Most likely borrowing it from Banks who are quite happy to lend and let someone else finance higher risk books with excessive fees and interest rates. It’s a regulatory loophole.

Robertson was all about economic orthodoxy. Never signalled anything different. Labour are still abide by Rogernomics.

This is the graph I love. Whenever someone talks about debt they should be actually be concerned with private debt.

If Govt debt is a private sector asset, how are our 'grandkids going to have to pay it back'? What does that even mean? When Govt debt as % of GDP reduced through the 50s and 60s (while we built absolutely shit loads of infra) did the kids suffer? Anything we can learn from that era?!? [8/n]

But, knowing that Govt is not fiscally constrained changes things. The question becomes 'how will we do this important thing?' rather than 'how will we find the money?' Eg, if we need to spend billions on green infra, how can taxes be used to free up the resources required to do the work? [10/n]

This is incredibly sad for everyone impacted. And totally avoidable.

Stay tuned next month to find out if Wellington gets less shit at retaining jobs than Auckland. Exciting times. [Ends]

It looks like Wellington is turning a corner. Whether it into a ferocious headwind remains to be seen. [8/n]

End on some positives (kinda). The seasonally adjusted data shows some moderate improvements for Nov and Dec 24. I suspect that this is because the seasonal adjustment is tuned to better times, but we'll see over the next few months. [7/n]

The net result was thousands of young people getting out-competed for entry-level and low-paid jobs. Again, you can see the turning point in May 23. Indeed, you could at the time.
NOTE: I will block anybody that talks negatively about the new people arriving here to find work. Seriously. [6/n]

Worth a look at that surge of vacancy-filling in 2023 when we opened the borders. Sadly, we ran out of jobs for the people arriving (I've circled the moment in May 2023)... and any extra demand created by our new friends was easily offset by all of that RBNZ and Govt squishing. [5/n]

Oh, you know jobs that build and make stuff. Nothing to worry about there. Mind you, losing 35 construction jobs per day for a year seems a bit careless when you have a massive infra and housing deficit. But, I guess the only alternative is communism and bread rationing, so, oh well. [4/n]

We're still running around 27,000 jobs down on the same month last year - despite increasing our working-age population by around 35,000 people. Obviously, this *is* primarily a private sector recession - it's the jobs that depend on demand that go when times are tough. Like what? [3/n]

Here's another view of the 'accrued' earnings data. Stats NZ do clever stuff to adjust for when paydays fall etc. Anyway, same picture - total earnings have been falling in real terms for over a year. Less earnings, less spending, fewer jobs. Talking of which... [2/n]

NO ASSET SALES, NO PRIVATISATION