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Join date : 2018-07-17

Big Australia vs Common sense. Empty
PostSubject: Big Australia vs Common sense.   Big Australia vs Common sense. EmptyThu 13 Dec 2018, 6:50 pm

Quote :
Annus horribilis for business groups spruiking Big Australia
Judith Sloan
December 12, 2018
Business groups — think BCA, ACCI and AiGroup — have had a dreadful year. Their standing reached a new low point this week with the release of the deeply misleading and self-serving document, “Migration works for all of us”, from ACCI.

Here’s the thing: migration doesn’t work for all us and ACCI should concede this point. High rates of migration are great for business. They provide willing workers, restrain the growth of wages and provide markets for their goods and service.

But the distributional effects of migration are very significant. Local workers with substitute skills to migrants lose out and residents of larger cities, in particular, bear the negative external effects of excessively rapid population growth.

Mind you, it’s hard to think that the bureaucracy is much better. To request demographer Professor Peter McDonald to address COAG on population and migration issues is surely to attempt to sway the thinking of the meeting in a predictable direction. After all, McDonald is a well-known “big Australia” man who overstates the benefits of migration, in part because he is not an economist.

Why not also ask Dr Bob Birrell, who also undertakes detailed empirical research on population and migration issues, to address the meeting? That would provide a semblance of balance. Or ask the Productivity Commission to make a presentation on the basis of its several pieces of solid research on migration, including the debunking of the myth that migration can meaningfully offset the ageing of the population.

Here’s a hint: in all likelihood, the Prime Minister has no intention of doing anything significant about the migrant intake, either in terms of numbers, composition or regulation. At heart, Morrison is also a big Australia man who naively thinks he can undertake a few tweaks here and there and send a few migrants off to the regions and the problem is fixed.

Mind you, the government has manifestly failed to reduce net overseas migration by imposing a sort of informal restriction on the formal annual cap of 190,000 permanent migrants. And here’s something to think about: the number of migrants on bridging visas has rocketed: from around 40,000 last year to nearly 180,000.

A very large number of these bridging visa holders will secure permanent residence in due course. All Morrison has done is put a flimsy, temporary cork on the flow of permanent migrants.

As for this COAG nonsense about conferring with the states on migration and population, the federal government has always conferred with them in finalising the migration intake. And let’s face it, South Australia has been calling for more migrants for decades. It’s what laggard states do when all else fails.

It might sound vaguely sensible for the federal and state or territory governments to begin to devise a population policy. But Morrison has proven himself to have all the wrong instincts on this topic.

The fact he could parrot Treasury’s own self-serving figures on the lower tax revenue associated with a lower migrant intake without referencing the lower costs and benefits makes it clear he is completely captured.

Unable to do anything to lower electricity prices in the short term, the one chance that Morrison had to improve the government’s electoral fortunes was to significantly reduce both permanent and temporary migrant numbers. The regional ruse won’t cut it.

All the polls are telling him that people want the migrant intake cut. He just thinks that he knows better, it would seem.
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Posts : 627
Join date : 2018-07-17

Big Australia vs Common sense. Empty
PostSubject: Re: Big Australia vs Common sense.   Big Australia vs Common sense. EmptyThu 13 Dec 2018, 6:52 pm

Good to see a sensible economist actually agreeing with all I've been saying in the newspapers over the last few weeks.
We need real cuts in numbers.
Morrison isn't fair dinkum about cutting migration numbers.
Using pro-Big Australia vested interest individuals and groups is a pathetic attempt to get the outcome you want not what the people want.
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