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30 Oct 2004
You may have the impression that the overall tax take has increased. In fact, it has fallen in relative terms. Between 1996 and 1999 the tax take averaged 32.4% of GDP, dropping to 31.6% of GDP in 2000-2002. Spending has fallen further, as successive governments have not adequately adjusted assistance for low income families as prices have increased. As a result in New Zealand, a society that has long believed in a fair go for all, children are increasingly dying in hospitals from diseases of poverty. Many more will be crippled by such diseases and be incapable of working. An even larger number will suffer from chronic illness. Many children will go hungry, have their schooling disrupted and live in stressful homes. These children are not getting a chance to develop and contribute to society.
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