web analytics
The Standard

RBNZ lying on manufacturing

Written By: - Date published: 9:10 am, February 15th, 2013 - 23 comments
Categories: Economy, making shit up - Tags:

What’s up with the Treasury and Reserve Bank presenting clearly trumped up, fake numbers to pretend the economy is doing better than it is? Wheeler was caught out claiming the banks weren’t excessively profitable by international standards – they are. Treasury said private electricity suppliers aren’t more expensive – they are – and claimed we’re not unequal by OECD standards – we are. Now, the Reserve Bank is telling blatant lies about the manufacturing sector.

Here’s the lie:

Reserve Bank research on the sector noted that the steep fall in manufacturing output during the recession was in domestic sales, much of which goes to the construction sector, while exports held their ground.

I’m surprised an experienced business journalist like Brian Fallow published such rubbish given that manufacturers are howling that the dollar is costing exports and jobs.

Here’s the fact-check (two minutes on Stats NZ Infoshare):

Manufactured exports Inflation-adjusted
2008 12,582,386,051 13830568212
2009 11,225,937,233 12083904812
2010 11,633,906,994 12241257674
2011 11,991,517,640 12128993399
2012 11,366,072,633 11375803860
change -10% -18%

 

Not only have manufactured exports fallen dramatically, they’re still falling.

Why are government agencies telling such transparent lies about the economy?

23 comments on “RBNZ lying on manufacturing”

  1. One Tāne Huna 1

    Way to go, RBNZ, now you’re doing the whole country a disservice. Players.

    • RedLogix 1.1

      And maybe now we now why Graham Wheeler was appointed Governor. So far the man has stuck rigorously to the failed economic orthodoxy … and now the political one as well.

      So much for independence.

    • newsense 1.2

      Gee- it sounds like you are saying that the Reserve Bank and Treasury are no longer even attempting to be a-political, but are now part of the National party research and spin machine James?

  2. NoseViper (The Nose knows) 2

    Statistics are still being manufactured, that’s one enterprise still going in NZ thank goodness. Which will be under threat of gradual depletion as the right wing governments don’t want to know those facts – too much information jeeez. This blog gives us good information, perhaps with such we can colour in enough of the numbers so we can get the picture of the whole work of art.

    Another manufacture is the fine art business of presenting negative information, unattractive to the government, so that it actually looks positive. That’s called PR or BS amongst those of us who are just common potty mouths. We demand straight, reliable, factual and unadulterated information from the various bodies like Treasury and Reserve Bank which are paid huge money to ensure that they are independent reporters on our economy.

  3. Richard 3

    It’s almost as if complex multi-variable analysis can yield different results depending on the sophistication of the modelling used.

    It could also quite possibly be that the trained experts know better how to get meaningful data compared to blow-hard keyboard warriors and unqualified politicos;

    But hey, attack the hard working members of New Zealand’s public service by constructing an elaborate conspiracy theory; it’s certainly much easier than actually trying to understand why their detailed reports yield different answers than your back of the envelope calculations.

    • RedLogix 3.1

      Well if the RBNZ says that manufactured exports have “held their ground” while the Stats numbers show a decline in real terms of 18% …. what ‘complex multi-variable’ explanation do you have for this?

    • One Tāne Huna 3.2

      To be fair, The Herald quotes Doug Steel, not the RBNZ directly.

    • Colonial Viper 3.3

      But hey, attack the hard working members of New Zealand’s public service by constructing an elaborate conspiracy theory;

      What’s elaborate and conspiratorial about the RBNZ giving English and Key cover?

      Pretty standard I would’ve thought.

      It almost seems like you don’t want questions to be asked. What’s up with that? Are you part of the “conspiracy”???

  4. NoseViper (The Nose knows) 4

    Richard
    This is a market system we are operating under, not some soft be kind to the workers leftie comfort blanket /sarc.

    You call them hard working members of NZ’s public service – NZs have got a right to query the quality, value and reliability of their product.

  5. muzza 5

    RBNZ – Part of the Global Central Banking Cartel (Foreign controlled)

    RBNZ Govenor – Graham Wheeler – Ex World Banker 2001-2010 – (Foreign controlled)

    2010-present: Non-executive director, Thyssen-Bornemisza Group. Co-founded a European-based company providing advice on Russian privatisation to investors and Russian policy makers.

    2006-2010: Managing director of operations at the World Bank, Washington. Joint oversight of 12,000 staff with administrative budget of US$1.7 billion (NZ$2.1b) and a portfolio of 1600 projects.

    2001-2006: Vice-president and treasurer of the World Bank. Managed asset and liability portfolios totalling US$250b, and an annual borrowing programme of US$10-20 billion.

    1997-2001: Director of the Financial Products and Services Department at the World Bank. Led team to modernise the World Bank’s lending products. 1993-1997: Treasurer at the New Zealand Debt Management Office and deputy secretary to the New Zealand Treasury.

    1990-1993: Director of Macroeconomic Policy at the New Zealand Treasury.

    1984-90: Economic and financial counsellor to the New Zealand delegation to the Organisation for Economic Co-operation and Development, Paris.

    1973-1984: Adviser and senior adviser at the New Zealand Treasury.

    Who exactly do people expect Wheeler to represent?

  6. Adrian 6

    James, I don’t doubt your figures, but on the 11.3 billion one it would make the wine industry at 1.1 billion 10% of all exports and I didn’t think that we ( I’m a grower ) were that high a percentage.
    Are they adjusted for some factors, such as the imported costs involved ( in wines case that is only some of the bottles) ? I also thought that dairy was 6 or 7 billion and petroleum 3 to 4 and that’s not counting meat, fish timber and electronics. What does the 11.3 include?
    Good analysis by the way and a good reminder that we need to get our arse into gear.

    • Bunji 6.1

      His figures are for manufactured exports, not all exports. Wine, dairy, natural gas, meat, fish, timber (raw – most of it) don’t count. Electronics (and wood products) will.

  7. Financially literate 7

    As former public servant I detest armchair critics who impugn the integrity of our public service. The public service can make mistakes like any other collection of human beings but to suggest that they are liars requires a burden of proof much higher than an amateur’s analysis of Stats NZ data.

    For those interested in the RBNZ paper :
    http://www.rbnz.govt.nz/research/analytical/AN12_11.pdf

    • Afewknowthetruth 7.1

      The whole point about the public service is that they do NO research and just regurgitate economic garbage year in year out,

      Hence NZ still has no strategies for dealing with peak oil 6 years after it happened and is headed down the gurgler, along with all the other nations that have no strategies.

      And yes, most public servants ARE liars at the local council level, at the regional council level and at the government level. Either that or they are fuckwits.

    • DH 7.2

      “For those interested in the RBNZ paper :
      http://www.rbnz.govt.nz/research/analytical/AN12_11.pdf

      I was interested enough to read it. Relevant statement looks to be this one;

      “Exports of (non-primary) manufactured goods have held up relatively well in the last few years.”

      The paper doesn’t give any actual data on export history so it’s a bit difficult to see what their ‘relatively well’ means subjectively but I’d agree it doesn’t read as ‘held their ground’. Bit of journalistic licence taken there I think

      I do find it a bit ironic that an RBNZ research paper is admitting what the rest of the country has known for years; that the high $NZD is hurting NZ manufacturers.

  8. art product manufacturers

    art products at artistic exhibitions which are of more importance. Even if art products are available at other shows or in local stores, people still buy a lot less in those other places.Art is perhaps one of the most creative ways of self expression.Artists of all hues, whether they are students, amateurs or professionals, need affordable supplies to hone their talent.

    for more info
    visit us:http://www.monalisaarts.com

  9. Afewknowthetruth 9

    Everything in the system is a lie or is based on a lie. -the money system, GDP, unemployment numbers, deficits, the history that is taught in schools, environmental reports and policies………

    And now ALL THE CHICKENS ARE COMING HOME TO ROOST.

  10. Poission 10

    Wheelers bottom line in his recent article( quoting some obscure us sos)

    “Destiny is not a matter of chance; it is a matter of choice”.

    suggests that his logical arguments have little scientific basis (testable) ie the laws of both biology and thermodynamics are based on chance as are the inference of economic cycles (eg Slusky 1927,37)

    It is often the application of policy (such as monetary) such as interest hikes or inertia of macro prudential tools such as Bollard and Wheeler or employment reforms such as NATS that make the economic cycles entrain ( a positive feedback) that cause both contraction and unemployment to both persist and exhbit hysteresis.

    The fundamental problems is that where say some form of structual reform is required in financial regulation (deregulation) is we often have too much consultation from turkeys aka vested interests,who often want to limit the future constraints such as the festive harvest season.

    This additional complexity has made both obfuscation and avoidance in the regulatory framework more feasible ie more complex rules and regulations provide more opportunity for “consultants”.

    Less is more and more is less,Haldane has a very nice paper (the dog and the frisbee) on this subject
    http://www.bis.org/review/r120905a.pdf

    NZ has been often the leader in social experiments it would be an opportunity to again become a leader by the simplification of codes,tax rules and removing foreign trust regimes etc.

  11. Hi,
    i gone through your website about art product manufacturers its wonderful.if you want additional information about art product manufacturers visit http://www.monalisaarts.com

Recent Comments

Recent Posts

  • Steven Joyce takes the scalpel to medical students
    This November access to the Student Loan scheme will be cut off at seven years seriously harming medical students. Studying to become a doctor takes years of hard work, dedication and intense study and it’s a blunt tool and… ...
    GreensBy Gareth Hughes MP
    18 hours ago
  • Tolley must assure safety of vulnerable clients
    Social Development Minister Anne Tolley must guarantee the safety of Relationships Aotearoa’s thousands of Māori clients – some of whom are very vulnerable – following the closure of the nationwide counselling service, Labour’s Māori Development spokesperson Nanaia Mahuta says. Relationships… ...
    21 hours ago
  • ANZ has moral obligation to fully compensate farmers
      The ANZ Bank has a moral obligation to fully compensate farmers after the High Court today declared it breached the Fair Trading Act by misleadingly representing interest rate swap loans, Labour’s Primary Industries spokesperson Damien O’Connor says. The Commerce… ...
    2 days ago
  • Fairfax can’t use restructure to cut terms and conditions
    The restructure and upheavals at Fairfax should not be used as an opportunity to cut journalists’ terms and conditions, Labour spokesperson for Labour Issues Iain Lees-Galloway says. “Businesses have to adapt to new technologies and consumer demands and there is… ...
    2 days ago
  • McCully excuses unravel in Saudi sheep scandal
    Murray McCully has misled New Zealanders, Parliament and his Cabinet colleagues on the real reasons for paying millions of dollars in the Saudi sheep scandal – it’s time for him to clean, says Labour’s Export Growth and Trade spokesperson David… ...
    2 days ago
  • Nats break health and education spending promises
    National has outstanding promises of almost $1 billion to be spent on health, education and agriculture from the Future Investment Fund but has only $536 million left in the fund, says Labour’s Finance spokesperson Grant Robertson. “John Key and Bill… ...
    2 days ago
  • Manurewa youth leaders acknowledged
    The depth and breadth of leadership of youth throughout Manurewa, which has been recognized at the Youth Week Award ceremony held at Parliament this week, should make the community extremely proud, Manurewa Labour MP Louisa Wall says. “The 'Limitless Youth… ...
    2 days ago
  • Oi Auckland Transport: fare’s fair
    Auckland Transport should go back to the drawing board on its proposal to charge commuters for its park-and-rides, Labour’s Transport spokesperson Phil Twyford says. “When we need to be getting people out of their cars and onto public transport, it’s… ...
    2 days ago
  • Is Nick Smith making it up as he goes along?
      Housing Minister Nick Smith must release the list of Crown land parcels which formed the basis of the Government’s Budget announcement, Labour’s Housing spokesperson Phil Twyford. “If the public is to have any faith the Government is not just… ...
    2 days ago
  • Norway moves first to dump coal investments
    The Green Party today called on the Government to secure cross-party support to sell its investments in coal mining companies.The Norwegian Parliament's finance committee agreed in a bipartisan motion yesterday to instruct the $1.2 trillion Government Pension Fund to sell… ...
    GreensBy Russel Norman MP
    2 days ago
  • Fonterra payout $13b black hole over 2 years
    Fonterra’s dramatic cut to its forecast farmgate payout over this season and next will lead to a $13 billion black hole over two years, and shows the need for a plan to diversify the economy, says Labour’s Finance spokesperson Grant… ...
    2 days ago
  • Labour calls for select ctte inquiry into Rural Broadband Initiative
    Labour is calling for an immediate inquiry into the flailing $300 million rural broadband initiative, before companies and consumers are forced to pick up the tab for the new $150 million broadband tax, says Labour’s ICT spokesperson Clare Curran. “Rural… ...
    2 days ago
  • Public broadcasting takes big hit under National Government
    Public broadcasting funding has been cut by 25 per cent in real terms since the National Government took office in 2009, leading to the erosion of our once world-class news and current affairs culture, says Labour Broadcasting Spokesperson Clare Curran. … ...
    2 days ago
  • Hospital food plan hits another snag
    The Government has been left with egg on its face with Hawke’s Bay District Health Board today giving a plan to outsource hospital food services the thumbs down, Labour’s Health spokesperson Annette King says. “Doing away with local kitchens by… ...
    3 days ago
  • Hospital food plan hits another sang
    The Government has been left with egg on its face with Hawke’s Bay District Health Board today giving a plan to outsource hospital food services the thumbs down, Labour’s Health spokesperson Annette King says. “Doing away with local kitchens by… ...
    3 days ago
  • Wilkinson appointment wrong in principle
    The appointment of former Conservation Minister Hon Kate Wilkinson as an Environment Commissioner is wrong in principle, says Labour’s Shadow Attorney-General David Parker. “The doctrine of separation of powers requires judicial processes to remain separate and independent from the legislature… ...
    3 days ago
  • McCully doesn’t deny bribe in Saudi sheep scandal
    “In Parliament today I asked Murray McCully directly: Why is he the first Minister in history to back a multi-million dollar facilitation arrangement which in other jurisdictions is called a bribe? says Labour’s Export Growth and Trade spokesperson David Parker.… ...
    3 days ago
  • National must back our future doctors
    National must support our future doctors and agree to the calls from the Medical Students’ Association and the Young Nats to lift the arbitrary 7 year cap on student loans for medical and dental students, Labour’s Tertiary Education Spokesperson David… ...
    3 days ago
  • Taxpayer the loser after Government folds
    Steven Joyce today admitted the main exhibition hall at the New Zealand International Convention Centre is 19 per cent smaller than what was described at the time other bidders were edged out of the process, Labour’s Economic Development spokesperson David… ...
    3 days ago
  • Govt’s lack of ambition for women
    Yesterday, the Government put out a media release entitled “Number of women leaders continues to grow”. It was to inform us that the percentage of women on state-appointed boards has increased to 41.7%, up from 41.1% in 2013. Well, woo-hoo… ...
    GreensBy Jan Logie MP
    3 days ago
  • Auditor-General exposes Key’s scapegoating of Council
    The National Government's blaming of Auckland Council for the city’s housing crisis has been exposed as scapegoating in the Office of the Auditor-General’s latest report, Labour’s Housing spokesperson Phil Twyford says. “The Auditor-General says Auckland Council’s part in fixing the… ...
    3 days ago
  • Reform – not money – needed for meat sector
    The National Government continues to throw good money after bad at the meat industry instead of addressing the fundamental problem of its dysfunctional structure, Labour’s Primary Industries spokesperson Damien O’Connor says. “The latest Primary Growth Partnership grant to the venison… ...
    3 days ago
  • Government cuts corners on school bus funding
    The safety of children – not cost cutting – should be the main objective behind the Government’s funding of school buses, Labour’s Education spokesperson Chris Hipkins says. “Buried in the detail of this year’s Budget are $19 million of funding… ...
    3 days ago
  • Women the losers under National’s cuts
    National’s poor performance in appointing women to state sector boards is set to get worse with funding cuts to the nomination service provided by the Ministry for Women, Labour’s Woman’s Affairs spokesperson Sue Moroney says. “Minister for Women Louise Upston… ...
    3 days ago
  • Help sought by agencies now asked to help
    The organisation Social Development Minister Anne Tolley has tasked with setting up an emergency hotline for stranded Relationships Aotearoa clients has just lost a bid for a government contract to launch a new national helpline, Labour’s Acting Social Development spokesperson… ...
    3 days ago
  • Wellington got loud again on climate
    On Monday night, in Wellington, I attended the last of the Government’s climate target consultation meetings. It was quite well attended with maybe 150 people, not bad for a second meeting with very little notice and, as far as I… ...
    GreensBy Jan Logie MP
    3 days ago
  • Final nail in coffin for Solid Energy workers
    Today’s confirmation of job losses at Solid Energy’s Stockton and Spring Creek mines shows the urgent need for new economic opportunities on the West Coast, Labour’s MP for West Coast-Tasman Damien O’Connor says. “Our economy can no longer rely on… ...
    4 days ago
  • Ramadi proves Iraq deployment high risk, low benefit
    The fall of Ramadi and the collapse of the Iraqi Army proves Labour was right to be concerned about the deployment of our troops to Iraq, Labour’s Defence spokesperson Phil Goff says. “The fall of Ramadi brings IS fighters within… ...
    4 days ago
  • English admits new taxes on the cards
    Eight months after pledging “no new taxes” at the election Bill English today admitted he would bring in more sneaky taxes along the lines of the border tax, says Labour’s Finance spokesperson Grant Robertson. “Not only did National bring in… ...
    4 days ago
  • What the Dickens is going on at SDHB?
    Problems at the financially-strapped Southern District Health Board appear to stretch to its HR department with information obtained by Labour showing it still records staff leave entitlements using manual book-keeping methods. “The Board’s draft 10-year plan document forecasts a cumulative… ...
    4 days ago
  • Teachers turn backs on new professional body
      The fact that just 56 per cent of nominations for the Education Council came from registered teachers shows the profession has turned its back on Hekia Parata’s new professional body, Labour’s Education spokesperson Chris Hipkins says. “Answers to written… ...
    4 days ago
  • No spade work done on big building plan
      Only a quarter of the 500 hectares of Crown land the Government wants to use for new homes is understood to be suitable for building on, Labour’s Housing spokesperson Phil Twyford says. “This was National’s bold new idea to… ...
    4 days ago
  • National: Seven KiwiSaver cuts in seven years
    National’s campaign of KiwiSaver cuts has reached seven in seven years as it dismantles KiwiSaver block by block, Labour Leader Andrew Little says. “KiwiSaver is critical to establishing a savings culture in New Zealand but National has taken a jenga-style… ...
    4 days ago
  • Tolley’s actions contradict reassurances
    Social Development Minister Anne Tolley has serious questions to answer following the forced closure of Relationships Aotearoa just days after her reassurances she was looking at ways to keep the service operating, Labour’s Acting Social Development spokesperson Annette King says.… ...
    4 days ago
  • SkyCity downsize another broken promise
    The downsized SkyCity Convention Centre does not deliver on the promised iconic world-class centre and shows the true extent of Steven Joyce’s incompetence, Labour Leader Andrew Little said today. “New Zealanders were promised an iconic world-class convention centre that would… ...
    4 days ago
  • Te Arawa partnership model a step closer
    Councils around New Zealand have an opportunity to improve their consultation with Iwi Māori by following Rotorua District Council’s Te Arawa Partnership Model, Labour’s Māori Development spokesperson Nanaia Mahuta says. “The Rotorua District Council will today decide whether to adopt… ...
    4 days ago
  • Labour mourns Dame Dorothy Fraser
    Labour Leader Andrew Little said the party is today mourning the loss of the youngest person to join the Labour Party, Dame Dorothy Fraser, who went on to be a stalwart of the Dunedin community and tireless worker for others.… ...
    5 days ago
  • The ultimate scapegoat: PM blames fruit fly for new tax
    The Prime Minister has found the ultimate scapegoat for breaking his promise not to introduce a new tax – the Queensland fruit fly, Labour’s Biosecurity spokesperson Damien O’Connor says. “John Key’s first policy upon taking office and assigning himself the… ...
    5 days ago
  • How many victims missing out on protection?
    Hundreds of domestic abuse victims could be missing out on getting protection orders because they are unable to get legal aid, Labour’s Justice spokesperson Jacinda Ardern says.“In the last two years some 351 people who applied for legal aid for… ...
    7 days ago
  • Government kicks hardworking whanau
    A major incentive to help young Kiwis and people on low incomes to start saving has been kicked out from under them with the National-led Government ramming through short-sighted legislation under Urgency today, Labour’s Maori Development Spokesperson Nanaia Mahuta says.… ...
    7 days ago
  • Speculator tax political stunt gone wrong
    Bill English’s admission he doesn’t know whether National’s new speculator tax will have any effect shows last weekend’s announcement by the Prime Minister was a desperate political stunt, says Labour’s Housing spokesperson Phil Twyford. “This Government is so desperate to… ...
    7 days ago
  • The value of parenting
    This week, as part of the Budget, the government introduced a bill to address child poverty. This bill will require parents receiving income support to look for part-time work once their youngest child is three years of age rather than… ...
    GreensBy Jan Logie MP
    7 days ago
  • Another new tax, another broken promise
    National has unveiled yet another new tax in this budget – a rural broadband levy that will almost certainly result in an immediate price hike for internet and telephone connections across New Zealand, Labour’s ICT spokesperson Clare Curran said “The… ...
    1 week ago
  • Anniversary of Sri Lankan Tamil Massacre
    This is not going to be a happy story but if the Green Party of Aotearoa doesn’t want to know who else will? May 18th marks the anniversary of what is known as the ‘Mullivaikal massacre’ of Tamils in 2009 at… ...
    GreensBy Catherine Delahunty MP
    1 week ago
  • Labour MPs join youth to take part in 40 hour famine
    A team of Labour MPs took part in the 2015 World Vision 40 hour famine and we were told by World Vision and the young people, that it was the first time MPs had joined them and how appreciative they… ...
    1 week ago
  • Rodeo: ‘Family entertainment’ or animal abuse?
    Recently  TVNZ ran a story with confronting footage showing rodeo animals being punched, repeatedly shocked with electronic prods and having their tails violently twisted over their backs. It was clear that significant force was being used behind the scenes to make… ...
    GreensBy Mojo Mathers MP
    1 week ago
  • Budget puts the squeeze on police
    The Government has cut funding to the New Zealand police force in the latest Budget, says Labour’s Police spokesperson Kelvin Davis. “The reduction is a whopping $15.3 million that could put front line officers at risk. ...
    1 week ago
  • Crucial social services take another hit
    The Government looks set to slash half a million dollars of funding for critical social services, including Women’s Refuge and Barnados, says Labour’s Social Development spokesperson Carmel Sepuloni “Taking $500,000 from organisations aimed at improving the lives of vulnerable families… ...
    1 week ago
  • Saying it Loud on Climate in Christchurch
    The Government’s Christchurch consultation meeting on New Zealand’s emission targets was inspiring – not for what was in the Ministry for the Environment’s (MFE’s) defeatist video about the obstacles to changing to a low carbon future, but for what the… ...
    GreensBy Eugenie Sage MP
    1 week ago
  • Budget silent on small business
    The Government has completely ignored one of the most important sectors of the economy – small and medium-sized enterprises – in Budget 2015, Labour’s Small Business spokesperson Jacinda Ardern says. "A stunning 41 per cent of jobs were created by… ...
    1 week ago

Public service advertisements by The Standard

Current CO2 level in the atmosphere