The Debt Bogey Returns

Written By: - Date published: 9:00 am, May 28th, 2009 - 32 comments
Categories: budget 2009, economy - Tags:

Seems this op-ed was off-message for one of our larger media outlets, we’re happy to run it:

_______________________________________

Alan Blinder, Professor of Public Affairs at Princeton recently warned Americans: ‘ Prematurely changing fiscal and monetary policies – from stepping hard on the accelerator to slamming on the brake – can be hazardous to the economy’s health’. He was talking about the US economy and urging the President to do two things. One is to resist the ‘deficit hawks’ agitating to lower US debt. The other is to learn the lessons of the 1936 depression when President Roosevelt , spooked by growing debt, chose to tighten spending. The faltering green-shoots of recovery immediately withered and died.

If Professor Blinder was a New Zealander, he might label Treasury as the deficit hawks to be resisted. He might also point to the 1991 budget as the history lesson from which we should learn.

The Treasury argues that we are at risk of a credit downgrade. To back this up they forecast debt to GDP ratio to 2023 of 75%. Forecasting over a 15 year period is so hairy that it would be dangerous to allow these numbers to influence policy especially in the midst of a recession that economists couldn’t even predict as recently as 2007.

Since the main role for Government debt is to smooth consumption over the business cycle, we would expect to see debt going up in bad times and coming down in good. This is the optimal debt management strategy. Therefore, the excessive focus on reducing deficit right now in order to control future Government debt is the worst possible timing.

Indeed, recent economic studies argue that the optimal quantity of debt might in fact be considerably higher than ours around two-thirds for the US economy. Therefore, rather than yielding to the deficit hawks, and undertaking dangerous fiscal tightening, the Minister ought to deliver an effective stimulus package directed at those sections of the economy that are most likely to respond with increased demand. While the current tax cuts were presented as a stimulus package, they went to high income earners who have a high propensity to save. There is little immediate ‘stimulus’ from such tax cuts. Instead a one-off payment to those who are suffering under the recession has the highest chance of being effective. This is the sort of package that Australia, US and Europe are undertaking.

One doesn’t have to be an economist to see that there is something fundamentally wrong with Government sacking employees during a recession. The PSA estimates that over 1,000 Public Service jobs were lost in the last six months. An environment of job insecurity has immediate detrimental effect on household spending. For every IRD employee who is made redundant, there are five or ten who fear redundancy and start cutting back spending. Given high household debt, such fears lead to a reduction in household spending which is far more pervasive than those directly affected by job losses. As we witnessed during the sub-prime meltdown, it is not the facts but the fears that drive markets. Businesses which rely on domestic household spending are suffering with record reduction in retail spending. Job insecurity harms these businesses.

Reading the 1990 pre-budget advise by Treasury, and the 2008 versions provide striking similarities. Both were written for a new National Government — the 1990 version was read by Ruth Richardson, the 2008 by Bill English. Both emphasise the high budget deficits being forecast, and urge the Government to respond to these deficits with spending restraints. Ruth Richardson, convinced that fiscal restraint was called for, produced the 1991 ‘Mother of all Budgets’. There followed the largest contraction in post-war New Zealand.

Treasury claims this is an important budget. In the midst of a recession Ministers and Treasury should be continually fine-tuning policy setting. Every morning, the Minister should be asking himself and his officials: is today the day for a mini-budget? Yearly budgets are crude tools for ‘ordinary times’. These are extra-ordinary times, where only continued vigilance, and real-time fiscal policy can have any hope of working.

Rhema Vaithianathan & Begoña Domínguez are both Senior Lecturers in Economics at the University of Auckland Business School

32 comments on “The Debt Bogey Returns ”

  • Comments are now closed

  1. gingercrush 1
    28 May 2009 at 10:06 am

    Oh no wonder Labour is using Rhema for Super City costings they are obviously far-left. If someone really thinks New Zealand should have government debt in the region of what the US has. I really fear for that person. Sure that person must have a commerce degree. Almost likely they have post-graduate qualifications/ But really New Zealand should have debt similar in ratio to what the United States has? Somehow I find that really dumbfounded.

    • Zetetic 1.1
      28 May 2009 at 10:12 am

      They’re both PhDs.

      But please, continue to share your wealth of knowledge with us gingercrush. Maybe you could elaborate on optimal debt ratios in small export-driven economies?

      • gingercrush 1.1.1
        28 May 2009 at 10:26 am

        We need a sustainable debt track.
        Debt’s not a huge problem but the less the better. The simple way to do that is forget tax cuts. Ideally, undo the previous ones too. But I suspect Key wants to keep his hundred bucks a week. Introduce a capital gains tax. Screw the property traders (see them in the paper already trying to create the next bubble). Capital gains will stop overinvestment into housing as well as keep debt under control. Oh, and raise taxes for the richest few percent like they did in the UK.

        Were you lying when you wrote this yesterday?

    • IrishBill 1.2
      28 May 2009 at 10:25 am

      Again I have to question your perception of economic reality. The above strikes me as a (quite conservative) orthodox economic analysis. I hadn’t realised how fringe-right you were until now, GC.

      • gingercrush 1.2.1
        28 May 2009 at 10:30 am

        Really? So you’re quite happy for this government to rack up debt levels to a similar ratio to the United States. You don’t find that troubling? So on top of high personal debt which is itself a huge problem for New Zealand you’d also be quite happy for New Zealand’s debt levels to be that high? How is huge government debt and huge personal; debt good for any economy?

        And why exactly is questioning such high debt levels fringe-right? If that is fringe-right you’re so far to the left that its beyond a joke.

        • IrishBill 1.2.1.1
          28 May 2009 at 11:46 am

          The post doesn’t suggest raising our debt to GDP ratio to that of the US. The fact you have to pretend it does to justify your claim it is far left (which I assume would make the current US government far left?) only shows how fringe you are.

          I would also point out that it was your claim that this orthodox economic analysis was “far left” that prompted me to make the observation your economic spectrum is out of whack with the rest of the world. I see nothing in your non-rebuttal that would cause me or any other right-thinking person on the street to question the veracity of that observation.

  2. vto 2
    28 May 2009 at 10:37 am

    Why are debt levels going to soar here in NZ? Is i because the govt is going to keep spending at, plus or minus, current levels with money it doesn’t have and tells us it wont be able to repay until 2020 or some such? If so, then that is just dumb. If there is, by dint of this meltdown, less money in the world then the govt (like every person with feet on the planet) should spend less. If that means less services etc then that is an unfortunate reality. I don’t think anyone should realistically expect that NZ’s living standards should keep going up forever. Or even stay the same. That ignores history.

  3. Lew 3
    28 May 2009 at 10:40 am

    vto,

    I don’t think anyone should realistically expect that NZ’s living standards should keep going up forever.

    Isn’t this perpetual state of growth the fundamental core of the ACT/National economic paradigm?

    L

    • vto 3.1
      28 May 2009 at 10:44 am

      Well yes it seems to be Lew. Not just for act/nat but for labour also. And I don’t know why – probably because to express the contrary view would spell political death. That whole perpetual growth thing definitely has flaws – a bit like anything perpetual, it doesnt actually exist.

  4. jarbury 4
    28 May 2009 at 10:41 am

    How on earth are these debt forecasts calculated anyway? Is it expected that we’ll be in constant recession for the next 15-20 years and our tax take won’t increase?

    Surely not…. I would hope.

  5. Tom Semmens 5
    28 May 2009 at 11:04 am

    One thing about Treasury that has always been a mystery to me. Their forecasts, first of the surplus then of the deficit, have been wildly out. So wildly out as to make their predictions useless. Almost all their forcasting and economic advice is straight out of a Randian la la land and is underpinned by a now hopelessly discredited and out of date economic theory that almost everyone outside the US Republican party moved on from a decade or more ago. Their “advice” could be written up as a guest post on Kiwiblog by anyone of about ten of Farrar’s loons, all for free and in about fifteen minutes. The Treasury’s ideological rigidity (and economic irrelevance) in the face of the real world is astonishing given they ensure they are the only source of advice the government has on economic matters.

    Yet somehow they retain the most highly paid staff in the civil service (completely untouched by any hint of job cutting) and somehow they move on from the Treasury with their teflon reputations intact to become hired guns like Graham Scott at thousands of dollars cost to the taxpayer. High priests of the market sucking the public tit as they preach “do as we say, not as we do.”

    I can only suppose they survive in the same way pedophile priests survive – ideological bedfellows will always look after their own, regardless of their real world sins.

  6. Dr Begoña Domínguez 6
    28 May 2009 at 11:21 am

    Gingercrush,
    Neither Rhema or I suggest that NZ’s government debt should jump up to the level of the US debt. What we say is that Treasury’s worries over NZ’s debt level are unfounded and come at the worst possible time. Well-established economic theory arguments say that debt should be used to smooth consumption over the cycle, it should increase now when we are at the bottom of the cycle. It should go down later when we are at the top of the cycle. Moreover, NZ’s level of debt is very low compared internationally.
    I suggest you read Aiyagari, S. R & E.R. McGrattan, 1998 ?The Optimum Quantity of Debt? Journal of Monetary Economics. 447-469 where they suggest that the optimal debt for the US is two-thirds. This is not fringe economics. The Journal of Monetary Economics is the top journal in Macro. These are top people in their field.
    Personally, I fear more people who do not take the time or have the ability to read an article carefully and moreover do not hesitate to use their unfounded opinions to insult the writers of the article.

    • IrishBill 6.1
      28 May 2009 at 11:53 am

      Fringe right wing troll owned by Dr of Economics. Biggest slap-down I’ve seen on a blog for a while.

    • gingercrush 6.2
      28 May 2009 at 1:10 pm

      So you think Treasury’s concerns about government debt levels are unfounded? This despite a credit credit agency in Standard & Poor telling us that our government debt levels are a concern and that we risk a downgrade if our debt isn’t sorted out. What are the consequences of a downgrade by Standard and Poor? You of course know the consequences and are choosing to ignore them. In a time when businesses are struggling. In a time when individuals are struggling. Don’t you think interest rate hikes are the last things they need? If our economy is struggling why would you want to see it harder for business, banks, the government and individuals to borrow money? Interest rates would of course go up if our credit rating went down. This would be problematic for the economy and have real effects.

      It is of course not just Treasury saying there is a risk of a downgrade. S&P themselves are saying there is a risk of a downgrade. Do you think we should not be taking this seriously and thus should simply spend money? Have those stimulus packages the United States and others have done saw their economies recover again? How is their unemployment tracking? Are their economics still contracting? What about Europe and the stimuls packages they’re doing. Are they still not contracting? What about Japan. It has done several stimulus packages over several years and they have been shown not to work. After all, they had their worse contraction for their economy just recently. This despite them spending billions towards providing stimulus for their economy.

      Of course countries need some economic stimulus. No one actually doubts that. But the levels of spending other countries are doing for their economies haven’t exactly worked. They’re just increasing debts above levels that are sustainable. Without any real evidence that stimulus is working. You can’t really believe debt doesn’t matter. You can’t even abscribe how much debt New Zealand can have which is optimal.

      —

      Bah an earlier post ot trying to rebut this and rather better than this rebuttal was wiped somehow. Not that I suggest either are any good.

      • Zaphod Beeblebrox 6.2.1
        28 May 2009 at 1:59 pm

        Dr GC How can you definitively say they haven’t worked? There’s no way you can say what would have happened otherwise. Most of the US stimulus package hasn’t even been given over yet and you’re already proclaimimg it a failure.
        It will be a long time before we will be able to look at the effects of this recession, I guess the actions of governments in future will be measured by how well they looked after their citizens, how well they limited social unrest (crime, family breakdowns, suicides etc..) and how well they adapted to what is needed for the future

    • burt 6.3
      28 May 2009 at 1:38 pm

      IB

      Not sure it was a slap-down, certainly a reiteration of the general Keynesian principle of govt working counter the business cycle.

      The issue that wasn’t addressed IMHO is that the adherence to that general principle seems to do little to manage the cycle.

      Grown and productivity have been the victims of the Labour govt simplistic ‘pay off debt’ approach. What could we change to change the cycle from one of simply repeating the same BS over and over again ?

  7. Tom Semmens 7
    28 May 2009 at 11:30 am

    Dr. Dominguez – if you have a moment, could you comment on the quality of advice given by Treasurry? is it normal, for example, for a government in a liberal democracy to have only one source of economic advice? And is it normal in the early 21st century for that government to have its sole source of advice so completely captured by such rigid economic orthodoxy as comes from our Treasury?

    I am curious to know if we are stuck with something unusual or if it is a standard phenomena across the OECD.

  8. Dr Begoña Domínguez 8
    28 May 2009 at 12:24 pm

    Tom Semmens, I am concerned about the quality of the advice given by Treasury in this instance. I am worried about the lack of economic arguments behind their advice. I am also concerned about the quality of their forecasts and I doubt there is a sound economic model behind.
    My experience in Europe tells me this is not a standard phenomena. In the last decade, governments are relying more and more on independent advisory groups formed by top professionals of different fields. I know many of the Economists who are working for the Economic Bureau of the Prime Minister of Spain and they are top Economists in the world. I believe this practise is improving greatly the quality of policy making in Europe and it would be great to see the same movement in NZ.

  9. burt 9
    28 May 2009 at 12:37 pm

    ” Prematurely changing fiscal and monetary policies – from stepping hard on the accelerator to slamming on the brake – can be hazardous to the economy’s health’

    Yes exactly. Look at the mess that was created with the labour party had their famous David Lange tea break during the reforms of the 80’s. Labour got too scared of loosing an election and pulled on the reform handbrake.

    So, we re-tried the monopoly state provider model one more time and it failed again like it has every time. Today we get to see if National has the balls to chuck out some of Labour’s policies designed to entrench welfare dependency in the middle class.

    • Draco T Bastard 9.1
      28 May 2009 at 4:35 pm

      Well, when the businesses start paying cost price or better to maintain societal living standards then we can get rid of the governments subsidy of business commonly referred to as Working for Families.

      Dependence is guaranteed – it cannot be got rid of. We usually refer to it as interdependence though. What you refer to as welfare dependence is society being interdependent upon itself rather than the alternative, which you seem to support, where everyone is truly and fully dependent upon the rich. Such a dependence really will bring about another revolution as almost everybodies living standard takes a dive.

  10. Tom Semmens 10
    28 May 2009 at 1:26 pm

    Dr. Dominguez – very interesting, thank you. I note that John Key has got himself an ” independent scientific advisor” (Professor Peter Gluckman), but I would be concerned if the government turned increasingly to third parties to provide it with advice. It seems just another step along the road of either sidelining or politicising the public service. After all, outsourcing simply moves accountability for the advice given out of the public service and into the private or public-private sector and eventually you’ll just end up with an unsatifactory situation such as exists in the United States, where the battleground has shifted from an open, accountable public service to highly politicised appointments of unaccountable people to key advisory positions.

    I think I would prefer the government to set up other centres of economic policy advice within the civil service. Before the Rogernomics revolution, such an alternative body existed in (of all places) the Ministry Of Works. tellingly, when Rogernomics revolution began the MoW policy advice unit was amongst the very first targets of the Treasury ideologues.

    Treasury believes in the free market – but cannot tolerate any competition to itself in the marketplace of ideas. Given how much Treasury hates such independent policy units, it may be a good idea to start lobbying to have such a unit set up outside Treasury.

  11. Deepred 11
    28 May 2009 at 1:34 pm

    For the record, Standard & Poors are under investigation by the US Securities & Exchange Commission for various reasons, including the Subprime Chernobyl:

    http://www.yourlawyer.com/articles/read/15544

    S&P also got its predictions horribly wrong with the Icelandic meltdown, and apparently it was also in denial about it.

  12. StephenR 12
    28 May 2009 at 1:36 pm

    In the last decade, governments are relying more and more on independent advisory groups formed by top professionals of different fields

    This has been the case for a few decades in the US too, except they’re called thinktanks. Allows a government to choose which type of independent advice they’d like to receive too, wink wink.

  13. Rhema Vaithianathan 13
    28 May 2009 at 1:49 pm

    A couple of points. Yes, fiscal policy will affect interest rates. That’s why there is monetary policy – to ensure that the interest rate effects of fiscal policy are mitigated. So, any change in fiscal position requires re-setting of monetary policy. This is always the case – and this is the challenge of optimal monetary and fiscal policies. Looking purely at the first round effects on interest rates (as I have heard the Prime Minister do) without subsequent effect on OCR is misleading.

    Any trader worth their salt doesn’t need to look at S & P, but at the fundamentals. These are what drive the cost of borrowing. It is a live debate in economics as to whether credit downgrades per se have a big impact on the economy – as opposed to those events which lead to the downgrade.

    The Irish experience being used to estimate the cost of credit is misguided. There are so many differences – including the presence of toxic debt in their system, and the need for large bailouts which sees their debt rising to 100% of GDP. Even in the absence of a downgrade, we would have expected their country-specific risk (i.e. the premium required to lend to Ireland) increase.

  14. r0b 14
    28 May 2009 at 2:03 pm

    It’s great to see academics contributing posts and joining in the discussion here. As the academic role includes “critic and conscience” of society, I would have expected to be seeing more of this by now.

    So here’s a call to academics, this is a “new” medium for disseminating and discussing ideas – get in to it!

  15. burt 15
    29 May 2009 at 12:56 pm

    I think RedLogix made a excellent summary of the debt situation here.

    http://www.thestandard.org.nz/national-has-blown-it/#comment-129582

    Anymore debt and our credit rating gets hammered, and cost across the board rise. Gets worse than that and no-one will lend to us at any price.

    Not too many commentators have realised the significance of the $50 billion dollar ‘hole in govt accounts over three years’ announcement this week……

    There will be no ‘stimulus’ here in NZ . English has no choice but to cut expenditure and massively.

  16. Oliver Darraugh 16
    17 August 2009 at 5:34 pm

    The first step when faced with debts you cannot repay is to face up to the fact that you need help and do not bury your head in the sand. The next is to work out what you have coming into the home and going out. See where you can make savings which would allow you money towards paying off your debts. Following this you need to get help and advice and answers to your debt management questions.

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    Determining the hardest sport in the world is a subjective matter, as the difficulty level can vary depending on individual abilities, physical attributes, and experience. However, based on various factors including physical demands, technical skills, mental fortitude, and overall accomplishment, here is an exploration of some of the most challenging ...
    Gareth’s WorldBy admin
    22 hours ago

  • What is the Most Expensive Sport?
    The allure of sport transcends age, culture, and geographical boundaries. It captivates hearts, ignites passions, and provides unparalleled entertainment. Behind the spectacle, however, lies a fascinating world of financial investment and expenditure. Among the vast array of competitive pursuits, one question looms large: which sport carries the hefty title of ...
    Gareth’s WorldBy admin
    22 hours ago

  • Pickleball On the Cusp of Olympic Glory
    Introduction Pickleball, a rapidly growing paddle sport, has captured the hearts and imaginations of millions around the world. Its blend of tennis, badminton, and table tennis elements has made it a favorite among players of all ages and skill levels. As the sport’s popularity continues to surge, the question on ...
    Gareth’s WorldBy admin
    22 hours ago

  • The Origin and Evolution of Soccer Unveiling the Genius Behind the World’s Most Popular Sport
    Abstract: Soccer, the global phenomenon captivating millions worldwide, has a rich history that spans centuries. Its origins trace back to ancient civilizations, but the modern version we know and love emerged through a complex interplay of cultural influences and innovations. This article delves into the fascinating journey of soccer’s evolution, ...
    Gareth’s WorldBy admin
    22 hours ago

  • How Much to Tint Car Windows A Comprehensive Guide
    Tinting car windows offers numerous benefits, including enhanced privacy, reduced glare, UV protection, and a more stylish look for your vehicle. However, the cost of window tinting can vary significantly depending on several factors. This article provides a comprehensive guide to help you understand how much you can expect to ...
    Gareth’s WorldBy admin
    22 hours ago

  • Why Does My Car Smell Like Gas? A Comprehensive Guide to Diagnosing and Fixing the Issue
    The pungent smell of gasoline in your car can be an alarming and potentially dangerous problem. Not only is the odor unpleasant, but it can also indicate a serious issue with your vehicle’s fuel system. In this article, we will explore the various reasons why your car may smell like ...
    Gareth’s WorldBy admin
    22 hours ago

  • How to Remove Tree Sap from Car A Comprehensive Guide
    Tree sap can be a sticky, unsightly mess on your car’s exterior. It can be difficult to remove, but with the right techniques and products, you can restore your car to its former glory. Understanding Tree Sap Tree sap is a thick, viscous liquid produced by trees to seal wounds ...
    Gareth’s WorldBy admin
    22 hours ago

  • How Much Paint Do You Need to Paint a Car?
    The amount of paint needed to paint a car depends on a number of factors, including the size of the car, the number of coats you plan to apply, and the type of paint you are using. In general, you will need between 1 and 2 gallons of paint for ...
    Gareth’s WorldBy admin
    22 hours ago

  • Can You Jump a Car in the Rain? Safety Precautions and Essential Steps
    Jump-starting a car is a common task that can be performed even in adverse weather conditions like rain. However, safety precautions and proper techniques are crucial to avoid potential hazards. This comprehensive guide will provide detailed instructions on how to safely jump a car in the rain, ensuring both your ...
    Gareth’s WorldBy admin
    22 hours ago

  • Can taxpayers be confident PIJF cash was spent wisely?
    Graham Adams writes about the $55m media fund — When Patrick Gower was asked by Mike Hosking last week what he would say to the many Newstalk ZB callers who allege the Labour government bribed media with $55 million of taxpayers’ money via the Public Interest Journalism Fund — and ...
    Point of OrderBy gadams1000
    1 day ago

  • EGU2024 – An intense week of joining sessions virtually
    Note: this blog post has been put together over the course of the week I followed the happenings at the conference virtually. Should recordings of the Great Debates and possibly Union Symposia mentioned below, be released sometime after the conference ends, I'll include links to the ones I participated in. ...
    Skeptical Science
    1 day ago

  • Submission on “Fast Track Approvals Bill”
    The following was my submission made on the “Fast Track Approvals Bill”. This potential law will give three Ministers unchecked powers, un-paralled since the days of Robert Muldoon’s “Think Big” projects.The submission is written a bit tongue-in-cheek. But it’s irreverent because the FTAB is in itself not worthy of respect. ...
    Frankly SpeakingBy Frank Macskasy
    1 day ago

  • The Case for a Universal Family Benefit
    One Could Reduce Child Poverty At No Fiscal CostFollowing the Richardson/Shipley 1990 ‘redesign of the welfare state’ – which eliminated the universal Family Benefit and doubled the rate of child poverty – various income supplements for families have been added, the best known being ‘Working for Families’, introduced in 2005. ...
    PunditBy Brian Easton
    1 day ago

  • A who’s who of New Zealand’s dodgiest companies
    Submissions on National's corrupt Muldoonist fast-track law are due today (have you submitted?), and just hours before they close, Infrastructure Minister Chris Bishop has been forced to release the list of companies he invited to apply. I've spent the last hour going through it in an epic thread of bleats, ...
    No Right TurnBy Idiot/Savant
    1 day ago

  • On Lee’s watch, Economic Development seems to be stuck on scoring points from promoting sporting e...
    Buzz from the Beehive A few days ago, Point of Order suggested the media must be musing “on why Melissa is mute”. Our article reported that people working in the beleaguered media industry have cause to yearn for a minister as busy as Melissa Lee’s ministerial colleagues and we drew ...
    Point of OrderBy Bob Edlin
    1 day ago

  • New Zealand has never been closed for business
    1. What was The Curse of Jim Bolger?a. Winston Peters b. Soon after shaking his hand, world leaders would mysteriously lose office or shuffle off this mortal coilc. Could never shake off the Mother of All Budgetsd. Dandruff2. True or false? The Chairman of a Kiwi export business has asked the ...
    More Than A FeildingBy David Slack
    1 day ago

  • Stop the panic – we’ve been here before
    Jack Vowles writes – New Zealand is said to be suffering from ‘serious populist discontent’. An IPSOS MORI survey has reported that we have an increasing preference for strong leaders, think that the economy is rigged toward the rich and powerful, and political elites are ignoring ‘hard-working people’.  ...
    Point of OrderBy poonzteam5443
    2 days ago

  • Melissa Lee and the media: ending the quest
    Chris Trotter writes –  MELISSA LEE should be deprived of her ministerial warrant. Her handling – or non-handling – of the crisis engulfing the New Zealand news media has been woeful. The fate of New Zealand’s two linear television networks, a question which the Minister of Broadcasting, Communications ...
    Point of OrderBy Bob Edlin
    2 days ago

  • The Hoon around the week to April 19
    TL;DR: The podcast above features co-hosts and , along with regular guests Robert Patman on Gaza and AUKUS II, and on climate change.The six things that mattered in Aotearoa’s political economy that we wrote and spoke about via The Kākā and elsewhere for paying subscribers in the ...
    The KakaBy Bernard Hickey
    2 days ago

  • The ‘Humpty Dumpty’ end result of dismantling our environmental protections
    Policymakers rarely wish to make plain or visible their desire to dismantle environmental policy, least of all to the young. Photo: Lynn GrievesonTL;DR: Here’s the top five news items of note in climate news for Aotearoa-NZ this week, and a discussion above between Bernard Hickey and The Kākā’s climate correspondent ...
    The KakaBy Bernard Hickey
    2 days ago

  • Nicola's Salad Days.
    I like to keep an eye on what’s happening in places like the UK, the US, and over the ditch with our good mates the Aussies. Let’s call them AUKUS, for want of a better collective term. More on that in a bit.It used to be, not long ago, that ...
    Nick’s KōreroBy Nick Rockel
    2 days ago

  • Study sees climate change baking in 19% lower global income by 2050
    TL;DR: The global economy will be one fifth smaller than it would have otherwise been in 2050 as a result of climate damage, according to a new study by the Potsdam Institute for Climate Impact Research (PIK) and published in the journal Nature. (See more detail and analysis below, and ...
    The KakaBy Bernard Hickey
    2 days ago

  • Weekly Roundup 19-April-2024
    It’s Friday again. Here’s some of the things that caught our attention this week. This Week on Greater Auckland On Tuesday Matt covered at the government looking into a long tunnel for Wellington. On Wednesday we ran a post from Oscar Simms on some lessons from Texas. AT’s ...
    Greater AucklandBy Matt L
    2 days ago

  • Jack Vowles: Stop the panic – we’ve been here before
    New Zealand is said to be suffering from ‘serious populist discontent’. An IPSOS MORI survey has reported that we have an increasing preference for strong leaders, think that the economy is rigged toward the rich and powerful, and political elites are ignoring ‘hard-working people’.  The data is from February this ...
    Democracy ProjectBy bryce.edwards
    2 days ago

  • Clearing up confusion (or trying to)
    Foreign Minister Winston Peters is understood to be planning a major speech within the next fortnight to clear up the confusion over whether or not New Zealand might join the AUKUS submarine project. So far, there have been conflicting signals from the Government. RNZ reported the Prime Minister yesterday in ...
    PolitikBy Richard Harman
    2 days ago

  • How to Retrieve Deleted Call Log iPhone Without Computer
    How to Retrieve Deleted Call Log on iPhone Without a Computer: A Step–by–Step Guide Losing your iPhone call history can be frustrating, especially when you need to find a specific number or recall an important conversation. But before you panic, know that there are ways to retrieve deleted call logs on your iPhone, even without a computer. This guide will explore various methods, ranging from simple checks to utilizing iCloud backups and third–party applications. So, let‘s dive in and recover those lost calls! 1. Check Recently Deleted Folder: Apple understands that accidental deletions happen. That‘s why they introduced the “Recently Deleted“ folder for various apps, including the Phone app. This folder acts as a safety net, storing deleted call logs for up to 30 days before permanently erasing them. Here‘s how to check it: Open the Phone app on your iPhone. Tap on the “Recents“ tab at the bottom. Scroll to the top and tap on “Edit“. Select “Show Recently Deleted“. Browse the list to find the call logs you want to recover. Tap on the desired call log and choose “Recover“ to restore it to your call history. 2. Restore from iCloud Backup: If you regularly back up your iPhone to iCloud, you might be able to retrieve your deleted call log from a previous backup. However, keep in mind that this process will restore your entire phone to the state it was in at the time of the backup, potentially erasing any data added since then. Here‘s how to restore from an iCloud backup: Go to Settings > General > Reset. Choose “Erase All Content and Settings“. Follow the on–screen instructions. Your iPhone will restart and show the initial setup screen. Choose “Restore from iCloud Backup“ during the setup process. Select the relevant backup that contains your deleted call log. Wait for the restoration process to complete. 3. Explore Third–Party Apps (with Caution): ...
    Gareth’s WorldBy admin
    2 days ago

  • How to Factory Reset iPhone without Computer: A Comprehensive Guide to Restoring your Device
    Life throws curveballs, and sometimes, those curveballs necessitate wiping your iPhone clean and starting anew. Whether you’re facing persistent software glitches, preparing to sell your device, or simply wanting a fresh start, knowing how to factory reset iPhone without a computer is a valuable skill. While using a computer with ...
    Gareth’s WorldBy admin
    2 days ago

  • How to Call Someone on a Computer: A Guide to Voice and Video Communication in the Digital Age
    Gone are the days when communication was limited to landline phones and physical proximity. Today, computers have become powerful tools for connecting with people across the globe through voice and video calls. But with a plethora of applications and methods available, how to call someone on a computer might seem ...
    Gareth’s WorldBy admin
    2 days ago

  • Skeptical Science New Research for Week #16 2024
    Open access notables Glacial isostatic adjustment reduces past and future Arctic subsea permafrost, Creel et al., Nature Communications: Sea-level rise submerges terrestrial permafrost in the Arctic, turning it into subsea permafrost. Subsea permafrost underlies ~ 1.8 million km2 of Arctic continental shelf, with thicknesses in places exceeding 700 m. Sea-level variations over glacial-interglacial cycles control ...
    Skeptical Science
    2 days ago

  • Where on a Computer is the Operating System Generally Stored? Delving into the Digital Home of your ...
    The operating system (OS) is the heart and soul of a computer, orchestrating every action and interaction between hardware and software. But have you ever wondered where on a computer is the operating system generally stored? The answer lies in the intricate dance between hardware and software components, particularly within ...
    Gareth’s WorldBy admin
    2 days ago

  • How Many Watts Does a Laptop Use? Understanding Power Consumption and Efficiency
    Laptops have become essential tools for work, entertainment, and communication, offering portability and functionality. However, with rising energy costs and growing environmental concerns, understanding a laptop’s power consumption is more important than ever. So, how many watts does a laptop use? The answer, unfortunately, isn’t straightforward. It depends on several ...
    Gareth’s WorldBy admin
    2 days ago

  • How to Screen Record on a Dell Laptop A Guide to Capturing Your Screen with Ease
    Screen recording has become an essential tool for various purposes, such as creating tutorials, capturing gameplay footage, recording online meetings, or sharing information with others. Fortunately, Dell laptops offer several built-in and external options for screen recording, catering to different needs and preferences. This guide will explore various methods on ...
    Gareth’s WorldBy admin
    2 days ago

  • How Much Does it Cost to Fix a Laptop Screen? Navigating Repair Options and Costs
    A cracked or damaged laptop screen can be a frustrating experience, impacting productivity and enjoyment. Fortunately, laptop screen repair is a common service offered by various repair shops and technicians. However, the cost of fixing a laptop screen can vary significantly depending on several factors. This article delves into the ...
    Gareth’s WorldBy admin
    2 days ago

  • How Long Do Gaming Laptops Last? Demystifying Lifespan and Maximizing Longevity
    Gaming laptops represent a significant investment for passionate gamers, offering portability and powerful performance for immersive gaming experiences. However, a common concern among potential buyers is their lifespan. Unlike desktop PCs, which allow for easier component upgrades, gaming laptops have inherent limitations due to their compact and integrated design. This ...
    Gareth’s WorldBy admin
    2 days ago

  • Climate Change: Turning the tide
    The annual inventory report of New Zealand's greenhouse gas emissions has been released, showing that gross emissions have dropped for the third year in a row, to 78.4 million tons: All-told gross emissions have decreased by over 6 million tons since the Zero Carbon Act was passed in 2019. ...
    No Right TurnBy Idiot/Savant
    2 days ago

  • How to Unlock Your Computer A Comprehensive Guide to Regaining Access
    Experiencing a locked computer can be frustrating, especially when you need access to your files and applications urgently. The methods to unlock your computer will vary depending on the specific situation and the type of lock you encounter. This guide will explore various scenarios and provide step-by-step instructions on how ...
    Gareth’s WorldBy admin
    2 days ago

  • Faxing from Your Computer A Modern Guide to Sending Documents Digitally
    While the world has largely transitioned to digital communication, faxing still holds relevance in certain industries and situations. Fortunately, gone are the days of bulky fax machines and dedicated phone lines. Today, you can easily send and receive faxes directly from your computer, offering a convenient and efficient way to ...
    Gareth’s WorldBy admin
    2 days ago

  • Protecting Your Home Computer A Guide to Cyber Awareness
    In our increasingly digital world, home computers have become essential tools for work, communication, entertainment, and more. However, this increased reliance on technology also exposes us to various cyber threats. Understanding these threats and taking proactive steps to protect your home computer is crucial for safeguarding your personal information, finances, ...
    Gareth’s WorldBy admin
    2 days ago

  • Server-Based Computing Powering the Modern Digital Landscape
    In the ever-evolving world of technology, server-based computing has emerged as a cornerstone of modern digital infrastructure. This article delves into the concept of server-based computing, exploring its various forms, benefits, challenges, and its impact on the way we work and interact with technology. Understanding Server-Based Computing: At its core, ...
    Gareth’s WorldBy admin
    2 days ago

  • Vroom vroom go the big red trucks
    The absolute brass neck of this guy.We want more medical doctors, not more spin doctors, Luxon was saying a couple of weeks ago, and now we’re told the guy has seven salaried adults on TikTok duty. Sorry, doing social media. The absolute brass neck of it. The irony that the ...
    More Than A FeildingBy David Slack
    2 days ago

  • Jones finds $410,000 to help the government muscle in on a spat project
    Buzz from the Beehive Oceans and Fisheries Minister Shane Jones relishes spatting and eagerly takes issue with environmentalists who criticise his enthusiasm for resource development. He relishes helping the fishing industry too. And so today, while the media are making much of the latest culling in the public service to ...
    Point of OrderBy Bob Edlin
    2 days ago

  • Again, hate crimes are not necessarily terrorism.
    Having written, taught and worked for the US government on issues involving unconventional warfare and terrorism for 30-odd years, two things irritate me the most when the subject is discussed in public. The first is the Johnny-come-lately academics-turned-media commentators who … Continue reading → ...
    KiwipoliticoBy Pablo
    3 days ago

  • Despair – construction consenting edition
    Eric Crampton writes – Kainga Ora is the government’s house building agency. It’s been building a lot of social housing. Kainga Ora has its own (but independent) consenting authority, Consentium. It’s a neat idea. Rather than have to deal with building consents across each different territorial authority, Kainga Ora ...
    Point of OrderBy poonzteam5443
    3 days ago

  • Coalition promises – will the Govt keep the commitment to keep Kiwis equal before the law?
    Muriel Newman writes – The Coalition Government says it is moving with speed to deliver campaign promises and reverse the damage done by Labour. One of their key commitments is to “defend the principle that New Zealanders are equal before the law.” To achieve this, they have pledged they “will not advance ...
    Point of OrderBy poonzteam5443
    3 days ago

  • An impermanent public service is a guarantee of very little else but failure
    Chris Trotter writes –  The absence of anything resembling a fightback from the public servants currently losing their jobs is interesting. State-sector workers’ collective fatalism in the face of Coalition cutbacks indicates a surprisingly broad acceptance of impermanence in the workplace. Fifty years ago, lay-offs in the thousands ...
    Point of OrderBy poonzteam5443
    3 days ago

  • PM’s South East Asia mission does the business
    Prime Minister Christopher Luxon has completed a successful trip to Singapore, Thailand and the Philippines, deepening relationships and capitalising on opportunities. Mr Luxon was accompanied by a business delegation and says the choice of countries represents the priority the New Zealand Government places on South East Asia, and our relationships in ...
    BeehiveBy beehive.govt.nz
    18 hours ago

  • $41m to support clean energy in South East Asia
    New Zealand is demonstrating its commitment to reducing global greenhouse emissions, and supporting clean energy transition in South East Asia, through a contribution of NZ$41 million (US$25 million) in climate finance to the Asian Development Bank (ADB)-led Energy Transition Mechanism (ETM). Prime Minister Christopher Luxon and Climate Change Minister Simon Watts announced ...
    BeehiveBy beehive.govt.nz
    1 day ago

  • Minister releases Fast-track stakeholder list
    The Government is today releasing a list of organisations who received letters about the Fast-track applications process, says RMA Reform Minister Chris Bishop. “Recently Ministers and agencies have received a series of OIA requests for a list of organisations to whom I wrote with information on applying to have a ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Judicial appointments announced
    Attorney-General Judith Collins today announced the appointment of Wellington Barrister David Jonathan Boldt as a Judge of the High Court, and the Honourable Justice Matthew Palmer as a Judge of the Court of Appeal. Justice Boldt graduated with an LLB from Victoria University of Wellington in 1990, and also holds ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Education Minister heads to major teaching summit in Singapore
    Education Minister Erica Stanford will lead the New Zealand delegation at the 2024 International Summit on the Teaching Profession (ISTP) held in Singapore. The delegation includes representatives from the Post Primary Teachers’ Association (PPTA) Te Wehengarua and the New Zealand Educational Institute (NZEI) Te Riu Roa.  The summit is co-hosted ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Value of stopbank project proven during cyclone
    A stopbank upgrade project in Tairawhiti partly funded by the Government has increased flood resilience for around 7000ha of residential and horticultural land so far, Regional Development Minister Shane Jones says. Mr Jones today attended a dawn service in Gisborne to mark the end of the first stage of the ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Anzac commemorations, Türkiye relationship focus of visit
    Foreign Affairs Minister Winston Peters will represent the Government at Anzac Day commemorations on the Gallipoli Peninsula next week and engage with senior representatives of the Turkish government in Istanbul.    “The Gallipoli campaign is a defining event in our history. It will be a privilege to share the occasion ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Minister to Europe for OECD meeting, Anzac Day
    Science, Innovation and Technology and Defence Minister Judith Collins will next week attend the OECD Science and Technology Ministerial conference in Paris and Anzac Day commemorations in Belgium. “Science, innovation and technology have a major role to play in rebuilding our economy and achieving better health, environmental and social outcomes ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Comprehensive Partnership the goal for NZ and the Philippines
    Prime Minister Christopher Luxon held a bilateral meeting today with the President of the Philippines, Ferdinand Marcos Jr.  The Prime Minister was accompanied by MP Paulo Garcia, the first Filipino to be elected to a legislature outside the Philippines. During today’s meeting, Prime Minister Luxon and President Marcos Jr discussed opportunities to ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Government commits $20m to Westport flood protection
    The Government has announced that $20 million in funding will be made available to Westport to fund much needed flood protection around the town. This measure will significantly improve the resilience of the community, says Local Government Minister Simeon Brown. “The Westport community has already been allocated almost $3 million ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Taupō takes pole position
    The Government is proud to support the first ever Repco Supercars Championship event in Taupō as up to 70,000 motorsport fans attend the Taupō International Motorsport Park this weekend, says Economic Development Minister Melissa Lee. “Anticipation for the ITM Taupō Super400 is huge, with tickets and accommodation selling out weeks ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Cost of living support for low-income homeowners
    Local Government Minister Simeon Brown has announced an increase to the Rates Rebate Scheme, putting money back into the pockets of low-income homeowners.  “The coalition Government is committed to bringing down the cost of living for New Zealanders. That includes targeted support for those Kiwis who are doing things tough, such ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Government backing mussel spat project
    The Coalition Government is investing in a project to boost survival rates of New Zealand mussels and grow the industry, Oceans and Fisheries Minister Shane Jones has announced. “This project seeks to increase the resilience of our mussels and significantly boost the sector’s productivity,” Mr Jones says. “The project - ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Government focused on getting people into work
    Benefit figures released today underscore the importance of the Government’s plan to rebuild the economy and have 50,000 fewer people on Jobseeker Support, Social Development and Employment Minister Louise Upston says. “Benefit numbers are still significantly higher than when National was last in government, when there was about 70,000 fewer ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Clean energy key driver to reducing emissions
    The Government’s commitment to doubling New Zealand’s renewable energy capacity is backed by new data showing that clean energy has helped the country reach its lowest annual gross emissions since 1999, Climate Change Minister Simon Watts says. New Zealand’s latest Greenhouse Gas Inventory (1990-2022) published today, shows gross emissions fell ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Earthquake-prone buildings review brought forward
    The Government is bringing the earthquake-prone building review forward, with work to start immediately, and extending the deadline for remediations by four years, Building and Construction Minister Chris Penk says. “Our Government is focused on rebuilding the economy. A key part of our plan is to cut red tape that ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Thailand and NZ to agree to Strategic Partnership
    Prime Minister Christopher Luxon and his Thai counterpart, Prime Minister Srettha Thavisin, have today agreed that New Zealand and the Kingdom of Thailand will upgrade the bilateral relationship to a Strategic Partnership by 2026. “New Zealand and Thailand have a lot to offer each other. We have a strong mutual desire to build ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Government consults on extending coastal permits for ports
    RMA Reform Minister Chris Bishop and Transport Minister Simeon Brown have today announced the Coalition Government’s intention to extend port coastal permits for a further 20 years, providing port operators with certainty to continue their operations. “The introduction of the Resource Management Act in 1991 required ports to obtain coastal ...
    BeehiveBy beehive.govt.nz
    4 days ago

  • Inflation coming down, but more work to do
    Today’s announcement that inflation is down to 4 per cent is encouraging news for Kiwis, but there is more work to be done - underlining the importance of the Government’s plan to get the economy back on track, acting Finance Minister Chris Bishop says. “Inflation is now at 4 per ...
    BeehiveBy beehive.govt.nz
    4 days ago

  • School attendance restored as a priority in health advice
    Refreshed health guidance released today will help parents and schools make informed decisions about whether their child needs to be in school, addressing one of the key issues affecting school attendance, says Associate Education Minister David Seymour. In recent years, consistently across all school terms, short-term illness or medical reasons ...
    BeehiveBy beehive.govt.nz
    4 days ago

  • Unnecessary bureaucracy cut in oceans sector
    Oceans and Fisheries Minister Shane Jones is streamlining high-level oceans management while maintaining a focus on supporting the sector’s role in the export-led recovery of the economy. “I am working to realise the untapped potential of our fishing and aquaculture sector. To achieve that we need to be smarter with ...
    BeehiveBy beehive.govt.nz
    4 days ago

  • Patterson promoting NZ’s wool sector at International Congress
    Associate Agriculture Minister Mark Patterson is speaking at the International Wool Textile Organisation Congress in Adelaide, promoting New Zealand wool, and outlining the coalition Government’s support for the revitalisation the sector.    "New Zealand’s wool exports reached $400 million in the year to 30 June 2023, and the coalition Government ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • Removing red tape to help early learners thrive
    The Government is making legislative changes to make it easier for new early learning services to be established, and for existing services to operate, Associate Education Minister David Seymour says. The changes involve repealing the network approval provisions that apply when someone wants to establish a new early learning service, ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • RMA changes to cut coal mining consent red tape
    Changes to the Resource Management Act will align consenting for coal mining to other forms of mining to reduce barriers that are holding back economic development, Resources Minister Shane Jones says. “The inconsistent treatment of coal mining compared with other extractive activities is burdensome red tape that fails to acknowledge ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • McClay reaffirms strong NZ-China trade relationship
    Trade, Agriculture and Forestry Minister Todd McClay has concluded productive discussions with ministerial counterparts in Beijing today, in support of the New Zealand-China trade and economic relationship. “My meeting with Commerce Minister Wang Wentao reaffirmed the complementary nature of the bilateral trade relationship, with our Free Trade Agreement at its ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • Prime Minister Luxon acknowledges legacy of Singapore Prime Minister Lee
    Prime Minister Christopher Luxon today paid tribute to Singapore’s outgoing Prime Minister Lee Hsien Loong.   Meeting in Singapore today immediately before Prime Minister Lee announced he was stepping down, Prime Minister Luxon warmly acknowledged his counterpart’s almost twenty years as leader, and the enduring legacy he has left for Singapore and South East ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • PMs Luxon and Lee deepen Singapore-NZ ties
    Prime Minister Christopher Luxon held a bilateral meeting today with Singapore Prime Minister Lee Hsien Loong. While in Singapore as part of his visit to South East Asia this week, Prime Minister Luxon also met with Singapore President Tharman Shanmugaratnam and will meet with Deputy Prime Minister Lawrence Wong.  During today’s meeting, Prime Minister Luxon ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • Antarctica New Zealand Board appointments
    Foreign Minister Winston Peters has made further appointments to the Board of Antarctica New Zealand as part of a continued effort to ensure the Scott Base Redevelopment project is delivered in a cost-effective and efficient manner.  The Minister has appointed Neville Harris as a new member of the Board. Mr ...
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