Fran, you’re pretty smart, you can do maths, and you understand the economy. You’re ideology is fundamentally flawed but at least you’ve got the analytical tools.
So, how can you go and write something like this “It can cut a number of Labour’s own expensive prior election bribes, like making student loans interest-free.”
Fran, think about the macroeconomics. The only sensible economic policy at the moment is the one that every other country expect New Zealand is pursuing. That is, inject demand into the economy as an adrenaline shot to break the downward cycle and restore confidence, which then becomes self-sustaining. Ending interest-free loans will cause the hundreds of thousands of people of my generation to prioritise paying back the loan to avoid the interest costs. That will result in us decreasing our consumer demand. That’s de-stimulatory, Fran, it is pro-recessionary. And all so the Government could save a few million of the billions it will have to borrow anyway. That’s just dumb.
And, Fran, you’re far smarter than that.