6
Jun
2014
0

Explaining Expenditure Reductions

Although Turnbull continues to undermine his own party (or the one to which he is currently attached), his antics are not the biggest problem facing the Coalition.

The article below by David Crowe hits the nail on the head in concluding that “it is harder to take people with you when you take them by surprise”. I have been arguing for some time that there should have been a publication setting out not only the economic case for reducing budget expenditure but the social one too. That would also help correct the fiscal illusion outlined in the excellent article by Tony Makin (see below).

Crowe notes that a report on welfare by McClure is still to come and that this will pose the question of whether more cuts should be made. But what is wanted is a publication by the government itself explaining both the general case for reductions and specific examples across the board, not simply welfare.

It is not too late to do this: indeed it is arguably necessary to do so if the Coalition is to regain its polling. And  in any such exercise, the Prime Minister needs to be much more closely involved this time round.