Look over there! Tax cuts!
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- Date published:
9:06 am, August 26th, 2014 - 7 comments
Categories: economy, housing, labour, same old national, tax -
Tags: distractions, look over there!, tax cuts
So National are both so out of ideas and so desperate to take the spotlight off their Dirty Politics that they’re now promising tax cuts. Tax cuts straight after we have a panel of our most prominent economists warning that the ‘rock star’ economy is going to hit the rocks.
Our growth is unsustainable, as it is based on rebuilding Christchurch, and high dairy prices. And unless the government has another natural disaster in their economic plan and the dairy market goes up again, we’re not going to be getting wage growth or feeling the economic glow.
So Labour is cutting their cloth as Treasury update their forecasts. National are offering tax cuts to spend more… Which of these sounds like sensible economic management?
—
Phil Twyford’s finding the Treasury and Australian Government reports (as on Checkpoint last night) shows National’s housing plan for what it is – a desperate grasp from an out-of-ideas government.
The reports were why National rejected the plan a year ago, as they show Australian subsidies that are almost identical merely raised house prices, and the benefit of the subsidy was to vendors, not first home buyers. And now National, having found nothing else to solve the housing crisis (‘there is no crisis!‘), are running with it anyway…
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Worth reading: David Fisher on Cameron Slater.
7 comments on “Look over there! Tax cuts! ”
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The Government has done the right thing in moving to ban greyhound racing. ...2 weeks ago
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All it was going to take was for Journalist’s to dig a little deeper than the spin and Nationals house is in deed a leaky one. Once people realise the house is leaking it dosnt matter if the street you have the house on is called Popular Street or not, the truth is its value is hugely decreased and in some peoples eyes not worth the risk. The rotting is now stinking and the mold cant be removed with a spray and walk away. Yeah at the end of of the day (isfffttttt) Keys damaged very badly.
There will be no tax cuts just more of Key’s lies here’s why.
Today reports of the Kiwi Dollar now slipping again! is this happening again?
Is Key setting this up in case he is forced to resign or voted out?
http://www.businessspectator.com.au/article/2008/11/10/financial-markets/keys-house
Report from 2008.
John Key is living proof that not all heads of derivatives operations for large US investment banks end up in the dog house. Some get to run their own country.
Key was elected prime minister of New Zealand last weekend after his National Party achieved a crushing victory over the incumbent Labour government of Helen Clark.
The timing of his elevation, in the midst of a financial crisis, may be quite prophetic. After all, Key’s rise to prominence in foreign exchange circles came after he struck a rewarding relationship at Bankers Trust with Andy Krieger, a daring New York-based trader who launched a legendary raid against the NZ dollar in 1987.
Krieger reportedly bet more than the country’s entire money supply against the currency, forcing it down sharply and taking massive profits in what is still described as one of the finest forex plays ever completed.
“We know how to create a powerful and effective tax stimulus. What is needed is to give money through the tax system to those who will spend it and spend it quickly: the unemployed, the cities and states that are starving for funds, and lower-income workers. A strong stimulus would also be an equitable stimulus: the money, by and large, goes to the poorest, those who have benefited least from the growth of the last quarter century” Joseph Stiglitz
Yes and lots of educated people have started leaving “again”. Friends of ours both doing PHD’s (in useful subjects) are off to Melbourne when they are done.
Its writing on the wall for this country and whilst Australia also has their own oaf for a PM their economy has more padding than ours and is better able to withstand 3-6 years of economic stupidity.
In my humble opinion all Keys has left is bread and circuses and this is a pretty blatant attempt at public distraction. The sad fact is it will probably work just as it did with the Romans…
What does hit the rocks look like for ordinary folks? High interest rates? High unemployment?
That is the thing, John Key is not actually promising any Tax Cuts at all. He is only saying to the media that he can not rule them out. It is more of the National Party smoke and mirrors distractions they have become famous for in the popular book Dirty Politics. Because he has not actually made an actual promise of Tax Cuts, any complaints that they have not yet given any tax cut after an election can be dismissed with him categorically stating that he never promised any and he has since ruled them out. He has chosen his words very carefully to put in the minds of some the illusion that they will get a tax cut, while also making sure he does not have to actually give one.
These tax cuts should be more transparently named as further Education and Health cuts. Never popular when they hit home.