Jane Hume is also very exercised over the government’s costing and rubbishing of the Coalition’s Scnitty plan. Jim Chalmers release Treasury costings yesterday saying it would cost at least $1.6bn. The Coalition has scoffed at that but won’t release their own costings.
Hume was asked about the whole kerfuffle and told the ABC:
“What absolute nonsense the government has come out with! I mean, let’s put aside the fact that they have plenty to do themselves, but somehow they’re concentrating on a Coalition policy announcement. More importantly, they then went and asked the public service, politicised the public service, asking them to cost a Coalition policy.
Now the Treasury Secretary has come out and said that he hasn’t costed a Coalition policy, that it was simply the parameters that Jim Chalmers gave him, that that’s what they costed.
Well, again, what’s Jim Chalmers doing? Shouldn’t he be concentrating on his own policies? Shouldn’t he be concentrating on lowering inflation, improving economic growth, restoring the standard of livings that we have now lost or gone backwards?
We have costed this policy. Of course, we costed this policy by convention. Oppositions use the Parliamentary Budget Office, and we trust the Parliamentary Budget Office. Indeed, it was something that was introduced by a Labor government to stop this very behaviour.”
Well, Chalmers would probably say that he has worked on lowering inflation, because despite how many commentators complain that it has been “artificially lowered” (a term economic commentators use when they are forced to admit that fiscal policy has helped lower inflation, but they don’t want to give the government credit) by things like the energy rebates (which were deliberately designed to lower CPI and therefore lower the price rises of everything attached to CPI and therefore help to lower inflation), inflation has come down and is sitting in the RBA’s target band. Which means the RBA is out of excuses not to cut rates.
It is also worth noting that Hume has said she would be focusing on ‘getting the budget back on track’ if in government, and cut the ‘big spending’. What is that big spending? Well in a recent op-ed in the AFR, Hume said:
“Every decision is a choice – from spending $500 million on a divisive referendum, or $40 million on advertising automatic tax cuts, or 36,000 new public servants in Canberra.”
So that’s $540m and then cutting the public service to replace with the private sector at three times the cost.
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