by JC on the BFD
“Another example of misleading the public on numbers is the savings you get when removing GST from fruit and vegetables. It will not be $5 a week: more like $1.50 – if you’re lucky. I have not read of one economist who agrees with it. Not to worry: Mike Munro writes that the families who will most appreciate cheaper GST-free food couldn’t care less about what economists think.
“Right there, in his own words, is the nub of Labour’s problem. It’s the government arrogance of ‘we know best’, when the truth is they haven’t got a clue. I must pause, though, to give Grant Robertson a plaudit, because he did understand and gave due warning to his party of the consequences of going down this road. But the Boy from the Hutt wasn’t interested. He was mesmerised by the measly $5 (or infinitesimal $1.50).”
The best way to save on not only GST but supermarket margins is of course grow you own, and swap with others. See the Wally Richards posts. —Eds