Search

It was in 1986 when Paul Keating, then Australia’s Treasurer, made a famous remark: “If this Government cannot get the adjustment, get manufacturing going again, and keep moderate wage outcomes and a sensible economic policy, then Australia is basically done for,” Keating warned on the John Laws radio programme. “We will just end up being a third-rate economy, a banana republic.” In hindsight, Keating might have exaggerated. Read more

This week, opinion polls revealed that the Government is more popular than ever. On current figures, Labour could comfortably govern alone, the Prime Minister’s ratings are stratospheric, and nine in ten New Zealanders approve of the Government’s handling of the public health crisis. Read more

New Zealand’s fortress of five million has repelled the coronavirus. But as Kiwis emerge from enforced curfew, some strategic thinking is needed to repair the carnage. Read more

Lifeboats are tricky things. If they are overburdened, they can tip and spill everyone out. Read more

The government should have two priorities in this budget. First, and most importantly, the health system needs to be ready for the medium to longer term changes that the pandemic has forced on the country. Read more

As the Government looks ahead to the end of the Covid-19 public health emergency it should first look to the past for examples of how good policy intentions in a recovery can go horribly wrong. For instance, a paper by US-based macroeconomists David and Christina Romer shows that fiscal headroom is crucial because it means countries with low-debt will experience much milder downturns after a crisis than highly leveraged countries. Read more

The Government’s wage subsidy scheme has a lot going for it. After a few early wrinkles were ironed out the evidence suggests it has achieved its purpose, helping connect more than a million New Zealand workers with their employer. Read more

Among the more irritating education fads is the idea that schools need to teach a “growth mindset”. It is true that students who think they can improve wind up faring better than those who feel stuck in a hole from which they see no way out. Read more