Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 19, 2010

It’s good enough for Whale Oil, so it’s good enough for me :-D

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 9, 2010

Fuck off Winston. Paul Reynolds has contributed more to this country in two years than you have in 64. He’ll probably pay more in income tax (including his bonus) than your party stole from taxpayers in 2005. By the way, when are we getting that money back?

$150k of taxpayer’s money inappropriately spent is what makes New Zealand look like a third world country, not a CEO of a major corporation getting a bonus where their business isn’t performing (if anything that makes us like the rest of the world). Also, why the fuck attack Scottish immigrants? Aren’t you half Scottish yourself? Or is it just that his accent makes him an easy target? Typical. Attacking an immigrant because he’s highly paid.

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 8, 2010

Over at Not PC, a drinking mate told him:

All we need for freedom, said my drinking companion, is to introduce the American Constitution to New Zealand, and we’d be sweet.

He then goes on to list a number of problems with the US Constitution, showing the problems with the unintended consequences of minor phrasing such as “general welfare”. But how do we go about avoiding the pitfalls the Americans now face?

The other problem is that New Zealand has no single, entrenched written constitution. Here’s a few ideas:

  • Let’s start with a half elected, half appointed constitutional convention along the times of the Australian constitutional conventions.
  • No member of the convention is to be an MP – let’s keep politics out of the constitution.
  • Convention to report back to Parliament in three years.
  • All recommendations of the convention to be put to a referendum.

What to others think? Is this a robust process?

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 7, 2010

Paula “Ben­e­fit” Ben­nett has announced that:

The number of people receiving the Unemployment Benefit has dropped by 4,224 over the last month.

Great! However, this may have to do with seasonal work:

Regionally the biggest drop in Unemployment Benefit numbers was in the East Coast (20%), Auckland (16%) and Bay of Plenty (11%).

All regions with strong seasonal variations in labour demand – particularly when it comes to forestry work, fruit and vegetable production, etc.

Good availability of seasonal work in areas like Gisborne, Bay of Plenty, Otago and Hawke’s Bay is expected to remain strong through to April.

Here’s the real challenge Paula – make the decreases last longer. And let’s make sure the people on a sickness benefit actually are sick, and not just transferring off the unemployment benefit. Otherwise keep up the good work.

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 6, 2010

The Minister of Finance has released his much-anticipated National Infrastructure Plan. Generally I’m averse to plans putting the decisions of consumers and businesses into straight-jackets on the whims of politicians, however, the plan itself appears sound: invest in key infrastructure areas such as fibre to the home, roads of “national significance”, schools, hospitals and prisons. These things that lead to long-term sustained economic growth, not random and hard to administer tax breaks and subsidies.

However, as is a usual theme for this government, it seems like one good idea – Public-Private Partnerships or PPPs, will not be utilised. As FCK has long stressed,  the government is spending beyond New Zealand’s means. This situation cannot last forever – either the economy has to grow much faster than government spending, or government spending has to be cut so economic growth can catch up. This means unless we slash welfare spending or strike oil, a big spend up on infrastructure isn’t feasible.

This is where PPPs come in. While lefties moan that PPPs represent “privatization by stealth” and ensure returns go to private investors, the reality is that they ensure infrastructure is built sooner (thus enabling economic activity to grow faster than before) and reduce the taxpayer’s exposure and expenditure. The government’s cautious approach to PPPs and its desire to spend up large on infrastructure make the task all the more harder, and expensive, for taxpayers.

Meanwhile, Tower Investments want PPPs to be made available to KiwiSaver investors. Now there’s an innovative idea – all the silly nonsense that infrastructure will end up in the hands of foreigners would be quickly forgotten, as only New Zealanders can invest in KiwiSaver. According to KiwiSaver’s own website, $930 million has been deposited in the scheme between 2009 – 2010.

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Mar 1, 2010

I’ve been thinking a bit recently about the whole MMP referendum and our options for reform. I’m of the view that MMP has delivered greater representation of society and more consultative government. This has been at the expensive of electorate-specific accountability for MPs and the ability of Governments to enact the manifestos they’re elected on; and a lot of tail-wags-the-dog horse trading that ensures bad policy making.

Essentially what we have is a single chamber Parliament with MPs elected in FPP contests in electorate, and behind-closed-doors party lists. The most worrying aspect of MMP is the continued lack of oversight when it comes to legislation, particularly when it’s rammed through under urgency. New Zealand ought to have an upper house, along the lines of the Australian or Irish Senates, offering proper legislative oversight. We’ve already got the facilities for it (a whole chamber in Parliament set aside since the 50s).

To meet these competing requirements, I propose:

  • House of Representatives with 99 MPs, elected by STV every 3 years
  • Senate (upper house) with 30 members elected every 4 years
  • Senators elected nationally by proportional vote and no threshold (in affect, a 3.33% threshold) from open party lists.
  • Senate has the ability to reject any Bill of the House of Representatives, except Bills of Money and Supply (that is, Governments are formed and dismissed by the House of Representatives not the Senate)

I think this solution not only balances the need for representation, but also legislative oversight and stable government with the ability to implement its manifesto promises.

Thoughts?

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Feb 28, 2010

New blog Soap Box has posted a disturbing pamphlet from the New Zealand Prostitute’s Collective, written in Chinese. I’m not a fan of prostitution and would never pay for sex; however I supported the decriminalisation of prostitution because – like cigarettes and alcohol – prohibition could never work (technically we didn’t have prohibition before the Prostitution Law Reform Act was passed – despite what its detractors said, prostitution was legal for the purchaser but not the provider under the old law). The aim of the law to reduce harm to prostitutes was certainly an honourable one.

However, it seems from the NZPC’s pamphlets that they’re actually now promoting prostitution. What is disturbing about the NZPC’s pamphlet is that it is clearly being used to justify to a number of Chinese students in New Zealand working as a prostitute. The pamphlet doesn’t appear to state that international students in New Zealand aren’t able to work as prostitutes, surely the most basic of facts (and yes, I realise that a number of Chinese in New Zealand won’t be students – but those most likely to become prostitutes are students, not recent immigrants).

Sure, NZPC points out that plenty of prostitutes are working illegally. But not to inform Chinese students of its illegality – and the possible consequences – is critical.

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Feb 24, 2010

So, NZ Bus doesn’t want the atheists money. Fair enough, they’re a private company and able to choose who they do business with. However, one point made by a Catholic Church spokeswoman did annoy me:

…people of faith make up the majority of New Zealanders, who would have been offended by the ad.

Offended? Well then I’m offended at the Catholic Church for their covering for pedophile priests (to be fair, certain parts of the Anglican Church aren’t any better). Of course, these wowsers moaned to the wowsers at the Human Rights Commission because of the potential offense they would’ve had to have endured. Neither the Atheists or Catholics have the right to not be offended by people of other faiths. It’s called religious freedom people.

And just to show I’m being consistent, apparently the UK is about to lift a ban on gay marriage in churches. Nothing wrong with that, however on reading the Bill it actually seems that this isn’t simply about lifting the ban on gay marriage in churches, it’s about forcing churches (and other religious institutions – good luck with that in certain parts of South London) to hold gay marriages. Sure, there might be some members of the clergy who support it. But let’s not confuse the difference between simply lifting a ban, which is good for freedom, with forcing churches to marry everyone. That is bad for freedom.

Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Feb 19, 2010

Epic Win Beer Fridge.

  • The NZ Herald thinks government’s being timid. Jesus, even Granny’s started to notice…
  • Karori Moriori English can pick up our economic problems but doesn’t seem to want to implement the solutions to them.
  • David Cunftliffe should STFU. C’mon David, you know full well that policy settings from ‘84 to ‘98 created the growth that your party squandered, before chocking the economy to near death. Or do you really think that strapping New Zealand business with red tape actually helps them somehow?
  • Mainfreight managed to grow during a recession. The moral of the story? Good management often counts for more than economic factors. Which is why managers deserve greater compensation for when things go right.
Fiscally Conservative Kiwi Submitted by : Fiscally Conservative Kiwi on Feb 15, 2010

…well, that used to be the Act Party’s slogan. Not anymore sadly.

After reading through the debate between The Standard, Idiot/Savant and DPF, it looks like the best possible retort – because both DPF and the lefties are arguing at cross-purposes. It doesn’t matter if you’re talking about households, families or individuals. The problem is that progressive tax systems inherently tax the wealthy more; so the wealthy always benefit the most from cuts to any of the rates of tax, whether they’re the lowest or highest rates. That’s the whole point of a progressive tax system.

So as soon as you talk about cutting income tax, those at the bottom always get the least, because they pay the least proportionally. Key’s problem – apart from breaking a promise on paying GST (sure, that’s a free hit for the left – and Key’s reaction should’ve been “yeah I broke a promise – but I’ve spent a lot of taxpayers money looking at fixing the tax system, so it was a promise I’m justified in breaking” not some dopey defence of being quoted out-of-context – but I digress) is that any attempts at reducing tax for the poor will trickle upwards. The only alternative is further tinkering with Welfare Working For Families, or some other kind of tax credit for poorer households.

It would be far smarter to simply scrap WFF and introduce a tax-free threshold for everyone who’s not actually a net contributor to the government’s revenue – in other words, a tax-cut for every worker. The top tax rate could then fall as all households benefited, albeit still with increases in GST. Of course, government spending in other areas would need to be cut (as it has to anyway).

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