The Government has made a big deal about how much it is helping people and business to get through the lockdown, but really how much of it is relevant or helpful?
Most of the packages relate to a deferred payment rather than a permanent hand out and they mostly involve payment of additional interest. Many of them such as the insolvency provisions and landlord notice provisions cannot be accessed because they are vague announcements with a promise that the actual wording of the law will be passed sometime in the future and will be backdated. How can anyone possibly use that? And if they do get to use it they are going to need costly professional advice. These business’s have already lost thousands of dollars, making them pay for further complicated advise just puts them further into debt and compounds the eventual loss to creditors when they fail.
The one thing the Government has truly given away is the wage subsidy. Probably about $10 billion at the moment and the most amount the Government has spent on a single item, ever. In addition to this most Government employees remain on full pay with no redundancies despite some areas of Government being forever smaller after lockdown.
The result is that the majority of the workforce and their voting dependents are enjoying financial stability not that much different than pre lockdown and are feeling really grateful for the the Governments support. As a result of this bribe polls are indicating widespread support for the Government.
The problem will occur when the sheep come up against the closed gate of redundancies and lower wages due to lack of profitability and the problem of servicing and repaying the massive Government debt. Some of these people honestly believe that that “rich people” or “business’s” will or should pay all this. The sheep will refuse to research it and won’t listen to anyone who tells them otherwise because they know best but the simple facts are that all of the GST collected is paid by NZ resident consumers and the bulk of income tax is paid by employees. With large losses it is unlikely that business will pay anything like the amount of tax paid last year,
Business owners are showing far less support for the Government because they are bearing the brunt of financial losses and stress. The Government doesn’t really care because these people probably won’t vote for them anyway. BUT somewhere down the track it all turns ugly when there’s a shortage of jobs and not enough taxes to cover Governments spend expectation.
Other by products of the lockdown are that dreams have been shattered and work ethic lost. Without dreams business does not start or rebuild. Workers doing nothing become lazy.
Its happening here already with workers not wanting to go back to work, stay home, sleep in, watch movies, play video games and still get paid! These sheep believe the tooth ferry and the Easter Bunny are both essential services and their pay will go on forever!
The sheep need to break out of this indoctrination nonsense
The Goat still roams free.