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In my book, governments that do not publish a competent cost-benefit assessment justifying their spending and regulatory proposals do not take community wellbeing seriously.(Only if the wellbeing benefits plausibly exceed the costs is the policy likely to benefit the public.) The absence of such an assessment is now common. It suggests that a measure is being imposed on the public for partisan or elitist, paternalistic reasons. Read more

In 1870, British Prime Minister William Gladstone up-ended Britain’s civil service. Instead of officials being appointed by politicians following changes of government, Gladstone’s reforms introduced a permanent, politically independent public service. Read more

Treasury’s report this week on long term fiscal position does not make easy reading. Based on historical trends, the analysis shows government spending will consume 43% of GDP, up from 33% currently, by 2061. Read more

Once upon a time, central bankers did not tweet. And not just because there was no Twitter. Read more

In recent months there have been a few changes to KiwiSaver with more under consideration. But those who are inclined to tinker with the scheme should be looking at the evidence on its efficacy and thinking about whether any changes are consistent with its objective – to help those with a savings problem save more for their retirement. Read more

To maximise wellbeing, important public policies and programmes must work. They should be rigorously evaluated to ensure that they have the intended effect, are efficient, and meet their objectives. Read more

Last week’s post-Covid fiscal and monetary policy workshop, hosted jointly by the Reserve Bank and Treasury, seemed designed to warm the policy economics community to higher levels of public debt. While low interest rates mean investment projects that might not normally make the grade can now stack up, stacking up debt builds its own fragility. Read more