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Thursday, August 15, 2024

David Farrar: No wonder we are in deficit


I got sent this graph (below) and was actually quite stunned by it.

As you can see private and public sector labour costs have followed each other quite closely for most of the last 20 years.

But in the last year or two, the increase in the public sector has shot up, while for the private sector it has reduced.


Click to view

And of course all those public sector costs are funded by taxes on the private sector.

David Farrar runs Curia Market Research, a specialist opinion polling and research agency, and the popular Kiwiblog where this article was sourced. He previously worked in the Parliament for eight years, serving two National Party Prime Ministers and three Opposition Leaders.

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