John Key and NZ's economic crisis

The Prime Minister is warning of limits to the Government's responses to the economic crisis as he prepares to roll out infrastructure projects that could start immediately.

Speaking after outlining a $480 million relief package for small business, John Key said the role of the Government was not to become the economic engine of the country "but to do all it could to keep the engine humming, tuned and free to go up a gear".

And its actions to stave off the crisis should not undermine the economy in the future.

"This is a very fine balancing act between doing more, ensuring confidence is out there, but also making sure we don't blow up the Crown," he said.

"There is a limit here to what can happen. There has got to be a balance so we don't get downgraded as a country or at least don't precipitate a downgrade.

"A short-term sugar fix today could lead to a diet of debt later."

Yesterday's package is estimated to cost $480 million over four years and the relief it offers will begin on April 1 - though ultimately the amount of tax paid by business will not change.

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[bingbang3214]

@amy6194 mmm sexy!

[amy6194]

@bingbang3214 ...try me im lose as.

[bingbang3214]

@amy6194 My condom broke up john keys ass.

[amy6194]

one big PR spin!

[adam60883]

National stop increasing the debt: 178% GDP 2015

[Tvdhakla]

I wonder what that $245million is as a percentage of the overall take?

[cpringuer]

"no-one will be affected by this tax cut"

tax legislation passed cutting tax for higher earners and increasing it for lower incomer earners. Now we have decided to increase the minimum wage to boost spending. In turn increasing the governments money.