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Economic Reform in New Zealand 1984-95: The Pursuit of Efficiency

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  • Lewis Evans
  • Arthur Grimes
  • Bryce Wilkinson

Abstract

Between 1984 and 1995 New Zealand changed from a closed and centrally controlled economy to one of the most open countries in the OECD. The reforms liberalizing the economy were notable for their very comprehensive coverage and innovations that included: performance contracts for senior civil servants and the central bank, legislated constraints on fiscal expenditure decisions backed by accrual accounting, tax neutrality, subsidy-free agriculture, and no industry-specific regulation of competition. Modern microeconomics contributed much to policy design. Economic growth has been vigorous since 1991, but a different sequencing of reforms may have enhanced outcomes.

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Bibliographic Info

Article provided by American Economic Association in its journal Journal of Economic Literature.

Volume (Year): 34 (1996)
Issue (Month): 4 (December)
Pages: 1856-1902

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Handle: RePEc:aea:jeclit:v:34:y:1996:i:4:p:1856-1902

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  1. Trade-offs are more complicated than Okun’s leaky bucket
    by Matt Nolan in The Invisible Hand in Economics on 2014-02-10 22:00:56
  2. Trade-offs are more complicated than Okun’s leaky bucket
    by Matt Nolan in TVHE on 2014-02-10 22:00:56
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