Originally Posted by
Aaron
Agreed make it as politically palatable as possible but at the end of the day John, Jacinda, Chippy and Chris all realised that the average NZer wants a better country, they just do not want to be the one paying for it, so it will never happen unless a party gets in and brings it in on principle rather than trying to hang onto power. Michael Cullen mucked up an opportunity by making it too complicated and expensive.
It is not the politics of greed or demonising successful people as David would say, it is about broadening the tax base and making it less hard on the person who works everyday pays tax on every dollar but who has no house or wealth so when targeted inflation drives up asset prices and reduces debt it would appear our tax and monetary systems in combination are not very equitable.
If wages were rising at the same rate as assets, then inflation targeting might seem less unfair but I don't think this is happening. So the worker gets the tax burden and when monetary policy drives up inflation they pay the inflation tax through a cost of living crisis without the gains of asset price appreciation and debt repayment getting easier.