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The nub of the issue

Written By: - Date published: 11:16 am, June 19th, 2013 - 111 comments
Categories: business, economy, john key - Tags: ,

So, John Key can’t admit there’s a crisis in manufacturing. He can’t face the 40,000 job losses, the 16% decline in manufactured exports, the 7.7% fall in the number of manufacturing companies for the simple reason that its happened – is still happening – on his watch. But, crisis or not, the Manufacturing Report has good recommendations for boosting manufacturing. Does Key support them or not?

Does Key support a lower and more stable dollar; if not, why not?
Does Key support fixing taxes to direct investment away from housing speculation to productive companies; if not, why not?
Does Key support lowering infrastructure costs such as electricity prices; if not, why not?
Does Key support R&D tax credits; if not, why not?
Does Key support the government buying Kiwi-made whenever possible; if not, why not?

Key can huff and puff and call people bozos, but lets see him answer those questions.

(Oh and I see there’s been more manufacturing job losses. Just remember, there’s no crisis!)

111 comments on “The nub of the issue”

  1. Gosman 1

    Does Key support a lower and more stable dollar; if not, why not? – Unlikely. Basic market fundamentals mainly set the price of a floating dollar. Attempts to lower a dollar artificially can have drastic negative consequences which John Key wouldn’t be keen to see. Lowering a dollar via interventionist means doesn’t necessarily mean it is more stable either.

    Does Key support fixing taxes to direct investment away from housing speculation to productive companies; if not, why not? – Possibly but CGT do not seem to impact on productive investment decisions greatly in places which have them. Both the US and UK had large Housing price bubbles despite a CGT and other taxes like Stamp Duty. The Government has attempted to make other investment opportunities more interesting such as via the partial float of some SOE’s.

    Does Key support lowering infrastructure costs such as electricity prices; if not, why not? – Most likely yes. The best way to do this is via a market mechanism and not the Government coming in to dictate what the price should be. That way leads to shortages in supply that we experienced on numerous occasions prior to the Electricity reforms of the mid 1990’s. Electricity prices for businesses have trended downwards since then so they seem to be working in the regard of lowering infrastructure costs.

    Does Key support R&D tax credits; if not, why not? – Not if they are exploited by companies that would be likely to spend the money anyway or use it as a loop hole to not pay taxes. Although as far as I am aware National doesn’t mind providing support of a similar nature in this area.

    Does Key support the government buying Kiwi-made whenever possible; if not, why not? – Not if it would impact on the ability of our more competitive companies to bid for contracts in other countries because they follow a similar policy. It would also likely increase the cost of any work Government performs meaning a need for either increased taxes or less money to be spent on other areas.

    • bad12 1.1

      A market mechanism to lower the price of electricity to consumers, i realise that during your time commenting here on the Standard you have been called every idiot under the sun,(probably the clouds as well),so there’s no need for me to expand upon the previous attached discriptives,

      But,

      Please oh please tell us all about this ‘market mechanism’, describe for us all the what and how of such a market mechanism,

      (it’s a dull day and i need a good laugh)…

    • Pascal's bookie 1.2

      Possibly but CGT do not seem to impact on productive investment decisions greatly in places which have them. Both the US and UK had large Housing price bubbles despite a CGT and other taxes like Stamp Duty.

      Yeah, this is the stock standard response trotted out every time. Thing is though, usually the people trotting it out will say (at other times obv), that they believe incentives matter and that incentives should be part and parcel of setting tax policy. I’d be interested in hearing why it is that they claim incentives here don’t work, but that everywhere else they do.

      • Rob 1.2.1

        On tthe CGT issue, what evidence is there from anywhere that CGT propells investment away from housing into manufacturing. Or does it just sound like a good idea as it involves taxing people.

        NZ also had a pretty good mezanine finance base to access untill the GFC came and the finance companies collapsed. Back then whilst they were in the big seat, Labour should have done a much better job putting better regulation and control on errant finance companies so that maybe we would not have experienced the clean out of NZ capital base in the way that we have, but that will be the single telling legacy for NZ of the Clark Govt.

        Its only very reecently that banks have become more open to new funding new innovations and assets. The last few years it has been very difficult to get anything from anyone as there was none.

        • Pascal's bookie 1.2.1.1

          Can’t help but notice Rob, that you didn’t address what I was talking about in any way whatsoever. Any reason for that? Did you forget perhaps?

          After you do that in some sort of semi-convincing matter, I’d be more than happy to address the nonsense you spouted.

    • Follow-the-money 1.3

      Are you John Key’s PR person, by any chance? Your in-depth knowledge of his psyche and beliefs suggest you might be.

      If so, can you confirm whether or not his being quoted as calling Shearer a “bozo” was a misquote? It’s a childish term that one would think beneath the prime minister of a developed country. Did he really mean “sozo”, being the Greek for ‘saviour’ or ‘salvation’?

  2. Winston Smith 2

    Because there isn’t a crisis, the numbers are increasing and confidence is up but hey keep trying to spin the line theres a crisis…repeat a lie long enough and people will believe it

    Though I’d imagine you’d need someone more believable than shearer to nail it

  3. BM 3

    Do I support a lower dollar, not really.
    I and most others don’t want to be hit with even higher living costs, fuck the exporters I’m not here to subsidize their businesses.
    They either adapt or die.

    • bad12 3.1

      Through their business efforts ‘Exporters’ subsidize every aspect of the New Zealand economy along with every aspect of our lives,

      Your brainless dismissal of the export sector tho is par for the course and you would add more to the discourse here by sticking to watching the cheap flat-screen…

      • Rob 3.1.1

        You have to understand that NZ also has to import a raft of raw materials and converted items that are used to manufacture.

        The impact of a much lower doller on those manufactureres would be very severe and huge levels of employment would be lost. But no one here seems to consider that and that is very concerning.

        • Rob 3.1.1.1

          Enginered textyles, yarns, advanced co – polymer plastic resins, tooling steel and the list goes on a long long way. None of this is produced in NZ and yet is critical in many manufacturing processes.

          • lprent 3.1.1.1.1

            Surprising how many of these have been produced in NZ in the past at some point in time or another and how many still are in small vertical market situations. None are that hard to produce here at a cost and price point. I have seen tool steel produced and co-polymer resins. The latter I have even made myself because there are remarkably wide range of them used for many purposes.

            I’d guess that you are not that aware of basic economics because otherwise you’d have carried on the argument into why they are not produced in quantity at the current exchange rates and why they might be at a different exchange rate. Which is a whole different argument than the one of technical feasibility that you appear to be trying to argue (badly).

            I’d suggest you look at the reasons that we no longer have a battery industry

            • Gosman 3.1.1.1.1.1

              Or if he was really aware of basic economic theory that due to comparative advantage why we shouldn’t produce them and instead specialize and trade.

              • Draco T Bastard

                Comparative advantage is a load of bollocks. There isn’t even an absolute advantage for any industrial systems as all factories are designed to run as close to maximum efficiency as possible which means economies of scale go out the window as well. The only advantage of trade is to import something that we don’t presently produce while doing the R&D to produce it.

                • Gosman

                  You’re such an old Mercantilist. I feel like I have been transported back to 18th century pre revolutionary France in any discussion with you. By the way, of the two major competiting theories in Economics at that time how did the countries that adopted one of the rival approaches fair against you tries who too the competing policy?

                  • KJT

                    The UK, which refused to import anything but raw materials from their colonies and exported finished manufactured goods, became the most prosperous empire of the time. But you knew that didn’t you.

                    • Gosman

                      Bzzzzt! Sorry wrong answer. The UK’s preferential trade arrangements with colonies was a late 19 th century policy prescription. From the loss of the US till then the dominant strand of thought in UK economic policy was free trade with all.

                    • Draco T Bastard

                      Oh god, you really have NFI WTF you’re talking about do you?

                      Britain was mercantilist until the beginning of the 19th century. It was that mercantilism which allowed her to become the British Empire upon which the sun never set. It was after taking on the free-trade practices that she went into decline resulting in the inevitable loss of empire in the beginning to mid of the 20th century although in this case it was more of a passing of the flag to the US which had greater protections on it’s financial economy and was thus in ascendance.

                      http://en.wikipedia.org/wiki/Mercantilism#Great_Britain

                    • KJT

                      “Free trade” (sarc) works great when you can enforce favourable trade terms at gun point.

                    • r0b []

                      KJT – quiet here this morning so I moved your post forward a bit – now published – hope that’s OK. And welcome aboard!

                    • KJT

                      Thanks. Appreciated.

                  • Draco T Bastard

                    Me, a mercantilist? lol

            • Rob 3.1.1.1.1.2

              Whether I don’t grasp basic economics or whether we don’t have the technical skills doesn’t solve the fact that the stuff is not available from local supply . However I am sure you will now go on to lecture us all on how to fabricate it.

              • GarethGee

                Well played, Rob. Don’t assume because he runs a website, lprent knows anything practical about manufacturing. Apparently he even knows the competitive price point compared to foreign suppliers. Remarkable! And all this time manufacturers had no idea, because, you know, what possible incentive could they have to find this out?

        • Draco T Bastard 3.1.1.2

          You have to understand that NZ also has to import a raft of raw materials and converted items that are used to manufacture.

          No we don’t. We have all the needed raw resources within our own borders although we would need to develop the infrastructure for processing them. This is known as developing the economy.

          The impact of a much lower doller on those manufactureres would be very severe and huge levels of employment would be lost.

          Actually, it would tend to encourage the development of the economy because importation would be too expensive and thus produce more jobs.

          • GarethGee 3.1.1.2.1

            Ahhh import replacement strategies. Go ask Argentina in the 90s how that worked out for them. Cue IMF conspiracy theories ad nauseum.

            And no, New Zealand doesn’t have all the materials. You need skill and knowhow. and you need someone to finance it. You keep using “we” in developing this capability. By which, I assume you mean, the government invests in these processes rather than private sector initiative. Again, Argentina much?

            • Draco T Bastard 3.1.1.2.1.1

              And no, New Zealand doesn’t have all the materials.

              Yes we do – go check out the governments minerals website on it.

              You need skill and knowhow.

              Yep, got those too – that’s what all those universities are for. In fact I believe we’re presently leading the world in some fields.

              and you need someone to finance it.

              Easy – the government prints the money and spends it into the economy specifically to make use of those resources.

              By which, I assume you mean, the government invests in these processes rather than private sector initiative.

              Of course, the private sector comes with the dead weight loss of profit which leaves the majority working hard and going nowhere and a large percentage in outright poverty all so that a few sociopaths can be rich. We know this because it’s what has always happened when the private sector (read, rich pricks) takes over the economy and only uses it to their own benefit.

              BTW, we the people are the government. The government is not a separate entity.

              Again, Argentina much?

              Using a single word isn’t an argument.

          • Rob 3.1.1.2.2

            at 3.1.1.2 and thus the lecture starts.

  4. tracey 4

    When the Pm calls the Greens hippies and their funny money policy (quantitative easing it’s called elsewhere) how do his supporters (who agree with him) reconcile that against things like this?

    “Markets rally as Ben Bernanke backs further quantitative easing”

    http://www.guardian.co.uk/business/2013/may/22/markets-rally-ben-bernanke-qe-stimulus

    “The US economy was improving, but “headwinds” including government budget cuts were dragging on the recovery, Bernanke told the US Congress.”

    “Bank of England pressed to increase quantitative easing as confidence sags”
    http://www.guardian.co.uk/business/2013/mar/04/bank-of-england-qe-confidence

    I bet the bank of England would be surprised to be icalled hippies and supporters of “funny money”

    • Gosman 4.1

      Horses for courses. Regardless the Greens aren’t pushing this policy anymore because they can’t get backing from Labour or NZ First. Why would Labour and NZ First be so anti it do you think?

      • vto 4.1.1

        Why would John Key call the Bank of England and Ben Bernanke and the Federal Reserve loopy hippies with funny money policies do you think?

        Is it because the Bank of England, the Federal Reserve and Ben Bernanke are hippies with funny money policies or is it because John Key just keeps talking absolute bullshit?

        • Gosman 4.1.1.1

          Have you got the quote where John Key directly called the Bank of England and Ben Bernanke and the Federal Reserve “loopy hippies with funny money policies”?

          I’d expect the quote to include all of those various people/organisations by name rather than by inference.

          • vto 4.1.1.1.1

            Ha ha – have to pull out the pinhead dance again eh gosman? Let me rephrase it for you if that help…

            Why would John Key describe money printing policies like those of Ben Bernanke, the Federal Reserve and the Bank of England as loopy and funny money policies do you think?

            Is it because the money printing policies like those of Ben Bernanke, the Federal Reserve and the Bank of England are loopy and funny money policies or is it because John Key just keeps talking bullshit

            next pinhead coming to you in 3… 2… 1…

            • Andrew 4.1.1.1.1.1

              Printing money is one of last resort. The US and the UK are printing money as they have an effective 0% – 0.5% base rate and deflation. They are trying to inflate their economies. NZ, on the other hand, still has a base rate of 2.5% and no deflation, rather we still have inflation, albeit at the lower end of the scale.

              Printing money with a 2.5% base rate, when your economy is expanding, is likely to cause more inflation and a decline in real money purchasing power.

              That is why it’s idiotic/loopy in ‘NZ’. It’s arguably not idiotic/loopy in the UK or the US. The same effect can be used here by lowering our base rate. The US and the UK cannot lower theirs any more.

              • Gosman

                Thank you Andrew.

                Over to you vto.

              • vto

                I understand that is, partly, correct Andrew, but the point is around John Key and his shit talking. He deceives and avoids and minces and… simply talks bullshit. This is one example.

                edit: the funny thing is that the policies are still actually funny money policies. The world’s greatest ponzi scheme running amok all over the whole place. Do you ever wonder why actual real assets like power companies, land, gold, knitting machines, farm animals, etc etc are valued above printed paper money??? And by those who print that money? It is all the great deception….

                • Gosman

                  The policy is one for loonies in the NZ context. Why is this a difficult concept for you to grasp?

                  The Greens have finally understood they aren’t going to make any head way on this. If the Hippies can understand this why can’t you?

                  • vto

                    Already answered to Andrew above.

                    And btw, you shold always listen to the hippies as they are usually one step or generation ahead of the rest……

                    And their recognition of this policy as a useful tool in certain circumstances, just like the US, UK, Japan and Europe, (albeit the same circumstances do not quite exist in NZ at the monent) is one example of that.

                    Another example is recognition of Omaha and Waiheke and Coromandel as superior places to live before the rich rabble…

                    Another example is recognition of organic food as superior to corporate food before the rich rabble….

                    Another example is recognition of alternative energy before the rich rabble…

                    Go the hippies I say

                    • Gosman

                      Another example is the lack of use of basic hygiene before the rich rabble.

                      Another example is the belief in the power of ‘energy’ (Like Homeopathy) to cure illness before the rich rabble.

                      Another example is the belief in the power of free love to solve the worlds problems before the rich rabble.

                      Those Hippies got everything just right before everyone else no doubt about it, Man.

                    • vto

                      ha ha, we each make our own nests gosman.

                      and btw, your hygiene one is false. The other two are matters of the mind, if you like, whereas what I was talking about was daily physical realities (land, food, heating and power).

                      but you know – hairs to split and all that.

                • Andrew

                  “Do you ever wonder why actual real assets like power companies, land, gold, knitting machines, farm animals, etc etc are valued above printed paper money??? And by those who print that money? It is all the great deception….”

                  Because paper money has no intrinsic value. The paper means nothing. The guarantee of goods or services give it value. So the paper is only worth what you can exchange for it in the way of goods and services.

                  • vto

                    True.

                    Note what people with lots of paper money do – exchange it as quickly as possible for actual real assets like power companies, land, gold, knitting machines, farm animals, etc etc

                    Kind of points to the true game play being game-played out around the globe right now – witness Mighty River Power, witness moves by ECB to push places like Greece and Cyprus to exchange their real assets for paper money…

                    I think we wll need to look, think and evaluate, with big wide open eyes and minds, much more than we do.

                    • Andrew

                      “Note what people with lots of paper money do – exchange it as quickly as possible for actual real assets like power companies, land, gold, knitting machines, farm animals, etc etc”

                      exactly, they do this to hedge against inflation. if the banks paid any real interest on saving, then money in the bank will beat inflation, but not at the moment. poor people that run out of money week to week are the real losers of inflation. this is why printing money will always hurt those with the least money the most, as their precious few $$ they have to spend each week are worth less with an inflated money supply.

                      “I think we will need to look, think and evaluate, with big wide open eyes and minds, much more than we do.”

                      couldn’t agree more.

                    • Draco T Bastard

                      exactly, they do this to hedge against inflation.

                      Nope, they do it to get real assets that can then be held over the heads of everyone else so that they can become even bigger bludgers on society.

                      this is why printing money will always hurt those with the least money the most, as their precious few $$ they have to spend each week are worth less with an inflated money supply.

                      And you still fail to understand that the private banks print vast amounts of money every year and so hurt those poor people. The government printing money won’t do that because:

                      1.) It doesn’t have interest on it and so can actually be paid off
                      2.) Can easily be offset by taxes and so the money supply can be controlled more easily
                      3.) The money printed by the government will actually be spent into the economy rather than accumulated by the few

                      What we need to do is stop the private banks from printing money as they’re the ones causing all the problems.

                    • KJT

                      Unless it is paid to them in increased wages, of course.

                    • Draco T Bastard

                      Increasing wages won’t stop the collapse of the economy brought about by the charging of interest on created money.

                      BTW KJT, I’m not really sure what you’re replying to there.

                    • KJT

                      Replying to Andrew. Poor people do not lose out when inflation increases their wages in relation to costs.

                      When the spending is on wages, not on tax cuts for Hawaii holidays for the rich, for example..

                    • Gosman

                      Inflation does not increase wages. Inflation is a measure of the increase in the price of goods and services not wages. Wages may go up due to higher inflation but they are quite separate things.

              • bad12

                Your joking right, there is only one reason that the NZ economy is running at 2% inflation, it’s called Government BORROWING,

                For the moment i will leave out of the inflation equation private sector borrowing, BUT, tell us all what exactly would be the difference in the Government having ‘printed’ the 100-300 million dollar weekly shortfall in Government revenue for the previous 4 years,

                Of course the economy is showing 2% inflation, it was showing similar to that prior to the Global Financial Crisis and Slippery’s National Government have refused to face reality and borrowed somewhere in the realm of 60-80 billion dollars in 4 years to prop up it’s spending hence the 2% inflation,

                IF the Slippery Shysters had of instead of borrowing that 60-80 billion dollars simply printed the same amount of money the same amount of inflation, (2%), would have occurred,

                Only the blind and/or stupid cannot see this simple truth…

                • Andrew

                  as far as i am aware, government borrowing does not cause inflation. although i am not an economist, so i would concede to being wrong if proved otherwise.

                  “Slippery’s National Government have refused to face reality and borrowed somewhere in the realm of 60-80 billion dollars in 4 years to prop up it’s spending”

                  to prop up its spending? or the previous governments spending? also, according to all in sundry here, we have had nothing but austerity budgets over the past 4 years? Maybe its borrowing is because of the ChCh earthquake, and to keep the economy going since the GFC? A good thing, no?

                  How bad would things be if the government decided that it wouldn’t borrow any more money?

                  edit: “IF the Slippery Shysters had of instead of borrowing that 60-80 billion dollars simply printed the same amount of money the same amount of inflation, (2%), would have occurred,”

                  bullshit

                  • Gosman

                    Government borrowing can cause inflation if you add to the amount of money in circulation as a result. But you are correct that borrowing in its own right doesn’t have a large impact. It is resultant government spending which has the bigger impact on inflation. Nowhere near the impact though if you funded the spending shortfall via printing money. The fact bad12 doesn’t understand this is a biting indictment on his/her left wing view of the world.

                    • Andrew

                      so i guess that when the loan is repaid the money is no longer in circulation.

                    • KJT

                      There is absolutely no difference in the initial effect on inflation between QE, insurance money coming in, like CHCH, and Borrowing.

                      The difference is later when borrowing has to be paid back, with interest!

                      The difference is the banks charge us for “printing money”.

                      See comment below.

                    • Colonial Viper

                      so i guess that when the loan is repaid the money is no longer in circulation.

                      Correct. Money is effectively destroyed from the economy, until a new loan is originated, recreating the money in the economy. A fact inferred by this cartoon

                      http://thestandard.org.nz/toles-on-economic-recovery/

                    • KJT

                      So Gosman, Governments borrow money without necessarily spending it?

                      I suppose you are right when they borrow it for tax cuts for Hawaii holidays. AND The money is not spent here.

                      However, say 300 million is spent in Christchurch
                      In borrowed money, QE or taxation.
                      Only taxation has a neutral effect on inflation.

                      However inflation is not a given. If the extra money soaks up otherwise unused resources, such as previously unemployed people. Which we have far too many.

                    • Gosman

                      Do people use NZ dollars when they are on Hawaii on Holiday?

                  • bad12

                    Government borrowing does not cause inflation, Government spending does, even frigging Gosman knows that, i get the feeling we have been debating with a slightly retarded 5 year old…

          • bad12 4.1.1.1.2

            Splitting hairs??? If Slippery the PM thinks the Green Party ‘printing money’ is the policy of ‘loopy hippies with funny money policies’ then by inference the Governments of Japan, the US, the UK and Europe must also be ‘loopy hippies’,

            Or, perhaps you see some fundamental difference in a Government of NZ ‘printing money’ as opposed to borrowing other countries freshly printed scrip…

            • Gosman 4.1.1.1.2.1

              See Andrew’s reply above.

              BTW why have The Greens recently abandoned their big push of this policy, (or at least acknowledged it isn’t going to happen anytime soon)?

              • bad12

                See my reply to Andrew’s snippet of low intelligence above, answered in full and debunked for the rubbish it actually is,

                Failing to address the true picture of the Slippery National Governments intentions to hand to the next Government a set of Government accounts mired in 60-80 billion dollars of debt is simply low browed lies by omission we have come to expect not only from this abysmal Government but it’s supporters as well,

                Seems really sensible for the Green Party to stop pushing it’s ‘printing money’ policy as neither Labour or NZFirst, party’s that are likely to form the next Government agree with such a policy…

                • Andrew

                  “See my reply to Andrew’s snippet of low intelligence above, answered in full and debunked for the rubbish it actually is”

                  wow, that’s pretty harsh. straight into the ‘low intelligence’ meme. Nice one.

                  in actual fact, yours is the rubbish. Nowhere above did you debunk anything. In actual fact, the “why don’t governments just print money instead of borrowing it” meme, has been well and truly debunked the world over. Of course, there are a few economists out there that actually believe the way you do, but i certainly wouldn’t call it a consensus as they are very much in the minority.

                  • bad12

                    The Governments of the UK, the US, Japan and Europe print the stuff at their whim but you and other neanderthals know better of course,

                    So tell us all again, what would have been the difference, if in the last 4 years the Government had of ‘printed’ the 60-80 billion dollars it has so far borrowed,

                    Your claim is that because there is 2% inflation in our economy ‘printing’ this money so far borrowed would have lead to undue inflation, you are blind to the fact that by borrowing that 60-80 billion dollars in this 4 year period this government has not only kept the dollar growing in value against the US dollar it has also ensured that inflation will be 0-2%,

                    If the Government had not borrowed that 60-80 billion dollars and spent this into the NZ economy it would have tanked and inflation would be at zero%,

                    So really your argument is able to go round in a loop, the argument of the loopy, the truth is that if this Government had of printed that 60-80 billion dollars over that 4 year period we would still have inflation at 2% without having the debt mountain chalked up unnecessarily by this Government…

                    • Colonial Viper

                      I actually what Andrew’s agenda is. It is common knowledge that the big central banks i.e. BoJ, ECB, Federal Reserve, BoE and several other smaller ones, have been creating money at a massive, unprecedented rate since 2008.

                      The Fed’s ZIRP policy means that the Primary Dealers can access that money at essentially 0% interest.

                      What is in it for Andrew to deny these facts?

                    • Andrew

                      see:

                      http://thestandard.org.nz/the-nub-of-the-issue/#comment-650820

                      I have already said that is it absolutely necessary for the big central banks to be printing money due to fighting deflation, so your “you and other neanderthals know better” comment is unnecessary.

                      so, if i understand you correctly, you are saying that if the NZ govt printed 60-80 billion dollars over the last 4 years, while we have positive inflation and a central bank rate of 2.5%, then we would only have the same rate of inflation that we do now ….

                      and i’m saying bullshit.

                      edit: and BTW, “kept the dollar growing in value against the US dollar”. The NZD is growing in value against the USD due to the USD devaluing, not the other way around.

                    • bad12

                      What i have said and it’s in plain English so even the slightly retarded should understand it =,

                      There is but one reason that the NZ economy sailed through the Global financial crisis without going into deflation and that is that the current Government has since 2009 spent into the economy 100-300 million dollars weekly that was not direct Government revenue, ie: it borrowed that 100-300 million dollars a week,

                      Therein lies the root of your 2% growth/inflation and therein lies 1/2 the reason for the high NZ$ the other half being the continuous devaluation of the US$ by you guessed it, printing money,

                      This of course leaves the next Government with a 60-80 billion dollar debt, i am sure you can follow me thus far,

                      Now if we as a country had of followed those big central banks in printing money to fight off deflation instead of borrowing 100-300 million dollars weekly to achieve exactly the same thing we would be in exactly the same position vis a vis the 2% inflation/growth now being experienced except we as a country would not have a debt mountain of 60-80 billion dollars, a lower valued NZ$, far higher export earnings and far more manufacturers and manufacturing jobs,

                      The fact that you can only muster ‘bullshit’ as an interjection is meaningless drivel and you know that i am correct in my analysis unless that is you think borrowed dollars have some form of ‘magical qualities’ that printed dollars do not possess…

                  • Draco T Bastard

                    wow, that’s pretty harsh. straight into the ‘low intelligence’ meme.

                    It’s not a meme, it’s solid research – RWNJs are stupid.

                    Of course, there are a few economists out there that actually believe the way you do,

                    The average run of the mill economist (most of them) wouldn’t know what an economy was if they tripped over one. It’s the one time I’ll say that listening to the academics is worse than useless as doing so leaves everyone worse off.

            • Andrew 4.1.1.1.2.2

              Oh, i forgot about Japan, thanks for reminding me. Japan have been fighting deflationary stagnation since their economy imploded in the 90’s. Printing money in Japan would seem like the only option. From the financial times:

              “The BoJ will double Japan’s already expanded monetary base, taking all imaginable measures to achieve 2 per cent inflation in about two years”

              So once again, they are printing money like there is no tomorrow, among other things, to try and achieve ‘inflation’. We already have inflation, our economy is expanding.

              • vto

                Andrew, when you say this … “our economy is expanding”, which many measure seem to say at the moment, I have to disagree. The money is expanding perhaps, thanks to pretty much debt issued by the banks (which is also most all printed), but the amount of personal activity and production (actual goods etc) by people in their daily lives, which is a true measure of an economy is stagnant.

                The whole expanding economy meme is a myth. It is purely a money measure and we are all awre of the fragile and slippery nature of “money”.

                This measure is all part of the global monetary system. Trust in it at your peril.

                • Andrew

                  smarter people than me work out the inflation rate, i don’t know if banks extending credit has anything to do with it.

                  for more info on how banks (not including the reserve bank) don’t actually print money can be found here:

                  http://www.positivemoney.org/how-money-works/advanced/

                  • KJT

                    And the same people who claim the high interest rates in New Zealand attracting fast loan money from overseas feeding into land prices does not cause land price inflation, claim that QE will cause runaway inflation.

                    Well, both can’t be right.

                    Unless you have the typical RWNJ cognitive dissonance, of course!

                  • Colonial Viper

                    for more info on how banks (not including the reserve bank) don’t actually print money can be found here:

                    The link says that they don’t usually print the money, they simply electronically create it out of thin air.

                    • Draco T Bastard

                      Yeah, was surprised by him linking to Positive Money while saying that the banks didn’t print (create) money. Seems he wasn’t paying attention while reading the page.

              • Draco T Bastard

                Just because we have inflation doesn’t mean that our economy is expanding. Inflation can also be driven by a lack of demand.

      • bad12 4.1.2

        ”A market mechanism to lower the price of electricity”, we are all waiting with bated breath for you to expand upon this telling us what this ‘market mechanism’ is and exactly how it will work to lower the price of electricity,

        Perhaps tho you really have no knowledge of such a ‘market mechanism’ and other’s who view you as nothing but the dumb shill of Slippery’s National Government have your measure down to a T….

        • vto 4.1.2.1

          bad12 that will be the same “market mechanism” that gave us leaky homes, no affordable housing, the inability to provide for dairying irrigation, and 29 dead men at Pike River.

          “Market mechanisms” are only good for undies and car tyres. Important shit it is proven hopeless at.

          • bad12 4.1.2.1.1

            Yeah i am just picking on that clueless empty suitcase in an effort to get ‘it’ to make a bigger fool out of ‘it’self’ than it already has….

          • Gosman 4.1.2.1.2

            Yeah like in Computer Hardware and Software. Industries dominated by the State sector.

            Oh hang on a minute……

            • vto 4.1.2.1.2.1

              fair enough mr clever – undies, car tyres and computers. You can probably add paint, chainsaws and hats too

            • KJT 4.1.2.1.2.2

              Who started the internet, Gossy.

              Clue.

              It wasn’t the private sector!

              • Gosman

                We are discussing the overall market not individual inventions or innovations that form part of the market.

                • KJT

                  Yeah right.

                • bad12

                  You are not discussing anything, your ‘market mechanisms’ etc are simply empty mouthing’s from an equally empty head, i still await your description of the ‘market mechanism’ you claim will bring down the retail price of electricity…

                • Colonial Viper

                  Hey Gossie who invented the transistor, the basis for electronic technology from the 1960’s onwards?

                  And who funded the development of the first jet aircraft?

              • Rob

                KJT who invented the plane .

                Clue

                It wasn’t the Govt.

                • vto

                  Rob, who invented the cooked meal.

                  Clue

                  It wasn’t a market mechanism.

                  • Rob

                    Nor was it a Govt.

                    It was probably an individual, exactly the same as the bloke who conceived the internet.

                    • Colonial Viper

                      If this is the level of reasoning and invention you are referring to, there’s not much hope left.

                    • vto

                      whooosh….

                      you see this crazy line of reasoning exposes the craziness in right wing thinking in these modern times.

                      It would not have been an individual at all it would have been a group I would suggest. Early humans or neanderthals or cro-magnons or our great-granddad-apes never ever acted or lived as individuals. The cooked meal would have been attended to as a group, or community, acting together in its best interests AS A COMMUNITY.

                      This whole concentration on the individual is at the forefront of right wing madness. You guys are out of sync with manwomankind and history. You are an anomoly. You need to wake up and see the big picture and how we humans have got to where we are. It has got us this far – it should, fingers crossed, get us to where we will get in the future.

                      It is all about community, not individuals.

                    • McFlock

                      Maybe Rob’s thinking of Tim Berners-Lee, who developed the integration of hypertext and the internet.

                      While working for CERN.

                      Oh, and he gave it to the world, rather than stifling creativity and expansion via corporate IP monopolies.

                • Colonial Viper

                  KJT who invented the plane .

                  Clue

                  It wasn’t the Govt.

                  LOLOLOLOLOLOLOL what a dumb line of reasoning.

                  • Rob

                    Yep I was thinking of Lee , obviously I missed learning about the community meeting that devised the hot meal cooking roster .

            • Draco T Bastard 4.1.2.1.2.3

              Industries that wouldn’t have got off the ground without government funding.

      • Draco T Bastard 4.1.3

        Because they’re stupid and tied to the neo-liberal lie that the government can’t do it?

  5. KJT 5

    The difference is the banks charge us for “printing money”.

    It still represents work done, either now or in the future who ever “prints” it.

    It seems to have been rather buried inn history that, printing money for public works and employment schemes, work done, now! was how New Zealand got itself out of the 30′s depression. Before the countries that did not, by the way! They required a war.

    Much of the infrastructure the idiots are selling off now, was built with “printed money”.

    The USA did the same. It laid the infrastructure foundations for their continued prosperity after WW2.

    It was also “printed” US dollars backing the Deutschmark, also “printed” which enabled Germany to become the economic powerhouse it is now.

    The problem with “printing money” is that, in New Zealand at present, it is unlikely to cause enough inflation to restore the balance of trade and the overvalued dollar. We have too many underutilized resources, especially workers.

    It puzzles me that some people are so opposed to the State “printing money” but are happy to live with the effects of banks unbalanced “printing money” into house and land price inflation, and our dollar inflation against trade competitors currencies..
    Well, I suppose it is not a puzzle really. they are happy to take wealth off the rest of us, in interest.

    Objections to “printing money” show either a fundamental misunderstanding of the economic role of money, or a cynical desire to foster public ignorance to keep the banks gravy train in operation.

    • Gosman 5.1

      That would seemingly include the NZ Labour party then.

      • KJT 5.1.1

        Nothing would surprise me, about the current Labour party, non-leadership.

        Though some of their younger people seem to be shaping up well.

      • xtasy 5.1.2

        Stop making claims that are not true, even though I am critical of Labour myself, for other reasons.

    • bad12 5.2

      Well said, and i agree with all your points made…

    • Draco T Bastard 5.3

      Objections to “printing money” show either a fundamental misunderstanding of the economic role of money, or a cynical desire to foster public ignorance to keep the banks gravy train in operation.

      QFT and +1 on all the rest as well.

  6. Ad 6

    Great questions.

    My concern is tactical: if the Christchurch requild bring unemployment down below 6% it will be hard to have a sensible conversation about economic development. And hard to ge the left elected
    at all.

    I have been recently re-reading Brian Easton’s The Nationbuilders. It’s a pantheon of many who pushed the development of New Zealand as if New Zealand were an idea to strive for and make. I urge you to read it.

    I liked the Helen Clark government overall. But the next one has to be better than that. I want to see nationbuilders emerge again.

    • Rogue Trooper 6.1

      High Ad.

      • Ad 6.1.1

        Yes I was declaiming from the mountaintop to the soundtrack of Where The Streets Have No Name and calling down all Vogellian gods as I wrote it. Every mild attempt at policy coherence generates these little fantasies; sorry ;-)

  7. Rogue Trooper 7

    well, the NZ dollar is going to go higher against the Aussie on the back of their rates cut, and we are all waiting for Bernanke’s announcement in the morning, with the inevitable flow-on effect to the NZ economy…
    the deficit is going to increase through the imports for the Christchurch rebuild and foreign profit-taking from the “growing economy”.Just swell.

  8. xtasy 8

    John Key would not care a damned shit about the report brought out by the Auckland University professor, who was the author of the manufacturing crisis report.

    The crisis is a multi faceted and complex one, and it is deep. It is not easy to see for those focused on total manufacturing output, which hides the fact, that only a fraction is value added “production” that happens in NZ.

    Low value added or non value added manufacturing dominates, and that is what goes out in raw dairy, meat, logs and fish.

    Key though is not interested in details, he is only interested in quick fixes, as he grew up with “quick fix” deals and solutions. The very environment and conditions of currency or commodity trading is one, where you do not care about details of who does what, who manufactures, who invests, who researches, it is the charts, the present, immediate market ratings, the day to day deal options, that dictates your thinking.

    That is the environment of one John Key, and that is what made him get rich. He is more of a radical short term opportunist and “gambler” and risk taker, than a strategist and planner. The latter is what smart and successful economies are built on, like Germany, Japan and now also China.

    Key is not interested in that, he is only thinking term focused. It is the last term, definitely at least the second last, that he will bother with running politics. So he is focused on quick fixes, and a rush in exports of low value added, resource depleting and environmentally damaging commodities and products, that serves him well. Once – or before, the economy is stuffed and drained, no more to be made, he will move on, and that will be to some other role in business or consulting, or into retirement, which he has already booked himself into, on a nice tropical island on Hawaii.

    No risks for him, and fuck the rest, that is ‘Keysianism”, the most modern version of Fieldman type economics.

    Manufacturing of higher valued products and all the efforts, finance and support that may require is too long term stuff for the man. Not worth his time. So suck deep, NZers, he does not give a shit damned arse for the future of your country. Yet so many love a smiling assasin face to trust, and they all speculate on their properties, to sell for a great gain to an Australian, a Chinese or Pom.

    NZ Economics in short!

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  • 50,000 sign petition against anti-worker law
    More than 50,000 Kiwis have signed Labour’s petition against the Government’s scrapping of tea break entitlements, Labour’s Acting Deputy Leader Annette King says. “That’s the equivalent of five people signing our petition every minute for a week. It shows the...
    Labour | 30-10
  • Address in Reply Debate – Dr Kennedy Graham on UN Security Council- 2...
    In the Speech from the Throne last week the Prime Minister identified the usual domestic goals for his Government. I counted 17. They are not my subject today. I wish instead to focus on matters beyond our shores. In the...
    Greens | 30-10
  • Climate change harming ocean health
    New Zealand is responsible for one of the largest areas of sea in the world – an area 14 times the size of our land area. The National Government is promising new marine protected areas legislation with a discussion document...
    Greens | 30-10
  • Key misled public over Jason Ede
    Information contained in a new chapter of the book Key: Portrait of a Prime Minister, that Jason Ede stopped working for the National Party on the night the book Dirty Politics was released, shows Mr Key and senior ministers hid...
    Greens | 29-10
  • Greenpeace report highlights better path for NZ agriculture
    A Greenpeace International report highlights a better way forward for New Zealand agriculture than the GE and chemical mutation technologies supported by Federated Farmers, and the National Government through its research funding packages, the Green Party said today. "This report...
    Greens | 29-10
  • BNZ post record profits while leaving savers vulnerable
    A small part of the $850 million record profit posted by the Bank of New Zealand (BNZ) today needs to be set aside to protect savers' deposits in the future, said Green Party Co-leader Dr Russel Norman today.Dr Norman was...
    Greens | 29-10
  • RBNZ U-turn shows monetary settings were wrong
    The Reserve Bank's U-turn on interest rates today shows monetary policy settings were wrong and New Zealanders have suffered unnecessarily through the loss of jobs and having to pay higher interest rates, the Green Party said today.Reserve Bank Governor Graeme...
    Greens | 29-10
  • Ports must take responsibility for shameful death toll
    Port companies must step up and take responsibility for a shameful toll of seven deaths and 133 serious accidents in the past three years, Labour MP Iain Lees-Galloway says. The frightening figures – released by the Rail, Maritime and Transport...
    Labour | 29-10
  • Please help me get my Feed the Kids Bill to Select Committee
    Last week I took over the Feed the Kids Bill that Hone Harawira had introduced to Parliament. If passed, my Bill will provide government-funded breakfast and lunch in all decile 1 and 2 schools. Hungry kids can’t learn and are...
    Greens | 29-10
  • TVNZ Outsourcing Pasifika and Maori Programmes
    I’ve always been a big fan of our state broadcaster and I’ve particularly liked their range of current events programmes. But after Friday’s announcement that TVNZ will be sacking up to 40 staff by contracting out the Pacific and Maori...
    Greens | 29-10
  • Labour urges iwi leaders to meet with National
    Labour’s Māori Caucus has called on iwi leaders and national Māori organisations to seek urgent meetings with the National Government to directly express their concerns about employment law changes which will harm Māori workers. In an open letter sent today...
    Labour | 29-10
  • ACC’s reputation needs fix, not glitz
    Restoring public trust and confidence in ACC will take a lot more than a new communications strategy or social media blitz, says Labour’s ACC spokesperson Iain Lees-Galloway. “Under National, ACC has come to be perceived as insensitive, difficult to deal...
    Labour | 29-10
  • Lessons to be learned from police investigation
    The outcome of the so-called Roast Busters case should not put victims off reporting sexual crimes, Labour’s Acting Deputy Leader Annette King says. “This case has been mishandled from the start. Within days of police initially saying no charges had...
    Labour | 29-10
  • Anti-worker legislation is anti-Pacifica
    The Minister for Pacific Peoples, Peseta Sam Lotu-Iiga, will go down in history as being part of a Government that harmed his own people through anti-worker legislation, says Labour’s Pacific Island Affairs spokesperson Su’a William Sio.  “Pacific people are among...
    Labour | 29-10
  • Five-year tax holiday for overseas tax dodgers
    National has just gifted a five-year tax holiday for foreign companies dodging their tax payments, says Revenue spokesperson David Clark. “Todd McClay has pretended he is doing something about overseas companies dodging their tax duties by joining an international initiative...
    Labour | 29-10
  • Traffic Jam Tax must be given the red light
    Auckland Council’s proposed Traffic Jam Tax could cost some households thousands of dollars a year just to use roads they had already paid for with their taxes and must be rejected, says Labour’s transport and Auckland Issues spokesperson Phil Twyford....
    Labour | 29-10
  • National has chance to show leadership on limos
    The National Party has the opportunity to show leadership by transitioning our vehicle fleet towards renewable electricity when a new contract to supply Government limousines for VIPs goes to tender next month, the Green Party said today. "This is a...
    Greens | 29-10
  • The Māori Party can’t have it both ways over labour laws
    The Māori Party has to fess up over its voting record on the Employment Relations Amendment Bill, says Labour’s Māori Caucus.  “It’s simply not good enough to oppose the bill at the same time  as they helped speed up its progress through...
    Labour | 29-10
  • Equal pay and the aged care sector
    Today the High Court upheld the historic ruling by the Employment Court that our Equal Pay Act could be used to consider work of equal value cases; the government has been telling the UN and ILO that it could for...
    Greens | 29-10
  • Court case perfect opportunity for Government to improve gender pay gap
    If the Government wants to halt New Zealand’s slump in international rankings on the gender pay gap it should act on the court finding that women deserve equal wages, Labour’s Women’s Affairs spokesperson Sue Moroney says. “The World Economic Forum’s...
    Labour | 28-10
  • All Auckland transport options should be considered
    All options for meeting Auckland's transport needs should be considered, including reprioritising the transport budget away from wasteful spending on motorways, the Green Party said today.Auckland mayor Len Brown is today releasing a transport report by the Independent Advisory Board,...
    Greens | 28-10
  • Another report highlights Govt failure on child poverty
    An international report measuring the impact of the Global Financial Crisis (GFC) on child poverty rates, showing children in New Zealand have done worse than children in other countries, is further proof the Government needs to urgently take additional steps...
    Greens | 28-10
  • Address and Reply Debate Part 55: Inequality and Disability
    I rise on behalf of the Green Party to talk about inequality and disability.The recent census showed that nearly one in four New Zealanders lives with a disability—up from one in five in the previous census. These figures include some...
    Greens | 28-10
  • Address and Reply Debate Part 55: Inequality and Disability
    I rise on behalf of the Green Party to talk about inequality and disability.The recent census showed that nearly one in four New Zealanders lives with a disability—up from one in five in the previous census. These figures include some...
    Greens | 28-10
  • Child poverty: No more wake-up calls
    A new report which shows the National Government has made no inroads whatsoever into child poverty should do more than just set alarm bells ringing, Labour’s Acting Deputy Leader Annette King says. “UNICEF’s  latest Innocenti Report Card highlights the fact...
    Labour | 28-10
  • Eugenie Sage speaks in the 2014 Address in Reply Debate
    I congratulate you, Assistant Speaker Mallard, as Assistant Speaker and look forward to your knowledge, your fairness, and your light touch in being a referee of proceedings in this House. I congratulate also the other Assistant Speaker, Lindsay Tisch; the...
    Greens | 28-10
  • James Shaw’s Maiden Speech
    Tena Koe, Mr Speaker. I would like to take this opportunity to speak a little of the past, the present and the future. The privilege to serve in this Parliament was given to me by all those who gave their...
    Greens | 28-10
  • Govt airs real views on public broadcasting
    An admission by the Government that it is happy to experiment with Pacific and Maori audiences shows just how weak its vision for public broadcasting in New Zealand is, Labour’s Broadcasting spokesperson Kris Faafoi says. “National today admitted it doesn’t...
    Labour | 28-10
  • Does Judith Collins have a get out of jail card?
    Former justice minister Judith Collins appears to have been gifted a get out of jail free card based on the Prime Minister’s answers in Parliament today, Labour’s Acting Deputy Leader Annette King says. “Judith Collins claimed in an Official Information...
    Labour | 28-10
  • Solid Energy decision delay sensible
    Today’s announcement by the Board of Solid Energy that it will delay making a final decision on re-entering the Pike River mine is a sensible move, Labour’s MP for  West Coast-Tasman Damien O’Connor says. “It has been clear for some...
    Labour | 28-10
  • New York Green Bank off to a $1B start
    New York Governor Andrew Cuomo announced late last week the New York Green Bank’s first NZD$1 billion tranche of green energy investments. The projects, which are difficult for the private sector to finance, are now possible by New York Green...
    Greens | 28-10
  • GUEST BLOG: Blockade the Budget
    The ‘Independent’ Police Conduct Authority’s report into the policing of student protests in 2012 is a whitewash The report released by the Independent Police Conduct Authority into the policing of student protests in 2012 is a whitewash riddled with inaccuracies....
    The Daily Blog | 30-10
  • When National claim new anti worker laws provide ‘flexibility’ they mea...
    And so it comes to pass. The first law National ram through as part of their victory march are new anti worker laws they pretend will generate ‘flexibility’. The new law denigrate the unions ability to protect workers and provide...
    The Daily Blog | 30-10
  • City Transport: A Taxing Matter
    This week the prospect of paying tolls on Auckland motorways became a hot topic. (See Mathew Dearnaley:Motorway tolling could hit some hard, NZ Herald, 30 Oct 2014.) As we might expect, the kneejerk response has been quite negative. But, as with...
    The Daily Blog | 30-10
  • Open Letter to Amy Adams: Please Reopen The Review Into Sexual Violence Cou...
    Ms Amy Adams, Justice and Courts Minister, Right now in this country it seems that although rape is illegal, it is not being prevented by the agents who uphold the law. It almost feels like rape is only illegal on paper,...
    The Daily Blog | 30-10
  • MEDIA WATCH: Does ‘No-Surprises’ Also Apply To TVNZ News?
    When you stand back and look at NZ media outlets, most of them have at least one or two people who attempt to hold the government to account: John Campbell on TV3, Guyon Espiner and others at Radio NZ, David...
    The Daily Blog | 30-10
  • Things That Make You Go Hmmmmmmm
    Every so often in politics, a public figure comes out with something so absurd and so outlandish … that it really does just make you go “Hmmmmmmmmmm”. We’re accustomed to this from certain quarters – by mid point through the...
    The Daily Blog | 30-10
  • Poverty & inequality don’t need protest marches – they need a riot:...
    The global level of inequality continues to skyrocket… Number of billionaires doubled since financial crisis The number of billionaires has doubled since the start of the financial crisis, according to a major new report from anti-poverty campaigners. According to Oxfam,...
    The Daily Blog | 30-10
  • If Key knows who Rawshark is…
    I’m sorry, what? John Key ‘given Rawshark’s name’The Prime Minister believes he knows who hacked Whale Oil blogger Cameron Slater’s computer and produced the source material for Nicky Hager’s Dirty Politics, according to a new edition of a recently published...
    The Daily Blog | 30-10
  • Child Poverty stats in NZ
    Child Poverty stats in NZ...
    The Daily Blog | 30-10
  • Crimes Act + Police Investigation = WTF
    Just to frame the farce that is the Roastbuster’s investigation and conclusion – here are the parts of the Crime Act http://www.legislation.govt.nz/act/public/1961/0043/latest/whole.html#DLM329057  the Roastbusters are proven to have violated – that the police (and some suspects!) themselves acknowledge occurred: Crimes...
    The Daily Blog | 29-10
  • Publishing Journalists’ Home Addresses Is A Tactic Of The Right, Not The ...
    I think I’m starting to get rather annoyed with the conduct of some pro-MANA people over this ongoing Parliamentary Services crew complement issue. Yes, we get that there are legitimate issues to be raised with how some political reporters in...
    The Daily Blog | 29-10
  • Aucklanders caught between a tarseal-addicted government and a weak mayor
    Len Brown’s proposal for motorway tolls to reduce congestion and provide funding for better public transport is a weak response to a critical issue. The $12 billion dollar shortfall on transport funding he talks about is mainly for projected new...
    The Daily Blog | 29-10
  • A Very Weird Story: Deconstructing Darren Aronofsky’s Noah.
    NOAH is a curious movie. Conceived as a biblical epic, it’s target audience was originally the millions of Americans who regard the Bible as God’s inerrant word. With the sin-filled works of Hollywood forbidden to these true-believers, Christian movie-makers have developed...
    The Daily Blog | 29-10
  • You Can Get Away With Rape In New Zealand
    Jessie Hume with last years petition against rape     The police have sent a strong message today.  In fact they’ve been sending a strong message for a while; a message that our government supports. “You can literally get away...
    The Daily Blog | 29-10
  • Roast Buster case – no charges. In the immortal words of NWA…
    Roast Busters case: No prosecutions Police are to make an announcement this afternoon on Operation Clover, the investigation into the “Roast Busters” allegations. The Herald understands the victim has been told that the alleged offenders will not be prosecuted due...
    The Daily Blog | 29-10
  • Key’s flag change distraction to cost $26million!
    No. Way. Bid to change NZ flag to cost millions The cost of holding two referendums and consulting on a change of flag has been estimated to be just under $26 million. Look. We all appreciate that the sleepy hobbits...
    The Daily Blog | 29-10
  • Why NZ Herald’s Labour Party crocodile tears are so audacious
    The front page the NZ Herald would use if they thought they could get away with it No one can take the recent columns by NZ Herald seriously… John Armstrong: Shadow lingers on National John Roughan: Labour’s leadership vote matters...
    The Daily Blog | 28-10
  • The beginning of the end of Cameron Slater?
    Slater postings on man bizarre, court told A businessman has changed his appearance and had to install extra security at his home after Whale Oil blogger Cameron Slater posted his business and personal documents online, he says. Mr Slater has...
    The Daily Blog | 28-10
  • We are a milk power republic and Fonterra our unelected senate
    Wow. Just wow… Deputy mayor says he’ll be sacked South Taranaki deputy mayor Alex Ballantyne says he expects to be sacked because he has spoken out about the impact gasses coming from dumped Fonterra dairy products have had on his...
    The Daily Blog | 28-10
  • MEDIA WATCH: “…But *actually* this is about ethics in political-game jo...
    Yesterday, a piece of mine on the recent revelations about Hone Harawira employing several gentlemen either accused or convicted of sex offences was published on The Daily Blog. Predictably, given the fierce loyalty which Hone inspires in his party faithful and...
    The Daily Blog | 28-10
  • Privilege cheque
    There was no race problem in my childhood. Living in central Wellington I was well-insulated from what was going on not so far away. This was the 60s and 70s, where the teachers enjoyed free love in the staff room...
    The Daily Blog | 28-10
  • A brief word on Key’s claim that it will be raining carnage
    Isis will ‘rain carnage on the world’ – John Key Left unchecked Isis would “rain carnage on the world”, Prime Minister John Key says, but he has yet to make a decision on whether New Zealand troops will join a...
    The Daily Blog | 28-10
  • Meanwhile…
    ...
    The Daily Blog | 27-10
  • How does Andrew Little win Labour Leadership and unify the caucus?
    Audrey Young’s excellent column on how the Caucus vote  is shaping up shows how Andrew Little becomes the next leader of the Labour Party. She identifies the factions as the following… Andrew Little 6: Andrew Little, David Cunliffe, Iain Lees Galloway,...
    The Daily Blog | 27-10
  • GUEST BLOG: Joe Trinder – Right of response to Curwen
    You have asked that Hone Harawira deserves to explain what happened, how would he explain when his next door neighbour is an alleged sex offender. What explanation can Hone offer he wasn’t involved, Hone had no idea this offending was...
    The Daily Blog | 27-10
  • MEDIA WATCH: That Hella-Weird Feeling When You Defend Tova O’Brien
    Oh dear. Yesterday morning I blogged that Hone deserved a chance to explain what exactly had happened as applies his office’s Parliamentary Services crew complement – and, importantly, that we deserve to be able to judge him on the strength of...
    The Daily Blog | 27-10
  • Canadian Green MP warns against harsh anti-terror measures
    Canada’s Green Party has provided a welcome counterpoint to Prime Minister Harper’s call for tougher anti-terrorism laws in the wake of a soldier outside the Canadian Parliament. On October 22, while she was still locked in her parliamentary office, Green...
    The Daily Blog | 27-10
  • When is an asset sale not an asset sale? When it robs from the poor and ste...
    National have turned state housing on its head. At no time during the 2014 election did the Key Government even hint that they were going to privatise 30% of the Housing NZ stock of state homes. Not once. Key even...
    The Daily Blog | 27-10
  • Housing; broken promises, families in cars, and ideological idiocy (Part To...
    . . Continued from: Housing; broken promises, families in cars, and ideological idiocy (Part Rua) . Bill English comes clean on National’s intentions for HNZ privatisation . On 14 October, in a report on The Daily Blog, I wrote, In...
    The Daily Blog | 27-10
  • The Questions Have Been Asked – They Deserve An Answer
    A few days ago, allegations that had been percolating for some time about Hone Harawira employing three either accused or convicted sex offenders on his Parliamentary pay-roll came to light. (one imprisoned before working for MANA; one who found himself convicted and...
    The Daily Blog | 26-10
  • I have seen one future, and it is bleak
    . . Back in  March 2012, I wrote this story regarding a march to support striking workers at Ports of Auckland. It appears there was some prescience about some of my observations at the time… . | | 18 March...
    The Daily Blog | 26-10
  • US air strike war Key wants us in has killed a civilian a day so far
      The US air strike war that John Key wants us to join has killed a civilian a day so far. From the Washington Post... The United States launched its first airstrikes on militants in Syria on Sept. 23, and has continued...
    The Daily Blog | 26-10
  • The instant Jihad syndrome
    My favourite new term is ‘self-radicalised’ – it suggests the reasons for terrorism are totally divorced from the actions of the West. This need to suddenly ramp up terror laws because of lone wolf, self-radicalised Jihadists seems convenient and counter-productive....
    The Daily Blog | 25-10
  • We have nothing to fear from Ebola but fear itself
    I suspect most Americans perceive Ebola like this   I can’t work out if the fear being spread within the media about Ebola is deliberate or just ignorance. Yes Ebola is a terrible plague that kills a large percentage of...
    The Daily Blog | 25-10
  • GUEST BLOG: Anjum Rahman – “Meritocracy? I wish.”
    I’d like to start by linking to a post I had published at another site in support of Nanaia Mahuta for the Labour Party leadership election.  She has a reasonable chance, given that she already has the endorsement of Te...
    The Daily Blog | 25-10
  • Chocolate milk shortage and creepy Santa? Let’s talk about real news
    Child poverty is still a scarily serious problem in this country and house prices are soaring through the roof to the point where it is simply impossible for the average New Zealander to buy a home. There is also little...
    The Daily Blog | 25-10
  • It’s time to celebrate Kiwi schools and teachers
    Some would have you believe that New Zealand’s schools are in a state of collapse, that your children are not being educated well and that things are going to hell in a hand basket.  That there is no innovation, no...
    The Daily Blog | 25-10
  • Ideological Blitzkrieg – Privatization of state housing, more charter sch...
    Pundits in pundit land will tell you that this Government is boring, that Key is the great pragmatist and that it is his ability to create elegant solutions that keeps him the firm favourite in many Kiwi eyes. This ability...
    The Daily Blog | 24-10
  • Hegemony rules but resistance is fertile
    The Prime Minister is a puppet. Not just our current Prime Minister, but given the forces of multinational globalisation, the role of any head of state, is less as independent actor, and more as a puppet of international trends and...
    The Daily Blog | 24-10
  • An open Letter to Sir Bob Jones: demanding a ‘liveable wage’ is not “...
    How out of touch with reality is Sir Bob Jones? You know, that white dude who invested in privatised SOEs after the selling off of our assets in the eighties and made a ludicrous and disgusting amount of money and is...
    The Daily Blog | 24-10
  • My insecurity about the Security Council
    As I write this (on 24 October) it is international UN Day. Of course, you all knew that already, right? Well, the day celebrates the entry into force of the UN Charter in 1945. With the ratification of this founding...
    The Daily Blog | 24-10
  • GUEST BLOG: Catherine Delahunty – Back in That House
    Parliament opened this week and I still find it a very odd place. Most of the people are reasonably courteous and friendly, but the rituals are archaic and the rules around issues like the swearing in oath are oppressive and...
    The Daily Blog | 23-10
  • Marae Investigates No More
    TVNZ yesterday announced the closure of their Māori and Pacific programmes department. That means they’ve chosen to stop making Fresh, Tagata Pasifika, Waka Huia and Marae Investigates to let independent producers get their hands on these lucrative contracts. This is...
    The Daily Blog | 23-10
  • BLOGWATCH: An Un-Civil War in Labour, eh?
    Earlier today, my attention was directed to an entry that’s just recently appeared on the Slightly Left of Centre blog. It purports to contain the ‘inside word’ from a highly placed NZF source – which is funny, because I’m pretty sure...
    The Daily Blog | 23-10
  • Santanomics 101
    Santanomics could mean a number of things. It could be the study and practice of giving. Or it could mean the study and practice of rampant end-of-year commercialism. However, for me today it is the economics of erectingAuckland’s giant Santa...
    The Daily Blog | 23-10
  • SkyCity boss misleads public over workers lost shifts
    SkyCity CEO Nigel Morrison has defended the employment practices at his company in an “Opinion” piece entitled “Human Capital key to corporate success” in the NZ Herald on Thursday. A number of his claims are misleading, contain only partial truths...
    The Daily Blog | 23-10
  • Review: Perfect Place
    I went to a Perfect Place on Tuesday night, and what a delight it was. The marshmallows sweetly (and forcefully) handed out pre-show, set the tone for the next hour. Walking up the stairs at The Basement was a complete...
    The Daily Blog | 23-10
  • 5AA Australia – NZ on UN Security Council + Dirty Politics Lingers On
    5AA Australia: Selwyn Manning and Peter Godfrey deliver their weekly bulletin Across The Ditch. General round up of over night talkback issues: Thongs, Jandals and flip-flops… ISSUE 1: New Zealand has been successful in its campaign to become a non...
    The Daily Blog | 22-10
  • When I mean me, I mean my office & when I call whaleoil I mean not as m...
    This. Is. Ludicrous. Green Party co-leader Russel Norman put the first of what are likely to be many questions about Mr Key’s relationship with Slater, asking him how many times he had phoned or texted the blogger since 2008. “None...
    The Daily Blog | 22-10
  • A brief word on describing the Government as ‘boring and bland’
    The narrative being sown is that this Government will be a boring and bland third term. Boring and bland. Since the election, Key has announced he is privatising 30% of state houses without reinvesting any of that money back into housing society’s most...
    The Daily Blog | 22-10
  • Roast Busters: Turn Indignation into Action
    People raged about the Roast Buster case. The indignation was justified – it was horrible. “Where were their parents!?” Fair question. I am sure the Roast Busters’ parents and the victims’ parents all wish they had been more proactive in...
    Scoop politics | 31-10
  • Stats NZ only have themselves to blame for postponement
    The Public Service Association (PSA) says Statistics NZ only have themselves to blame for the indefinite postponement of the release of the Food Price Index: November 2014....
    Scoop politics | 31-10
  • NZ Diversity Survey – benchmarking workplace diversity
    AUT University’s New Zealand Work Research Institute (NZWRI) has released a report on diversity in New Zealand workplaces....
    Scoop politics | 31-10
  • Māori Language (Te Reo Māori) Bill
    Tutehounuku Korako, Chair of the Māori Affairs Committee, is inviting further public submissions on this bill. The closing date for submissions is Friday, 5 December 2014....
    Scoop politics | 31-10
  • ERA amendments a mixed bag
    The Employment Relations Amendment Act has the potential to put vulnerable workers in a more precarious position, says Equal Opportunities Commissioner, Dr Jackie Blue. However, the commissioner says the right for all to request flexible work hours is...
    Scoop politics | 31-10
  • Sensible Sentencing calls for appeal of judicial activivism
    The Sensible Sentencing Trust is appalled that Justice Jill Mallon has today refused to apply the Life without Parole (LWOP) provisions of the Three Strikes law as enacted by Parliament....
    Scoop politics | 31-10
  • Global Rally against ISIS – for Kobanê – for Humanity, Nov 1
    The New Zealand Kurdish Community will march in solidarity with Kurdistan as part of the “GLOBAL RALLY AGAINST ISIS – FOR KOBANÊ – FOR HUMANITY” on 1 November 2014, 2pm....
    Scoop politics | 31-10
  • Does ‘No-Surprises’ Also Apply To TVNZ News?
    When you stand back and look at NZ media outlets, most of them have at least one or two people who attempt to hold the government to account: John Campbell on TV3, Guyon Espiner and others at Radio NZ, David...
    Scoop politics | 31-10
  • Safer roads are better for everyone
    Recent pedestrian versus vehicle incidents highlight the real issues being addressed by delegates as the 2Walk and Cycle conference concludes....
    Scoop politics | 31-10
  • Law change creates more flexible labour market
    The Employment Relations Amendment Act, passed yesterday, will bring new flexibility to the labour market and will reduce the ability of unions to organise and to recruit....
    Scoop politics | 30-10
  • Bumper ANZ profits mean no excuse for insecure hours
    A big rise in profits at New Zealand's largest bank needs to be reflected in a better pay offer and more security around hours of work, the bank workers’ union said today....
    Scoop politics | 30-10
  • Count down to lowered alcohol limit
    With just a month to go until a new lower alcohol limit for adult drivers comes into effect, Police and road safety agencies are reminding drivers of the impending change....
    Scoop politics | 30-10
  • WorkSafe Supports Forestry Review Findings
    WorkSafe NZ says the Independent Forestry Safety Review has clearly identified the problems facing an industry in which ten workers were killed last year. “The Review’s analysis matches our own view and leaves no doubt about the need for comprehensive,...
    Scoop politics | 30-10
  • CTU welcomes forestry review recommendations
    The CTU is welcoming the today's release of the independent forestry safety review panel findings. "These recommendations must be implemented to ensure that everything possible is done to make forestry safer." CTU President, Helen Kelly said....
    Scoop politics | 30-10
  • Activists will confront animal abusers
    Today animal rights activists will confront a group of wealth advisers who want to build the biggest egg factory-farm in New Zealand....
    Scoop politics | 30-10
  • Turia: Women’s Refuge Conference 2014
    This is a milestone moment in my life. This will be my last official address as Co-leader of the Maori Party. On Saturday night at our Hui-a-Tau, I will be standing down from that role and enabling a new co-leader,...
    Scoop politics | 30-10
  • Rodeo Code of Welfare ‘Sick Joke’
    Animal advocacy organisation SAFE says the revised Code of Welfare for Rodeos just released is nothing but a sick joke. “Rodeo animals are goaded, tormented and forced to endure needless suffering and gross mistreatment, all for the sake of so-called...
    Scoop politics | 30-10
  • Conservative Party applauds binding referenda on flag
    The Conservative Party are congratulating the Government on the decision to hold two binding referendums to decide the fate of New Zealand’s flag – and believes it will pave the way for binding referenda to form part of New Zealand...
    Scoop politics | 30-10
  • Walk the Talk – Opposing violence against women
    Soroptimist International of Auckland have organised a walk on 22 November from Silo Park at the Wynyard Quarter through the Viaduct and back to Silo Park, to show their opposition to violence against women. This event hopes to raise awareness...
    Scoop politics | 30-10
  • Recommendations on the Design of Pecuniary Penalties
    The Law Commission has reviewed the use of pecuniary penalties as a regulatory tool. Pecuniary penalties are financial penalties that policymakers are increasingly opting to use in place of criminal sanctions in order to punish and deter misconduct in...
    Scoop politics | 30-10
  • Every worker will be affected by employment law changes
    Every worker will feel the effects of the government’s new employment laws and should join a union if they want to maintain and increase their wages and conditions, says New Zealand’s largest private sector union, the EPMU....
    Scoop politics | 30-10
  • Shameful attack on all workers
    The Government has passed the Employment Relations Amendment Act slashing the rights of all Kiwi workers. “These changes are shameful. New Zealand now has some of the worst employment protections in the OECD. It is embarrassing that a country which...
    Scoop politics | 30-10
  • Unnecessary law changes more to do with ideology
    The government’s employment law changes are simply ideological and are at odds with its approach in the related areas of health and safety and immigration law, FIRST Union said tonight....
    Scoop politics | 30-10
  • CTU Runanga calls on iwi leaders
    Maori workers are calling on iwi leaders to speak out against the employment law changes expected to go through today. “Iwi leaders have previously spoken out when workers in Aotearoa have been under attack, we believe they should do so...
    Scoop politics | 30-10
  • Educating children not the best solution to alcohol harm
    Alcohol Healthwatch says we need to look beyond educating children and young people to address deeply embedded attitudes and behaviours concerning alcohol....
    Scoop politics | 30-10
  • New code of welfare for rodeos released
    New standards to strengthen the animal welfare requirements for rodeos have been issued today by the Minister for Primary Industries, Nathan Guy....
    Scoop politics | 30-10
  • IPCA report riddle with inaccuracies, say students
    A report by the Independent Police Conduct Authority into the policing of student protests in 2012 is riddled with inaccuracies, say students who laid the original complaint with the IPCA....
    Scoop politics | 30-10
  • CT v The Queen – indecency convictions quashed
    This summary is provided to assist in the understanding of the Court’s judgment. It does not comprise part of the reasons for that judgment. The full judgment with reasons is the only authoritative document. The full text of the judgment...
    Scoop politics | 30-10
  • Rameka v The Queen – murder convictions quashed
    This summary is provided to assist in the understanding of the Court’s judgment. It does not comprise part of the reasons for that judgment. The full judgment with reasons is the only authoritative document. The full text of the judgment...
    Scoop politics | 30-10
  • Auckland Council Out of Control
    Responding to the NZ Herald article that some Auckland households will face a rates rise of up to 9.6 per cent next year, Taxpayers’ Union Executive Director Jordan Williams says: “Len Brown’s pledge to cap rates rises at 2.5 per...
    Scoop politics | 30-10
  • Stats NZ staff escalate action with ‘no more meetings’ rule
    Statistics NZ staff have voted to escalate their ongoing industrial action in an effort to get Stats NZ back to the bargaining table with a reasonable offer. The staff, who are members of the Public Service Association (PSA), have been...
    Scoop politics | 29-10
  • Rape Crisis calls for changes to criminal justice system
    Wellington Rape Crisis has added its voice to the public outcry following the announcement that there will be no charges in the teen rape gang case. Butterworth says the decision not to lay charges will not have been a surprise...
    Scoop politics | 29-10
  • Police action justified in Blockade the Budget demonstration
    Police actions in dealing with a demonstration in Central Auckland known as Blockade the Budget on 1 June 2012 were justified and appropriate, an Independent Police Conduct Authority report released today found....
    Scoop politics | 29-10
  • NZDF Joins with Australia to Commemorate WWI Centenary
    A contingent of New Zealand Defence Force (NZDF) personnel will join their Australian counterparts at Australia’s first major commemoration of the First World War centenary in Albany, Western Australia this weekend....
    Scoop politics | 29-10
  • Reserve Bank should reduce interest rate
    “The Reserve Bank should be reducing its policy interest rate, the OCR”, says CTU Economist Bill Rosenberg in response to the Bank’s announcement today that it is not increasing it....
    Scoop politics | 29-10
  • 2015 Stout Fellow will write about Māori & Criminal Justice
    Kim Workman, founder and advocate for the Robson Hanan Trust, which administers the Rethinking Crime and Punishment and Justspeak initiatives, has been awarded the 2015 John David Stout Fellowship at Victoria University....
    Scoop politics | 29-10
  • What John Key thought about ‘dirty politics’
    On September 20, John Key swept to victory to become one of New Zealand’s most successful and popular Prime Ministers. Rocked by scandal, the 2014 election campaign was one of the most brutal – and riveting – in recent history....
    Scoop politics | 29-10
  • Trade Deal Threatens Farmers and Food Businesses
    The secret Trans Pacific Partnership negotiations are a direct threat to food businesses and farmers, and a moratorium on the release of GE crops must be enshrined in law before the TPP is signed....
    Scoop politics | 29-10
  • CTU announces election of new Secretary
    The contested election for the position of CTU Secretary has been won by Sam Huggard. Sam officially takes office on Monday 1 December 2014. Sam has worked in the union movement and brings a wealth of experience and a commitment...
    Scoop politics | 29-10
  • Kim Workman awarded 2015 J.D. Stout Fellowship
    The Victoria University of Wellington 2015 J.D. Stout Fellowship, funded by the Stout Trust, has been awarded to justice reform advocate Kim Workman. Mr Workman (Ngati Kahungungu ki Wairarapa, Rangitaane) is well known for his work on criminal justice,...
    Scoop politics | 29-10
  • TPPA causing concern
    Concern over the secretive Trans-Pacific Partnership Agreement (TPPA) negotiations is being expressed in two public meetings over the next week; one at a presentation on 5th November by former councillor Robin Gwynn to the Napier City Council, the...
    Scoop politics | 29-10
  • Kiwis rally to demand justice for ‘Roast Buster’ survivors
    Over 1,500 kiwis have rallied to demand justice after the announcement of the NZ Police decision not to lay charges in the ‘Roast Busters’ saga....
    Scoop politics | 29-10
  • New employment law will hurt the most vulnerable NZers
    The Public Service Association (PSA) says changes to the Employment Relations Act, expected to be passed in Parliament tonight, will hurt vulnerable workers and their families more than anyone....
    Scoop politics | 29-10
  • Consultation to close on proposed place names
    The New Zealand Geographic Board (NZGB) Ngā Pou Taunaha o Aotearoa today advised that only one month remains before public consultation closes for 18 name proposals for geographic features and places around Te Ika ā Māui (the North Island)....
    Scoop politics | 29-10
  • Operation Clover – Statement from Police Commissioner
    I have taken a close interest in this investigation and I am confident police have conducted a thorough and professional enquiry in what has been a challenging and complex case. The Operation Clover team has ensured that victims have been...
    Scoop politics | 29-10
  • Better policy would have protected children from recession
    Child Poverty Action Group says an international report released by UNICEF today shows good policy can protect and improve child well-being, even during a recession....
    Scoop politics | 29-10
  • Outcome of Operation Clover investigation
    Police have completed a multi-agency investigation, Operation Clover, into the activities of a group calling themselves “The Roast Busters”. The 12 month enquiry focused on incidents involving allegations of sexual offending against a number of girls...
    Scoop politics | 29-10
  • False birth registration brings home detention
    A Whangarei woman who attempted to register the birth of a fictitious child to claim a sole parent benefit was sentenced to six months home detention in the Whangarei District Court today....
    Scoop politics | 29-10
  • Family of Robert Ellis demand a proper investigation
    The family of a New Zealander killed in Indonesia are growing increasingly concerned at the lack of information they’ve received, and the handling of the investigation into his murder....
    Scoop politics | 29-10
  • Minister of Health must account for aged care workers’ pay
    The New Zealand Federation of Business and Professional Women (BPW NZ) congratulates rest-home worker Kristine Bartlett on her landmark claim for equal pay from her employer and successfully pursuing this to the Court of Appeal....
    Scoop politics | 29-10
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