Mr MILLS - 2000-10-18
Labor has made great play of its claim that the Territory economy is in recession. Does the Treasurer have any information that can dispel this Labor claim?
ANSWER
We are very familiar, sadly, Mr Speaker, with the fact that the Labor Party has been undermining the confidence of the business sector across the Northern Territory by asserting that the Northern Territory economy is in recession. Quite erroneous, notwithstanding that it has been pointed out to them that they have been wrong on that issue.
Ms Martin: Did you ring Access Economics?
Mr REED: Access Economics is the measure is it? I pick up the interjection. The Leader of the Opposition says ‘Do you read Access Economics?’ and I will be able to demonstrate to her very shortly that I do and that she places great store in what Access Economics has to say, because I think she will also learn a lesson to keep the mouth shut because she has just taken the bait and I thank the Leader of the Opposition for her gullibility.
In terms of the Northern Territory economy, it is important to recognise that comparing this year with last year you have to take into account the fact that there was a $1.4bn project in terms of the Northern Endeavour, which was reflected in the performance last year. In addition to that, the East Timor crisis generated activity in our economy and, of course, as they did not occur this year there would naturally be, by comparison between the two years, a huge difference.
Notwithstanding that, the Northern Territory economy, taking into account that we have seen a tapering off of the defence activity in the north in terms of the infrastructure programs, is getting back to more typical levels. However, I take up the point that Access Economics, as suggested by the Leader of the Opposition by way of her interjection, are very knowledgeable about these particular matters because it is a very important point that she makes. Indeed, in its September quarter five year business outlook, Access Economics, this organisation that the Leader of the Opposition says we all should listen to, presents somewhat a more accurate picture of the Territory economy than the opposition deceitfully has done over the last month or two. It puts a lie to the fact that the Labor Party are asserting that the economy is in recession.
The Access Economics report, The Five Year Business Outlook, recently released says this:
Using state final demand growth as a proxy for state output performance can be highly misleading.
Now I pointed that out to the Leader of the Opposition when she first made assertions that the Territory economy was in recession. She chose to ignore it because she wanted to create instability in the private sector and she wanted to try and demonstrate that as shadow treasurer she knew what was going on and she knew that the economy was in recession and further to that if she repeated it often enough people might start to believe it. So, in terms of what Access Economics have had to say and I quote:
So the North is certainly not in recession…
And quite an extraordinary comment this next one for a group like Access Economics to make and it is in brackets:
…(and hear this all journalists - no we did not say it was).
So Mr Speaker, caught out on two counts is the mouth of the Leader of the Opposition. Firstly, she asserted that the Access Economic report formally had said that the Territory economy was in recession and secondly, she continued to repeat notwithstanding that it had been brought to her attention that in fact it was not. So if she believes Access Economics, and she has probably changed her mind already from her interjection earlier in the answer to the question that I am providing, then she will accept that the Northern Territory economy is not in recession and that the Access Economics report for the five year business outlook clearly demonstrates that Access never suggested that it was and that the Labor Party was misrepresenting the facts. And by doing so is putting down the engine room of the economy in terms of the hardworking private sector that is in fact the driver of the economy.
Government facilitates action just as the Chief Minister is today signing an agreement with the construction of the railway and in terms of the engine room of the economy it is the private sector to do it. For the Leader of the Opposition to have knowingly misrepresented the fact and asserted that the economy was in recession by choosing to use one measure in terms of trying to demonstrate a point of a political nature of her own is nothing short of deceitful. It is irresponsible as a head of a political party to act in that way and I am sure that the business community will be very pleased in fact to read the Access Economics report which was held up by the Leader of the Opposition as the words of authority in terms of the Northern Territory economy.
She has no opportunity now other than apologising to Territorians for being deceitful, apologising to Territorians for misrepresenting the fact that the Territory economy was in recession when in fact it was not and acknowledging the fact that Access Economics believe that the economy is sound and that Territorians have a strong economy to base their future prospects on to continue to see the Territory develop, to continue to get jobs for their kids and to have a bit of a vision in relation to what the government is doing to create those very worthwhile circumstances which will benefit all Territorians.
ANSWER
We are very familiar, sadly, Mr Speaker, with the fact that the Labor Party has been undermining the confidence of the business sector across the Northern Territory by asserting that the Northern Territory economy is in recession. Quite erroneous, notwithstanding that it has been pointed out to them that they have been wrong on that issue.
Ms Martin: Did you ring Access Economics?
Mr REED: Access Economics is the measure is it? I pick up the interjection. The Leader of the Opposition says ‘Do you read Access Economics?’ and I will be able to demonstrate to her very shortly that I do and that she places great store in what Access Economics has to say, because I think she will also learn a lesson to keep the mouth shut because she has just taken the bait and I thank the Leader of the Opposition for her gullibility.
In terms of the Northern Territory economy, it is important to recognise that comparing this year with last year you have to take into account the fact that there was a $1.4bn project in terms of the Northern Endeavour, which was reflected in the performance last year. In addition to that, the East Timor crisis generated activity in our economy and, of course, as they did not occur this year there would naturally be, by comparison between the two years, a huge difference.
Notwithstanding that, the Northern Territory economy, taking into account that we have seen a tapering off of the defence activity in the north in terms of the infrastructure programs, is getting back to more typical levels. However, I take up the point that Access Economics, as suggested by the Leader of the Opposition by way of her interjection, are very knowledgeable about these particular matters because it is a very important point that she makes. Indeed, in its September quarter five year business outlook, Access Economics, this organisation that the Leader of the Opposition says we all should listen to, presents somewhat a more accurate picture of the Territory economy than the opposition deceitfully has done over the last month or two. It puts a lie to the fact that the Labor Party are asserting that the economy is in recession.
The Access Economics report, The Five Year Business Outlook, recently released says this:
Using state final demand growth as a proxy for state output performance can be highly misleading.
Now I pointed that out to the Leader of the Opposition when she first made assertions that the Territory economy was in recession. She chose to ignore it because she wanted to create instability in the private sector and she wanted to try and demonstrate that as shadow treasurer she knew what was going on and she knew that the economy was in recession and further to that if she repeated it often enough people might start to believe it. So, in terms of what Access Economics have had to say and I quote:
So the North is certainly not in recession…
And quite an extraordinary comment this next one for a group like Access Economics to make and it is in brackets:
…(and hear this all journalists - no we did not say it was).
So Mr Speaker, caught out on two counts is the mouth of the Leader of the Opposition. Firstly, she asserted that the Access Economic report formally had said that the Territory economy was in recession and secondly, she continued to repeat notwithstanding that it had been brought to her attention that in fact it was not. So if she believes Access Economics, and she has probably changed her mind already from her interjection earlier in the answer to the question that I am providing, then she will accept that the Northern Territory economy is not in recession and that the Access Economics report for the five year business outlook clearly demonstrates that Access never suggested that it was and that the Labor Party was misrepresenting the facts. And by doing so is putting down the engine room of the economy in terms of the hardworking private sector that is in fact the driver of the economy.
Government facilitates action just as the Chief Minister is today signing an agreement with the construction of the railway and in terms of the engine room of the economy it is the private sector to do it. For the Leader of the Opposition to have knowingly misrepresented the fact and asserted that the economy was in recession by choosing to use one measure in terms of trying to demonstrate a point of a political nature of her own is nothing short of deceitful. It is irresponsible as a head of a political party to act in that way and I am sure that the business community will be very pleased in fact to read the Access Economics report which was held up by the Leader of the Opposition as the words of authority in terms of the Northern Territory economy.
She has no opportunity now other than apologising to Territorians for being deceitful, apologising to Territorians for misrepresenting the fact that the Territory economy was in recession when in fact it was not and acknowledging the fact that Access Economics believe that the economy is sound and that Territorians have a strong economy to base their future prospects on to continue to see the Territory develop, to continue to get jobs for their kids and to have a bit of a vision in relation to what the government is doing to create those very worthwhile circumstances which will benefit all Territorians.
Last updated: 09 Aug 2016