But it annoys me every time I see Bill English saying that their annual budget will be back in surplus soon. What this means to me is that every year we are spending a lot more than the government makes, and that they planned to do it this way.
Wikipedia shows here: http://upload.wikimedia.org/wikipedia/commons/thumb/0/0f/New_Zealand_overseas_debt_1993-2010.svg/578px-New_Zealand_overseas_debt_1993-2010.svg.png that NZ Government debt has nearly doubled from 25 odd billion to 50 odd billion since 2007. Every year they borrow a lot more than they make.
Surely it's best practice to take a loan when needed, sure, then pay it off ASAP so you are not stuck paying interest. If the government doesn't make enough money, then they need to raise taxes.
NZ already has some of the lowest taxes in the OECD. See here: http://www.oecd.org/tax/tax-policy/taxing-wages.htm. Fascinating site.
Why does everyone go on about John Key being a business man and knowing whats best? Surely the best way to make money is to work hard & pay off debt - not live day to day on your credit card?
Now I'm not saying Labour (or anyone) is the answer. Labour sat with government debt at 20billion for about 10 years then. Why cant we work hard, raise taxes, pay off all the debt, then we can be the rich country who lends money to America and makes money off the interest by doing exactly nothing.