Since time immemorial - or at least the 1990's - the National party's Big Economic Idea was cuts. Slash the state! Sack people! Give away billions in tax cuts to cronies so future governments couldn't fund anything! And to justify this peculiar fixation, they talk constantly about debt. There's too much of it! We can't afford the interest! We're about to go bankrupt! And sadly, this ideological framework has been swallowed wholesale by Labour, who sternly promise to keep debt low and not increase spending
But as Bernard Hickey points out this morning, none of this is true. Sure, the NZ government has $426 billion of debt - but it has $611 billion of assets, a positive net worth of $185 billion. And interest payments - which are now fixed and in NZ dollars, unlike the 1980's - are just 2% of government revenue. Which is perfectly sustainable.
And yet, National still keeps demanding cuts. Meanwhile, we have failing infrastructure, collapsing public services, and 33,000 homeless children. Hickey asks the obvious questions: would you leave kids homeless when you were worth $207 billion? Would you leave your kids homeless with interest costs of 2% of income? Answering "yes" to those isn't just fucking absurd, it's absolutely sociopathic. But I guess that's the sort of person right-wing politics attracts: the sort of person who wants to deliberately starve and freeze children, while running the country into the ground, all so they and their rich mates can steal more from us.
We need to vote this NeoLiberal plague out. Both sides of it. Because as long as Labour remains committed to NeoLiberalism and the "too much debt" myth, they will continue doing exactly what National does. The only difference is they'll lie to us about how they're helping us while they fuck us over.
