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There is an alternative

Written By: - Date published: 8:53 am, January 29th, 2013 - 48 comments
Categories: Economy, jobs - Tags:

Some people who don’t really understand economics think it’s all about confidence – if business would be more confident, they would then invest more and hire more people. In truth, confidence is merely an indicator that the fundamentals for growth are right. So, when Joyce accuses manufacturing bosses of ‘talking down’ the economy, he’s missing the point. Probably intentionally.

The manufacturing bosses and the EPMU at the first day’s hearing of the Manufacturing Inquiry were unequivocal – the over-valued dollar is killing us. And it’s simple to see why – sell $100 of product overseas in US dollars in 2001 and you got NZ$250. Today, you get $127.

You can innovative your arse off, but against that kind of declining return, you’ll be lucky to tread water.

And, in the last four years, manufacturing stopped treading water. Nearly 1 in 5 manufacturing jobs have been lost during that period.

It’s time to move the debate past ‘is there a problem with manufacturing’ and ‘is the high dollar that problem’? The answer to both is clearly ‘yes’.

Now, the question is ‘what do we do about it?’ The logical option would be to do what all our trade partners are doing to lower their currencies: capital controls, export assistance, quantitative easing, a lower official cash rate are all options.

It’s time to stop saying ‘there’s no alternative’ and, instead, start asking which alternatives we’ll choose.

48 comments on “There is an alternative”

  1. Draco T Bastard 1

    The logical option would be to do what all our trade partners are doing to lower their currencies: capital controls, export assistance, quantitative easing, a lower official cash rate are all options.

    That would be logical within the current economic paradigm but, considering how our economic system is destroying the environment, is it logical to continue to use the same paradigm?

    • Andre 1.1

      We need a ‘Reset button’ . and a government intelligent enough to Press it .. The long term outlook for western economics is only bad . New thinking is needed. The only option.

      • SpaceMonkey 1.1.1

        Following this current economic paradigm, the reset button is war. It’s going to take ballsy leadership to steer NZ in the direction we need to go because the root cause is the economic model itself: the concept of “growth” and consumerism. Until we address that, it’s not going to matter who is in Government, left or right… it’s the economic equivalent of pimping a ride with no engine.

        • bad12 1.1.1.1

          Aha, that’s a correct analysis based upon what the European nations have resorted to at various times in history when their Ism is threatened,(mostly by their own greed filled actions),

          How we keep our little country out of what i see as the building pressures for the sort of global scale conflagration our Leaders would happily fall all over themselves to involve us in, (or more to the point our young), is at present beyond me…

        • Rogue Trooper 1.1.1.2

          this Monkeys’ going to Heaven Surfer Rosy

      • McFlock 1.1.2

        Life doesn’t have a reset button. Why should the economy?

        • Draco T Bastard 1.1.2.1

          The “economy”, as its presently constituted, isn’t a natural part of life. The real economy is but the real economy isn’t related in any way, shape or form to the present financial system.

    • geoff 1.2

      Excellent point DTB but that is too big a problem for them to think about. That would require a collectivism that, presently, gets laughed at in the mainstream.

  2. Yes there is an alternative, a snap election,another 2yrs of this ramshackle nact govt
    doesn’t bear thinking about.

  3. PlanetOrphan 3

    Comeas back to DunnoKeyo playing his “Merrill Lynch” handbook.

    He promised all those people he’d borrow not print money, they in turn called him “UnCivilised” and tried to help by keeping our dollar strong so we can pay of the debt.

    Bloody Idiot should’ve listened to the IMF and printed money 4 years ago.

    • Lanthanide 3.1

      “He promised all those people he’d borrow not print money, they in turn called him “UnCivilised” and tried to help by keeping our dollar strong so we can pay of the debt.”

      NZ government debt is in $NZ, so the exchange rate doesn’t change how easy it is for us to pay it back or not.

      In fact, a high exchange rate actually discourages people from lending to us: in the past, for example, if someone wanted to lend the government $200NZ (ie, buy $200NZ worth of government bonds), they would take their $100US and buy $200NZ and then buy the government bonds, who in the future would pay them back $200NZ + interest. But now, if they want to buy $200NZ in government bonds, it will cost them $157US.

      • PlanetOrphan 3.1.1

        So why is our Exchange rate so high all of a sudden ?

        • Rogue Trooper 3.1.1.1

          maybe we need to pimp the Model T past the Baldwins down into Richmond; Dew Drop Inn?

          • PlanetOrphan 3.1.1.1.1

            Nice 2 cu Rogue, Not even a pimped out Model T will fix DunnoKeyos’ bad tuning M8!

        • mikesh 3.1.1.2

          The value of the dollar is determined by the relationship between imports, exports, invisibles and overseas borrowing. It is probably excessive borrowing, with the proceeds being pumped into the housing market, that is probably the main culprit. Lowering the exchange rate may be difficult because a change in one of the other variables can be offset by an increase in borrowing.

          • PlanetOrphan 3.1.1.2.1

            i.e back to printing more money ?

          • Draco T Bastard 3.1.1.2.2

            1.) Lower the OCR down to 0%
            2.) Make government loans available to everyone (business and mortgages) at 0%

            Exchange rate lowered.

        • Lanthanide 3.1.1.3

          Because the US and rest of the world have been devaluing their currencies.

    • bad12 3.2

      Indeed, the IMF in its interim report to the incoming National Government,(a report i can no longer find online) directly advised the National Government to seriously consider the use of quantitative easing,(printing money), to avoid the worst effects of the World wide financial crisis impacting upon the New Zealand economy,

      IMF interim reports are then referred to the incumbent Government for comment after which the full report is produced by the IMF,

      The full report when produced had had all reference to ‘quantitative easing’ expunged from it, so it was obviously a direct decision of the Slippery lead National Government to ‘borrow’ the Country into a massive Government debt even tho it had at hand,(and still does), the perfect tool to lower the New Zealand dollars international value while shielding the future generation from having to forgo social services in order to re-pay Government debt,

      My take on this is that it is simply playing politics by the National Government with the economy of New Zealand and the lives of future generations of this country,

      To be blunt, an attempt to ‘kneecap’ the economy so as to prohibit the next Government from being able to institute any further social programs and in effect trying to force upon that Government a panic situation where devaluation of the New Zealand dollar is considered via regulation,(a really stupid idea when the pluses of quantitative easing are so blindingly apparent and the tool will also lower the value of that New Zealand dollar)…

      • Rogue Trooper 3.2.1

        ahhh, devaluation devaluation devaluation (banks are courting property investors into “fixed terms” meanwhile Hickey forecasts mortgage interest rates rising later this, early next, Yeah Baby! The Carrot, then Stick it too them.

  4. higherstandard 4

    So we’d be better off if our dollar was at 0.40 to the USD ?

    • Lanthanide 4.1

      Manufacturers might be better off. The economy as a whole would unlikely be, largely due to the much higher oil prices these days (which IMO are part of the reason the exchange rate is high).

      Certainly manufacturers would be much happier with a dollar that was around 60-65 US cents.

      • higherstandard 4.1.1

        Indeed I always find it amusing that whatever the exchange rate is someone’ll be moaning.

        Certainly those countries with historically strong currencies too tough and as you say if our dollar devalued significantly consumer prices would increase significantly along with many of the imports utilised throughout our public health system.

        • tracey 4.1.1.1

          which is why everyone being tied tot he US dollar was simply a World Bank/USA idea that served only one point five masters

          • Draco T Bastard 4.1.1.1.1

            Actually, that was the Bretton Woods Agreement which is the agreement that set up the World Bank, the fixed exchange rates that existed after the end of WWII, and the US$ as the world’s reserve currency. Unfortunately, no one seems to have realised that by going to a free-market system there is no such thing as a reserve currency.

            • CV - Real Labour 4.1.1.1.1.1

              What people need to realise is that although the US Gov moved the US Dollar off the Gold Standard…they have effectively moved it to the crude oil standard.

              Which is why the US gets mighty twitchy every time a bourse starts up somewhere which allows the trading of oil in a currency other than USD.

              • SpaceMonkey

                Hence Libya… Gaddafi was courting African countries with a gold-backed dinar. It would’ve stuffed the US dollar and every other fiat currency. It was also one of (then) four nations without a privately owned central bank. Military intervention ensued.

                Iran, looking to get into bed with the BRICS nations, is also one those nations without a privately owned central bank. They are looking to trade oil in anything but the US dollar so you know what the noise is about… the banksters want that bank. The only thing stopping the US and Israel is an unequivocal demand from China – hands off Iran. China gets approx. 80% of its oil from Iran.

                Meanwhile China is amassing gold. No one knows exactly how much but it is estimated to be around 6,000 tonnes. All gold mined in China is going straight into their bank vaults. They may be looking to match the US reserves of 8,000 tonnes at which point China may very well choose write off the shitty US dollars they hold and back their currency with gold. That will send shockwaves through the global economy and it will not go down well with the central banksters. I would expect the response to be military… the US and Europe would have lost the currency war currently being waged at this moment.

                Meanwhile NZ has 0 tonnes of gold. We sold the last of our reserves in 1991 like the good little IMFers we are (to the IMF gold is not money). If the world moves back to a gold standard (and that’s a big IF because the banksters will fight it all the way) NZ is doubly fucked.

    • bad12 4.2

      No,we would be better off if the New Zealand dollar had a value of 70 cents against the US dollar, it is not the New Zealand dollar that has risen per se against the US dollar, it is fact the reverse,

      The US dollar as they have diluted their currency by printing money has lowered in value when compared with currencies all over the world,

      The National Government’s failure to follow suit,(even when advised to do so by the IMF),has simply seen our currency become over-valued at the loss of our Manufacturing sectors competitive edge and the loss of employment,

      There would have been very little negative effect had this National Government printed the 300 million dollars a week it currently borrows,

      What should have occurred with the Christchurch rebuild was the declaration of a ‘special economic zone’ which in effect would have removed the false ‘growth’ figures which will occur because of that rebuild in New Zealands total economic figures over the next decade,

      Including the rebuild in such economic figures will in effect force the Reserve Bank to further tighten the money supply to the rest of New Zealand as the ‘false growth figures’ from Christchurch can be contained within the Reserve Banks ‘Inflationary Targets Band’, BUT, growth elsewhere in the New Zealand economy will threaten a breach of that ‘inflationary targets band’…

      • bad12 4.2.1

        The ‘false growth’ of the Christchurch rebuild???, it’s simply this, the ‘growth in economic activity that will be recorded from the efforts of the Christchurch rebuild will in fact be the re-recording of ‘growth’ that previously occurred befor the Christchurch earthquakes,

        The Christchurch earthquakes destroyed the previous ‘growth’ and the rebuild will only replace that ‘growth’ as no accounting has been made of the actual loss of ‘growth’ from the destruction caused by those earthquakes recording the rebuild of Christchurch as ‘growth’ is then ‘false’ and such recording of that ‘false growth’ in the sum total of New Zealand’s economic activity at any time will simply give a ‘false’ distorted picture of overall national ‘economic activity’,

        So, what need happen??? an accounting need take place that identifies ‘the loss of growth’ as the damage caused by the Chrischurch earthquakes, this X accounting of loss then need be the basis from which ‘actual growth’ in the Christchurch region can have some ‘actual’ platform from which to be measured from,

        Lets use for example a figure of 30 billion dollars as the amount of loss caused by those earthquakes, for ‘actual growth’ to occur in such a scenario 30 billion dollars must first be spent into the local economy as earthquake damage repair or rebuild befor any ‘actual growth’ can be said to have occurred,

        My view is this, Christchurch until such time as that loss/growth equation has been equalized should be legislated as a special economic zone where the economic activity until such time as that loss/growth equation has become neutral does not figure in the recording of national economic data as to do so will build into the New Zealand economy a level of ‘false growth’ that will then generate a level of ‘false inflation’ and the actions ensuing from this will seriously damage the New Zealand economy…

  5. tracey 5

    How much have they borrowed since coming to office??

    • David H 5.1

      About 42 Billion bucks Not sure if that’S NZ or US currency.

      • CV - Real Labour 5.1.1

        NZ I think.

        Averages $250M – $300M pw.

        • bad12 5.1.1.1

          The interesting thing about discussions with people over whether that 250-300 million dollars a week should have been borrowed into the New Zealand economy or printed into that economy is the number of people,(including Slippery the Prime Minister), who seem to believe that borrowed dollars have ‘magic qualities’,

          Tell the average head that those dollars borrowed should have been instead printed by the New Zealand Government or more to the point the Reserve Bank of New Zealand and they will mostly begin spluttering about inflation,

          To believe in this inflation fallacy a person must also believe that pigs can fly, steamrollers really do roll steam,choclate fish can swim, the tooth fairy put that dollar under the pillow, and various other myths that i could spend half the night listing,

          Such people,despite all the evidence steadfastly refuse to believe that any of the currently borrowed 250-300 million dollars a week has come hot off of the printing presses from some other economy busily engaged in propping up the collapsed system of capital,and, such people,although they will vehemenently deny such obviously believe that a ‘borrowed dollar’ has magic properties which do not allow that borrowed dollar to create the merest % of inflation,

          Such believers in the ‘magic powers’ possessed by a ‘borrowed dollar’ would seem to include most of the Parliament including most of the Labour Caucus along with the Labour caucus Leader Dave Shearer who when discussing future Labour Government spending seems to be stuck, like a cracked record, at the word Borrowing…

  6. Enough is Enough 6

    Be careful what you wish for. What would happen to our fuel costs if the dollar was $0.65 US?

    How much more New Zealand cash would be sucked up and sent to the BP’s of this world if we could get our dollar to that point?

    • Lanthanide 6.1

      I’d guess around $2.30-$2.50 a litre.

      It would help drive effieincy and fuel conservation. Better we start sooner than later on that.

      • higherstandard 6.1.1

        Lets put a 300% tax on petrol.

        It would help drive effieincy and fuel conservation. Better we start sooner than later on that.

        • Draco T Bastard 6.1.1.1

          Why put in something artificial when we could just have properly costed fuel?

          Of course, that would require government regulation ensuring that all costs were properly accounted for that the free-marketeers would then say was artificial.

        • Lanthanide 6.1.1.2

          Or, lets be sane and phase in that 300% oil tax in over 10 years, so as not to suddenly jolt the economy with a big blow.

          Luckily Key and crew are already on it, raising petrol taxes by 9c over the next 3 years.

          • CV - Real Labour 6.1.1.2.1

            You just have to remember that real incomes will be declining all that time as well, so 300% may effectively be a real 500% increase and hence be too harsh.

      • Andre 6.1.2

        OR spend 12 billion of future spending on road ,That will help… Exon now biggest company in the world .

      • Enough is Enough 6.1.3

        Yep, and at that price what happens to our economy?

        I am curious whether we could cope in the short term with that.

        • Draco T Bastard 6.1.3.1

          It shifts to being more local and less dependent upon international trade.

          • blue leopard 6.1.3.1.1

            Whats wrong with going local and becoming less dependent upon international trade now?

            • Draco T Bastard 6.1.3.1.1.1

              Nothing as far as I can see but the currency traders and banksters will probably start to lose out.

              • CV - Real Labour

                And they will fight back. Hence the provisions in the TPP allowing dubious multinational corporate entities to sue the NZ Government.

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    Kia ora my name is Chloe Ann-King* and I am the founder of Raise the Bar, a campaign and non-profit that gives free legal aid, advocacy and tautoko to hospitality workers in Aotearoa. Right now all over our country hospo workers are being fired at will, having shifts cut or being ...
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    7 days ago
  • An equitable way to support business
    The Herald reports that the government is planning to lend billions of dollars to large businesses to keep them operating during the pandemic. As with mortgage relief, this is necessary: we need companies to stay in business, to reduce the economic damage and help things get restarted again when this ...
    No Right TurnBy Idiot/Savant
    7 days ago
  • Hard News: Together Alone
    We're about to do something unprecedented as a nation. We hope that by taking this extraordinary action before a single life in New Zealand has been lost to the deadly novel virus we will save tens of thousands of lives. Our  lives. We'll do it together, in households, in isolation ...
    7 days ago
  • Why timing is everything: ‘A time to refrain from embracing’ starts today
    “There is a time for everything,    and a season for every activity under the heavens.”So writes the author of Ecclesiastes, a book in the Old Testament that’s counted as a ‘wisdom’ book and written as if by an unnamed king of Jerusalem. But who would have thought there would be a time ...
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    7 days ago
  • Dealing with the Covid-19 Tsunami.
    I was surprised when the prime minister described the Economic Response to Covid-19 package as the ‘largest peacetime government spend in New Zealand's history’. Reflecting – checking through history – I realised that the term ‘spend’ was crucial and the package had no income tax cuts. Even so, it has ...
    PunditBy Brian Easton
    1 week ago
  • What about renters?
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    No Right TurnBy Idiot/Savant
    1 week ago
  • Living within our means.
    Years ago the Argentine sociologist Carlos Weisman wrote a book titled “Living within our Means.” It was a critique of Argentine society that focused on the paradoxical question of why, in a land of plenty, there was so much economic instability, inequality, corruption and political turmoil. His conclusion was basically ...
    KiwipoliticoBy Pablo
    1 week ago
  • Transparency and the pandemic
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    No Right TurnBy Idiot/Savant
    1 week ago
  • ‘Overjoyed’: a leading health expert on New Zealand’s coronavirus shutdown, and the challengin...
    Michael Baker, University of Otago Overjoyed. That’s not a word epidemiologists normally use, but that’s how I felt after hearing Prime Minister Jacinda Ardern’s announcement about New Zealand’s COVID-19 shutdown of everything except essential services for at least four weeks from midnight on Wednesday. More than anything, I just ...
    SciBlogsBy Public Health Expert
    1 week ago
  • One way to solve the housing crisis
    How much homelessness is caused by house hoarding? We're about to find out. The pandemic has destroyed tourism, which means that house hoarders who put their hoarded properties up as short-term tourist rentals are now offering them on the ordinary rental market:Property investors are pulling properties from Airbnb to offer ...
    No Right TurnBy Idiot/Savant
    1 week ago
  • The pros and cons of planting trees to address global warming
    This is a re-post from Yale Climate Connections by Bruce Lieberman It seems like such a simple, straightforward, empowering idea: plant trees – a lot of trees – all over the world, and watch the planet’s temperature fall. Who doesn’t love a tree or two, even far more – the right ...
    1 week ago
  • Not a grand coalition, but a government of national salvation
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    PunditBy Liam Hehir
    1 week ago
  • Raise the Bar: hospitality workers & wage subsidy entitlements
    Kia ora my name is Chloe Ann-King* and I am the founder of Raise the Bar, a campaign and non-profit that gives free legal aid, advocacy and tautoko to hospitality workers in Aotearoa. Right now all over our country hospo workers are being fired at will, having shifts cut or ...
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    1 week ago
  • Lifting our game against COVID-19
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    SciBlogsBy Grant Jacobs
    1 week ago
  • The maths and ethics of minimising COVID-19 deaths in NZ
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    SciBlogsBy Public Health Expert
    1 week ago
  • All aboard the Covid Train
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    1 week ago
  • 2020 SkS Weekly Climate Change & Global Warming Digest #12
    Story of the Week... Toon of the Week... Climate Feedback Article Review... Coming Soon on SkS... Climate Feedback Claim Reviews... SkS Week in Review... Poster of the Week... Story of the Week... In Just 10 Years, Warming Has Increased the Odds of Disasters The likelihood of extreme events ...
    1 week ago
  • We are all socialists now
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    No Right TurnBy Idiot/Savant
    1 week ago
  • A plea to experts: safeguard your role in public life
    I am a pundit, somebody who opines and comments on the news. There are no real qualifications to punditry though having a rudimentary way with words and good general knowledge helps. That is one reason there is a constant oversupply of would-be pundits and why it is quite hard to ...
    PunditBy Liam Hehir
    1 week ago
  • Enlightenment when?
    I recently encountered the following prescription from a Faculty of Education at a leading New Zealand University. At first I wondered if it was another product of the postmodern generator (http://www.elsewhere.org/journal/pomo/), designed to create gibberish in the postmodern form, but I’m told it is real: The “schooled” society: Towards the ...
    SciBlogsBy Michael Corballis
    1 week ago
  • What the Crisis Can teach Us
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    1 week ago
  • Hammering home measures to stop COVID-19
    COVID-19 has plunged Aotearoa New Zealand (indeed, the world) into territory that, while maybe not totally unprecedented, certainly hasn’t been seen during the lifetimes of most of us here today. Our borders are closed to non-citizens, we’re being told not to gather in groups of more than 500 outside/100 inside, ...
    PunditBy Andrew Geddis
    1 week ago
  • What does ‘level two’ mean – and why does it matter?
    For the last few weeks, I’ve been urging you to prepare yourself, your family, business, and community for Covid-19. Now it’s time for real action.  Yesterday the director-general of health Dr Ashley Bloomfield announced another 13 confirmed cases of Covid-19 in New Zealand, bringing our total to date to 52. ...
    SciBlogsBy Siouxsie Wiles
    1 week ago
  • 2020 SkS Weekly Climate Change & Global Warming News Roundup #12
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    1 week ago
  • Is the Guardian becoming  a real newspaper again?
    by Jan Rivers The article has been corrected to show that it was Ewen MacAskill, former Guardian journalist and not Luke Harding who travelled to meet Edward Snowden with journalist Glenn Greenwald and filmmaker Laura Poitras.  Some of the Guardian’s well-known journalists who did not sign the protest letter are ...
    RedlineBy Daphna
    2 weeks ago
  • Life asserts itself regardless
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    2 weeks ago
  • Politics, the possible, and the pandemic
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    No Right TurnBy Idiot/Savant
    2 weeks ago
  • The Only Way Through This Crisis Is Together.
    Together: In leading New Zealand through the Covid-19 Pandemic, the Prime Minister could do a lot worse than allow herself to be guided by the spirit of collective sacrifice and co-operation that animated the New Zealanders of 80 years ago. Most Kiwis alive today have had no opportunity to prove their ...
    2 weeks ago
  • GFC vs Covid-19
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    2 weeks ago
  • Nobody Left Behind.
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    2 weeks ago
  • Rebuilding a truly “Democratic” counter, or a “moderate Republican” bolt-hol...
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    2 weeks ago
  • Abortion law reform a win for women
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    RedlineBy Daphna
    2 weeks ago
  • How to spot bogus science stories and read the news like a scientist
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    SciBlogsBy Guest Author
    2 weeks ago
  • Why New Zealand needs to continue decisive action to contain coronavirus
    Michael Baker, University of Otago and Nick Wilson, University of Otago With some of the toughest border restrictions and a newly-announced NZ$500 million boost to health services, New Zealand is among a small number of countries with a strategy to contain the COVID-19 pandemic. New Zealand is also fortunate in ...
    SciBlogsBy Public Health Expert
    2 weeks ago
  • Parliament and the pandemic II
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    No Right TurnBy Idiot/Savant
    2 weeks ago
  • When a virus goes viral: pros and cons to the coronavirus spread on social media
    Axel Bruns, Queensland University of Technology; Daniel Angus, Queensland University of Technology; Timothy Graham, Queensland University of Technology, and Tobias R. Keller, Queensland University of Technology News and views about coronavirus has spread via social media in a way that no health emergency has done before. Platforms like Twitter, Facebook, ...
    SciBlogsBy Guest Author
    2 weeks ago

  • Government seeks infrastructure projects
    The Government has tasked a group of industry leaders to seek out infrastructure projects that are ready to start as soon as the construction industry returns to normal to reduce the economic impact of the COVID-19 pandemic, Economic Development Minister Phil Twyford and Infrastructure Minister Shane Jones say. The Infrastructure ...
    BeehiveBy beehive.govt.nz
    11 hours ago
  • Essential media COVID-19 guidelines refined
    The Government is refining its COVID-19 essential business guidance to include the distribution of news publications for communities which are hard to reach. The Minister of Broadcasting, Communications and Digital Media, Kris Faafoi, said the move was in recognition of the importance for New Zealanders who might be harder to ...
    BeehiveBy beehive.govt.nz
    13 hours ago
  • New Zealand defence personnel conclude mission at Taji
    Following the successful conclusion of the Building Partner Capacity (BPC) mission at Taji, New Zealand defence personnel are returning to New Zealand from Iraq, in accordance with the Cabinet decision made in June 2019, Foreign Affairs Minister Winston Peters and Defence Minister Ron Mark announced today. “New Zealand is very ...
    BeehiveBy beehive.govt.nz
    17 hours ago
  • State of National Emergency extended
    The State of National Emergency to help stop the spread of COVID-19 has been extended for a further seven days, Minister of Civil Defence Peeni Henare said. The initial declaration on March 25 lasted seven days and can be extended as many times as necessary. “Since we went into isolation ...
    BeehiveBy beehive.govt.nz
    17 hours ago
  • Strong Govt books support ‘go hard, go early’ response
    New Zealand’s ability to go hard and go early in the fight against COVID-19 has been underpinned by strong Government finances and the growing economy heading into this global pandemic, Finance Minister Grant Robertson says. The Treasury today released the Crown financial statements for the eight months to the end ...
    BeehiveBy beehive.govt.nz
    20 hours ago
  • Christchurch Hospital Hagley ICU to open to support COVID-19 response
    Health Minister Dr David Clark says 36 new intensive care beds at Christchurch Hospital’s new Hagley building are being fast tracked so they are available for treatment of COVID-19 patients.   The Ministry of Health is working with contractor CPB and Canterbury DHB to enable access to the hospital’s ICU, ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Government supports Air NZ freight flights
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    BeehiveBy beehive.govt.nz
    2 days ago
  • Tariff concessions on COVID-19 related products
    New Zealand will temporarily remove tariffs on all medical and hygiene imports needed for the COVID-19 response. Trade and Export Growth Minister David Parker and Commerce and Consumer Affairs Minister Kris Faafoi said today that the New Zealand Customs Service will apply tariff concessions to all diagnostic reagents and testing ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Clarification of modification to wage subsidy scheme
    Minister of Finance Grant Robertson has clarified that the changes to the wage subsidy scheme announced yesterday mean that employers should be passing on the full subsidy to workers, except in the case where the person’s normal income is less than the level of the subsidy. “We still want employers ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Face masks flowing to DHBs
    Medical face masks from the national reserve supply are now being distributed to District Health Boards, while at the same time local production is being ramped up. Yesterday more than 640,000 masks were sent to DHBS – that is an immediate two week supply, with more to follow in coming ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • COVID-19: Further steps to protect New Zealanders’ jobs
    The Government has made modifications to the wage subsidy scheme to ensure people don’t lose their jobs during the national lockdown. These changes will soften the impact of COVID-19 on workers, families and businesses, and position them to exit the lockdown and look to recovery, Finance Minister Grant Robertson says. ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Tax relief for Mycoplasma Bovis farmers
    Farmers whose herds were culled in response to the outbreak of Mycoplasma bovis will be able to minimise the tax treatment of their income in some circumstances. Revenue Minister Stuart Nash says Cabinet has agreed to change the law. It means farmers may be eligible to spread their income over ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • $27 million for NGOs and community groups to continue providing essential services
    A $27 million dollar package, effective immediately, is being provided to social sector services and community groups to ensure they can continue to provide essential support to communities as we stay at home as a nation to stop the spread of COVID-19, Minister for Social Development Carmel Sepuloni announced. “At ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Statement on guilty plea of March 15 terrorist
    “The guilty plea today will provide some relief to the many people whose lives were shattered by what happened on March 15,” Prime Minister Jacinda Ardern said. “These guilty pleas and conviction bring accountability for what happened and also save the families who lost loved ones, those who were injured, ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • COVID-19 updates
    The Prime Minister is holding daily press conferences to update New Zealanders on the Government's response to COVID-19. Links to videos and transcripts of these updates below. These transcripts also include All of Government press conferences led by Director Ministry of Health's Director-General of Health Dr Ashley Bloomfield. 25 March: Live update from the Prime ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Police numbers break through 10,000 mark
    Frontline Police numbers have broken through the 10,000 mark for the first time in history as officers step forward to keep the community safe during the COVID19 lockdown. “Two Police graduations in Auckland and Wellington in the past week have been conducted in unprecedented circumstances,” Police Minister Stuart Nash said. ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Urgent tax measures for economic recovery
    Urgent legislation has been passed to support the package of economic and social measures needed to recover from the impact of the coronavirus outbreak. “The COVID-19 Response (Taxation and Social Assistance Urgent Measures) Bill will cushion New Zealanders from the worst economic impacts of the COVID-19 outbreak,” said Revenue Minister ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Further support for farmers and growers as drought persists
    From tomorrow, Government support for farmers and growers affected by drought will be expanded and extended across the country, with access to Rural Assistance Payments (RAPS) available throughout the North Island, parts of the South Island and the Chatham Islands, Social Development Minister Carmel Sepuloni announced. “These challenging conditions have ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • COVID-19: Temporary changes to Education Act
    Parliament has passed amendments to legislation that give the Secretary of Education stronger powers to act in the fight to limit the spread of COVID-19, Education Minister Chris Hipkins said today. “They are part of a suite of changes passed under the COVID-19 Response (Urgent Management Measures) Legislation Bill,” Chris ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Canada, Australia, Chile, Brunei and Myanmar join NZ and Singapore in committing to keeping supply a...
    Canada, Australia, Chile, Brunei and Myanmar have joined forces with New Zealand and Singapore by committing to keep supply chains open and remove any existing trade restrictive measures on essential goods, especially medical supplies, in the face of the Covid-19 crisis.  Trade and Export Growth Minister David Parker today welcomed ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • COVID-19: Rent increase freeze and more protection for tenants
    Immediate freeze on rent increases Tenancies will not be terminated during the lock-down period, unless the parties agree, or in limited circumstances Tenants who had previously given notice can stay in their if they need to stay in the tenancy during the lock-down period Tenants will still be able to ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Working together to protect businesses and workers
    As New Zealand unites to lock-down in the fight against COVID-19, the Finance Minister is urging all businesses and workers to stay connected over the next four weeks. “We understand the extreme pressure many businesses are under right now. I know most business owners think of their workers as family ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • State of National Emergency declared to fight COVID-19
    A State of National Emergency has been declared across the country as the Government pulls out all the stops to curtail the spread of COVID-19. “Today we put in place our country’s second ever State of National Emergency as we fight a global pandemic, save New Zealanders’ lives and prevent ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Prime Minister’s statement on State of National Emergency and Epidemic Notice
    Mr Speaker I wish to make a Ministerial Statement under Standing Order 347 in relation to the recent declaration of a State of National Emergency. Having considered the advice of the Director Civil Defence Emergency Management, the Minister of Civil Defence declared a State of National Emergency for the whole of ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Deadline for domestic travel extended
    People needing to travel on domestic flights, trains and Cook Strait ferries to get home before the country moves into level 4 lock-down tomorrow night will be able to continue using the passenger services until midnight on Friday, Transport Minister Phil Twyford said today. Domestic passenger services, particularly ferries, have ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Mortgage holiday and business finance support schemes to cushion COVID impacts
    The Government, retail banks and the Reserve Bank are today announcing a major financial support package for home owners and businesses affected by the economic impacts of COVID-19. The package will include a six month principal and interest payment holiday for mortgage holders and SME customers whose incomes have been ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government working to keep air freight moving
    Minister of Transport Phil Twyford has today announced details of the Government’s support package to keep key air freight moving and ensure New Zealanders retain access to essential goods during the four-week level 4 lockdown. “The Government is working with airlines and air freight operators to ensure New Zealand’s key ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New Zealand moves to COVID-19 Alert Level 3, then Level 4 in 48 hours
    New Zealand moved up to COVID-19 Alert Level 3 – Restrict New Zealand to move up to COVID-19 Alert Level 4 – Eliminate, in 48 hours Two-staged approach to give people and businesses time to prepare  Level 3, from tomorrow Non-essential businesses must close All events and gatherings must be ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Prime Minister: COVID-19 Alert Level increased
    Good afternoon  The Cabinet met this morning to discuss our next actions in the fight against COVID-19.  Like the rest of the world, we are facing the potential for devastating impacts from this virus. But, through decisive action, and through working together, do we have a small window to get ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Govt takes significant economic decisions as NZ readies for Alert Level 4 in COVID-19 fight
    The Government is announcing significant further support for the economy, workers and businesses as the country unites to prepare for Alert Level 4 in the fight against COVID-19. Cabinet today agreed to remove the cap on the Government’s wage subsidy scheme, which will inject a further $4 billion into the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Govt backs RBNZ move to support economy with lower interest rates
    The Government is backing the Reserve Bank’s latest action to support the economy by reducing longer-term interest rates, meaning lower costs for businesses and mortgage holders, and a lower currency to help our exporters. The Minister of Finance has signed a memorandum of understanding and a letter of indemnity with ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government statement on commercial cooperation during COVID-19
    The Government has asked the Commerce Commission to take account of the exceptional circumstances created by COVID-19 when monitoring business behaviour in coming weeks.   “The purpose of my request to the Commerce Commission is to make sure businesses can work together in ways that will allow them to provide ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New Zealand temporarily closes diplomatic posts in Barbados and Myanmar due to COVID-19
    The New Zealand Government has temporarily closed its High Commission in Bridgetown, Barbados and its Embassy in Yangon, Myanmar due to the COVID-19 pandemic, Foreign Minister Winston Peters says.   “Due to the increasing scarcity of air links in and out of Bridgetown and Yangon, and the pressure COVID-19 is placing ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Supporting Māori communities and businesses through
    Associate Health and Whānau Ora Minister Peeni Henare has today announced the Government’s plan to support Māori communities and businesses in the face of COVID-19. “Our Government’s $12.1 billion economic package will help many Māori whānau, workers and businesses, whether it’s through wage subsidies, income support and worker redeployment, or ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Guidelines for hospitality establishments released
    The Government and the hospitality industry have worked together to produce guidelines to assist with managing and reducing transmission of COVID-19, Health Minister David Clark announced today.  The guidelines developed between the Government, Hospitality New Zealand and SkyCity Entertainment Group, set out how the new restrictions on physical distancing and ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Nation steps up to COVID-19 Alert Level 2
    Four stage Alert System for COVID-19 announced New Zealand moved up to COVID-19 Alert Level 2 – Reduce Contact New Zealanders over 70 and those with certain medical conditions told to stay at home as much as they can to reduce risk of contact with the virus Workplaces to implement ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • PM Address – Covid-19 Update
    Kia ora koutou katoa I’m speaking directly to all New Zealanders today to give you as much certainty and clarity as we can as we fight Covid-19. Over the past few weeks, the world has changed. And it has changed very quickly. In February it would have seemed unimaginable to ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • NZ and Singapore commit to keeping supply and trade links open, including on essential goods and med...
    New Zealand and Singapore have jointly committed to keep supply chains open and to remove any existing trade restrictive measures on essential goods, especially medical supplies, in the face of the Covid-19 crisis. Trade and Export Growth Minister David Parker welcomed the commitment. “This is an important collective response, and ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Joint Ministerial Statement by Singapore and New Zealand -Covid-19 situation
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    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Transit between Australia and New Zealand
    Travel restrictions, closing our border to almost all travelers came into force from 23:59 on Thursday 19 March 2020 (NZDT).  All airlines were informed of these restrictions before they came into force. Immigration Minister Iain Lees-Galloway says “The transit of passengers between Australia and New Zealand has been agreed upon and ...
    BeehiveBy beehive.govt.nz
    2 weeks ago