The New Zealand government practices economic investment that has tax returns producing a surplus. People are working and paying taxes. This model works. It secures the economic engine of the middle class.
The government also practices sound economic budgets. That is not necessarily a conservative achievement.
May 10, 2016
...The operating balance (click here) before gains and losses (obegal) was a surplus $167 million in the nine months ended March 31, compared with a forecast deficit of exactly the same amount, $167 million, in the half-year economic and fiscal update, the government's financial statements show.
Finance Minister Bill English is scheduled to release his eighth budget on May 26 and based on the Treasury's forecasts back in December, is facing an obegal deficit of $400 million in the year ending June 30.
The Treasury had previously projected a surplus of $200 million, but with little inflation, income tax, GST and resident withholding tax are down against historical trends. Still the better-than-forecast nine-month figures mark the third straight month that the cumulative data has exceeded expectations.
"Budget 2016 will reflect this government's continued commitment to responsible fiscal management," said English in a statement accompanying the Crown accounts release. "At the same time, it will build on the good progress we've made over the previous seven Budgets, with further investment in a growing economy and public services."...
Fiscal responsibility is about moral spending, but, with enough income to provide the economic governance to match.
The government also practices sound economic budgets. That is not necessarily a conservative achievement.
May 10, 2016
...The operating balance (click here) before gains and losses (obegal) was a surplus $167 million in the nine months ended March 31, compared with a forecast deficit of exactly the same amount, $167 million, in the half-year economic and fiscal update, the government's financial statements show.
Finance Minister Bill English is scheduled to release his eighth budget on May 26 and based on the Treasury's forecasts back in December, is facing an obegal deficit of $400 million in the year ending June 30.
The Treasury had previously projected a surplus of $200 million, but with little inflation, income tax, GST and resident withholding tax are down against historical trends. Still the better-than-forecast nine-month figures mark the third straight month that the cumulative data has exceeded expectations.
"Budget 2016 will reflect this government's continued commitment to responsible fiscal management," said English in a statement accompanying the Crown accounts release. "At the same time, it will build on the good progress we've made over the previous seven Budgets, with further investment in a growing economy and public services."...
Fiscal responsibility is about moral spending, but, with enough income to provide the economic governance to match.
