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The Conversation
The Conversation
Dennis Wesselbaum, Associate Professor, Department of Economics, University of Otago

NZ Budget 2024: tax cuts and borrowing don’t always fuel inflation – but Nicola Willis has to get the balance right

LazingBee/Getty Images

On the eve of the first budget from the National-ACT-New Zealand First coalition government, there is ongoing debate over whether borrowing while offering tax cuts could trigger a rise in inflation.

Finance minister Nicola Willis has confirmed the budget will introduce “meaningful but modest” tax relief. But what impact will these cuts have on New Zealand’s economy?

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