Category: Social Issues

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Poor people in rich countries – a new approach to measurement and policy*

For fans of government largesse, the temptation of relative poverty rates must be irresistible. These rates reliably rise during periods of market-oriented reforms, and fall during periods of government expansions.


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Charities Under Review

According to a survey carried out in 2010, New Zealand ranked first equal with Australia as the world’s most charitable nation. The World Giving Index, published by the Charities Aid Foundation used a Gallup survey of 195,000 people in 153 nations to assess the extent of charitable activities. It showed that 68 percent of New Zealanders had given money to charity during the last month, 41 percent had volunteered time, and 63 percent had helped a stranger.


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Tax-payer subsidised charities and their business activities - time for change

Many of you will no doubt remember the Sanitarium advertisement from the 1960s, “Kiwi kids are Weet-bix kids.” During the long summer evenings you may have enjoyed a glass or two of Cabernet Sauvignon from New Zealand’s oldest winery, Mission Estate. Down in the South Island, during the day tourists will have had the thrill of a jet-boat ride on the Shotover River, courtesy of Shotover Jet. What you probably did not realise is that these apparently commercial organisations, operated by the Seventh-day Adventist Church, Marist Holdings (Greenmeadows) Limited, and the Ngai Tahu Charitable Group, have charitable therefore income tax exempt status.


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The Real Cure for Poverty is Growth

As with overseas aid, such welfare programmes often do more harm than good. Instead of pouring funds into questionable schemes, governments should focus their efforts on lifting economic growth and creating an environment in which small business can flourish, since these are the only proven pathways for improving outcomes for the disadvantaged.


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Born Onto a Benefit

A huge amount is said about child poverty, but bugger all about what causes it. By the end of last year 13, 634 of the babies born in the previous 12 months had a parent or caregiver relying on a benefit. 48 percent of these caregivers were Maori.


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The housing affordability debate

Housing affordability is shaping up as a defining political issue - probably an election issue in 2014. The problem is that housing costs in Auckland in particular are rising so rapidly that many low income families are being locked out of home ownership. While the reasons are complex, a major burden of the responsibility must lie with central government.


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Affordable housing

Home affordability has been in the news in recent weeks. The “problem” is a perennial political football, but things got a little more serious recently when the National Party released broad-brush details of their plan to deal with the issue. The Minister of Finance, Bill English, has correctly recognised that housing is becoming less affordable to low income earners and has proposed a range of initiatives to deal with it:


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Welfare is a risk factor for children

A debate is currently raging over the underlying cause of child abuse. It follows the disturbing revelation that five out of every six children who are abused or neglected before they are five years old, live in families on welfare. This rate of abuse is ten times higher for children living in families on welfare than for children whose parents had never been on welfare. It shows what the advocates of welfare reform have always known, that long-term welfare is a serious risk factor for children.


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Latest welfare reform no cause for hysteria

Obligations are well known to people with jobs. They have obligations to their employers to be there on time, to observe the conditions of their contract and generally toe the line during their hours of employment. Working parents are obliged to put their children in some sort of care, be it formal or family-based. In return they receive a pay packet that furnishes their needs and wants, not dissimilar to a benefit, though usually more generous.


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Education - a three way partnership

Andre Agassi dropped out of school in the 9th grade to pursue his tennis career. He turned professional at age 16 and went on to become a world champion. But he deeply regretted the fact that he didn’t have a quality education. This belief - that nothing has a greater impact on a child's life than the education they receive - led him to establish a charter school for underprivileged children in a disadvantaged area of his home-town of Las Vegas.