Transcript Slide 1

Productivity perspectives:
the view from the States
Rob Brooker
The views expressed are those of the author
17 December 2007
Reform, productivity and the States
+ Reform focus has shifted to “state” issues
– Health & education
• Disease prevention, literacy & numeracy
• Health service delivery
• Early childhood
– Economic regulation
• Environmental & conservation issues
• Reducing red tape
– Infrastructure
• Transport, housing affordability
The potential gains
Increase in GDP - long term
12
per cent
10
8
6
4
2
0
Total
Productivity
Competition and regulation
Health service delivery
Human capital
+ PC estimated potential
impact of National
Reform Agenda
+ GDP gains of 11% after
25 years
+ Almost half from
“productivity”
External issues
Per capita relativities
+ China
– Two economies
– Capacity constraints
1.1
Recipient
1.0
+ Climate
– Regional vulnerabilities
Donor
0.9
+ Water
– Agricultural productivity
– Environmental externalities
+ Transport regulation
– Impacts on trading States
0.8
0.7
2001-02
NSW
2003-04
VIC
QLD
2005-06
WA
The States’ wish list for Santa
+ Proper evaluation of service delivery outcomes
– Health, education, law & order
– Greater scope for longitudinal data (HILDA, LSAC)
– Property & business services
+ Climate change, water & energy
– Continuing development
+ Continuing improvement of GSP
– Interstate trade