Women with banner Ban the Bomb during Peace march on Sunday April 5th 1964, Brisbane.

Women with banner Ban the Bomb during Peace march, Sunday April 5th Brisbane, Australia, 1964.

Folk singers during Labour Day march Brisbane 1965

Folk singers during the Labor Day procession, in Brisbane, Australia, May 1965. One person holds a banner relating to the S.S. Binburra

Trucks with banners in Brisbane 1965 during Labor Day procession.

Trucks with banners in Brisbane, Australia, during the Labor Day procession, May 1965.

Participants with Equal pay placard during Labour Day march Brisbane 1965

Participants with Equal pay placard in Brisbane, Australia, during the Labor Day procession, May 1965.

Marchers with banners during Labour Day march Brisbane 1965

Marchers with banners in Brisbane, Australia, during the Labor Day procession, May 1965.

No more free beer tomorrow? Economic policy and outcomes in Australia and New Zealand since 1984

There are no controlled experiments in macroeconomic policy, nor in systematic programs of microeconomic reform, but a comparison between New Zealand and Australia over the period since 1984 provides as close an approach to such an experiment as is ever likely to be possible. From quite similar starting points the two countries pursued liberal reform programs that differed sharply, mainly as a result of exogenous differences in constitutional structures and the personal styles of the central actors. Australia followed a more cautious, piecemeal, consensus-based approach, whereas New Zealand, in contrast, adopted a radical, rapid, 'purist' platform. The NZ reform package was generally seen by contemporary commentators as representing a 'textbook' model for best practice reform. However, Australia since 1984 has performed much better than New Zealand, whose per capita GDP growth indeed ranked at or near the bottom of the OECD. In this paper, we assess a variety of explanations for the divergences in policies and outcomes.