I’m struggling to think of another country in
history that has lost about twenty per cent of its population, unless
there has been extreme poverty, a famine, war or ethnic violence.
Why, then, have so many left New Zealand? Migrants
from any society are normally the most energetic, desperate and highly
motivated of people.
I recently visited the Middle East, went to Holland,
Switzerland, and to the celebrations in Berlin marking the fall of the
Wall. At every place up came a smart Kiwi with a huge smile and a hand
outstretched.
Why have they left New Zealand and how do we get
them back?
Our tax regime is hostile. We are the only country
in the OECD which taxes the movements on your foreign currency accounts.
Australia now has the same tax advantages as London, Geneva or Hong
Kong. You are only taxed on the income you receive from the country you
are based in. NZ taxes income from any source. If you are on $100,000 a
year, you pay up to $40,000 in tax; you can’t do much with that. But if
you are on a $1,000,000 a year, you could save up to $400,000 a year and
that’s why many on our rich list live elsewhere.
When I was an MP, I didn’t understand this, I’m sure
my eyes would glaze over and I would think; you are earning it, you
should pay your share because tax is the price of civilisation. Now I
know these policies actually cost the government revenue.
However the Kiwi malaise is deeper than that. Drill
deeper and some darker images emerge. One bloke explained he came home
and saw tattooed faces, and gangs smoking dope and thought ‘hell no.’ My
emails exploded over Hone Harawira’s vulgar outburst, people know that’s
his honest opinion. He once said ‘browns’ steal through need, ‘whites’
steal through greed. If what Hone has been saying is not wrong,
nothing’s wrong.
I was asked; can it be possibly true that Maori
foresters will get a different deal under the Climate Change legislation
than their competitors; after all Maori fishing companies pay a lower
rate of taxation than their non-Maori competitors. If our Government
puts up with this, what won’t they put up with? Now, anything goes in
search of a coalition deal. It’s forgiven, even praised by our media, as
smart politics. MMP is not an explanation, it’s a squalid excuse. And am
I the only person concerned that NZ is borrowing a billion dollars a
month to buy political peace which is the norm with these sordid
coalitions?
After participating in the Cambridge Union debate, a
Kiwi asked me why successive governments were so busy telling people how
to live their private lives. He quoted the great liberal thinker, John
Stuart Mill who, centuries ago wrote, "The only purpose for which power
can be rightfully exercised over any member of a civilised community is
to prevent harm to others. His own good, either physical or moral, is
not sufficient warrant." He had read my latest book and chuckled about a
local paper that had written a sneering item about it.
I shared the story of a Kiwi who won the Field Medal
in Mathematics, rarer than a Nobel Prize. Like us all, he sought
recognition from his peers. He went home to the West Coast, stood in the
bar and saw some old school mates, after a while one of them came up and
introduced himself. "They tell me you have written a book?" "That’s
right mate" the laureate responded with some pride." "Bloody show-off"
came the reply. One successful ex-pat who comes home every summer told
me small countries are always small countries.
At the time of the American Revolution, when great
minds like Benjamin Franklin, Thomas Jefferson, John Adams and George
Washington emerged, the American colonies had a population smaller than
ours is now. True too of Scotland and their period of enlightenment
when the great economist, Adam Smith, and poets, engineers, architects
and thinkers like Robert Burns, James Watt and David Hulme prospered.
I wrote a paper for Labour MPs on our constitutional
arrangements because I think our problems are systemic. It was headed;
"Is it our destiny to become just another couple of Pacific Islands?" A
gentle reminder that at the time the Treaty was signed, Alaska was part
of Russia, there was no Germany, and slavery was not to be abolished for
another quarter of a century in the US. Be proud that we are confronting
the demons of our past, but please don’t ignore the lessons and heritage
of our European experience and the age of reason.