by Brian Easton

We need to distinguish the sovereign state from the people it governs, and the other political institutions between. 

Things are moving so fast in the financial negotiations between Greece and the Troika (European Central Bank, European Union, and the International Monetary Fund) that there is little point in my trying to comment on them. But there is a structural issue which most commentaries overlook.

Recent publications suggest that the children who live at the bottom in economies with high inequality have reduced life chances.

The grandfather of modern distributional research is Tony Atkinson, a British economist who began in the 1960s a lifetime career studying the British and world income distributions and other related ones.

The following response to three questions (in italics) was published in a prestigious Uruguayan weekly newspaper Brecha. It may be of interest because I am responding to the Latin American economic debate which is slightly different from the New Zealand one (but only slightly). Sorry for the included material necessary for an audience outside New Zealand. Thankyou. Nicola, for checking the translation from Spanish

1. New Zealand had a downward trend in terms of GDP per capita and fell behind several OECD countries in the last quarter of the 20th century. What are the main factors that explain New Zealand's relative lagging after the 1970s?

Those on the left of politics have a choice between defending their past achievements or taking up the challenges which face us. 

The Democratic Left is in disarray throughout the world. It is mainly out of power (but that has been true for most of its history); when it is in power it looks awfully like the other side (which has not always been true in the past). Its problem is much more than inadequate organisation or inferior leadership; the issue is too endemic.

There appears to be something deeply wrong.

Those on the left of politics have a choice between defending hteir past achievements or taking up the challenges which face us. 

The Democratic Left is in disarray throughout the world. It is mainly out of power (but that has been true for most of its history); when it is in power it looks awfully like the other side (which has not always been true in the past). Its problem is much more than inadequate organisation or inferior leadership; the issue is too endemic. There appears to be something deeply wrong.

Should membership of Kiwisaver be compulsory? Research on how humans behaviour, some of it thirty years old, points in that direction.

The current debate over the future of Kiwisaver is largely bereft of developments in economics over the last thirty or so years. Rather the frame has been an approach to human behaviour which we know does not reflect reality.

 

The US senate has given trade promotion authority to the President. What next? Will the TPP agreement be acceptable, and to whom? 

Unfortunately trade negotiations are riddled with acronyms. I have listed the ones used here at the end of the article.

 

The 2015 Budget did not deal with children's poverty  but it did put a down payment. 

This is based on a presentation to a Child Poverty Action Group Post-budget Breakfast.

 

There is a lot of chatter about the government’s budget deficit, but politics aside why does it matter?

Rob Muldoon famously remarked that the typical New Zealander would not know a budget deficit if he or she tripped over it in the street. Knowing a little bit about it I have puzzled as to how one would come across the deficit in the street – perhaps I lack imagination.

 

You may have been surprised at the outcome of the recent British elections, but New Zealand’s experience shows you should not have been surprised that you were surprised

While writing my history of New Zealand, I wondered about whether it would be possible to assess people’s attitudes before there were surveys. Writers often impose their prejudices, without realising they are doing so.