KEY POINTS:
Hats off to the two Kiwi citizen politicians who are leading the debate on how we should respond to the global economic crisis, while our two putative Prime Ministers remain in ostrich mode.
Mark Weldon and David Skilling are not running for office at this year's election, which is a great pity.
Because the bunch of ideas these Kiwi citizen politicians have devised to get this country on to "war-time footing" mode and confront what is clearly one of the biggest shocks to the New Zealand economy are compelling.
There has been zilch - repeat zilch - from Helen Clark or John Key to demonstrate that the two leaders have bold plans to address the crisis immediately or use the opportunity created by the global turmoil to ensure New Zealand comes out of the maelstrom on a much more competitive footing.
Clark is shamefully resting on her Labour-led Government's laurels. She points to the near decade of fiscal surpluses delivered by her Finance Minister but does nothing to head off the decade of deficits staring her in the face.
Clark is getting a free ride at this election as journalists ask for her response to inanities such as the completely anodyne ("secretly taped") comments by National's finance spokesman, instead of putting the acid on the Prime Minister to say what her Government would do to confront the real issues if re-elected.
This is barking mad stuff coming straight from the Michael Laws school of media manipulation: Stamp "secret" or "confidential" on a document (or in this case tape) and journalists will lap it up faster than Pavlov's dogs irrespective of the fundamental lack of substance.
TV3's Duncan Garner knows that if he doesn't beat-up the latest tape from the malevolent secret bugger at National's party conference, the next so-called scoop (tape) will go to TVNZ's Guyon Espiner. But, like the breathless economists - whose unchallenged demands dominate local television news coverage of the crisis - this is outrageous hyperbole, not journalism.
Key has at least demonstrated he has the courage to make some unpalatable choices in government by announcing he would cut back KiwiSaver and some business tax credits to fund National's personal tax package. But National's "economic management plan" lacks urgency. The tax cuts are fiscally neutral on the basis of the Treasury numbers released this week.
But those figures will be well out of date by the time National gets its backsides on the Treasury benches - assuming it gets to form a government. There is no public evidence yet as to what policies Key would implement in his 100-days agenda apart from introducing tax-cut legislation.
You couldn't accuse Skilling and Weldon of a lack of urgency. Skilling, who runs the New Zealand Institute, and Weldon, who runs the stock exchange, are passionate Kiwis.
Their 18-page report: "Economy on the Edge: Swan dive or belly flop? A draft strategy for coming out of the crisis stronger", suggests some priorities to be introduced within a 30-day time frame. Among them are:
* Suspending provisional tax commitments for two years so small employers can better manage cash-flows in credit-restricted times and keep wage payments going (tax would be paid in arrears).
* Allowing companies to completely write-off capital investments for tax purposes.
* Enticing expat New Zealanders to return by capping their tax rate at 20 per cent for two years. * Offering a two-year company tax holiday to attract new firms to New Zealand, and keeping the research and development tax credit in place that National wants axed.
Like all good strategies, their report is bold, compelling and geared towards action.
It is also short and not weighed down with all the public service puff phrases like "economic transformation" and "sustainability" which have masked the serious deterioration of New Zealand's international competitiveness during the past three years.
They believe the New Zealand economy is at the top of a cliff with "a dive to execute".
"That dive can be a swan dive - elegant and strong, from which we emerge with real energy - or it can be a brutal and painful belly flop," they say.
Some of the strategies mirror the successful moves Singapore has taken to build a Government-owned investment vehicle. But they also want compulsory savings introduced and tax incentives for property speculation wiped.
If you feel Skilling and Weldon are on the right track, or you want to challenge their ideas, give them a call. Or better still, post your own ideas at www.blog.nzx.com or feedback@nzinstitute.org
Among all the doom and gloom caused by the lack of visible leadership from the politicians, it is uplifting to find Kiwis prepared to engender debate among voters and influence opinion in the right direction - action.
We are a nation built from pioneering stock. It's time to recapture that spirit rather turn up our toes.
