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Reader poll

Should you fix your mortgage now or stay floating?

Choices

Have your say: Should New Zealand join Australia's federation of states?

Posted in News

TVNZ has commissioned a poll by UMR of 1,000 Australians and 1,000 New Zealanders on whether New Zealand should become the 7th state of Australia. It found about 40% of respondents thought the idea was worth debating, but that 71% of New Zealanders and 52% of Australians opposed the idea.

The poll found 37% of New Zealanders believed the economy would be better off if New Zealand was the 7th state, while 27% believed it would be worse off and 25% said it made no difference.

A net 10% of New Zealanders believed the economy would be better off, while a net negative 12% of Australians believed their economy would be better off. The poll found 32% of Australians believed the economy would be worse off, while only 20% believed it would be better off.

The full results of the survey are here on TVNZ's website.

My view

Our economies are different enough for a forced combination to be dangerous. We export soft commodities such as dairy, meat and wool, while Australia exports hard commodities such as iron ore, other metals and coal. Our economic growth rates have differed significantly in recent decades.

The application of an Australian dollar and Australian monetary policy to New Zealand's economy would have been disastrous in the last 10 years or so in particular. Australian interest rates were lower than our rates from 2004 to 2009, which would have made the housing boom even worse. Australian rates started rising in October last year, which most believe would have been too early for our economy.

Just ask Ireland, Spain and Greece if they would like their own currencies and monetary policies back. They would take them back in a heartbeat.

We already have the best benefits of a union via CER and joint ownership of our banking, media and other industries.

Your view?

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

We welcome your comments below. If you are not already registered, please register to comment in the box on the right or click on the "'Register" link at the bottom of the comments. Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making these comments.

43 Comments

Yeah, it doesn't make sense,

Yeah, it doesn't make sense, to loose our identity, and for what in return?

TVNZ are having a slow

TVNZ are having a slow news day , and trotting out this tired pile of dingo poo yet again ? Stupid , and boring .

They must have soft , simple heads down in the bowels of TVNZ . Too many years of living large at the tax-payers' expense .

Here's a survey for you , TVNZ : How many respondents feel that TVNZ should be fully commercialised , and floated onto the stock-exchange as a publicly listed company . That oughta focus your attention on the bigger issues in life , and not the inanities . And meebee it'll stop you from wasting $ 700 000 or so of tax-payers' munny on fool newsreaders who don't know one end of a finance company from t'other .

I agree completely with Bernard.

I agree completely with Bernard. The current situation in Europe should be sufficiently instructive for anyone thinking that some theoretical efficiency gain would offset the disadvantages now brutally apparent. Arguably the South Island should have its own currency. I'm sure they would agree although they would probably need to ring fence Queenstown to properly see the benefits.

Agree with Bernard, Europeans would

Agree with Bernard, Europeans would like to have their own currency back! I have family and friends over there, they all regret having voted at the relevant poll years ago to join the EU. The bigger any administration gets, the more expensive, no efficiency in getting anything properly done, and what's being done is regulating businesses and people to a choking death with red tape.

"We already have the best

"We already have the best benefits of a union via CER and joint ownership of our banking, media and other industries."

Do you know how much it costs to transfer funds from a NZ bank to an Aussy bank?

How do we benefit with CER?

Nothing like a good dose

Nothing like a good dose of poodle media BS to distract the peasants long enough for their pockets to be picked clean. When will this crap end?.
Why can't tvnz do a better job...oh I know...it's because they don't have to!

Wikiriwhi - if you actually

Wikiriwhi - if you actually think saving 30 bucks is worth you effectively giving up your sovereignty, then I'd suggest a move to Australia will be best for all.

I'm all for uniting with

I'm all for uniting with Australia but I think the poll asks the wrong question - i.e. should we become a state or not.

It should be possible to unite in such a way that we retained our identity and had more sovereignty than a state by entering a federation that for practical purposes ceded much sovereignty but in a way that we remained separate countries for as many international purposes as possible (sporting and seats on international tables etc).

People want to retain their identity - I am a New Zealander and proud of it' they don't want to call themselves 'Australian'. They could still do this. The fact that Scotland is part of the UK does not make people any the less Scottish - they can still say I'm Scottish and support their football and rugby teams (although not olympic and in UN). The fact that Ireland is part of the EU doesn't make the inhabitants any less Irish.

A large part of the EU's problems stem from the fact that Swedes, French, Greeks, Brits etc.. are very different peoples with fundamentally different value systems and ways at looking at the world. For all our nit-picking Australians and New Zealanders are at the end of the day much closer in almost every way than say the Greeks and Germans - we all speak the same language and shares religions and values and are similar ethnically.

Texas is very different from Vermont in terms of values and economy and yet they manage to live in the same country and share a common currency.

MarkyMark, it's like you want

MarkyMark, it's like you want to Marry a beautiful, rich woman and still want to have girl friends on the side. Good luck.

It would be advantagious at

It would be advantagious at some times and disadvantage at others
Overall for the reasons BH mentions above NO.
Then there are the social issues, identity ....
The compradeship of generations ..ANZAC is fine and shouldnt go further.
Then the legal issues, tidied to Aussie Fredual laws and such which would not be applicable here...health , welfare, education etc...the Aussie states have enough lissues as it is.
Then there is the Treaty of Waitangi no way would the Aussies go down that route..
Maybe that would be a +ve????
One country one people one flag.

But overall a big NO.

I agree entirely with Bernard.

I agree entirely with Bernard.
I have nothing against Aussie, it's a great place, I like here better, but I get a bit sick of there people that a awed by anything and everything Australian, and that think anything from there must be better because it's a bigger country.

For any economic gains, there would be much more disadvantages, there are some special interest sections of the community that would gain from this, and once again no doubt we will get them lobbying for this type of thing, but for most of NZ it would be a bad thing.

The European and US private

The European and US private incorporated investment banks already own us, and Australia for that matter, via their controlling stakeholdings in what are refered to as the Australian Banks, all the rest is horse play really.

"joint ownership" of our banks.

"joint ownership" of our banks. What NZ banks do we own apart from kiwi bank? and how many Aus banks do we own ... zip.

But agree, NZ should not join with Aus. we will become another Tasmania.

<blockquote>The European and US private

The European and US private incorporated investment banks already own us, and Australia for that matter, via their controlling stakeholdings in what are refered to as the Australian Banks, all the rest is horse play really.

Yes, it's like rearranging the deck chairs on the titanic.

Steven Keen considers that the

Steven Keen considers that the present bubble in OZ has yet to burst, the game is half over. If we'd been a 7th state I agree our housing boom with the first time buyers incentives etc would have been more inflated than it is now....

Apart from that being a 7th state does not benefit us or OZ IMHO....there would still be state legislators etc....I see no good reason why we should....we differ to OZ so why?

The preception that our economy would be like theirs? so lets get a free tax handouts from OZ, is that what we are saying? sounds like it.

regards

Even to consider - what

Even to consider - what a stupid idea - not much more I have to say.

Having lived in AU for

Having lived in AU for a long time I found on my return to NZ that in the main AU is a more go ahead positive place where enough political agitation has the pollies taking note and often making changes. Here what the plebs think doesn't matter, except for a bit of hoodwinking at election time from the pollies and not enough guts to make the real changes we all know we need, but won't face up to.
NZ would benefit enormously and AU not much in a union BUT it won't work until AU gets rid of(which it won't) it's anachronistic political system of state and federal gotvs. 22m people only need a federal system now the distances in the place are no longer a problem and bullock carts and bush telegraph have been superceded.
The Aussies should take the best of each states policies and taxes etc and meld them into one Federal system then take NZ aboard with all the same rules and currency. For us to join them now we'd just be a poor state( as someone said like Tassy) and there would be only down side.Our economy would have to be 100% in sync not running to a different part of the cycle. Anyway unfortunately there is no show of the sytem changing in Ozz so all this is a bit of a dream.

water water water we've got

water water water

we've got it

they ain't got it

I wonder where this whole idea of "merging" is really coming from....

Nichola, Funny you should mention

Nichola,
Funny you should mention water, might want read my 11:59 post here
http://www.interest.co.nz/ratesblog/index.php/2010/03/11/top-10-at-10-go...

Nicola - in reality they've

Nicola - in reality they've more water than they need - at times more of Qld alone is under water than the whole of NZ - they've just gotta manage it. They should have directed a lot more of their stimulus money and a lot more before and after and on an ongoing basis to storage, pipelines catchments etc. Throw enough brainpower, $$$ and infrastructure at the problem and its fixable - look at Las Vegas how did it get like it is where it is - a massive think big project that succeeded.

Look at the amount of $$$ Rudd and co threw at first home owners, home insulation, new classrooms no one wanted, cash handouts to everyone and sundry to spend at casinos, pokies and plasmas ( the list goeson) and which is now starting to be seen as short term panic thinking and a stuff up. This could have been the start of dealing with the water problem.

Australian urban water shortages ...

Australian urban water shortages ... mainly a refusal to accept 'toilet to tap' solutions?

So where the bloody hell are we....

'Australian Constitution Preamble '

6. "The Commonwealth" shall mean the Commonwealth of Australia as established under this Act.

"The States" shall mean such of the colonies of New South Wales, New Zealand , Queensland, Tasmania, Victoria, Western Australia, and South Australia, including the northern territory of South Australia, as for the time being are parts of the Commonwealth, and such colonies or territories as may be admitted into or established by the Commonwealth as States; and each of such parts of the Commonwealth shall be called "a State".

Emotionally the idea is a sad one, but I'd rather engage in the debate than let it occur by attrition.

Links anyone?

This is some kind of

This is some kind of an April Fool's joke right? I'm just an American who lived in NZ for a few yrs but I find the idea of giving up NZ sovereignty for any reason to be laughable - and some what offensive. I cannot imagine any practical reason to cede sovereignty - it's just a stupid idea.

It is time the Mainland

It is time the Mainland broke away to form a separate country. Make the peasants in Noddyland pay for the power going up the line. Our own Parliament with just 6 mps. We have most of the water. All the best scenery. Dam good soils. Top tourism attractions. We could be on the gold standard and say goodbye to Bolly's tricks.

Stuff this poodle media distraction...get on with cutting the rotten top off the best bit at the bottom.

New Zealand should and will

New Zealand should and will become a State of OZ. NZ would benefit from being part of OZ. How ridiculous it is to have so many politician, civil servants, etc for less than 4 million people. NZ is too small. Look at the stats, we are falling back behind lost of OECD countries. Only way to catch up with OZ is to be part of it. Swallow your pride and move on for better !

Wally is the only one

Wally is the only one in this entire thread who makes sense.

Joining Australia is a dumb idea, however the south island forming its own independent nation is a great idea. So much of the souths resources have been stolen and handed out to the people of Auckland over the years.

voting is academic really -

voting is academic really - when the the money runs out for our growing unproductive sector then our biggest creditor will just assume control. There will be no vote. Both our Ponzi economies are heading down the same road its just we will default first.

The differences between New Zealand

The differences between New Zealand and New South Wales are no greater than the differences between Victoria and Queensland. The identify of the Australian states is already very diverse.

Aside from the economic benefits of a genuine single market, New Zealand would receive a massive subsidy from its share of mining profits, and most importantly of all would hold the balance of power in the Senate. Thus, we would receive an endless series of pork barrel projects so the Government of the day could get its legislation through the upper house.

Wouldn't the inflationary pressure from

Wouldn't the inflationary pressure from lower interest rates would have been offset by the fact that Australia has a capital gains tax?

Any union would require tax union, at least at the federal level. New Zealand as a state would still be able to levy it's own taxes, but the federal taxes (which I believe includes cap gains?) would be the same.

Right... Any discussion or attempt

Right... Any discussion or attempt to try to get the nations economy under control or to get ahead in the OECD list by doing this or that is futile. With the debt based fiat monetary system we have today, it is IMPOSSIBLE to do this. Unless of course your nation is lucky to have great natural resources to sell off. But even then it's just a matter of time until these have been milked dry by those who are on top of the system. This is unavoidable and an inevitable mathematical implication of debt and compound interest.

We need to start a discussion how to reform the monetary system! Anything else is just pushing the inevitable one tiny step ahead.
Sorry to be banging on about this when Ian has done such a good job already :), but reading the article today about opening up natural reserves for mining really got me going. This will only be a temporary solution to the economy. The resources will run dry, a selected few will get stinking rich, most will get nothing, and the environment will suffer greatly. Then after a while we will still be back to square one with debts over our head again. And then what?

I'm not saying there are evil conspiratory forces at work, just that the monetary system we have today will unarguably lead to ever increasing poverty for most, regardless of any inherent natural wealth a country might have. Joining Australia or not will not change this.

Why this talk of becoming

Why this talk of becoming the 7th state? With a population of over W.A, S.A, and Tasmania combined we should be joining as 3 states. North, Central, and South NZ. this would even out some of the perceived Oz bias in monetary policy. Tasmanians are Tasmanians first and Australians 2nd as NZers would be. South NZ would have their own parliament and not have to tolerate being dictated to by North NZers

Bernard, have you ever been

Bernard, have you ever been to the United States? Wealthy succesful states like Massachussetts, Texas and Iowa are very economically diverse and yet they have flourished for over a century with a common economic zone.
Really within the OECD its hard to find 2 nations that are as compatible as Oz and NZ on so many levels and if you do a 20 year chart of the AUD and the NZD you'll see the markets are telling you that as well.

Family considerations apart, the underlying

Family considerations apart, the underlying basis as whether or not the events and changes over the past century have drawn Australia and New Zealand even closer together (or further apart) needs to also be considered in light of some of today’s other realities, emotions notwithstanding.

I surmise that the now estimated 460,000+ Kiwis who’ve voted with their feet and crossed over to live and work in Australia have done so mainly to take advantage of opportunities in a now richer country. There is nothing wrong with that. But raising the question of again merging with the Commonwealth on the basis of economic advantages alone doesn’t quite fully explain what’s in the minds of the majority of 89.3% of Kiwis who so far have elected to stay put in their own soil.

If you want to know my take on this subject, just go to: http://karlquirino.wordpress.com/2010/03/16/kiwiroos-all-eh/

and let me know what you also think.

Rod Oram on related matters...

Rod Oram on related matters...

Rod Oram looks at trans-tasman business and economics issues. (duration: 19′39″)

http://static.radionz.net.nz/assets/audio_item/0010/2239687/ntn-20100316...

What is "search engion optimsation"

What is "search engion optimsation" Karl?

We are to Orstrailer wot

We are to Orstrailer wot Greece is to Germany . Why would Orstrailer want to accept us , with our profligate ways , our huge indebtedness , our overwhelming governmental bureaucracy ? Where is the attraction to them , in taking on a liability .

I have read all these

I have read all these bogs from New Zealanders who oppose NZ joining the Australian Federation. I am an Australian who resides in Sydney.

It all boils down to this.Australia with a population of only 22 million is about the worlds 14th or 15th biggest economy based on GDP per head of population.In 1900 it had the worlds highest standard of living and in 2010 it still has one of the worlds highest standards of living and is the only western nation which is essentially debt free and absolutely booming. It has been booming for the last 60 years, especially the last 13 years and has one of the brightest futures of any nation with a wide and culturally different population mix that has been successfully melded into a very culturally and economically vibrant society.

New Zealanders shunned the immigration policies of Australia which quite literally took in the world's population and all it has to offer as migrants and instead of clung to mother England for too long.A fatal mistake for any small or medium country, be it Australia or NZ.

Many of the blogs i have read are mostly insular in outlook and typical of the kind of thinking that will make NZ continue down the path of increasing debt and declining living standards to become an even smaller Pacific island nation with increasingly limited opportunities.The call for self government for the South island is typical of such parochial thinking.

NZ is a great place with a huge potential provided it is part of a bigger tax base and a bigger popuation .People shouldn't have to leave NZ to get experience or become known.New Zealanders are as much if not more like Australians and vice a versa as many who migrate here.Australia and New zealand should be one.

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Think about it. Once New

Think about it. Once New Zealand joined Australia all the business would move to Sydney, leaving Nz in a worse situation.
For an example look at Tasmania - no one invests there, instead they head off to Sydney, Melbourne and Perth.
The same would happen to nz if it joined Australia.

Thanks

Thanks

Ofcourse we should join Australia.

Ofcourse we should join Australia. At the moment we are competitors. We should lock in Unity. See my You tube posting http://www.youtube.com/watch?v=kowoTZV3wAU or go to you tube and search join australia.
Comparsion with Queensland is a better one. Th populations are the same. The Queenslanders don't seem to complain.

Yes New Zeeland should join

Yes New Zeeland should join Australia for a few simple reasons

 

1) New Zealand never has and never will have any money (very little not enough for the country to compete with EU, Australia and North America)

 

2). New Zealand is a relatively poor country and has very few resources to combat the growing problem

 

3). New Zeeland exodus is reaching very high levels as a result of New Zealand never being able to afford the salaries that are on offer in UK, Australia, North America and a number of EU Member States.

 

4) Some of the new EU10 are ahead of New Zealand and are doing much better because these EU Member States have access to a lot of EU Funds.

 

5). If New Zeeland joined Australia New Zealand would be better protected from the economic crisis which is making New Zealand go backwards in certain areas.

 

6) New Zealand can benefit from a huge and substantially wealthier and more developed market.

 

7) New Zealand can have better infrastructure and other neccessities. (New Zealand has very poor infrastructure and poor roads)

 

The world is bloated already.

The world is bloated already.

We need smaller economic/ social/ policial cells not bigger ones in order to have better control what we are doing - but with less and more intelligent administators/ politicians.