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Thursday, September 01, 2005

Labour Logic

Mallard was busy explaining on RNZ why Labour will never see a reason to lower taxes. He explains, as petrol rises yet again, cresting $1.50, that people don't want the government to lower the petrol tax (oh, don't we?), as that would only make people use it more. Besides, it goes to road funding doesn't it? (Well no, not all Mr Mallard)

His logic does not compute. Tax petrol less, and the prices do drop. However, they are still higher than they were a year ago, so his theory about encouraging use goes out the window.

"Hey Marge, the prices are higher than a year ago, but they could have been worse, lets do a road trip"

And don't let Labour cry poor over the taxes. They could grab 40% of $1.30, and be making as much money as when they were getting 50% of $1.10.

Labour means more taxes. After raising them, they then announce they can never be lowered without threatening services. Then they blow the money on badly managed schemes. Their approach is to do many small, ineffectual schemes so that the waste is harder to notice. Of course, the gravy train handouts eventually attract notice: Wananga surprised them, because they thought they hid the waste across many institutions, forgetting to cap access to the trough.

The vast majority of Kiwis are restrained in the lifestyles by something called a budget. The Labour government needs to learn the word has a different meaning in the real world.

Posted by ZenTiger | 9/01/2005 08:22:00 AM

2 Comments:

Blogger Bernard Woolley said...

Thats because when the petrol tax take increases, or GST from a growing economy, the money is budgeted into more social initiatives. Its already been spent and the higher levels of spending committed to. Only a change in government has a hope in hell of turning that sort of addiction around.

9/01/2005 10:32:00 AM  
Anonymous Psycho Milt said...

Once again, not exactly a Labour thing. I recall writing to Maurice Williamson in the late '90s to suggest petrol taxes should go towards funding roads, and the response was that the petrol tax was too useful for other things. Mallard seems very much in the same vein.

9/01/2005 05:38:00 PM  

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