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Thread ID: 117589	2011-04-25 21:54:00	That $36 mill for Americas Cup? A drop in the ocean apparently!	tuiruru (12277)	PC World Chat

Post ID	Timestamp	Content	User
1197046	2011-04-26 09:37:00	Do remember lads, it's only money.	Cicero (40)
1197047	2011-04-26 11:54:00	To get a reality grip nearly every country in the OECD including Australia is running large government deficits in the last few years, the UK will be worse than NZ even with the CHCH Earthquake (% of GDP) AND they have had large Austerity measures. Luckily the NZ government sovereign debt is at the lower end on the OECD (% of GDP). Does make me wonder why on earth we didn't borrow money for "long term" gain infrastructure projects while the government was running decent surpluses prior to the last few years. A few billion for FTTD or the holiday Highway, or new dams doesn't seem that bad now. You are right regarding our government / public debt not being too bad compared to other countries. However it is our private debt is one of the highest in the world, and that is where the problem is. We are almost as bad as the PIGS countries. We have borrowed all this money to buy overpriced property. It is fine to borrow, but that money should be used for something that is going to increase productivity. Transmission gully was going to cost under 1 billion, and would have increased productivity due to the time savings it would create, but they are now talking about ditching it due to the EQ. That seems like small change these days. You will also note that Oz is cutting their public spending now, even though they are doing very very well.	robbyp (2751)
1197048	2011-04-26 12:39:00	I like rugby but frankly I'm appalled at the total cost of $1.2 billion. Lets be honest - rugby is a minor sport internationally (probably bigger than Americas Cup racing though :D) and NZ is already known for the All Blacks. Some of the spending is on stadiums which makes sense but a lot of it is simply fluff. The article quotes another more realistic perspective: "But University of Auckland economics professor Tim Hazledine says official estimates are overblown, and the benefit to the economy will be much less than $700 million. To calculate the true benefits, it was necessary to deduct the tourism dollars that would have been spent in New Zealand anyway and account for profit margins, he said. "In total, you can find about $150 million actual money-in-the-pocket benefits to New Zealand." The economic case for hosting the Cup was weak, Professor Hazledine said."	Winston001 (3612)
1197049	2011-04-26 13:11:00	I like rugby but frankly I'm appalled at the total cost of $1.2 billion. Lets be honest - rugby is a minor sport internationally (probably bigger than Americas Cup racing though :D) and NZ is already known for the All Blacks. Some of the spending is on stadiums which makes sense but a lot of it is simply fluff. The article quotes another more realistic perspective: "But University of Auckland economics professor Tim Hazledine says official estimates are overblown, and the benefit to the economy will be much less than $700 million. To calculate the true benefits, it was necessary to deduct the tourism dollars that would have been spent in New Zealand anyway and account for profit margins, he said. "In total, you can find about $150 million actual money-in-the-pocket benefits to New Zealand." The economic case for hosting the Cup was weak, Professor Hazledine said." ALthough the 36 million given to the amcup will probably see a better return for the investment, then the rugby. It is also a gamble,as we could win it. To me, the billion odd that has been spent on the rugby is almost like giving the rugby loving people in the country a big party, but may well end in a hangover. I personally used to love watching the allblacks and rugby in general, but since it has been on sky, I have totally lost interest in the game. Instead I have got more into football. I think many other people feel the same way. I am not sure if the amount of money spent on stadia's was money well spent either, becuase after all that money has been spent, NZ still doesn't have a single stadium of world class size. I am speaking of 80,000 plus, which is needed for world class events and tournaments. Instead we have several boutique stadiums, which could be white elephants when not being used. Auckland should really have had a 80000 seat stadium built, but they were never able to decide where to build it.	robbyp (2751)
1197050	2011-04-26 22:19:00	"In total, you can find about $150 million actual money-in-the-pocket benefits to New Zealand." You see, there's the rub! And exactly which sector of the population benefits, and what percentage is that of the total (working?) population? Also ($150 mill / $1.? bill) * 100 = ?? percentage return? Hardly a get rich quick scheme!	tuiruru (12277)
1197051	2011-04-27 20:53:00	You are right regarding our government / public debt not being too bad compared to other countries. However it is our private debt is one of the highest in the world, "Private debt" is not one of the highest in the world lol, that is a NZ media sensationalistic myth. Our private debt is below Australia, US, UK, Ireland, Canada, Germany, France (all % of GDP) thats off the top of my head. NZ is NOT even in the top 50 worst nations. You do have to consider commercial assets when talking about private or external debt and thats where there is concern for NZ, simply looking up NZ in the rankings does not tell a accurate story.	Battleneter2 (9361)
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