Labor can’t afford not to keep stage 3 tax cuts

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Labor can’t afford not to keep stage 3 tax cuts
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A Coalition campaign against a broken election promise might be enough to plunge Labor into minority government and destroy any chance of economic reform, writes Craig Emerson.

As we enter the holiday season after a frenetic period of parliament, it’s timely to reassess the demands that outside experts typically make of governments, and their lament that egocentric politicians lack courage.Experts tell us that these top-end tax cuts are unfair and should be scrapped or heavily modified. But these experts don’t for a moment consider or couldn’t care less about the ramifications of the Albanese government breaking a pre-election promise it repeatedly made.

In a minority government, these experts would continue to allege that Albo the Black Knight lacked political courage – but in truth he would lack numbers in the House of Representatives.Undeterred, such experts demand wider economic reform. But try getting unpopular economic reforms through parliament as a minority government.Vital signs, vibrant society

These same experts complain about the untrustworthiness of politicians while demanding they be untrustworthy. This new reform era would build on the Hawke and Keating reforms, such as allowing the entry of foreign banks, tariff reductions, a shift to enterprise bargaining and national competition policy. These weren’t politically popular, but they helped create Australia’s open, competitive economy.

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