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

 

Treasury publishes five new Working Papers

Treasury publishes five new Working Papers

The Treasury published five new Working Papers today, covering analysis of making food GST-free, labour supply, wages, migration, and housing.

Food Expenditure and GST in New Zealand (WP 14/07) was written by Christopher Ball, John Creedy and Michael Ryan. This paper analyses the effects of zero-rating food in a goods and services tax. First, the poor targeting of a policy of zero-rating food is illustrated in a simple model where the revenue lost from zero-rating food is instead devoted to a universal transfer payment, with a larger effect on progressivity. Second, the paper investigates the welfare effects on New Zealand households of zero-rating food, for a range of household types. The analysis supports earlier studies suggesting that indirect tax exemptions and zero-rating provide a poor redistributive instrument compared with the use of direct taxes and transfers.

Estimation of Labour Supply in New Zealand (WP 14/08) was written by Joseph Mercante and Penny Mok. The paper finds the preference for work is significantly higher for partnered women with higher education, lower for those with more children, and lower for those with a youngest child between 0 and 3 years of age. The impact of children is not significant for partnered men. The preference for work for single men seems to be slightly different from single women. However when taking account of single men living with parents, it is found that their preference for work is also higher with higher education levels. The preference for work for single parents has been increasing over time, and is lower for single parents with more children. Single parents living with their parents tend to increase their preferences for work, indicating the possibility of obtaining childcare from their parents, although the effect is not significant.

Estimation of Wage Equations for New Zealand (WP 14/09) was written by Joseph Mercante and Penny Mok. This paper estimates wage equations based on pooled data from the Household Economic Survey from 2006/7 to 2010/11. Equations are estimated separately for couple men and women, single men and women, and sole parents. In estimating the wage equations the authors take account of education, ethnicity, geography and industry and occupation. They also take account of the trend in wages over time and the business cycle by including controls for the unemployment rate and a time trend variable. The paper finds that wage rates are positively related to age, education and experience but the wage rates are generally lower for non-Europeans and for people living outside Auckland.

Migration and Macroeconomic Performance in New Zealand: Theory and Evidence (WP 14/10) was written by Julie Fry. The paper considers a large number of the potential effects of immigration on the New Zealand macroeconomy. It concludes that the evidence points to modest positive effects from immigration in the labour market, on agglomeration and connectedness, and by mitigating the effects of population ageing. It also concludes that immigration has likely had moderate negative effects on the housing market, and may plausibly have contributed to New Zealand’s persistently high exchange and interest rates, although this isn’t established empirically. However, the author emphasises that the overall impacts of migration on the New Zealand macroeconomy are uncertain, and cautions against using the paper’s findings to determine migration policy.

Housing Affordability: Lessons from the United States (WP 14/11) was written by Mark Skidmore. This paper compares and contrasts New Zealand housing trends and policies with those of the United States. The paper summarises lessons learned from the United States and highlights data needs and research questions that may require further consideration in order to better understand housing markets in New Zealand.


Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Max Rashbrooke: On How To Make Government
More Open

It’s true that New Zealand scores well on many international rankings of openness... Those findings are all important, and welcome. But we cannot ignore the fact that there are still serious problems.

For a start, those international surveys, while often complimentary, have also pinpointed major weaknesses: political donations are badly regulated, for instance, and appointments to government boards frequently go to those with strong political connections. More>>

 
 

In Court: Hamilton Student's Lawsuit Over Climate Change Policy

A law student from Hamilton is preparing to challenge the Government in the High Court on Monday over what she says is a “failure” to properly address climate change. More>>

ALSO:

Gordon Campbell: On The Fallout From The Barclay Tape

This is hardly a case of cleaning out your desk and being turfed out onto the pavement. As others have pointed out, the disgraced Clutha-Southland MP will remain on the public payroll for three months until the election, and for three months afterwards. More>>

ALSO:

Visions: National Party Conference

National Party leader Bill English today outlined his vision to take New Zealand into the 2020s and his key priorities for the next Parliamentary term – including further raising incomes and reducing taxes. More>>

ALSO:

Ombudsman: Canterbury Schools Reorganisation Mishandled

An investigation into the Canterbury schools reorganisation after the February 2011 earthquakes has found significant gaps and flaws in the Ministry’s engagement and communications with schools and communities. More>>

ALSO:

Law Commission: Contempt Report "Protects Right To Fair Trial"

The proposed Act limits what news media representatives and bloggers can report on court proceedings, but it also makes clearer than the current law where the line is between contempt and freedom of expression. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election
 
 
 
  • PublicAddress
  • Pundit
  • Kiwiblog