Under Helen Clark houses weren't unaffordable, more people were employed and as interest rates were higher, so was inflation. The GFC lowered house prices, that wasn't National. They have since nearly recovered. In Auckland, those with the deepest pockets get the houses, and of course saving a 20% deposit as required by National's (RB) policy is another poke in the guts for normal households.
I'm always banging on about National's inept handling of the economy, Cuzzie reckons HC left a $13bill bill for NZ. Of course that was the remaining long-term debt after the Labour terms to 2008. They'd paid off a lot more from when they got into office.
In the SST this morning, a Christchurch accountant called Cameron Preston, is reported on by Rob Stock. Here's some of his background, he's been getting the runaround from his insurers.
http://www.stuff.co.nz/business/mone...on-t-back-down
I admire this guy, he has single-handedly done some of the legwork that Labour should have been doing over the proposed small budget surplus National tells us all they'll be running next year. In advance of the Prefu (August19) where National will probably tell us there is to be a $372mill govt budget surplus out of an income of $70bill or so, he has calculated that if they had used more correct accounting in their books, it's more like a $3bill deficit.
Bill English has been using the secrecy provisions in the Public Finance Act to remove information from the periodic updates. He's done this seven times over the last three years. Once in 2012, twice in 2013, and three times so far in 2014. A disturbing trend.
Cameron Preston reckons that this surplus coupled with NZ's debt position, is too good to be true. The debt is still rising, for one.
Here are the three areas he's identified, where the govt is cooking the books.
1. They have capped their expenditure on the drainage reinstatement and road resealing in Christchurch at $1.8bill. The real cost will be at least $2.3bill, their estimate in 2013. CHCh council estimates the shortfall at $534mill.
2. Public accounts on the rebuild have been capitalised. Instead of rebuilding the convention centre, stadium and other areas for the city, they have decided they'll be Crown assets, to keep them off the budget books. So instead of capitalising $0.6bill in 2012, that figure has magically changed to $3.3bill. A difference of $2.7bill.
3. The govt has to top up any shortfall that EQC may have in paying out to the insured people. That shortfall is about $2bill at the moment. They refuse to admit this liability, therefore it's not on their books. Of course that position could change after the election. Meanwhile, people waiting for insurance payouts have to wait.
Note that these figures, which are all cooked legally, sort of, are all just in Christchurch. The govt, with help from treasury, can be doing this all over the place. Cameron has identified $5bill worth of evidence to distrust any small budget surplus National may put forward.