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Source: Taxpayers Union

Weak economic recovery means new policy settings needed
17 SEPTEMBER 2020FOR IMMEDIATE RELEASEThe New Zealand Taxpayers’ Union is calling on all political parties to unveil their plans to restore, and ultimately increase, New Zealand’s productivity. This is in light of new GDP figures for the June quarter showing a recession with an economic contraction of 12.2% on an annual basis.Union spokesman Louis Houlbrooke says, “The COVID-19 response has hammered New Zealanders’ productivity. The cost of lower productivity is borne out in reduced household budgets, and is compounded by a projected 15 years of government deficits which will have to be repaid by taxpayers with interest.”“The economic response to COVID-19 cannot be limited to band-aids designed to ease immediate pain. The boosted COVID-19 unemployment benefit was a classic example of such a policy – politically appealing, but useless in terms of getting the economy moving again.””The only way out of this mess is a laser focus on productivity. Pure and simple, we need political leadership which puts that first – to save livelihoods and slay the Debt Monster.”“If the remaining $14 billion in the COVID-19 response fund is spent, it should be dedicated to measures that will restore – and ultimately increase – productivity so that we can undo the economic damage of COVID-19 and grow out of debt sooner rather than later.”“Tomorrow morning the Taxpayers’ Union will be releasing a suite of proposals squarely aimed at lifting productivity.”