Monday, July 28, 2008

John Key and the money tree



Gooner is right in highlighting National's U-Turn on Working For Families.

The policy of middle-class welfare is highly damaging as welfare experts like Lindsay Mitchell point out, and a betrayal of National Party values.

Indeed, even National Party supporters are unhappy, such as Whale Oil and David Farrar.

I dread to think what libertarian Peter Creswell will say.

But while not frightening the horses, will John Boy get many thanks. Is it still damned if he do, damned if he doesnt? Of course it is. So there is little to be gained for National by selling out on key policies.

Dear Leader has suddenly rediscovered fiscal prudence in wondering how National can afford Working for Families AND taxcuts that will be bigger than Larbour's. Though I'm sure her outrage would be far worse if National were scapping a Liarbour policy rathe than keeping it. We saw on early childcare and employment Liarbour likes to have its cake and eat it. John Boy is flip flop boy in one sentence and an evil heartless privatiser in the next.

But yet another adoption of a costly Liarbour policy does raise questions on affordability, as the Herald also notes. Bomber over at Tumeke! may not be the most sophisticated of economics experts but if he raises affordability, it makes you wonder that fears over the credibility of National policies could become more widespread.

John Boy and Bill English certainly have some explaining to do.

Hat Tip: Tumeke! for the title

1 comment:

JC said...

This new bloke with his financial background asks questions about NZ.

Undoubtably he's asked the important question as to why NZ is doing relatively poorly compared to Oz and other similar countries.

Plenty of experts have pondered this, and as Phyll Rennie points out, the consensus seems to be that our deregulation and reforms were very much in the right direction but failed because of the speed and intense social disruption they caused. That stopped us in our tracks and gave us a Soviet style of govt over the last 10 or so years.

If there's a consensus, it's that we can't make huge changes that sow chaos in our social systems and destroy society's confidence.

Key has to be mindful of that and move to both reassure people and bring them with him as he incrementally changes things to get us moving in the right direction.
Witness Labour's major policy of the past few months.. it's to say that National will change and disrupt things. Note too the desperation to find a policy on which to hang the fear.

That fear is real, because Labour has indebted most of the nation to itself and it's policies.. and it's largess. Key can't afford ideology, he has to get elected and proceed with change over a long period, over two to four terms terms if he's lucky.. and successful.

JC