NZ Asset Sales Policy Began On Wall Street

One thing not mentioned in this otherwise excellent article is the fact that John Key has most of his paper wealth still in what is easily the most corrupt and hated bank; Bank of America and is as such seriously compromised.

By Lewis Verduyn

The Key government’s asset sales agenda is derived from the Washington Consensus – a set of Wall Street-driven policies that were pronounced dead after the global financial meltdown in 2008.[1] The New Zealand government, however, remains loyal to this failed ideology.

Why? The obvious link is Prime Minister John Key – a former investment banker for Merrill Lynch, the world’s largest brokerage failure.

In most other countries, state asset sales have become a last resort on the road to poverty and ruin, but for the Key government, asset sales are “business as usual.” [2]

So what’s really behind asset sales?
All wealth extraction is facilitated by international and national economic policies, coupled with the private banking system, which together deliver benefits to the financial elite by transferring wealth upward within and between nations.

The state asset sales policy is just one of several reforms under the Washington Consensus, a set of monetary and economic policies designed to allow: the privatization of public resources and utilities, the removal of barriers to foreign investment and ownership, the sale of state assets, trade liberalization, deregulation, the lowering of business taxes, and cuts to public services.[3]

These “free market” reforms are collectively termed neoliberalism.[4] Simply, they provide big business with improved legal access to markets and assets worldwide.

Read more


4 thoughts on “NZ Asset Sales Policy Began On Wall Street

  1. Okay here is my take on this.At first I thought it was a dumb idea,short term gain for long term pain,but then I thought to my self,Keys is a smart businessman,he knows the issues of selling a good performing asset…so why? The answer,I believe, is that Keys knows whats coming down the tracks..a world wide down turn possibly a depression.So sell now while you can get good money and then perhaps buy back in at the bottom for pennies on the dollar.Look at Greece,forced to sell it’s assets at a discount…Keys is ahead of the crowd I believe.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s