The Budget

Although it is over one month since the budget was announced to the public the effects on students warrant another look. At present NZUSA is negotiating with the government to revise some of the more pernicious proposals and it is important if these negotiations are to be successful that students know exactly what the government has done and why.

Before discussing these moves, let's just see what the budget did for students. Consider the financial situation of four students earning $1000, $1200, $1500 and $2000 under the new budget proposals compared with their position under the old tax system (see Table One).

It requires no great financial ability to see the effects of the tax structure on students. It seems that the government has adopted the policy of taking from the poor and giving to the rich.