Friday, April 01, 2011

Turkey argues for early Christmas

  • A Treasury paper out today argues for lower tax and less government spending.
  • There appears to be scope to lower the tax take as a share of the economy or, alternatively, to better position the Crown to deal with long-term expenditure pressures without increasing the tax take
  • There is mixed evidence as to what types of expenditure really matter for growth.
  • However, the Treasury believes that New Zealand has a significant chunk of spending in areas that are unlikely to enhance economic growth
  • all spending programmes need to meet a high burden of proof that they really do boost New Zealander's living standards

I can well imagine those on the left side of the divide having an apoplectic fit over such heresy. Who'd have thought someday we might hear some reality from the gummint? The thought of a gummint department recommending reducing bureaucratic spend sends shivers.

Well, I never. After all, they're only here to help.

ps Can't be an April Fools joke - article was released at 1300.

1 comment:

Anonymous said...

Yes, but it is a bit like Bill English's any turkey but me comments a few days ago.