Democrats Slam Celebration Of 1984 'Reforms'

The Leader of the NZ Democrats, Stephnie de Ruyter, has slammed the reunion celebrating the 1984 Lange Labour Governments so-called economic reforms as an insult to those who carried the adverse outcomes of the changes.

"The proof of the Lange/Douglas pudding is in the bad taste still in the mouths of those New Zealanders adversely affected by policies which give free reign to speculators and money manipulators" said Ms de Ruyter. "The changes did not create equity and fairness for all New Zealanders".

"There is little to celebrate in 'reforms' which started New Zealand on the track to becoming the skill deficient and relatively low income country we are today" continued the Democrat Leader. "The word 'reform' is much abused in its application to the process used of rehashing existing economic fundamentals to give the appearance of change and progress. Real reform means to make better or improve by removing faults and errors, rehashing is simply putting old material into new form without significant improvement".

"It is ironic Don Brash has belatedly recognised our median income levels are well behind those of countries such as Australia but is still proposing as a solution the same failed measures used, over the past 20 years, by Labour and National to create the problem" said Ms de Ruyter. "Real reform means addressing the real driver behind the socio-economic issues our politicians have spent 2 decades of their time and lots of our hard earned cash debating to little positive effect".

Democrats question how it helps people when the ongoing increases in the cost (inflation) of construction, electricity, petrol and diesel, and a host of consumer goods, will be 'controlled' by the Reserve Bank again increasing interest rates (NZ Herald 16 July) thus adding about $24 extra per $100'000.00 of mortgage they carry. The increased interest charges will also be carried through to the cost of doing business and thus into the cost of goods and services.

"Inflation is inherent in an economy where 97 per cent of the 'money' supply is in fact interest bearing debt. That is where real economic reform is needed. Adding cost to the economy in the form of interest rate increases simply makes it harder for the New Zealand family/business to survive, let alone thrive" concluded the Democrat Leader.

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