Two of New Zealand’s principal economic issues are its low productivity and high effective corporate tax rates.
So will the Ardern government tackle these issues in Budget 2022?
Finance Minister Grant Robertson could write himself into NZ’s economic history if he did so.
Sadly, Point of Order suspects he might go for what are quick-fixes (if he does anything at all) that do little to raise investment levels and lift productivity to stop NZ falling further behind other advanced economies..
The OECD in its annual review of the NZ economy attributed the low productivity rate to muted product market competition, weak international linkages and innovation, and skills and qualifications mismatches. Continue reading “Two key economic issues that should be tackled in Budget 2022 – but don’t hold your breath, folk”