Maxim Institute's regular e-newsletter, Real Issues, highlights the issues behind the headlines and keeps you up-to-date with important developments in policy and culture in New Zealand and around the world.
"For 11 years or more many of our students experience large classes, narrow corridors, white boards, set
curriculum, sunless testing and, despite our best efforts, regular monotony. It is as if we cannot think of
anything better for them. The stigma of failure affects nearly 20 percent...a figure that puts us near the bottom
of the OECD in terms of the lowest performing quartile, and which arguably carries the effect of keeping us in
permanent recession. No wonder 29,000 students each day are truant."
"Free to Learn," minority report from the IPWG on school choice
A registered charitable trust, funded by donations, Maxim Institute values your interest and support.
New Zealand is a richly textured country. It has a great and colourful history and a thriving culture. Its people have inherited a vast and dynamic landscape. They know how to live and play well. Yet, New Zealand faces serious challenges. How we respond today shapes the future our children inherit tomorrow.
Maxim Institute is an independent research and public policy think tank. We are committed to the people, land, history and culture of New Zealand. Our mission is to foster ideas and leadership that enable freedom, justice and compassion to flourish in New Zealand. We are not affiliated with any lobby group, religious organisation or political party and are also independently funded, we have received donations from over 1,700 individuals and trusts since our inception.
A watershed moment slips by for education
A new report on school choice moves in the right direction, but fails to advocate for the holistic changes our system needs.
Despite a poll finding GST is unpopular in New Zealand, there are good reasons for an increase.
Join us at an upcoming lecture event.
A watershed moment slips by for education
A potential watershed moment for New Zealand education seems to have just passed by. After the reports from the
Inter-Party Working Group (IPWG) on school choice were released yesterday, it seems that only a quarter of school
students stand the chance of benefiting from more flexibility, more freedom, more choice in their education. The
boat has sailed on the opportunity for wider systemic adjustments, which could have benefited all students in the
country.
While there is much to celebrate in New Zealand schooling—high average levels of literacy compared to other
OECD countries, for examplethere is also a lot that should cause concern. For one, 33 percent of school
leavers are not achieving NCEA Level 2 or higher. The figure jumps markedly for Maori students. As the IPWG's
report "Step Change" indicates, "educational underachievement of the magnitude found in New Zealand carries the
effect of a permanent economic recession."
Given this situation, National and ACT agreed at the last election, "to work, over time, to increase the education
choices available to parents and students so families have more freedom to select schooling options that best meet
the individual needs of their children." This was the moment students, parents and many schools across the country
had been waiting for. The hope was that the IPWG, comprising Maori Party, ACT and National MPs, would be able to
advocate for more freedom, less control, less bureaucracy—for diversity and creativity to become hallmarks
of education in New Zealand. Instead, the IPWG have chosen to focus on just the bottom 20 and top five percent of
students.
If the Government follows the IPWG's advice, one in four pupils will have more freedom in their educational
choices, gaining options about where they go to school and receiving "personal learning plans." The other 75
percent will continue as they always have. Depending on how such an initiative was enacted, this could potentially
be great for the 25 percent of students. Or, without holistic change taking place to the system more broadly, it
could simply become another programme requiring more red tape, without schools having enough freedom to really
respond to the needs of their students, leading to merely a splutter of change for even those 25 percent.
The direction the IPWG are trying to head is generally good. More choice, more flexibility, more creativity and
diversity in schooling are all great things. Unfortunately, the changes run the risk of being undermined by the
small scope of their vision. The minority report released simultaneously painted a much more far-sighted and
comprehensive image of where schooling ought to head. This should have been the report the whole IWPG endorsed. It
seems students in New Zealand will have to wait even longer for the sort of education system they deserve.
GST unpopular among Kiwis
The tax system needs fixing. We've known it for a long time, but the time has now come to do something about it.
According to a poll recently conducted by Maxim Institute, one of the changes being mooted—a rise in
GST—is not popular among New Zealanders, even if income taxes were dropped at the same time. Moving the tax
base towards GST holds a raft of benefits for New Zealand; benefits that may not be clearly understood, and that
would require careful explanation from the Government. But these benefits should not be overlooked simply because
they are not popular. The Government now faces the tough challenge of courageously risking some of the support
they enjoy for the sake of the nation's well-being.
In early February, Maxim Institute commissioned a poll by UMR which found that 56 percent of New Zealanders oppose
an increase in GST even if it were to be accompanied by a reduction in income taxes. Only 13 percent "strongly
supported" such a move.
GST is an appropriate tax base for New Zealand to move towards. It treats all people fairly, it is easy and cost-
effective to administer, and it is a relatively reliable source of income. In contrast, personal income taxes,
which are currently the major source of government revenue (53 percent), are the most harmful taxes to economic
growth. This is why both the Tax Working Group and the 2025 Taskforce have told us we need to drop income taxes.
Concerns around GST are understandable—it would change where tax is collected from and would mean goods cost
more at the counter, but we also need to be realistic. The current system isn't sustainable. If a GST rise is
coupled with a decrease in income tax, most people would have more money in their pockets to offset the rise in
costs. And crucially, we need a tax system that rivals other country's systems, particularly Australia's, if we
are going to plug the brain drain. We need a system that, as much as possible, avoids obstructing economic
growth.
The results of the poll indicate that it is crucial the Government does more work explaining the importance of tax
changes. Charged with deciding what is in the best interests of New Zealand, the Government should not shy away
from making necessary changes, but it should make those changes carefully and with due respect for concerned
citizens.
Untangling Aid
It is often unclear what to do in the face of severe poverty. Questions of what will make a difference in the
lives of those who suffer are not easily answered. Maxim Institute spent much of the last year researching foreign
aid policy—its potential and its pitfalls.
This March, at an evening lecture event titled Untangling Aid, we will share some of our findings. Our
lead researcher on the project, Dr Jane Silloway Smith, will provide us with a glimpse of the history of aid,
charting how it has developed. She will also identify some of foreign aid's challenges and suggest approaches that
are crucial if we are to move forward in confronting the overwhelming challenge of global poverty.
Date: Tuesday 9th March, 2010
Time: 6.00pm - 7.30 pm
Venue: St Cuthbert's College Auditorium
122 Market Road
Epsom, Auckland
Drinks and canapes will be served
RSVP: Please email rsvp@maxim.org.nz or phone Summer Haycock on (09) 627 3261 by Thursday 4th March
2010
Please note, RSVP is essential
Laws for charities
Submissions are open for the proposed Fair Trading (Soliciting on Behalf of Charities) Amendment Bill. The Bill
aims to increase transparency for professional third party collectors who collect donations on behalf of
charities. The hope is that the changes would encourage greater public confidence in charities and donations.
Currently, there are no rules on what has to be disclosed to the public about where your donations go, except that
no deceptive statements are to be made.
Most major political parties are in favor of the amendment, with the exception of the Greens and the Maori Party
who are proposing some tweaks and further assessment. Submissions on the new bill are due by 19 March.
Review of Special Education
The first discussion document on the Review of Special Education has been released. Published by the Ministry of
Education, the document seeks feedback from educators and all members of the public about how we can best assist
students with special education needs.
The ultimate aim of the Review is to "improve outcomes without spending more money," hoping to build on what
already works well.
The document's principal focuses are: discussing schools that are successful in dealing with special education;
"changing the way that schools work together; improving interagency cooperation and transitions; allocating and
using funding and other resources; improving the quality of services; and improving accountability."
The report calls for all those who have a view on the special education sector to read the document and offer
feedback.
