Facts Fight Back Vol. 72 March 2013 The election date has been set. In the lead up to September 14, The Australia Institute will launch a Facts Fight Back Facts Fight Back website and a Wellbeing Agenda. Executive Director Dr Richard Denniss Richard Denniss explains why. Elections are the way that Foreign aid works democracies resolve disputes, and Tim Costello election campaigns are the way that political parties try to persuade us Getting the research that which disputes most need resolving. matters to the people who Is the election a ‘referendum’ on the matter Gillard government’s handling of Craig Mark Ogge Thomson and Peter Slipper, or is Tony Abbott’s character the central issue? The truth about the gender Should the election revolve around the pay gap decision to keep or abolish the carbon Anne Summers price or should industrial relations policy be top of mind? A culture of resistance Kerrie Tucker There are, of course, no right answers to such questions. Ultimately it is up Trouble with childcare to the 13 million Australian electors David Baker to decide both what their priorities are must be trusted to weigh their own and which political party they believe priorities, but they cannot be expected Paid to pollute can best address those priorities. to check the truthfulness of everything Matt Grudnoff The media play an important role they hear. Freedom of speech does in alerting voters to the existence not mean the right to scream ‘Fire!’ in Big business in Australia of some problems, and in turn the a crowded theatre, and free political David Richardson politicians are keen to influence the debate does not imply the right to media’s reporting, but ultimately it is simply make things up. For political Early intervention critical to up to voters to decide on which issues debate to strengthen our democracy mental health are most important to them. the political cost of deception needs Amanda Bresnan to be far higher than any political e will do our best advantage that flows from fabricating Hockey at it again to highlight the the facts. David Richardson existence of the As clearly shown by The Australia policy problems Institute in the past, our level of Time to flex shareholder Wthe political parties would public debt is among the lowest muscle prefer we didn’t notice and in the world, as is the level of tax Dr Richard Denniss to ensure that facts play an collections in Australia. These simple, important role in shaping independently verifiable, facts do not, Institute news those debates. however, impede many politicians from claiming the exact opposite. How ISSN 1322-1876 But while politicians should be free to can the public choose widely between ACN 061 969 284 make their case for what the big issues competing reform agendas when they ABN 90 061 969 284 are and why their policies are best at are deliberately misinformed about the [email protected] tackling them, they should not be free problems the nation faces? www.tai.org.au to make up their own facts. Voters Continued on page 2 Facts Fight Back from page 1 In recent weeks the national political as accurate information about who not evidence or ideas, but the political debate has finally caught up with benefits. will to implement such solutions. TAI’s agenda concerning the massive cost of the tax concessions for This election year we will be doing our Our Facts Fight Back website will superannuation. Since 2009, the best to both highlight the existence of provide a timely and accessible source Institute has published four research the policy problems the political parties of information to help voters, journalists papers, XX opinion pieces and given would prefer we didn’t notice and to and the politicians themselves keep countless interviews and presentations ensure that facts play an important role track of who is being loose with on the need for fundamental reform. in shaping those debates. In order to the truth. While the TAI website will achieve those objectives this year we continue to focus on detailed policy Analysis by The Australia Institute, and will be rolling out two major initiatives analysis and development, the Facts now analysis by the Commonwealth in the form of our ‘wellbeing agenda’ Fight Back site will keep things much Treasury, clearly shows that the claim and our ‘Facts Fight Back’ website. simpler. If we identify any politician that generous tax concessions for making spurious claims, or simply superannuation ‘take pressure off making things up, we will let as many the budget’ are demonstrably untrue. ow can the public people know as quickly as we can. Put simply, the costs of providing tax choose widely concessions for superannuation are between compet- So, from all us here at The Australia far greater than the associated savings ing reform agendas Institute, happy election year! While in the cost of the age pension. Hwhen they are deliberate- we will see plenty of the silly helmets, ly misinformed about the the bright safety vests and the walks According to Treasury, the cost of problems the nation faces? through shopping centres designed tax concessions for super will soon to make our politicians seem ordinary be more than $45 billion per year; and down to earth, we know there is The wellbeing agenda is the Institute’s far more than the cost of the age nothing ordinary about our members way of highlighting that simple pension or, indeed, the cost of health and supporters. We will work hard to solutions to big problems do exist. or defence. It is of course up to voters keep you supplied with the ideas, the Banning junk food advertising on kids’ whether they want to spend $45 billion analysis and the facts that we think TV will save us a fortune on future per year supporting superannuation, elections should revolve around, and health costs; slowing the rate of skilled just as it is up to voters if they want we apologise in advance for those in migration will create job opportunities to provide more than one third of the media and politics who will also this support to the wealthiest 10 per for those struggling to find work and be working hard to bombard you with cent of the population. But in making take pressure off our infrastructure stories based on so-called human such a decision voters need to be budget, and scrapping tax concessions interest and half-truths. provided with accurate information for fossil fuel use will raise billions and about the cost of such choices, as well discourage pollution. What’s missing is Thanks again for your support. § 2 Foreign aid works At a time when the Australian government has announced it will divert a large portion of its aid budget back to its onshore refugee commitments, World Vision Australia Chief Executive Tim Costello argues that we should consider the cost to the world’s poor, who would otherwise be the beneficiaries of the Australian aid dollar. Foreign aid works. have been left vulnerable to potentially fatal illnesses. Almost a quarter of a It’s one of those simple statements million women had a skilled attendant that belies a great deal of complexity, present while giving birth. Basic but it’s also simply true. sanitation was provided for 1.6 million people, and 2.5 million people have Sadly, foreign aid is also an easy better access to safe water. target. When budgets run over or governments need a quick slash and burn, there is a temptation to eye y diverting $375 the $5.1 billion that Australia spends million of overseas improving the lives of some of the aid to helping poorest people in the world. refugees in Australia, Bwe became the third biggest I have seen the changes Australia’s recipient of our own foreign foreign aid program has made to the aid program. lives of millions of people and know exactly what less than half of one These are not luxuries. Australian per cent of Australia’s Gross National foreign aid provides bare necessities, Income can achieve. life-saving necessities, to people Development Goals — the world’s who have — through no fault of their blueprint for tackling poverty. ustralia still hasn’t own — been born in countries where While other countries are working met its commitment access to basics we take for granted hard to achieve the MDGs, Papua to spend 0.5 per isn’t a given. New Guinea is losing ground. Around cent of gross nation- 50 per cent of children don’t attend alA income on foreign aid. Australia is so fortunate. We have high standards of living and a social primary school and there are only 0.6 welfare net that protects those who fall health workers per 1,000 people. Goal Now, just a couple of months after on hard times. Unfortunately some of 5 aims to reduce maternal mortality by announcing that $375 million of our nearest neighbours have not been three quarters by 2015, but the rate of foreign aid would be diverted to fund so lucky. women dying in childbirth in PNG has domestic policies, the government has actually been rising. released the first annual review into In the Pacific region, four million people aid effectiveness. The numbers tell — or roughly half the population — live Timor-Leste, a new country that perhaps an even more dramatic story in poverty, and improvements in health gained statehood with such hope and of success than we may have dared are in danger of going backwards. optimism in 2002, ranks 147 on the hope.