Barry Maggie: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeBarry Maggie: Questions for Oral Answer — Questions to Ministers[Sitting date: 08 April 2014. Volume:697;Page:16951. Text is incorporated into the Bound Volume.]1.MAGGIE BARRY (National—North Shore)to the Minister of Finance: How is the Government ensuring recent broad-based growth and good fiscal management is delivering higher incomes and more jobs for families?Hon BILL ENGLISH (Minister of Finance):I am surprised the member had to ask because there is so much evidence for it. As the economy continues to build momentum and moves into broad-based growth there are signs that Kiwi households and businesses are starting to see the benefits. The economy as a whole grew by 3.1 percent—one of the faster growth rates in the developed world. Average weekly wages increased by 2.8 percent compared with inflation of only 1.6 percent. Over the past year 66000 more people got jobs and unemployment is coming down. The number of jobs listed on TradeMe is 21 percent higher than 1 year ago. The married rate of New Zealand superannuation which is a good measure because it is tied to the average wage has increased by $249 a fortnight or 28 percent since 2008.Maggie Barry: What indicators has he seen that confirm the economy is growing and that this is helping to deliver more jobs and higher wages?Hon BILL ENGLISH: The important thing about confidence measures is that they translate into investment and employment more jobs and higher incomes. The Westpac McDermott Miller Employment Confidence Index for March rose to its highest level since 2008. The survey found that more workers are reporting higher wages and households are reporting the highest job security in 4 years the highest job opportunities in 5 years and the highest reported earnings in 5 years. The latest ANZ Business Outlook shows that business confidence remains elevated. A net 67 percent of businesses are optimistic about their future. Building consents are also up by 22 percent in the year to February. Overall this suggests that broad-based growth is making a difference to households which have better job security and report a higher likelihood of getting higher incomes.Maggie Barry: What international reports has he seen that endorse the Government’s fiscal and economic programme?Hon BILL ENGLISH: It would not be that they are endorsing the Government’s programme so much as endorsing New Zealand’s very significant progress. Last week the IMF released its 2014 concluding statement on New Zealand. It said that New Zealand’s growth is “becoming increasingly embedded and broad-based” that “Business and consumer confidence is strong” and that the Government is on track to surplus. The IMF noted two main risks to the economy: a slow-down in our major trading partners and a price correction in the housing market. However it said that the Government’s fiscal management and the current monetary policy settings have delivered improved resilience against these kinds of shocks.Maggie Barry: How does the current economic and fiscal position compare with the one inherited by the Government in 2008?Hon BILL ENGLISH: It is considerably better. By 2008 Government spending had jumped by 50 percent in just 5 years and floating mortgage interest rates by 2008 were almost 11 percent a level of interest rates that certainly could not be tolerated by households these days. The 2008 Budget increased Government spending by $7 billion or by more than 12 percent. This left a deficit of $4 billion for the 2008-09 year and forecasts of never-ending deficits. Fortunately we are doing a lot better than that.