Monday, July 28, 2008

National - in breach of its stated values, yet again

National now endorses Working For Families.

Here are some reasons that I posted earlier in the year why they should not. After each reason I have listed one of National's stated values that is breached.

1/ Redistribution always involves privilege for one and punishment for another with the government deciding who is the winner and who is the loser. It accords too much power to the state.

• Equal citizenship and equal opportunity

2/ The dead-weight cost of redistributing money is utter waste.

• Limited government

3/ When people receive money without commensurate effort they work less. That is bad for productivity.

• Competitive enterprise and rewards for achievement

4/ As an attempt to boost fertility rates redistribution to families with children has not been successful. Note some of the most 'family-friendly' European countries have low fertility rates. The US has the highest in the OECD.

• Individual freedom and choice

5/ WFF has created very high effective marginal tax rates. In fact some people are no better off if they boost their income through advancement or longer hours, as they move into the top tax rate bracket and lose WFF benefits. WFF dulls ambition.

• Competitive enterprise and rewards for achievement

6/ WFF is the hallmark of Labour governments. It is all the old schemes dressed up in new clothes. These schemes have never achieved their stated goals.

• Personal responsibility

7/ Redistribution creates resentment amongst those who are not beneficiaries. In this case young, childless people. It contributes to their motivation to leave New Zealand.

• Equal citizenship and equal opportunity

8/ With WFF being used as a voting bribe, the cost of promoting it has been enormous including ridiculous expenses like megabucks to commission a musical theme.

• Limited government

9/ WFF acts as a subsidy to employers. The wrong people (not those targeted) end up benefiting.

• Competitive enterprise and rewards for achievement

Of course with a little imagination each of National's stated values could be applied to each point.

Look. It is simple. Let everybody keep more of their own money. Let individuals take responsibility for their own decisions. The flow-on will be far more beneficial than any government attempts to grand plan society.

Rodney Hide's appraisal is worth repeating;

Act leader Rodney Hide said National's move emphasised there was nothing between the two big parties.

"It's consistent with their strategy," he said. "They agree now with everything Labour has done, and the only thing they disagree on is who should be Prime Minister."


The Silent Majority said...

So now we have evidence yet again that the only party with a clear and transformational vision for this country is ACT. Just wait for the campaign proper to start. If ACT can get their message out there, they will shoot up the polls!

Anonymous said...

Looks like ACT will get my vote. Do I do a special vote from Sydney?

Lindsay said...


Anonymous said...

Yep, National are just Labour-Lite. It's time Key had some backbone, some courage, and took a stand. Can you imagine what Muldoon would have done? More than this!