Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Trying to catch a Fish with a Teaspoon

8 June 2008

Trying to catch a Fish with a Teaspoon

Green Party Co-Leader Jeanette Fitzsimons has answered John Key's call to lower the OCR to counter high oil prices by saying that is like trying to catch a fish with a teaspoon.

"Dr Bollard admitted to the Finance and Expenditure Select Committee on Thursday that the oil price forecasts on which the Bank relies have been wrong every time for the last four years, yet still expressed confidence in them this time.

"However he admitted, in reply to my questions, that if rising oil prices turned out to be structural rather than cyclical that would "stress the policy targets agreement," Ms Fitzsimons says.

More and more people are admitting that rising oil prices will be a permanent part of the future because we have reached the point where the world's oil fields can't produce fast enough to keep up with demand. And it's not just oil - the price of food is racing ahead, water is scarce in many places, most fish stocks are in decline or at least can't sustain increased catches and the capacity of the atmosphere to absorb more greenhouse gases is at its limit too.

Key and Cullen argue about whether the OCR should go down or stay up but no-one is recognising that we need different tools to control inflation that is driven by long term resource limits, Ms Fitzsimons says.

"Instead of a teaspoon we need a fishing rod made of better resource management. Only if we reduce our demand of scarce oil, water, carbon emissions, fish and grain-fed animal protein will we get those prices under control. The OCR is the wrong tool to cope with a world that is bumping up against the limits to growth."


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Back Again: Government Approves TPP11 Mandate

The Government has approved a negotiating mandate for Trans-Pacific Partnership 11 (TPP11), which will ensure New Zealand businesses remain competitive in overseas markets.

Trade Minister Todd McClay says New Zealand will be pushing for the minimal number of changes possible to the original TPP agreement, something that the remaining TPP11 countries have agreed on. More>>




Gordon Campbell: On Why Labour Isn’t Responsible For Barnaby Joyce

As a desperate Turnbull government tries to treat the Barnaby Joyce affair as a Pauline Hanson fever dream – blame it on the foreigners! We’re the victims of the dastardly New Zealand Labour Party! – our own government has chosen to further that narrative, and make itself an accomplice. More>>


Rail: Greens Back Tauranga – Hamilton – Auckland Service

The Green Party today announced that it will trial a passenger rail service between Auckland, Hamilton and Tauranga starting in 2019, when it is in government. More>>


Housing: Voluntary Rental Warrant Of Fitness For Wellington

Wellington City Council is partnering with the University of Otago, Wellington, to launch a voluntary Rental Warrant of Fitness for minimum housing standards in Wellington, Mayor Justin Lester has announced. More>>


Treaty: Agreement In Principle Signed With Moriori

“The Crown acknowledges Moriori was left virtually landless from 1870, hindering its cultural, social and economic development. The Crown also acknowledges its contribution to the myths that the people of Moriori were racially inferior and became extinct." More>>


Susan Devoy: Call For Inquiry Into State Abuse Reaches UN

Race Relations Commissioner Dame Susan Devoy is in Geneva and has asked a United Nations committee to urge the New Zealand government to initiate an inquiry into the physical and sexual abuse of children and disabled people held in state institutions. More>>


(Not National): Cross-Party Agreement On Pike River Re-Entry

The commitment was signed this afternoon by the leaders of Labour, United Future, The Maori Party, and the Green Party and, together with the earlier commitment by New Zealand First, means that there is now a Parliamentary majority behind the families’ fight for truth and justice. More>>






Featured InfoPages

Opening the Election