Another inquiry?
The opposition parties are calling for an inquiry about what is going on in the country. This is alright – but I’m not sure we actually need another inquiry per se (I spelt it right this time!).
We’ve long recognised that NZ has a high real exchange rate/high real interest rates (most recent related posts involved *,*). A factor that is due to real economy savings/investment decisions – not monetary policy.
So the country has already had the savings working group, the tax working group, and now there is a working group on the sustainability of government finances (report due towards the end of the year I think).
Do we really need another inquiry, or do we just need to actually face the trade-offs involved with any policies fully?
This is just a political stunt, there is not economic basis for it. Its just a campaign to make the government look bad, it will achieve nothing and just waste a lots of people’s time and effort.
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