Long-term failed Victorian Treasure Tim “Ponzi” Pallas rolls out an effigy of himself (lest somebody set it on fire) and presses play on a recorded budget message unchanged in years.
In his address to the Melbourne Press Club and the Victorian Chamber of Commerce and Industry’s post-budget lunch, the state treasurer continued to emphasise that high inflation and workforce shortages were the main challenges the state was facing.
Tim Pallas said his 10th budget was about managing those challenges but also building a prosperous economy.
“We are not just an economic powerhouse, we are an employment generation powerhouse,” Mr Pallas said in his speech on Wednesday.
From a certain perspective, this is true. Victoria is always short of workers because it never stops bringing them in.
How else do we explain the doubling of the VIC labour force in the past decade, leaving us with widespread skill shortages?
Some can be explained by labour market frictions. And some by importing know-skilled dropkicks.
But it is best explained that each migrant’s needs – housing, services, roads, etc.—occupy a little more of VIC’S capital.
Capital is shallowed, the economic productive capacity falls with living standards, and eventually, Melbourne turns into Delhi.
Don’t me get wrong, Melbourne may want to be Delhi? And many interests would benefit from it.
But most will lose and should be asked if they agree to the devolution.
There are many ways to grow economies so that living standards rise.
Ponzi Palls knows none of them.
