Adam Creighton identifies a massive source of potential budget savings in reducing unnecessary welfare expenditure.
A more blatant example of upper-class welfare is found in Canberra, among the bloated senior ranks of the public service. Thousands are paid exorbitant sums grossly disproportionate to the social value of their output. Taxpayers lavish salaries between $200,000 and $750,000 a year on almost 2900 senior public servants. Another 13,230 are paid about $150,000 a year.
Whole suburbs of Sydney and Melbourne pay tax to support this artificial, taxpayer-created upper class, whose incomes dwarf similarly employed public servants in London and Washington DC.
He also identifies a serious problem:
The share of net taxpayers among working age people has fallen from 52.4 per cent in 1999 to 50.9 per cent in 2011, during a time the unemployment rate was falling.
Okay – there was an upward spike in unemployment at the end of that period but the principle remains. The Howard government made the net income tax system more progressive – and were proud of that policy.