Buying shares in the Government’s sell-off of state assets would break the bank for most New Zealanders says Labour’s State Owned Enterprises spokesperson Clayton Cosgrove.
His comment follows an analysis of figures which show the median Kiwi household has only $1700 in savings and would be struggling to buy shares in Mighty River Power, the first of the SOEs to be floated.
I have an easy solution, based in fact on Labour Party policy. Labour have spent three years attacking the Government for not borrowing more money from overseas, to give to the NZ Super Fund to invest in shares and bonds.
Using Labour’s logic, then obviously the solution is that every Kiwi household should go out and borrow $2,000, so they can buy shares in Mighty River Power. It’s a win-win.
Now some of you may say it is daft to borrow money to invest in shares. I might even agree. But that is what Labour spent three years advocating, so I am sure they want households to go out and do it. Plus that way, more shares will stay in local hands!