MEDIA RELEASE
15 July 2013
Public invited to balance the books
An online calculator that allows people to have a go at addressing the Government’s long-term financial challenges is
being launched today by Victoria University’s Chair of Public Finance, Professor Norman Gemmell.
The long-term fiscal calculator, developed in conjunction with Treasury, is one of the first tools available on a new
website, (www.nzpublicfinance.com) also launched today by Professor Gemmell, which provides a hub for public finance research and policy debate.
The calculator shows how a range of different choices in spending and taxation can help to address the challenges facing
the Government’s financial position over the next 40 years. These challenges result from factors such as population
ageing and increasing demand for services.
“The pressures facing the fiscal position over the long-term mean that some adjustments are going to be required,” says
Professor Gemmell. “This calculator lets people choose which options they think are best.
“For example, you can choose to spend more on health or education but, at the same time, the calculator forces you to
think about the trade-offs involved with this.
“It gives people more information about the range of options we have, and allows them to say ‘How, if I was going to
balance the books, would I do it?’” says Professor Gemmell.
People will be able to submit their choices online and those submissions will contribute to a picture of preferred
options for closing the gap between spending and income.
Professor Gemmell says the long-term fiscal calculator is the first of a number of web tools that will be available on
his new public finance website.
“The website will bring together research and data that will be useful for academics, analysts and policy makers. But
it’s also aimed at the general public and at stimulating debate and discussion on a whole range of public finance
questions around public spending, tax rates and saving schemes like Kiwisaver.”
Professor Gemmell says engaging with policy makers and other organisations on public finance issues is an important part
of his role. He is talking with economists and other universities about including a variety of research from around New
Zealand, and from around the world, on www.nzpublicfinance.com.
ends