long as it is obtuse and confusing. He never will address the issue of why National panders to one sector of the economy and leaves the rest out to dry.

  3. Clemgeopin 3

    Joyce needs to watch this video again and again until he understands it properly and clearly.

    http://tinyurl.com/luh3xah

    Or, he is better off spending his time trying to analyse and solve the Nova Pay mess.

  4. Enough is Enough 4

    I agree with this entirely. The bald conductor is spinning furiously.

    However to avoid his spin getting traction Parker needs to be armed with numbers. Otherwise he will be punished and National will be allowed to lie by saying Kiwisaver contributions will increase to 14%.

    Parker needs to smash their lies hard and early by showing the models and the numbers of what will happen to Kiwisaver in order to knock 1% off the OCR.

    • lprent 4.1

      One of the issues with putting up numbers is that they are unlikely to be particularly accurate at this point in time. Even the reserve bank with all of their modelling will have little idea about the sensitivity of applying these tools either on their own or in combination with other tools.

      When the reserve bank act was put into place with its single main active tool of the OCR plus the gabfest of warnings and other minor tools, it took nearly a decade before they managed to figure out how to use it without overshooting too much. Even now the expectations of the people in the “markets” it is designed to affect shift depending on what is happening in the wider markets at the time.

      Once the powers for this and the other monetary tools that Labour is proposing are put into place, I’d expect that it will take a decade for the reserve bank to learn how and when to use them. In all likelihood they won’t use them as their main tools for some time, but will instead tweak them slightly until they figure out the effect(s) that they have in conjunction with the tools that they already use.

      That was what was the complete bollocks with Steven Joyce’s “back of the envelope” numbers with “boffins”.

      They were simply lying with numbers. No-one can really anticipate the effects of these tools until they have been tried in our unique economy along with the other tools that are already in use.

      The point of having them, as Brash pointed out, was to have them so that we don’t have to continue to overuse the single main tool that the reserve ban currently has. That frequently is like trying to crack a brazil nut with a sledgehammer. We wind up with all of the growth squashed out of our real economy to quell property booms or applied too delicately – it actually encourages the mad rush of a bubble while the reserve bank is doing too little too late.

      The days of the single tool are long over.

  5. Tom Gould 5

    Turns out Joyce made it up, on the “back of a cigarette packet”, with a couple of Tory “boffins” and says it’s “not authoritative”. So why is it in the media? The guy’s an idiot.

    • ghostwhowalksnz 5.1

      They have boffins ?

      Boffin is of course one of the Hobbitt families .

  6. Gosman 6

    If Labour are going to introduce a range of policies to increase the savings rate in other areas beyond Kiwisaver won’t that make the proposed policy less effective?

    • lprent 6.1

      It is likely to make it less likely to be used. So what? That just means it will be used when it is needed to be used.

      We have reserve powers all the way through our system that are only there to be called into use when they are needed….

      Is that really a serious objection? Or are you just stroking that line?

      • Gosman 6.1.1

        It is a serious objection, or at least less an objection and more an observation. Fran O’Sullivan also highlighted this in a recent article on the policy. In theory there is nothing wrong with the proposal. In reality it would likely be far less effective at controlling the amount of currency in circulation than using interest rates.

        • lprent 6.1.1.1

          Fran is somewhat myopic and highly selective about what she chooses to look at. It might be less effective. However its’ efficiency wasn’t the reason that it was selected.

          She ignores the economic damage that the interest rate tool has increasingly been doing to our economy. That is why there is a widespread perception amongst both economic commentators who aren’t wedded to the advantages that the OCR gives them and the economically aware in the population.

          One of Fran’s blind spots for the last 20+ years I have read her is that she is completely oblivious to anything that actually produces value. IMHO She tends to just concentrate on money flows.

          • Gosman 6.1.1.1.1

            “increasingly” I don’t think your use of this word is accurate.

            • lprent 6.1.1.1.1.1

              I think it is entirely accurate. Look at the export trading position right now for NZ with the exception of dairy milk powder. Even that has just had a nasty probability of dropping in light of major price falls elsewhere in the world in recent days, not to mention the stuff up on milk powder with China

              http://www.nbr.co.nz/article/nz-dollar-advances-traders-await-data-employment-dairy-prices-bd-155711

              Early tomorrow morning traders will be eyeing prices in the latest GlobalDairyTrade auction and a speech by Reserve Bank governor Graeme Wheeler on the significance of dairy to the New Zealand economy.

              Non-dairy manufacturing is down for what? About the third quarter in a row. Unemployment policy from this government looks like it is more about standing people down off the roll than getting them into real jobs.

              About the only investment I see coming into the country comes in the form of people chasing the property bubble, and I suspect that reserve bank’s OCR policies are just going to make it more attractive to get their money in NZ dollars.

              • Draco T Bastard

                Unemployment policy from this government looks like it is more about standing people down off the roll than getting them into real jobs.

                That’s exactly what it is. Not that I’d call most jobs out there real jobs anyway.

                and I suspect that reserve bank’s OCR policies are just going to make it more attractive to get their money in NZ dollars.

                QFT

                It’s the OCR and the high interest rates that it brings that are stuffing up our economy and helping make it unsustainable.

              • Gosman

                Increasingly would suggest that the use of interest rates has been increasing the rate of economic damage to the economy over time. The reality would suggest otherwise. The greatest amount of damage caused by a a tight monetary policy was in the mid 1980’s. This led to the failure of many agricultural based businesses and farms.

                • lprent

                  Only if you consider that SMP’s (ie the sheep subsidy) was a monetary policy. Personally I viewed it as being a straight welfare by Muldoon’s National government to farmers that discouraged them from adapting to the permanently low price of wool and mutton.

                  The removal of that particular bit of welfare caused the failure of most of those agricultural based businesses because all of a sudden the income from the vast numbers of sheep farmers disappeared.

                  Incidentally as my parents had a small farm at the time, and I’d spent a year out farming before university a few years earlier it wasn’t hard to see where the failure of the “agricultural based businesses” came from.

                  The changes in the exchange rate at that time were also a direct consequence of Muldoon’s National government running us directly towards a governmental default in 1984/5 largely as a consequence of that dumbarse farmer welfare.

                  • Gosman

                    No, I’m talking about the massive interest rate hikes that took place in the mid 1980’s to tame the rampant inflation prevalent in NZ at the time. This impacted farmers because they had overextended themselves. That was the worst impact of the interest rate policy in my mind. Yoy suggest it is increasing in it’s negative economic outcome. I can’t see much evidence to support that view.

                    • lprent

                      Wrong causation. It wasn’t the creation of money supply being turned off that caused that problem. It was the abrupt fall in the value of land.

                      When the tap was turned off on SMP’s, the property bubble that had formed around farm properties (and that had caused an inordinate amount of land to be put into production – I think we peaked at nearly 70 million sheep) burst. Farm land values fell drastically not only on sheep farms, but on all farm lands.

                      People who were over-extended were unable to get loans for the amounts that they had previously and/or were unable to service the mortgages that they had (at table mortgages on long terms to beat inflation) with the income at world prices.

                      They had to sell up voluntarily or by foreclosure sales. That pushed the land values down further. It took most of the decade before the effect of SMPs shook out through the farming sector.

                      That farm property bubble in the late 70s and early 80s was what caused me not to go farming. The property values were grossly over-priced compared to the returns from farming.

                      In many ways the same kind of thing is happening today with dairy prices. It is less complicated without the inflation and happens slower on the price reductions like the last 5 or 6 dairy auction results. But it is still happening.

                      That was what Wheeler was warning about today.

    • James N 6.2

      I think he meant “muffins” not “boffins”.

  7. Colonial Viper 7

    If the economy is overheating, would you rather cool it down by giving your retirement account some money, or giving an Australian bank the money instead?

    I suppose this is not quite as bad as increasing the numbers of unemployed to keep inflation low.

    Very selective parts of the economy are overheating in some locations, but for a majority of NZers in most of the country I suspect it is missing them entirely.

  8. Ennui 8

    The whole thing with Joyce and strategy is NOT that he is “no good” at strategy. That may or may not be, the reality is that Joyce lives in that torn environment between:

    A: The neo-liberal vision of “the invisible hand” of the market producing its own logic and strategy.
    B: The whys and wherefores of multi-national corporate and finance capitalism (formerly known as “robber baron”, monopoly, rentier etc).

    Neither of these things has Joyce, nor NACT, (nor both recent Labour administrations) challenged. It is pointless accusing Joyce of a lack of strategy when that option is actually proscribed by his party, by legislation etc. We live in a sad little country, at a sad time, with a sad little government sadly lacking in the decency and the courage to strive for something better.

  9. aerobubble 9

    Recap GFC. In order to stem a collapse in the world banking system major nations have started printing money. NZ dairy gets brought up by this cheap cash and in order to exchange something in return citizens get to buy cheap electronics etc. Only problem there’s not a lot of money around as citizens are paying mortgages off for over priced housing, and farmers for overprice farmland.

    Now we could cut back the about of dairy we sell and so take the pressure off our ecology and our economy, and lock our capacity to export to our citizens ability to purchase. No. No, what we actually do is have citizens and businesses (and now govt under key) borrow money from offshore, and deal with the imbalances from cheap money by selling off our profit centers.

    This is remarkably similar to why people should not borrow, because people pay twice, they pay the money to borrow it and they pay the capital back. A country that leaves their kids homes doesn’t have to work as hard. So a country that borrows heavily overseas has to pay twice, once to pay for the borrowing and then to pay the capital back.

    And all we needed was to sell less dairy, or better still, pay more to citizens to purchase more imports. But no your average National voter believes that wages need to be lower and debt is good, that the more dairy we have the better we will be off, YET ITS NOT TRUE, its just digging a even bigger debt pit to climb out of as interest rate rise along with the exchange rates.

    • Ennui 9.1

      Spot on Aero….

      I might add to yours “But no your average National voter believes that other peoples wages need to be lower and avoiding tax, lowering tax and allowing national debt to grow is good”……

      • aerobubble 9.1.1

        No. National voters believe in crushing unions, so want poorer bargaining power for employees, and most of them are employees. You see their boring, their followers, they don’t get that they lost their homes (or soon will, see below) because their wages (though it looked well paid) weren’t enough and National have removed their ability to drive up wages. Housing is over priced, rents will need to rise to maintain landlord mortgage repayments, rents can’t rise as power, food, fuel rise.

        Labour just said its going to lower the exchange rate, many over exposed to oil will be hurt, and unlike the rest of the world who have had to deal with higher price oil (having been in ‘good times’ due to Key’s financial policies) we are going to be hit by a triple whammy, oil, debt and housing collapse. Everybody else has been taking the hard medicine, nice Mr Key is just delaying the inevitable (and the longer the harder the crash). And the media just won’t criticize the neo-liberals,
        neo-liberals who don’t have to put up any sensible policy, or expose themselves to any kind of explanation about what has happened globally, what is happening, and what will happen. Its a good gig in a time of growth backed cheap high density non-renewable fuels to declare you
        don’t need to do government, and then declare you are working harder than ever doing less government, and how you win just by being there.

        Anyway more pointedly, if that’s not enough. No, its not about wages, its about the fact that we can produce everything we need, end world poverty, but we don’t because the wealthy can’t work out how to make a buck when most people will have reams of free time. And one or other must give, either the wealthy give up the notion of having a profit center everywhere, or the world wakes up to the con, that we don’t have to live exploited lives just so a few have bank balances that when laid to the moon several times makes for a party joke with their last friend.

        • Ennui 9.1.1.1

          Aero, nice summary, history may not repeat but the themes of humanity echo loudly: so many classes in the past have followed a trajectory to self fulfilling annihilation. Neo liberalism, the latest cab off the rank.

  10. dave 10

    your right when an ex governor like don brash says its a good idea and hes partisan ,you know Parker is on to something . joyce was running a Forbes reporter down 2 weeks ago for telling the truth its Joyce that has no credibility just a walking mouth spewing spin free of facts .there is a cure its called the mute button !

  11. captain hook 11

    The only economics joyce knows is all for me and none for you unless I have to pay you off.

  12. This type of economic illiteracy is a lynchpin of National’s political class. There are, admittedly, one or two people in the party that know about running a business, (ironically, probably less of them than there are in either the Green Party alone or the Labour party alone) but none of them understands how to run an entire economy.

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    Open access notables Glacial isostatic adjustment reduces past and future Arctic subsea permafrost, Creel et al., Nature Communications: Sea-level rise submerges terrestrial permafrost in the Arctic, turning it into subsea permafrost. Subsea permafrost underlies ~ 1.8 million km2 of Arctic continental shelf, with thicknesses in places exceeding 700 m. Sea-level variations over glacial-interglacial cycles control ...
    2 days ago
  • Where on a Computer is the Operating System Generally Stored? Delving into the Digital Home of your ...
    The operating system (OS) is the heart and soul of a computer, orchestrating every action and interaction between hardware and software. But have you ever wondered where on a computer is the operating system generally stored? The answer lies in the intricate dance between hardware and software components, particularly within ...
    2 days ago
  • How Many Watts Does a Laptop Use? Understanding Power Consumption and Efficiency
    Laptops have become essential tools for work, entertainment, and communication, offering portability and functionality. However, with rising energy costs and growing environmental concerns, understanding a laptop’s power consumption is more important than ever. So, how many watts does a laptop use? The answer, unfortunately, isn’t straightforward. It depends on several ...
    2 days ago
  • How to Screen Record on a Dell Laptop A Guide to Capturing Your Screen with Ease
    Screen recording has become an essential tool for various purposes, such as creating tutorials, capturing gameplay footage, recording online meetings, or sharing information with others. Fortunately, Dell laptops offer several built-in and external options for screen recording, catering to different needs and preferences. This guide will explore various methods on ...
    2 days ago
  • How Much Does it Cost to Fix a Laptop Screen? Navigating Repair Options and Costs
    A cracked or damaged laptop screen can be a frustrating experience, impacting productivity and enjoyment. Fortunately, laptop screen repair is a common service offered by various repair shops and technicians. However, the cost of fixing a laptop screen can vary significantly depending on several factors. This article delves into the ...
    2 days ago
  • How Long Do Gaming Laptops Last? Demystifying Lifespan and Maximizing Longevity
    Gaming laptops represent a significant investment for passionate gamers, offering portability and powerful performance for immersive gaming experiences. However, a common concern among potential buyers is their lifespan. Unlike desktop PCs, which allow for easier component upgrades, gaming laptops have inherent limitations due to their compact and integrated design. This ...
    2 days ago
  • Climate Change: Turning the tide
    The annual inventory report of New Zealand's greenhouse gas emissions has been released, showing that gross emissions have dropped for the third year in a row, to 78.4 million tons: All-told gross emissions have decreased by over 6 million tons since the Zero Carbon Act was passed in 2019. ...
    No Right TurnBy Idiot/Savant
    2 days ago
  • How to Unlock Your Computer A Comprehensive Guide to Regaining Access
    Experiencing a locked computer can be frustrating, especially when you need access to your files and applications urgently. The methods to unlock your computer will vary depending on the specific situation and the type of lock you encounter. This guide will explore various scenarios and provide step-by-step instructions on how ...
    2 days ago
  • Faxing from Your Computer A Modern Guide to Sending Documents Digitally
    While the world has largely transitioned to digital communication, faxing still holds relevance in certain industries and situations. Fortunately, gone are the days of bulky fax machines and dedicated phone lines. Today, you can easily send and receive faxes directly from your computer, offering a convenient and efficient way to ...
    2 days ago
  • Protecting Your Home Computer A Guide to Cyber Awareness
    In our increasingly digital world, home computers have become essential tools for work, communication, entertainment, and more. However, this increased reliance on technology also exposes us to various cyber threats. Understanding these threats and taking proactive steps to protect your home computer is crucial for safeguarding your personal information, finances, ...
    2 days ago
  • Server-Based Computing Powering the Modern Digital Landscape
    In the ever-evolving world of technology, server-based computing has emerged as a cornerstone of modern digital infrastructure. This article delves into the concept of server-based computing, exploring its various forms, benefits, challenges, and its impact on the way we work and interact with technology. Understanding Server-Based Computing: At its core, ...
    2 days ago
  • Vroom vroom go the big red trucks
    The absolute brass neck of this guy.We want more medical doctors, not more spin doctors, Luxon was saying a couple of weeks ago, and now we’re told the guy has seven salaried adults on TikTok duty. Sorry, doing social media. The absolute brass neck of it. The irony that the ...
    More Than A FeildingBy David Slack
    2 days ago
  • Jones finds $410,000 to help the government muscle in on a spat project
    Buzz from the Beehive Oceans and Fisheries Minister Shane Jones relishes spatting and eagerly takes issue with environmentalists who criticise his enthusiasm for resource development. He relishes helping the fishing industry too. And so today, while the media are making much of the latest culling in the public service to ...
    Point of OrderBy Bob Edlin
    2 days ago
  • Again, hate crimes are not necessarily terrorism.
    Having written, taught and worked for the US government on issues involving unconventional warfare and terrorism for 30-odd years, two things irritate me the most when the subject is discussed in public. The first is the Johnny-come-lately academics-turned-media commentators who … Continue reading ...
    KiwipoliticoBy Pablo
    2 days ago
  • Despair – construction consenting edition
    Eric Crampton writes – Kainga Ora is the government’s house building agency. It’s been building a lot of social housing. Kainga Ora has its own (but independent) consenting authority, Consentium. It’s a neat idea. Rather than have to deal with building consents across each different territorial authority, Kainga Ora ...
    Point of OrderBy poonzteam5443
    2 days ago
  • Coalition promises – will the Govt keep the commitment to keep Kiwis equal before the law?
    Muriel Newman writes – The Coalition Government says it is moving with speed to deliver campaign promises and reverse the damage done by Labour. One of their key commitments is to “defend the principle that New Zealanders are equal before the law.” To achieve this, they have pledged they “will not advance ...
    Point of OrderBy poonzteam5443
    2 days ago
  • An impermanent public service is a guarantee of very little else but failure
    Chris Trotter writes –  The absence of anything resembling a fightback from the public servants currently losing their jobs is interesting. State-sector workers’ collective fatalism in the face of Coalition cutbacks indicates a surprisingly broad acceptance of impermanence in the workplace. Fifty years ago, lay-offs in the thousands ...
    Point of OrderBy poonzteam5443
    2 days ago
  • What happens after the war – Mariupol
    Mariupol, on the Azov Sea coast, was one of the first cities to suffer almost complete destruction after the start of the Ukraine War started in late February 2022. We remember the scenes of absolute destruction of the houses and city structures. The deaths of innocent civilians – many of ...
    2 days ago
  • Babies and benefits – no good news
    Lindsay Mitchell writes – Ten years ago, I wrote the following in a Listener column: Every year around one in five new-born babies will be reliant on their caregivers benefit by Christmas. This pattern has persisted from at least 1993. For Maori the number jumps to over one in three.  ...
    Point of OrderBy poonzteam5443
    2 days ago
  • Should the RBNZ be looking through climate inflation?
    Climate change is expected to generate more and more extreme events, delivering a sort of structural shock to inflation that central banks will have to react to as if they were short-term cyclical issues. Photo: Lynn Grieveson / The KākāMy pick of the six newsey things to know from Aotearoa’s ...
    The KakaBy Bernard Hickey
    2 days ago
  • Bernard's pick 'n' mix of the news links
    The top six news links I’ve seen elsewhere in the last 24 hours, as of 9:16 am on Thursday, April 18 are:Housing: Tauranga residents living in boats, vans RNZ Checkpoint Louise TernouthHousing: Waikato councillor says wastewater plant issues could hold up Sleepyhead building a massive company town Waikato Times Stephen ...
    The KakaBy Bernard Hickey
    2 days ago
  • Gordon Campbell on the public sector carnage, and misogyny as terrorism
    It’s a simple deal. We pay taxes in order to finance the social services we want and need. The carnage now occurring across the public sector though, is breaking that contract. Over 3,000 jobs have been lost so far. Many are in crucial areas like Education where the impact of ...
    2 days ago
  • Meeting the Master Baiters
    Hi,A friend had their 40th over the weekend and decided to theme it after Curb Your Enthusiasm fashion icon Susie Greene. Captured in my tiny kitchen before I left the house, I ending up evoking a mix of old lesbian and Hillary Clinton — both unintentional.Me vs Hillary ClintonIf you’re ...
    David FarrierBy David Farrier
    2 days ago
  • How extreme was the Earth's temperature in 2023
    This is a re-post from Andrew Dessler at the Climate Brink blog In 2023, the Earth reached temperature levels unprecedented in modern times. Given that, it’s reasonable to ask: What’s going on? There’s been lots of discussions by scientists about whether this is just the normal progression of global warming or if something ...
    2 days ago
  • Backbone, revisited
    The schools are on holiday and the sun is shining in the seaside village and all day long I have been seeing bunches of bikes; Mums, Dads, teens and toddlers chattering, laughing, happy, having a bloody great time together. Cheers, AT, for the bits of lane you’ve added lately around the ...
    More Than A FeildingBy David Slack
    3 days ago
  • Ministers are not above the law
    Today in our National-led authoritarian nightmare: Shane Jones thinks Ministers should be above the law: New Zealand First MP Shane Jones is accusing the Waitangi Tribunal of over-stepping its mandate by subpoenaing a minister for its urgent hearing on the Oranga Tamariki claim. The tribunal is looking into the ...
    No Right TurnBy Idiot/Savant
    3 days ago
  • What’s the outfit you can hear going down the gurgler? Probably it’s David Parker’s Oceans Sec...
    Buzz from the Beehive Point  of Order first heard of the Oceans Secretariat in June 2021, when David Parker (remember him?) announced a multi-agency approach to protecting New Zealand’s marine ecosystems and fisheries. Parker (holding the Environment, and Oceans and Fisheries portfolios) broke the news at the annual Forest & ...
    Point of OrderBy Bob Edlin
    3 days ago
  • Will politicians let democracy die in the darkness?
    Bryce Edwards writes  – Politicians across the political spectrum are implicated in the New Zealand media’s failing health. Either through neglect or incompetent interventions, successive governments have failed to regulate, foster, and allow a healthy Fourth Estate that can adequately hold politicians and the powerful to account. ...
    Point of OrderBy poonzteam5443
    3 days ago
  • Matt Doocey doubles down on trans “healthcare”
    Citizen Science writes –  Last week saw two significant developments in the debate over the treatment of trans-identifying children and young people – the release in Britain of the final report of Dr Hilary Cass’s review into gender healthcare, and here in New Zealand, the news that the ...
    Point of OrderBy poonzteam5443
    3 days ago
  • A TikTok Prime Minister.
    One night while sleeping in my bed I had a beautiful dreamThat all the people of the world got together on the same wavelengthAnd began helping one anotherNow in this dream, universal love was the theme of the dayPeace and understanding and it happened this wayAfter such an eventful day ...
    Nick’s KōreroBy Nick Rockel
    3 days ago
  • Texas Lessons
    This is a guest post by Oscar Simms who is a housing activist, volunteer for the Coalition for More Homes, and was the Labour Party candidate for Auckland Central at the last election. ...
    Greater AucklandBy Guest Post
    3 days ago
  • Bernard's pick 'n' mix of the news links at 6:06 am
    The top six news links I’ve seen elsewhere in the last 24 hours as of 6:06 am on Wednesday, April 17 are:Must read: Secrecy shrouds which projects might be fast-tracked RNZ Farah HancockScoop: Revealed: Luxon has seven staffers working on social media content - partly paid for by taxpayer Newshub ...
    The KakaBy Bernard Hickey
    3 days ago
  • Fighting poverty on the holiday highway
    Turning what Labour called the “holiday highway” into a four-lane expressway from Auckland to Whangarei could bring at least an economic benefit of nearly two billion a year for Northland each year. And it could help bring an end to poverty in one of New Zealand’s most deprived regions. The ...
    PolitikBy Richard Harman
    3 days ago
  • Bernard's six-stack of substacks at 6:26 pm
    Tonight’s six-stack includes: launching his substack with a bunch of his previous documentaries, including this 1992 interview with Dame Whina Cooper. and here crew give climate activists plenty to do, including this call to submit against the Fast Track Approvals bill. writes brilliantly here on his substack ...
    The KakaBy Bernard Hickey
    4 days ago
  • At a glance – Is the science settled?
    On February 14, 2023 we announced our Rebuttal Update Project. This included an ask for feedback about the added "At a glance" section in the updated basic rebuttal versions. This weekly blog post series highlights this new section of one of the updated basic rebuttal versions and serves as a ...
    4 days ago
  • Apposite Quotations.
    How Long Is Long Enough? Gaza under Israeli bombardment, July 2014. This posting is exclusive to Bowalley Road. ...
    4 days ago
  • What’s a life worth now?
    You're in the mall when you hear it: some kind of popping sound in the distance, kids with fireworks, maybe. But then a moment of eerie stillness is followed by more of the fireworks sound and there’s also screaming and shrieking and now here come people running for their lives.Does ...
    More Than A FeildingBy David Slack
    4 days ago
  • Howling at the Moon
    Karl du Fresne writes –  There’s a crisis in the news media and the media are blaming it on everyone except themselves. Culpability is being deflected elsewhere – mainly to the hapless Minister of Communications, Melissa Lee, and the big social media platforms that are accused of hoovering ...
    Point of OrderBy poonzteam5443
    4 days ago
  • Newshub is Dead.
    I don’t normally send out two newsletters in a day but I figured I’d say something about… the news. If two newsletters is a bit much then maybe just skip one, I don’t want to overload people. Alternatively if you’d be interested in sometimes receiving multiple, smaller updates from me, ...
    Nick’s KōreroBy Nick Rockel
    4 days ago
  • Seymour is chuffed about cutting early-learning red tape – but we hear, too, that Jones has loose...
    Buzz from the Beehive David Seymour and Winston Peters today signalled that at least two ministers of the Crown might be in Wellington today. Seymour (as Associate Minister of Education) announced the removal of more red tape, this time to make it easier for new early learning services to be ...
    Point of OrderBy Bob Edlin
    4 days ago
  • Bryce Edwards: Will politicians let democracy die in the darkness?
    Politicians across the political spectrum are implicated in the New Zealand media’s failing health. Either through neglect or incompetent interventions, successive governments have failed to regulate, foster, and allow a healthy Fourth Estate that can adequately hold politicians and the powerful to account. Our political system is suffering from the ...
    Democracy ProjectBy bryce.edwards
    4 days ago
  • Was Hawkesby entirely wrong?
    David Farrar  writes –  The Broadcasting Standards Authority ruled: Comments by radio host Kate Hawkesby suggesting Māori and Pacific patients were being prioritised for surgery due to their ethnicity were misleading and discriminatory, the Broadcasting Standards Authority has found. It is a fact such patients are prioritised. ...
    Point of OrderBy poonzteam5443
    4 days ago
  • PRC shadow looms as the Solomons head for election
    PRC and its proxies in Solomons have been preparing for these elections for a long time. A lot of money, effort and intelligence have gone into ensuring an outcome that won’t compromise Beijing’s plans. Cleo Paskall writes – On April 17th the Solomon Islands, a country of ...
    Point of OrderBy poonzteam5443
    4 days ago
  • Climate Change: Criminal ecocide
    We are in the middle of a climate crisis. Last year was (again) the hottest year on record. NOAA has just announced another global coral bleaching event. Floods are threatening UK food security. So naturally, Shane Jones wants to make it easier to mine coal: Resources Minister Shane Jones ...
    No Right TurnBy Idiot/Savant
    4 days ago
  • Is saving one minute of a politician's time worth nearly $1 billion?
    Is speeding up the trip to and from Wellington airport by 12 minutes worth spending up more than $10 billion? Photo: Lynn Grieveson / The KākāTL;DR: The six news items that stood out to me in the last day to 8:26 am today are:The Lead: Transport Minister Simeon Brown announced ...
    The KakaBy Bernard Hickey
    4 days ago
  • Long Tunnel or Long Con?
    Yesterday it was revealed that Transport Minister had asked Waka Kotahi to look at the options for a long tunnel through Wellington. State Highway 1 (SH1) through Wellington City is heavily congested at peak times and while planning continues on the duplicate Mt Victoria Tunnel and Basin Reserve project, the ...
    4 days ago

  • PM’s South East Asia mission does the business
    Prime Minister Christopher Luxon has completed a successful trip to Singapore, Thailand and the Philippines, deepening relationships and capitalising on opportunities. Mr Luxon was accompanied by a business delegation and says the choice of countries represents the priority the New Zealand Government places on South East Asia, and our relationships in ...
    BeehiveBy beehive.govt.nz
    1 hour ago
  • $41m to support clean energy in South East Asia
    New Zealand is demonstrating its commitment to reducing global greenhouse emissions, and supporting clean energy transition in South East Asia, through a contribution of NZ$41 million (US$25 million) in climate finance to the Asian Development Bank (ADB)-led Energy Transition Mechanism (ETM). Prime Minister Christopher Luxon and Climate Change Minister Simon Watts announced ...
    BeehiveBy beehive.govt.nz
    18 hours ago
  • Minister releases Fast-track stakeholder list
    The Government is today releasing a list of organisations who received letters about the Fast-track applications process, says RMA Reform Minister Chris Bishop. “Recently Ministers and agencies have received a series of OIA requests for a list of organisations to whom I wrote with information on applying to have a ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • Judicial appointments announced
    Attorney-General Judith Collins today announced the appointment of Wellington Barrister David Jonathan Boldt as a Judge of the High Court, and the Honourable Justice Matthew Palmer as a Judge of the Court of Appeal. Justice Boldt graduated with an LLB from Victoria University of Wellington in 1990, and also holds ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • Education Minister heads to major teaching summit in Singapore
    Education Minister Erica Stanford will lead the New Zealand delegation at the 2024 International Summit on the Teaching Profession (ISTP) held in Singapore. The delegation includes representatives from the Post Primary Teachers’ Association (PPTA) Te Wehengarua and the New Zealand Educational Institute (NZEI) Te Riu Roa.  The summit is co-hosted ...
    BeehiveBy beehive.govt.nz
    21 hours ago
  • Value of stopbank project proven during cyclone
    A stopbank upgrade project in Tairawhiti partly funded by the Government has increased flood resilience for around 7000ha of residential and horticultural land so far, Regional Development Minister Shane Jones says. Mr Jones today attended a dawn service in Gisborne to mark the end of the first stage of the ...
    BeehiveBy beehive.govt.nz
    21 hours ago
  • Anzac commemorations, Türkiye relationship focus of visit
    Foreign Affairs Minister Winston Peters will represent the Government at Anzac Day commemorations on the Gallipoli Peninsula next week and engage with senior representatives of the Turkish government in Istanbul.    “The Gallipoli campaign is a defining event in our history. It will be a privilege to share the occasion ...
    BeehiveBy beehive.govt.nz
    22 hours ago
  • Minister to Europe for OECD meeting, Anzac Day
    Science, Innovation and Technology and Defence Minister Judith Collins will next week attend the OECD Science and Technology Ministerial conference in Paris and Anzac Day commemorations in Belgium. “Science, innovation and technology have a major role to play in rebuilding our economy and achieving better health, environmental and social outcomes ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Comprehensive Partnership the goal for NZ and the Philippines
    Prime Minister Christopher Luxon held a bilateral meeting today with the President of the Philippines, Ferdinand Marcos Jr.  The Prime Minister was accompanied by MP Paulo Garcia, the first Filipino to be elected to a legislature outside the Philippines. During today’s meeting, Prime Minister Luxon and President Marcos Jr discussed opportunities to ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Government commits $20m to Westport flood protection
    The Government has announced that $20 million in funding will be made available to Westport to fund much needed flood protection around the town. This measure will significantly improve the resilience of the community, says Local Government Minister Simeon Brown. “The Westport community has already been allocated almost $3 million ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Taupō takes pole position
    The Government is proud to support the first ever Repco Supercars Championship event in Taupō as up to 70,000 motorsport fans attend the Taupō International Motorsport Park this weekend, says Economic Development Minister Melissa Lee. “Anticipation for the ITM Taupō Super400 is huge, with tickets and accommodation selling out weeks ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Cost of living support for low-income homeowners
    Local Government Minister Simeon Brown has announced an increase to the Rates Rebate Scheme, putting money back into the pockets of low-income homeowners.  “The coalition Government is committed to bringing down the cost of living for New Zealanders. That includes targeted support for those Kiwis who are doing things tough, such ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government backing mussel spat project
    The Coalition Government is investing in a project to boost survival rates of New Zealand mussels and grow the industry, Oceans and Fisheries Minister Shane Jones has announced. “This project seeks to increase the resilience of our mussels and significantly boost the sector’s productivity,” Mr Jones says. “The project - ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government focused on getting people into work
    Benefit figures released today underscore the importance of the Government’s plan to rebuild the economy and have 50,000 fewer people on Jobseeker Support, Social Development and Employment Minister Louise Upston says. “Benefit numbers are still significantly higher than when National was last in government, when there was about 70,000 fewer ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Clean energy key driver to reducing emissions
    The Government’s commitment to doubling New Zealand’s renewable energy capacity is backed by new data showing that clean energy has helped the country reach its lowest annual gross emissions since 1999, Climate Change Minister Simon Watts says. New Zealand’s latest Greenhouse Gas Inventory (1990-2022) published today, shows gross emissions fell ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Earthquake-prone buildings review brought forward
    The Government is bringing the earthquake-prone building review forward, with work to start immediately, and extending the deadline for remediations by four years, Building and Construction Minister Chris Penk says. “Our Government is focused on rebuilding the economy. A key part of our plan is to cut red tape that ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Thailand and NZ to agree to Strategic Partnership
    Prime Minister Christopher Luxon and his Thai counterpart, Prime Minister Srettha Thavisin, have today agreed that New Zealand and the Kingdom of Thailand will upgrade the bilateral relationship to a Strategic Partnership by 2026. “New Zealand and Thailand have a lot to offer each other. We have a strong mutual desire to build ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government consults on extending coastal permits for ports
    RMA Reform Minister Chris Bishop and Transport Minister Simeon Brown have today announced the Coalition Government’s intention to extend port coastal permits for a further 20 years, providing port operators with certainty to continue their operations. “The introduction of the Resource Management Act in 1991 required ports to obtain coastal ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Inflation coming down, but more work to do
    Today’s announcement that inflation is down to 4 per cent is encouraging news for Kiwis, but there is more work to be done - underlining the importance of the Government’s plan to get the economy back on track, acting Finance Minister Chris Bishop says. “Inflation is now at 4 per ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • School attendance restored as a priority in health advice
    Refreshed health guidance released today will help parents and schools make informed decisions about whether their child needs to be in school, addressing one of the key issues affecting school attendance, says Associate Education Minister David Seymour. In recent years, consistently across all school terms, short-term illness or medical reasons ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Unnecessary bureaucracy cut in oceans sector
    Oceans and Fisheries Minister Shane Jones is streamlining high-level oceans management while maintaining a focus on supporting the sector’s role in the export-led recovery of the economy. “I am working to realise the untapped potential of our fishing and aquaculture sector. To achieve that we need to be smarter with ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Patterson promoting NZ’s wool sector at International Congress
    Associate Agriculture Minister Mark Patterson is speaking at the International Wool Textile Organisation Congress in Adelaide, promoting New Zealand wool, and outlining the coalition Government’s support for the revitalisation the sector.    "New Zealand’s wool exports reached $400 million in the year to 30 June 2023, and the coalition Government ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Removing red tape to help early learners thrive
    The Government is making legislative changes to make it easier for new early learning services to be established, and for existing services to operate, Associate Education Minister David Seymour says. The changes involve repealing the network approval provisions that apply when someone wants to establish a new early learning service, ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • RMA changes to cut coal mining consent red tape
    Changes to the Resource Management Act will align consenting for coal mining to other forms of mining to reduce barriers that are holding back economic development, Resources Minister Shane Jones says. “The inconsistent treatment of coal mining compared with other extractive activities is burdensome red tape that fails to acknowledge ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • McClay reaffirms strong NZ-China trade relationship
    Trade, Agriculture and Forestry Minister Todd McClay has concluded productive discussions with ministerial counterparts in Beijing today, in support of the New Zealand-China trade and economic relationship. “My meeting with Commerce Minister Wang Wentao reaffirmed the complementary nature of the bilateral trade relationship, with our Free Trade Agreement at its ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Prime Minister Luxon acknowledges legacy of Singapore Prime Minister Lee
    Prime Minister Christopher Luxon today paid tribute to Singapore’s outgoing Prime Minister Lee Hsien Loong.   Meeting in Singapore today immediately before Prime Minister Lee announced he was stepping down, Prime Minister Luxon warmly acknowledged his counterpart’s almost twenty years as leader, and the enduring legacy he has left for Singapore and South East ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • PMs Luxon and Lee deepen Singapore-NZ ties
    Prime Minister Christopher Luxon held a bilateral meeting today with Singapore Prime Minister Lee Hsien Loong. While in Singapore as part of his visit to South East Asia this week, Prime Minister Luxon also met with Singapore President Tharman Shanmugaratnam and will meet with Deputy Prime Minister Lawrence Wong.  During today’s meeting, Prime Minister Luxon ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Antarctica New Zealand Board appointments
    Foreign Minister Winston Peters has made further appointments to the Board of Antarctica New Zealand as part of a continued effort to ensure the Scott Base Redevelopment project is delivered in a cost-effective and efficient manner.  The Minister has appointed Neville Harris as a new member of the Board. Mr ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Finance Minister travels to Washington DC
    Finance Minister Nicola Willis will travel to the United States on Tuesday to attend a meeting of the Five Finance Ministers group, with counterparts from Australia, the United States, Canada, and the United Kingdom.  “I am looking forward to meeting with our Five Finance partners on how we can work ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Pet bonds a win/win for renters and landlords
    The coalition Government has today announced purrfect and pawsitive changes to the Residential Tenancies Act to give tenants with pets greater choice when looking for a rental property, says Housing Minister Chris Bishop. “Pets are important members of many Kiwi families. It’s estimated that around 64 per cent of New ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Long Tunnel for SH1 Wellington being considered
    State Highway 1 (SH1) through Wellington City is heavily congested at peak times and while planning continues on the duplicate Mt Victoria Tunnel and Basin Reserve project, the Government has also asked NZ Transport Agency (NZTA) to consider and provide advice on a Long Tunnel option, Transport Minister Simeon Brown ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New Zealand condemns Iranian strikes
    Prime Minister Christopher Luxon and Foreign Minister Winston Peters have condemned Iran’s shocking and illegal strikes against Israel.    “These attacks are a major challenge to peace and stability in a region already under enormous pressure," Mr Luxon says.    "We are deeply concerned that miscalculation on any side could ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Huge interest in Government’s infrastructure plans
    Hundreds of people in little over a week have turned out in Northland to hear Regional Development Minister Shane Jones speak about plans for boosting the regional economy through infrastructure. About 200 people from the infrastructure and associated sectors attended an event headlined by Mr Jones in Whangarei today. Last ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Health Minister thanks outgoing Health New Zealand Chair
    Health Minister Dr Shane Reti has today thanked outgoing Health New Zealand – Te Whatu Ora Chair Dame Karen Poutasi for her service on the Board.   “Dame Karen tendered her resignation as Chair and as a member of the Board today,” says Dr Reti.  “I have asked her to ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Roads of National Significance planning underway
    The NZ Transport Agency (NZTA) has signalled their proposed delivery approach for the Government’s 15 Roads of National Significance (RoNS), with the release of the State Highway Investment Proposal (SHIP) today, Transport Minister Simeon Brown says.  “Boosting economic growth and productivity is a key part of the Government’s plan to ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Navigating an unstable global environment
    New Zealand is renewing its connections with a world facing urgent challenges by pursuing an active, energetic foreign policy, Foreign Minister Winston Peters says.   “Our country faces the most unstable global environment in decades,” Mr Peters says at the conclusion of two weeks of engagements in Egypt, Europe and the United States.    “We cannot afford to sit back in splendid ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • NZ welcomes Australian Governor-General
    Prime Minister Christopher Luxon has announced the Australian Governor-General, His Excellency General The Honourable David Hurley and his wife Her Excellency Mrs Linda Hurley, will make a State visit to New Zealand from Tuesday 16 April to Thursday 18 April. The visit reciprocates the State visit of former Governor-General Dame Patsy Reddy ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Pseudoephedrine back on shelves for Winter
    Associate Health Minister David Seymour has announced that Medsafe has approved 11 cold and flu medicines containing pseudoephedrine. Pharmaceutical suppliers have indicated they may be able to supply the first products in June. “This is much earlier than the original expectation of medicines being available by 2025. The Government recognised ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • NZ and the US: an ever closer partnership
    New Zealand and the United States have recommitted to their strategic partnership in Washington DC today, pledging to work ever more closely together in support of shared values and interests, Foreign Minister Winston Peters says.    “The strategic environment that New Zealand and the United States face is considerably more ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Joint US and NZ declaration
    April 11, 2024 Joint Declaration by United States Secretary of State the Honorable Antony J. Blinken and New Zealand Minister of Foreign Affairs the Right Honourable Winston Peters We met today in Washington, D.C. to recommit to the historic partnership between our two countries and the principles that underpin it—rule ...
    BeehiveBy beehive.govt.nz
    1 week ago

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