by frog
Green MP Kennedy Graham just questioned the Government in the House about the fact that the UNDP’s latest Human Development Report ranks New Zealand as the sixth most unequal country among countries with very high human development.
He asked whether:
the Cabinet had discussed the findings of British researchers Wilkinson and Pickett that “almost every modern social and environmental problem – ill-health, lack of community life, violence, drugs, obesity, mental illness, long working hours, big prison populations – is more likely to occur in a less equal society”.
if his Government’s policy of tax cuts for the rich and cutting weekly ACC entitlements for casual and seasonal workers likely to increase or decrease inequality in New Zealand.
the Minister of Foreign Affairs is he concerned that the same research shows that violence is higher and more people are imprisoned in more unequal countries; and if so, what is his Government doing to improve New Zealand’s inequality ranking from that reported by the UNDP.
the Minister of Foreign Affairs is concerned that more people suffer from mental illnesses in more unequal countries; and if so, what is his Government doing to improve New Zealand’s inequality ranking from that reported by the UNDP.
Chris Finlayson’s answer on behalf of the Minister of Foreign Affairs?
No-one in the Government has read the report yet, despite the fact that it was published three weeks ago.
Given it is the first UNDP report to bear Helen Clark’s signature as UNDP administrator, you might have thought they would pay a bit more attention! Poor show, chaps.
[UPDATE: Transcript below]
[UPDATE 2: Video now inserted above]
5. Dr KENNEDY GRAHAM (Green) to the Minister of Foreign Affairs: Has he received advice on the UN Development Programme’s Human Development Report2009; and is he concerned that it positions New Zealand as having the sixth-biggest gap between rich and poor among countries with very high human development, with a similar inequality score to India and Russia?
Hon CHRISTOPHER FINLAYSON (Attorney-General) on behalf of the Minister of Foreign Affairs: No. The Minister is advised that NZAID, Treasury, and the Ministry of Social Development have not yet seen the report, and the Government cannot comment about the content of a report it has not received. However, I can advise the member that an electronic version of the executive summary, which was sent in advance of the report’s release, has been received. I understand that this summary says nothing about the inequality scores the member referred to in his question.
Dr Kennedy Graham: Given that this report has been completely available for the past week, has Cabinet discussed the findings of British researchers Wilkinson and Pickett that “Almost every modern social and environmental problem—ill-health, lack of community life, violence, drugs, obesity, mental illness, long working hours, big prison populations—is more likely to occur in a less equal society.”?
Hon CHRISTOPHER FINLAYSON: No.
Dr Kennedy Graham: Is he concerned that the same research shows that violence is higher and more people are imprisoned in more unequal countries; if so, what is his Government doing to improve New Zealand’s inequality ranking from that reported by the United Nations Development Programme?
Hon CHRISTOPHER FINLAYSON: The Government would need to study the report in detail before it could comment on the methodology used or the reliability of the data. I understand that methodology and data are often contentious aspects of such reports.
Dr Kennedy Graham: Given that the methodology of the United Nations Development Programme’s Human Development Report is now 17 years old, and that this particular ranking is taken from the Gini coefficient ratio, which is well known to researchers and policy makers, is he concerned that more people suffer from mental illness in more unequal countries; if so, what is his Government doing to improve New Zealand’s inequality ranking from that recorded by the United Nations Development Programme?
Hon CHRISTOPHER FINLAYSON: The Minister cannot be concerned or unconcerned until the report has been read and the methodology data has been studied.
Dr Kennedy Graham: Working on the assumption that the report will no doubt be read by the Government in due course, at its leisure, is his Government’s policy of tax cuts for the rich and cutting weekly accident compensation entitlements for casual and seasonal workers likely to increase or decrease inequality in New Zealand?
Hon CHRISTOPHER FINLAYSON: I can assure the member that when the report is received it will be read.
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Published in Economy, Work, & Welfare | THE GAME by frog on Tue, October 27th, 2009






on the trolls and those who are unable to keep on topic
Interesting stuff.
Of course, the New Zealand Government produces its own Social Report annually – and the Ministry of Social Development has quietly released it today.
In terms of inequality, it shows that the Gini coefficient score increased from 33 in 2007 to 34 in 2008 – signaling increasing inequality during Labour’s last year of office. Also, the proportion of the population on low incomes increased from 13% in 2007 to 14% in 2008. Related to this increase in poverty, the proportion of children in low-income households rose from 16% in 2007 to 20% in 2008.
For more analysis, see:
http://liberation.typepad.com/liberation/2009/10/msd-social-report-200 9-inequality-increased-in-labours-last-year-in-office.html
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You might appreciate this commentary from one of my colleagues in a right wing US think tank.
http://www.newgeography.com/content/001125-executive-bonuses-the-junta -in-the-boardroom
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Interesting about the Social Report Bryce! The UNDP report actually has NZ’s Gini coefficient score even higher – 36.2. It definitely got worse under Labour, and looks set to increase even more under this Government.
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Great questioning by Dr Graham. It seems these days that the popular way to dismiss information that doesn’t align with your ideology is to doubt the methodology. And now, even when you have no knowledge of the report!: “I understand that methodology and data are often contentious aspects of such reports.”
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Interesting was the said Minister’s response in relation to “contentious” matter. Do I take it – Bryce & Owen may care to respond on this, as well as the good blogger of course – that this government is back in the bad olde ways of policy-by-exception..?
Plus, the Gini wot! is what s’il vous plait? Not the back end of a beautiful auto model, nor a mispelled genie.. explain for the wider readership… c’mon now.
Also frogblog please note my email address change.. redirect the sub..
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Point taken, tomfarmer, Gini coefficient isn’t a very familiar term! The Gini coefficient is a measure of income inequality. It’s a scale of 0-100, with 0 representing absolute equality and 100 absolute inequality.
Put another way, the most unequal society will be one in which a single person receives 100% of the total income and the remaining people receive none (G=100); and the most equal society will be one in which every person receives the same percentage of the total income (G=0).
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kennedy graham did well in questiontime..
he had them on the back foot..
and should keep pressing in with this..
he has plenty of ammunition to hand..
phil(whoar.co.nz)
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It is actually a fairly well established measure of inequality and can be found on wikipedia.
http://en.wikipedia.org/wiki/Gini_coefficient
… one notes the computations are complex and it takes some thought.
http://web.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTPOVERTY/EXTPA/0,,co ntentMDK:20238991~menuPK:492138~pagePK:148956~piPK:216618~theSitePK:43 0367,00.html
Labour and National aren’t doing a blessed thing about it except propping up the property market so that the inequality can get worse.
BJ
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bjchip,
tks for the wiki ref.. Gini is pretty much all about distribution..
You may also have spotted there – The Gini index for the entire world has been estimated by various parties to be between 56 and 66 – sourced @ UNDP and Bob Sutcliffe’s work..
We might say how countries nearest to these figures are the worst… likely getting worser..
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If this report has been available in its entirety for a week, why let the National spokesman get away with saying “I can assure the member that when the report is received it will be read.”? It would have been an opportunity to hand the MP a copy.
Trevor.
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Does the measure for inequality take account of tax credits – such as in WFF?
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Well done Ken
Typical bullsh*t from the Tories. Too lazy to read the report so they resort to casting aspersions on the methodology.
Well … at least the UNDP publish their methodology, which is not something that can be said for the decision making process this govt is using.
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One should look at the gini of countries that are perceived to be good places to live and manage to have healthy economies. Most of these range in the mid-to-high 20’s…
This gives a reasonable target zone. We’re too high and going higher. That is just as much Labour’s failing as National’s.
I think it is possible for gini to be TOO low, the old saw about robbing people of initiative has to come into play at some level, but I don’t think there are many examples of this. Moreover, if the distributions are (as they often are) largely heritable, the lack of realistic opportunity does a very good job of sapping people’s drive to succeed.
respectfully
BJ
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