In two weeks the New Zealand Initiative releases its centerpiece report on economic growth. It may seem counterintuitive, but the researchers here at the Initiative don’t actually think it’s the government’s job to grow the economy. Read more
The Parliamentary Commissioner for the Environment (PCE) has hired Crown research institute NIWA to draw up coastal hazard lines. Yet the 2012 hazard line guidance co-authored by NIWA staff fails to define, even in principle, what likelihood such lines are meant to represent, let alone justify that choice in cost-benefit terms. The folly of coastal hazard lines of unknown likelihood and net benefit is illustrated by the experience in 2012-14 of the Kapiti Coast District Council. Read more
When Harvard economist Ed Glaeser delivered a public lecture on urban economics in Christchurch in 2013, hosted by Canterbury’s Department of Economics and Finance, he was asked whether Christchurch would really recover. The question wasn’t crazy. Read more
As widely reported this week, Auckland Council’s economic development arm has created a posting for one of its senior executives in London. Costing ratepayers a total of $230,000 over the course of a year, the city’s new ambassador Grant Jenkins is meant to promote better links between Auckland and London. Read more
All too often, China cops an unfair amount of criticism when it comes to foreign investment in New Zealand. Rationally, this is quite bizarre, not least because our existing regulatory barriers prevent risky – or even beneficial – investments from occurring in the first place, but also because investments originating from China make up such a small portion of the total. Read more
It is probably a sign of my generation that I struggle to fathom how researchers and experts spread their ideas before the internet. I suppose people read books, attended public presentations, and simply gained knowledge through direct conversation. Read more
It was more than a little bizarre when news broke on early Saturday morning that Greece and the eurozone had reached an agreement in their dispute over the country’s debt and bailout program. What was so strange about the deal was the fact that it was announced much earlier than anyone had anticipated. Read more
Much is made of New Zealand’s savings culture, or more accurately the lack thereof, which is presumably why the government established the Commission for Financial Capability (CFC). The Crown-owned entity, formerly known as the Centre for Financial Literacy and Retirement Income (say that three times fast), is tasked with giving financially vulnerable people the skills to become money savvy. Read more
New Zealand is not a cheap place to live – for a lot of reasons. We’re far from a lot of major markets, so shipping goods here can be expensive. Read more
Scientific truth is not established by poll results, but scientists’ consensus on scientific issues can tell us a lot. It does not tell us what optimal policy should be – that depends on costs and benefits. Read more
Last week Parliament passed the Education Amendment Bill, creating a new professional body for teachers, Educanz, which replaces the New Zealand Teachers’ Council (NZTC). The secondary teachers’ union president Angela Roberts said “teachers will not take this lying down”. Read more
I borrowed a considerable amount of money from a number of banks to finance my family’s lifestyle which included, overseas holidays, buying a holiday home, a new boat and an aeroplane. Over time, I convinced myself that I was entitled to a lifestyle beyond my income. Read more
Even if you have been closely following the euro crisis, you would still be astonished by recent developments. The dramatic stand-off between the Greek Government and the rest of Europe is something we have not seen before. Read more
The recent announcements by Minister for the Environment Nick Smith that the Resource Management Act (RMA) is set to undergo a major overhaul is welcome news, representing the first meaningful policy change aimed at tackling the housing affordability crisis gripping New Zealand’s biggest cities. Although the detail on the changes has yet to be seen, the direction is promising as the RMA has long served as grit in the gears of the housing market, restricting sub-divisions, slowing the build rate, entrenching NIMBYism, while allowing fast growing councils to use it as an excuse to stall development and growth planning. Read more
For anyone who has recently travelled abroad, the pleasure of coming home to New Zealand is spoilt by an unpleasant observation. We have become one of the most expensive places on earth. Read more