Back in Black

Can a leopard change its spots? The Grattan Institute has released a report titled “Back in Black”. It contains recommendations on how to correct Australia’s chronic budget deficit problem.

The summary of Grattan’s media release reads that the Government must cut spending and raise taxes.

I had expected the “raise taxes” bit because that is what Grattan always recommends. I was therefore pleasantly surprised at the “cut spending” part. From Grattan?

Reading further, it turns out what Grattan recommends is mainly about raising taxes. Budget repair by expenditure cuts amounted to $15b, while tax increases amounted to $55b in Grattan’s recommendations. Further, Grattan recommended the Government consider a carbon tax and an inheritance tax.

Leopards can’t change their spots.