Nigel Lawson’s aphorism “to govern is to choose” reminds us that there is no such thing as a free lunch. When a government chooses a particular course of action, it necessarily has less money, time and resources to spend on other things. More starkly, choosing a particular course of action actively detracts from other worthy goals.
In the aftermath of our Government’s response to the Covid-19 pandemic, we should refamiliarise ourselves with Lawson and the costs of governmental decision-making.
First, the economic cost. As a proportion of GDP, core Crown borrowing has grown from 32 percent to 50 percent between 2019 and today. We are now spending as much on debt servicing as we do on the Police, Corrections, Justice and Customs combined.
Secondly, the health cost. As the Minister of Health noted recently, the current increased wait times at Emergency Departments emerged during the pandemic: “I think it’s pretty clear since the pandemic, there has been increasing pressure on our emergency departments overall . . . there is an increase in acute demand following on from the pandemic, and that is putting pressure on our hospitals.”
But perhaps the most significant cost is to our children. We all remember the extensive post-Covid truancy as school-aged children stayed away from school in large numbers, even after in-person learning resumed.