by Brian Easton

While the Reserve Bank may have startled everyone by asking the government to take a fresh look at taxation on investment housing, the recent statement by the Deputy Governor indicates that we are inching towards a more holistic approach to macroeconomic policy. 

The April 15 statement  by Grant Spencer, Deputy Governor of the Reserve Bank and Head of Financial Stability, concluded ‘on the demand side, we consider that greater attention needs to be given to issues relating to the tax treatment of investor hous

Sharp movements in exchange rates often reflect sophisticated specualtion. Is there much we can do about it?

While the near parity of the Australian and New Zealand dollars got a lot of breathless attention recently,  there was little analysis of why it was happening. Explaining the exchange rate depends upon the time horizon.

How come we tolerated such appalling working conditions for so long? (And a tick for crusading journalism.) 

Charles Dickens would be appalled. So would Fredrick Engels who wrote The Condition of the Working Class in England, as would New Zealand’s Sweating Commission of 1890. Even Simon Legree, the slave owner in Harriet Beecher’s Stowe’s Uncle Tom’s Cabin, would be astonished at the working conditions and wages (or lack of) that employers were getting away with.

Are we paying enough attention to bureaucracy? Are the current bureaucratic pressures changing the nature of society -- and are they doing so for the public good?

David Graeber may be best remembered for coining Occupy Wall Street’s ‘We are the 99 percent’.

Perhaps New Zealand’s acceptance of the TPPA will depend upon the outcome of the Northland by-election

Prime Minister John Key shortened his trip to Japan and Korea in order to spend more time campaigning in the Northland by-election. Domestic affairs trumped international ones – for a short time anyway.

The Northland by-election demonstrates we do not have a regional development policy. Should we? What might it look like?

The government’s announcement that it would be upgrading ten one-way bridges in Northland was a response inspired by the forthcoming by-election. Whatever the politics, it well illustrated the feeble state of regional development policy in New Zealand.

The Elimination of Child Poverty Requires a Universal Child Benefit. 

The Growing Up in New Zealand Study at the University of Auckland found that half of the 7000 families in their sample suffered measurable material hardship in their babies‘ first years of life.

The increase of the share of those on top incomes has not been caused by market forces but is the result of their more favourable taxation regimes they have experienced since the early 1990s. 

Policy Quarterly has just published papers from a symposium on distributional inequality held last June. There are really interesting papers by Geoff Bertram, Phillip Morrison, Bill Rosenberg and Simon Chapple et al which you may want to read for yourself.

Too much of our national media is located in Auckland and democracy suffers.

Probably most people who regularly read Pundit are in the cyberspace equivalent of the ‘beltway’ – the term for those who live in or work in inner Wellington and are intensely interested as to what is going on there, not just in parliament but in policy-making. (OK, OK, they are interested in the gossip too.) Much of what goes on there is not transparent.

 They involve tax rates horrendously high or the minimum incomes so low that ihe UMI is not a viable means of eliminating poverty.

The notion of a universal minimum income has had a long gestation. Some say it originated with a proposal for a ‘social dividend’ by Lady Rhys Williams as far back as 1942 but you can find precursors even to that. The American origin is Milton Friedman’s ‘negative income tax’.