Like what you've read?

On Line Opinion is the only Australian site where you get all sides of the story. We don't
charge, but we need your support. Here�s how you can help.

  • Advertise

    We have a monthly audience of 70,000 and advertising packages from $200 a month.

  • Volunteer

    We always need commissioning editors and sub-editors.

  • Contribute

    Got something to say? Submit an essay.


 The National Forum   Donate   Your Account   On Line Opinion   Forum   Blogs   Polling   About   
On Line Opinion logo ON LINE OPINION - Australia's e-journal of social and political debate

Subscribe!
Subscribe





On Line Opinion is a not-for-profit publication and relies on the generosity of its sponsors, editors and contributors. If you would like to help, contact us.
___________

Syndicate
RSS/XML


RSS 2.0

Queensland election result and fiscal policy

By Mikayla Novak - posted Wednesday, 28 March 2012


The global financial crisis came along shortly thereafter and spending was still growing at about 12 per cent per annum, but revenues just kept ebbing away and a healthy budget surplus turned into the worst budget deficit outcome of all states and territories.

The Bligh government quadrupled the level of public debt over a few short years in order to keep up the expenditure effort, leaving future generations to pick up the tab in an atrophied economy outside of the resources sector.

The greatest challenge for the Newman Liberal National government will be to reverse the fiscal damage wrought by its predecessor.

Advertisement

The announcement of a comprehensive audit of the state's public finances is an eminently sensible one, as it will provide a fresh opportunity to apply a fine toothcomb across the field of expenditure commitments and identify opportunities for real fiscal savings.

The audit committee would do well to revisit the numerous issues left untouched from the 1996 FitzGerald audit, such as the comprehensive application of purchaser-provider arrangements within government.

This would entail the private sector playing a much greater role in providing logistic support to government operations and delivering frontline services to the public, something that could help lift the fiscal burden off taxpayers already struggling with their own everyday bills.

Another report on the state of the Queensland economy and its finances, undertaken by Commerce Queensland in 2006 and which I was fortunate to organise, could also serve as a guide for the new government in its quest to get the budget back on track.

The Commerce Queensland report, among other things, canvassed the widespread privatisation of state assets.

While privatisation would deliver private sector efficiencies and revenues from asset sales could be used to repay public debt, this option is regrettably off the table for now given the former Bligh government's cynical mishandling of this issue during the GFC.

Advertisement

The energy with which the Premier Newman is already applying to his role is admirable, and he will need to muster all of his famed 'Can Do' spirit to reverse nearly twenty years of fiscal profligacy in Queensland.

  1. Pages:
  2. 1
  3. Page 2
  4. All


Discuss in our Forums

See what other readers are saying about this article!

Click here to read & post comments.

9 posts so far.

Share this:
reddit this reddit thisbookmark with del.icio.us Del.icio.usdigg thisseed newsvineSeed NewsvineStumbleUpon StumbleUponsubmit to propellerkwoff it

About the Author

Mikayla Novak is a Research Fellow with the Institute of Public Affairs. She has previously worked for Commonwealth and State public sector agencies, including the Commonwealth Treasury and Productivity Commission. Mikayla was also previously advisor to the Queensland Chamber of Commerce and Industry. Her opinion pieces have been published in The Australian, Australian Financial Review, The Age, and The Courier-Mail, on issues ranging from state public finances to social services reform.

Other articles by this Author

All articles by Mikayla Novak

Creative Commons LicenseThis work is licensed under a Creative Commons License.

Article Tools
Comment 9 comments
Print Printable version
Subscribe Subscribe
Email Email a friend
Advertisement

About Us Search Discuss Feedback Legals Privacy