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Manufacturing still receives 80% of net government assistance, largely due to the remaining small levels of tariff assistance, plus some budget measures. Dean Lewins/AAP

The government is backing the wrong industries, as our economy changes: Productivity Commission

Under current government policy we are penalising the sector of the economy where there is the largest proportion of existing employment and the best prospects for future growth.
The government’s announcement that the age of entitlement is over may be a poisoned chalice for the Productivity Commission. Daniel Munoz/AAP

Productivity Commission’s myopic failure on industry assistance

Every year the Productivity Commission (PC) produces an annual report card on Australian government assistance to industry. And every year it singles out the “usual suspects” for attention, particularly…
Industry assistance cuts will have long-term impacts on Australia’s international competitiveness. Image sourced from www.shutterstock.com

Corporate Australia wasn’t really the budget winner after all

The 2014 Budget has been variously celebrated and reviled as a “budget for corporate Australia”. But this assessment is based on the premise that corporate tax cuts and infrastructure spending will provide…

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