Duncan Garner picked up on it here – and also interviewed David Seymour on it. Seymour seemed unusually tepid on bringing about smaller government – even going with the “at least we are not Labour” type statement.
I mentioned that the Public Sector is “crowding-out” the Private Sector and making genuine economic growth extremenely difficult. Treasury notes this:
“Government spending in New Zealand has significantly expanded, with some estimates noting the expenditure-to-GDP ratio has doubled from roughly 20% to 40% since 1960, signaling substantial expansion. Concerns exist that high public spending, particularly post-2023, is absorbing resources and potentially slowing private sector growth, with some estimates attributing roughly 20% to 25% of recent economic underperformance to public sector consumption and investment.”
To add to this; a large government sector does nothing to help productivity. How many of the bureaucracies could be regarded as efficient?
To add to this; a large government sector does nothing to help productivity. How many of the bureaucracies could be regarded as efficient?
Labour productivity in 2023
Copy link to Figure 4.6. Labour productivity in 2023
GDP per hour worked in current prices and current PPPs
Click to view
Note 1: Maybe we are only ahead of Mexico and Columbia because some of their “horticulture” doesn’t get counted.
Note 2: Our Tax/GDP is 34%. Examples of those ahead of us on productivity are: Australia 29.4%, Switzerland 27.1% USA 25.2%, Ireland 21.9%.
As noted on the first post. Which political parties will run on shrinking the size of the State and – if going into co-alition – make it a genuine bottom line?
In $US Australia’s GDP per capita in 2025 was $65,946 to NZ’s $49,383 (a gap of $16,563).
In $US Austalia’s GDP per capita projected for 2030 is $79,623 to NZ’s $58,552 (a gap of $21,071).
As Duncan Garner noted – this government has broken significant promises to shrink themselves and bring down spending and borrowing. We don’t need/want a change in government – but we NEED this government to change their approach quickly.
Alwyn Poole, a well-known figure in the New Zealand education system, he founded and was the head of Mt Hobson Middle School in Auckland for 18 years. This article was sourced HERE
6 comments:
The property lobby is to blame and Luxon is their simp. Incentivising investment in non-productive assets is insanity. Labour was onto a good thing but National wants to drag the country down. The voters got what they asked for.
This govt has been as bad as the last - bloated public sector, ideologically driven, no reversal of the maorification of everything- which is now worse than it was previously- and nothing done about waitangi grifting - now we find our military and many council are effectively captured….and still nothing from national!
Alwyn, interesting article. Thanks.
While about only 3% of this country will be alarmed at how 'stuffed ' things are and the requirement to get things moving again, the other 97% actually couldn't give a stuff, unfortunately.
In that 97% , I'm guessing 50% of them are lefties who are more worried about inventing more genders , adding more to the dole queues, prescribing puberty blockers to kids again, supporting terrorists and creating an apartheid state with racist policies.
The fact that they cant figure out how any of this is actually funded or why funds dry up when they are in power, sums up the left perfectly.
Anonymous 7:23am . I agree with you on what this government hasn't done but please give credit where credit is due . This is in making very necessary improvements in education which I believe is one of if not the most important issues that society needs to address .
Having an education system that promoted and indoctrinated into students , all those things 8:48 am lists is one of the big factors in our decline . However National , through Stanford's efforts has made inroads in returning us to effective teaching of particularly the basics of the 3Rs. Alwyn unfortunately is disinclined to mention these revolutionary changes because he doesn't appear to believe in them.
The ideology of Progressivism , Stanford is challenging in education has been really destructive to our society, being focused on socialism which inevitably builds up the public sector. It has been a tough job for her but she has stayed staunch. Gaynor
GDP is a farcical measure. If we had more paaid for te reo classes, and overpriced, our GDP and depending how extortionate the charging, our GDP per hour "worked"' would increase. Meawhile if I spend my idle time painting my house my standard of living increases but negligible contribution to assessed GDP and hours not measured.
Interesting theory Robert. I agree there are other measures that could be utilised, but GDP is still not bad, despite you suggesting otherwise. You select a very simple example which in itself is farcical as its not representative of the economy at all. I think i know what you are trying to say, but i have to disagree. This is exactly some of the examples the left give for their socialist / communist state and their silly 8 year old thinking about the economy. The problem comes around when you want to buy bread or clothes or something, go to the doctor, fill your car, go on holiday....but with what? You don't have any money, cos you haven't produced anything, but at least your house looks good.
Post a Comment
Thank you for joining the discussion. Breaking Views welcomes respectful contributions that enrich the debate. Please ensure your comments are not defamatory, derogatory or disruptive. We appreciate your cooperation.