All our eggs in one basket by Peter Grove

Peter Grove:

I am a New Zealander and have lived in the Wellington region all of my life except for a stint of four years in Melbourne. My life's work has been connected with the Building Industry with experience in most areas of building, including several stints in administrative positions in the Public Service. Upon leaving the Service I returned to building and rejoined Fletchers who were my first employer after leaving college.  My family is spread out with our daughter here in Wellington, and two sons living and working in Melbourne with their respective families. 

Here is Peter’s contribution:

"I have reread Winston's comments on the Housing Bubble and the downturn in Milk Prices. I believe what he has said is true and in line with my beliefs about the present economic situation.

We saw in 1973 the effect of Britain joining the EEC and, the sudden curtailment of export frozen meat carcases to that country. The effect in this country was serious, to put it mildly. With Fonterra's present dilemma New Zealand is in much the same position now as it was in 1973. To add to our difficulties it seems there has been a recent decline of demand for logs for overseas markets. All these things are more evidence if any is needed of this country's governments to rely too heavily on a few items
for our export earnings, The old familiar 'All the eggs in one basket' trick.

I greatly fear that the current pre-occupation with Auckland and its problems is another example of that particular failing. Winston has made it clear on numerous occasions the the regions of New Zealand are being completely neglected in favour of Auckland. If you go back just a few years the infamous levy on every litre of motor fuel imposed to 'help Auckland' was introduced by the then Labour Government. Since then it has been proposed the petrol prices will rise by 3c/litre each year, for the same reason. The rest of the country is rated by local authorities for necessary upkeep of infrastructure. Auckland at time of the last census, Auckland's population stood at 1.42 million and rising at the rate of 110,000/year. It seems to me that the Super City should be rendered self supporting as are all the other municipalities in the country The odious levies in favour of Auckland need to be rescinded and
the Megalomaniac Len Brown told to get his Super City House in order, using the resources available to him from the annual rates bills

That is an aside to the purpose of this discussion. The propensity of our politicians to put all the eggs in the one basket, is borne out once again by their preoccupation with Auckland at the expense of the
rest of the country, The root of the problem as I see it lies with the preponderance of MPs hailing from Auckland. Any issue in the parliament involving the Queen City is automatically assured of a block vote for that reason. Going back to Winston's comments the present situation in Auckland with unsustainable house prices is such that when the crash comes, and it will come, will pull the whole of New Zealand down with it and we will truly attain the Third World Status set in train by Roger
Douglas and clowns of similar ilk who have followed him.
 
Correction:My contention that Auckland's population is increasing at the rate of
110,000/year is erroneous. In fact it increased by 110,000 since the
2006 census. population in the 2013 census of 1.42 million stands.