One just has to love and laugh at the Aussie political economy. AFR.
Productivity Commission chairwoman Danielle Wood is recommending the Albanese government overhaul company tax, speed up planning approvals for infrastructure projects and embrace artificial intelligence to lift the economy out of stagnation.
Australian full-time workers would be at least $14,000 better off by 2035 if productivity growth could be boosted from its current low level to its historic average, the commission estimates.
The commission in a new report said that in taxing, regulating and service delivery, governments have too often ignored the benefits of economic growth to lift living standards.
Oh, man. PC head Danielle Wood is the queen of unproductive economics.
As head of the corrupt Grattan Institute, she ran a kind of Aussie economy model writ small.
The corrupt Grattan Institute model is to allow sponsors in immigration and energy to capture policy recommendations.
This is the very unproductive model based upon vested interests that is choking the Aussie economy today.
Note that the two best productivity policies available to the government would be to slash immigration to zero to debottleneck everything from housing to emergency wards, and crush the gas cartel to crater input costs for every business east of WA.
Yet neither of these will even get a mention at the PC roundtable. Instead, it will be the usual supply-side solutions that are fig leaves for problems of our own making.
To wit.
Governments over the past two decades had made it harder than it should be to start and operate a business and build key infrastructure such as housing or renewable energy infrastructure, the commission said in a report signed off by Wood and released on Thursday night.
Seriously, how is building more houses going to help with the immigration spigot turned on full? This is running to stand still, the very definition of unproductive.
How are more renewables going to help when they lift reliance on gas, which means LNG imports, and therefore rocketing energy prices?
This means more industrial hollowing out, necessitating more immigration, rinse and repeat into the productivity abyss.
Even by failing Aussie standards, the PC roundtable is a joke.
