Compulsion requires guardrails
Choice, competition and open markets provide strong consumer protection. The risk that a customer might shift to a competitor, or to another type of product entirely, provides discipline. Read more
Eric Crampton is Chief Economist with the New Zealand Initiative.
He applies an economist’s lens to a broad range of policy areas, from devolution and housing policy to student loans and environmental policy. He served on Minister Twyford’s Urban Land Markets Research Group and on Minister Bishop’s Housing Economic Advisory Group.
Most recently, he has been looking at devolution to First Nations in Canada.
He is a regular columnist with Stuff and with Newsroom; his economic and policy commentary appears across most media outlets. He can also be found on Twitter at @ericcrampton.
Phone: +64 4 499 0790
Choice, competition and open markets provide strong consumer protection. The risk that a customer might shift to a competitor, or to another type of product entirely, provides discipline. Read more
Small countries in a big world can choose to be nimble or they can choose to be stupid. When it comes to medicines, New Zealand has chosen the second path. Read more
National promises that, if re-elected, it will make KiwiSaver compulsory. The case for compulsion is weaker than most assume. Read more
Wellington (Thursday, 25 June 2026) – If re-elected, National would make KiwiSaver contributions compulsory from 2028, with employers and employees each contributing 6 percent by 2032. That compulsion requires guardrails, according to a research note published today by The New Zealand Initiative's Chief Economist Dr Eric Crampton. Read more
If re-elected, National would make KiwiSaver contributions compulsory from 2028, with employers and employees each contributing 6 percent by 2032. That compulsion requires guardrails, according to a Research Note published today by The New Zealand Initiative Chief Economist Dr Eric Crampton. Read more
From 1 July, the start of the new fiscal year, Health New Zealand will stop paying charges to the Crown for the capital that it uses. The Ministry calls it a technical change, with no effect on patient care, infrastructure, or the money available for services. Read more
Christchurch's SpicyBoys make hot sauce. They’ve branched out into a chilli gin to sell alongside the sauce. Read more
There was no real escape from the dystopia that Terry Gilliam depicted in his excellent film, Brazil. In the film’s world, nothing could be done without the correctly numbered bureaucratic form. Read more
1. INTRODUCTION AND SUMMARY 1.1 This submission on the Agricultural Compounds and Veterinary Medicines (ACVM) Amendment Bill and the Hazardous Substances and New Organisms (HSNO) Amendment Bill is made by The New Zealand Initiative (the Initiative), a Wellington-based think tank supported primarily by major New Zealand businesses. Read more
In this episode, Eric talks with Jillaine Heather, Chief Executive of the Free Speech Union, about the Government's plans for an under-16 social media ban and the universal age verification that may come with it. They examine why the Department of Internal Affairs appears to be building delivery machinery ahead of any legislation, what Australia and the UK reveal about compliance and scope creep, and why policy aimed at online harms could create serious risks for privacy and free speech. Read more
When Victoria University of Wellington’s great little prediction market, iPredict, announced that it would be shutting down back in 2015, it had a couple hundred thousand dollars of traders’ deposited funds in the bank. It was a very small, very limited, academic enterprise. Read more
It’s a pretty minor budget item all things considered. Thirty million dollars over four years, when the government plans on core government expenditure of over one hundred and fifty billion dollars in the 2026/2027 fiscal year, isn’t a huge sum. Read more
Government is awash in consultation processes. So much so that “consultation fatigue” is a real term. Read more
In this episode, Eric talks with Prof Chris Berg from RMIT University about the Australian regulatory ideas New Zealand has considered importing, from the news media bargaining regime to the under-16 social media ban and prescription-only vaping. They discuss how policies sold as protecting journalism, children or public health can instead create rent-seeking, surveillance, black markets and unworkable rules. Read more
If the country sees a few lucky breaks, Budget 2026 shows a return to surplus in 2029. The period of structural deficits will have lasted almost a decade. Read more