Beware the counter-revolution

Credit: Luke

Fran O’Sullivan issues a warning to the government over their continued balls-ups: Quote:

The Coalition Government came to power pledging that “capitalism must regain its responsible ? its human face”.

But change is not easy to orchestrate as Housing Minister Phil Twyford is finding with KiwiBuild which will seriously undershoot its targets in the Government’s first term despite his intentions.

Since the mid 1980s, successive New Zealand Governments have broadly adhered to the Washington Consensus with a focus on fiscal policy discipline (with the avoidance of large fiscal deficits relative to GDP); redirection of public spending from indiscriminate subsidies, broadening the tax base, interest rates that are predominantly market driven; competitive exchange rates, trade liberalisation, liberalisation of foreign direct investment, privatisation of state owned enterprises, deregulation and adherence to property rights.

Much of that platform is still in place ? particularly Robertson’s focus on fiscal objectives.

But the Government is also intent on a necessary revolution. To retain business support it must guard against excess.

There’s a lesson here for Ardern.

As George Orwell cynically put it: “One makes the revolution to establish the dictatorship”.

The Coalition Government should be careful not to provoke a counter-revolution. End quote.

Business is not taking kindly to this government, and Jacinda Ardern doesn’t have the strength of character that Helen Clark had to stare down business and then fix that which alarmed them.

Failure in key policy areas like housing and transport is going to also undo popular support, such as it is, for this government. I can well imagine that National is out there now looking for people living in cars and getting sound-bites from people who were promised that a Labour government would end their plight.

Listen to this post:
Voiced by Amazon Polly
61%