Exporters 1 plans for $ rejected
PA Wellington The Minister of Finance, Mr Douglas, has rejected a proposal by exporters on how the Government could lower the dollar, without doing a Uturn on its economic policy, through a withholding tax and inflationindexed bonds.
The exporter groups campaigning for a lower dollar exchange rate, issued the plan for indirect action on the exchange rate that it commissioned from Victoria University professor of economics, Bryan Philpott, earlier this year.
But interviewed on Radio New Zealand yesterday, Mr Douglas said that Professor Philpott’s
report carried a number of weaknesses.
“Its balance of payment projection lacked any conviction. Certainly they are out of kilter with every other economic forecaster.”
Mr Douglas said most of the ideas were peripheral and it had not made him rethink his approach in any way. “It (the report) lacks any real rigour in terms of analysis.
“It seemed to have been written for the audience.”
Mr Douglas said a withholding tax as suggested in the report could have the opposite effect to that intended and increase domestic interest rates.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/CHP19860716.2.130.28
Bibliographic details
Press, 16 July 1986, Page 38
Word Count
179Exporters1 plans for $ rejected Press, 16 July 1986, Page 38
Using This Item
Stuff Ltd is the copyright owner for the Press. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Copyright in all Footrot Flats cartoons is owned by Diogenes Designs Ltd. The National Library has been granted permission to digitise these cartoons and make them available online as part of this digitised version of the Press. You can search, browse, and print Footrot Flats cartoons for research and personal study only. Permission must be obtained from Diogenes Designs Ltd for any other use.
Acknowledgements
This newspaper was digitised in partnership with Christchurch City Libraries.
Log in