Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Who is going to benefit from GDP growth?

Who is going to benefit from GDP growth?


“Yes, there is growth in the economy, but the big question now is who will benefit from it”, says CTU Economist Bill Rosenberg. “The 0.9 percent growth in the three months to December 2013 was about what was expected, but we have yet to see the results in sharply falling unemployment and good wages growth.”

Business investment, which drives jobs growth, had been expected to be booming by this time but is looking surprisingly weak. In December, Treasury forecast 11.7 percent annual growth in market investment by March 2014. Business investment grew only 0.9 percent in the December quarter, with only one good quarter growth (7.4 percent in June) during 2013.

“Tuesday’s productivity statistics for the year to March 2013 showed average wages were falling behind labour productivity increases again: another sign that wages are stagnating and workers are not getting a fair share of what growth there has been in the economy. Wages rose quite strongly until mid 2009, with some momentum from wage settlements prior to the global financial crisis. Since then, the bottom of the recession, labour productivity has increased 10.1 percent but the average wage after inflation has risen only 0.6 percent. Even in the year to March 2013, labour productivity rose faster at 2.1 percent than the real average wage (that is, after CPI inflation) which rose 1.5 percent.” Rosenberg said.

“Household purchases are also consistent with some households doing well and feeling confident enough to buy new appliances and furniture while others can barely afford to pay for necessities such as groceries and electricity.” Rosenberg said.

“The growth is heavily driven by progress on the Canterbury rebuild and strong commodity exports. What happens when this music stops?” Rosenberg said.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Last Night’s Debate, And The Collins Accusation

Debating is a peculiar discipline in that what you say is less important than how you’re saying it. Looking poised, being articulate and staying on topic generally wins the day – and on that score, Labour leader David Cunliffe won what turned out to be a bruising encounter with Prime Minister John Key last night on TVNZ.

Cunliffe marshalled his points better, kept Key off balance and – more often than not – was in control of the general tenor of the contest. Labour supporters would have been heartened, and given some belated reassurance that maybe the change of leadership last year had been the right decision. More>>

 

Parliament Today:

Gordon Campbell: On Winston Peters' Latest Bout Of Immigrant Bashing

It is only one poll, but rather than cannibalising each other's vote, Colin Craig and Winston Peters do seem to be managing to find the room to co-exist... Few are questioning how Peters got to this happy place, and what it says about the mood of the electorate. More>>

ALSO:

More Immigration News: First People Trafficking Charges

The first people trafficking charges in New Zealand have been brought by Immigration New Zealand (INZ)... The defendants have been charged under the Crimes Act 1961 for arranging by deception the entry of 18 Indian nationals into New Zealand. More>>

Collins 'Misinterprets Media Reports': "Too Compromised To Remain Justice Minister"

Bizarre claims by Judith Collins this morning that she had been cleared of inappropriate behaviour by the Privacy Commissioner demonstrates she is too compromised to remain Justice Minister, Labour MP Grant Robertson says. More>>

ALSO:

Labour On Climate Change: Focus On The Now For The Future

A Labour Government will put in place a comprehensive climate change strategy focusing on both mitigation and adaptation, establish an independent Climate Commission and implement carbon budgeting, says Labour Climate Change spokesperson Moana Mackey. More>>

ALSO:

Gordon Campbell: On National’s Housing Assistance Plan

So, as many as 90,000 people could derive some benefit from National’s housing assistance plans for low and middle-income earners... Yet in reality, the benefits seem likely to be insignificant, and they will be skewed towards those at the top end of the income group that’s supposedly the target. More>>

ALSO:

Election Data Consortium: National’s Worst Case Scenario At Stage One?

A month out from the general election and ipredict traders are still forecasting National’s vote to slip below current polling levels and there is potential for it to fall further. More>>

ALSO:

From The Scoop Video Archive: PM Says SIS "Told Me" About OIA Release

In a press conference immediately following an controversial OIA release of notes on an SIS briefing to then Labour leader Phil Goff, Key said "at that point [Tucker] told me he'd release it ...". Since the release of Nicky Hager's 'Dirty Politics' Key has denied being personally informed and said references by officials to 'the PM' being told briefed referred to his office. He now says the same about his own statement. More>>

ALSO:

  • Scoop Video in the news - New questions over Key claims | NZ Herald News - Stuff.co.nz
  • Earlier - Felix Marwick: Laying out facts over SIS documents - Newstalk ZB
  • Labour - Director’s letter contradicts Key’s claims
  • ACT - The Letter - 26 days to go
  • TV3 Video - Housing issue nudges Dirty Politics aside - David Cunliffe: Key's SIS explanation 'defies belief' - SIS leak came from Key's Office - Goff - Key 'categorically denies' Slater OIA discussion - Video: Key faces more Dirty Politics questions

  • TVNZ - Winston Peters: ‘Dirty Politics' is a new low
  • The Nation - Debate Between Grant Robertson And Russel Norman
  • NZ First - “The Words Mean What I Say They Mean”
  • Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
     
     
     
    Politics
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news