Cunliffe David: Questions for Oral Answer — Questions to Ministers 
Cunliffe David: Questions for Oral Answer — Questions to Ministers 
[Volume:672;Page:18249] 
6. 
Hon DAVID CUNLIFFE (Labour—New Lynn) 
 to the  
Minister of Finance 
: Does he stand by his statement that “I have seen almost no criticism of the Government’s plan to rebalance the economy” given the statement from the chair of the 2025 Taskforce Don Brash that “There is certainly no evidence yet that current policies will deliver the kind of accelerated growth we need.”? 
Hon BILL ENGLISH (Minister of Finance) 
: 
 Yes. 
Hon David Cunliffe 
: Does he agree with the following statement from Dr Don Brash: “the Government is clearly off-track not only on economic policy …” or this one: “They’re not only overspending but they’ve given up on their objective of closing the gap with Australia.”? 
Hon BILL ENGLISH 
: No I do not agree with that. The member may be referring to Dr Brash’s role as chair of the 2025 Taskforce which has made a number of recommendations some of which the Government has picked up because it agrees with them and some of which it has not picked up because it does not agree with them. 
Hon David Cunliffe 
: Has he seen the following criticisms of his Government’s plans contained in the 2011 OECD economic summary of New Zealand: “private domestic demand has failed to bounce back … and little or no rebalancing has occurred.” or: “Macroeconomic imbalances reflect too little savings.” or that the economy stalled in 2010 despite record levels and terms of trade? 
Hon BILL ENGLISH 
: Yes I have seen those comments and I take them a good deal more seriously than comments made by Labour members who caused the severe problems in our economy in the first place. 
Hon David Cunliffe 
: Has the Government’s plan for the economy failed given that 3 long years after he and John Key were promising a brighter future GDP per capita has fallen 3 percent and every time he has proclaimed signs of progress Kiwi families have found the cost of living rising and their incomes stagnant or falling? 
Hon BILL ENGLISH 
: No I disagree with the tone of those statements and a number of the facts in them. Most New Zealanders understand that the reason domestic demand has not bounced back is that they have too much debt; they are paying off debt and they are saving money because they are concerned for their futures. That is why they are not spending money in shops or paying too much for houses. To most New Zealanders that makes good common sense. Clearly for Labour it is some indication of economic stupidity and that is how far out of touch that party is. 
Hon David Cunliffe 
: In light of that answer has the Government’s plan for the economy not failed again when after 2½ years unemployment is up by 60000 people average wages grew just 1.9 percent in the last year well below inflation of 4.5 percent and the only people doing well seem to be millionaires like chief executive officers who according to the  
New Zealand Herald 
 
averaged a $200000 pay rise in the last year on top of their tax cuts? 
Hon BILL ENGLISH 
: No I disagree with the tone of the member’s comments and with a number of the facts contained in them. Despite the fact that we have had a significant recession real after-tax wages have risen more in the last 2 years than they did in 9 years under Labour and that is a remarkable achievement. 
Hon Trevor Mallard 
: Has the Minister contemplated changing any of his policies since the Prime Minister equivocated on the question of whether Don Brash might take his job? 
Hon BILL ENGLISH 
: No the Prime Minister has full confidence in those policies and in his Ministers.