A consequence of economists appearing in the media trying to make sense of economic trends and provide a commentary is that the deficiencies in economic thinking are revealed by the continued invention of "econobabble".

Here some notes taken over the years of previous babblings.

The latest word in econo-babble is "bounce-back". Our economists have failed to measure the economic temperature so they have stopped talking about the economy overheating. They are now going to attempt to measure the elasticity coefficient of the economy so we can all have fantasises about the bouncing economy.

The chief economist of the BNZ, Tony Alexander spoke some time back of "energy coming out of the economy". He did not say whether he thought it was just a few joules or whether it was many giga-watt-hours. What could he possibly mean? Is anyone convinced by this econobabble that he knows something that we don't, or is he so bereft of economic ideas that he is trying to use scientific terms to mislead.

Another economist's term used is "Soft landing". One wonders whether this has any relation to "Bounce back". Could it have something to do with the zealot who promotes "talk-zone" mattresses? Is it economics or just chatter?

From time to time we hear that the economy is becoming "overheated" and the economists must tinker. Unfortunately, nobody seems to publish the economic "temperature", nor are we told what the ideal temperature is. This must be a very new economic parameter because it was not introduced when I studied economics in the 80's, nor can I find any reference to it in any textbook.

An economist of the National Bank talks about our "Porsche economy". The Porsche is an extravagant car designed just for the rich. It is too powerful to be opened up on public roads. It is difficult to get into and when you do, you have sit with your knees up in the air. It cannot carry much luggage or many passengers. Its main function is to impress the gullible. As a machine for transport it fails to be practical.

On the final leaders address before the election, Mr Bolger, speaking for the National Party Government, was heard to promise a vibrant economy.
vibrant, adj. a Vibrating, tremulous; b (Of the voice) Setting up vibrations, resonant.

So now we have it, instead of a "stable" economy where there is no change, and the "growing" economy where the sum of "goods and bads" increase, we are now due for an economy that gets into oscillations.

Dr (imperfect information) Brash was moved to say that next year's planned tax cuts should be deferred because of the high dollar and high interest rates. Winston Peters promised to "take the wind out of the sails of the high flying dollar.".

Economist Murray Weatherstone was talking to Kim Hill on her morning programme. He thought that the usual indicators were reasonable but "the economy lacked fizz", whatever that is!

An economist making a comment before the delivery of the budget, said the economy was "soft". My economic textbooks do not have any description of this economic attribute. There is the Mohr scale of hardness which runs from 10 for diamond down to zero for very soft materials but it difficult to see how this could apply to economics.

Another economist, speaking after the budget delivery, came out with an oxymoron: the economy is in a "high trough".

The economy is said to be "strong". Other people say the economy is 'weak". From a radio reporter we heard that the economy is "flat". Government "leadership" is needed to get the economy "moving" again. What do these code words mean? Are people's need for food, shelter, clothing, and transport being met or not?

Now we have an economist referring to the economy as soggy. Yet another meaningless word to describe the "economy" from an economist. They just have to make a comment even when they know nothing.

The Thailand "economy" has crashed. Does this mean that people there will have to go without food, clothing, transport, etc?

An economist was saying that the Reserve Bank should relax monetary conditions. Monetary policy was "leaning against the wind" whatever that is! Meanwhile from the Reserve Bank we have the statement that "monetary conditions" are too "loose" whatever that means.

Another economist, talking about the oil market, did not talk about supply and demand as usual, but said the market was "sloppy".

The head of the NZ Institute of Economic Research was heard on TV saying "the economy is bumping along the bottom". Economists must have given up the pretence of being scientific in favour of being smart in the glib phrases to use in economic discourse.

From two economists in England reported at the same time: "The economy is flat as a pancake... Overall, we think things will pick up but it won't be that marvellous." and "The economy is picking up nicely. My view is that it is picking up rather too nicely ..."

From a well known economist and commentator: "... our economic engine is not producing the horsepower it was only a couple of years ago."

An economics commentator in the "Guardian" says Spain's economy defies economic theorists. He says Spain's economy is "roaring", that is, highly regulated, inflation down to 2%, growth at 4%, and unemployment down. The author, Andy Robinson, also said: "If Spain can have a 'goldilocks' economy, there is something seriously wrong with the supply-side employability paradigm.

A National Bank economist, Steve Edwards, says Nelson-Marlborough's economy has "capsized". (In the year to June N-M growth was 1.0% while quarterly results for N-M showed the economy was 0.9% smaller) Is that the cause of an "upturn" I wonder.

"Post neo-classical endogenous growth theory".

Another economic expert has spoken up to give his observations on the "economy". His words of wisdom: "The wind is coming out of the sails of the economy." Now don't you feel more knowledgeable!

And now I have heard that: "The Economy is on fire." Now will there be anything left when the fire-brigade has put the fire out?

Have you heard?: "The Economy is running beyond its speed limit." Now I know why they put "brakes on the economy".

There seem to be a large number of economist sects: there is Marxist economics, neo-marxist economics, classical economics, neo classical economics, monetarist economics, neo-Austrian economics, Keynesian economics, neo-Keynesian economics, post Keynesian economics, disequilibrium Keynesian economics, but the Brits have "hydraulic Keynesian economics"!

DOUBLESPEAK.

An article in Nuclear-Free (March-May 1995) conspues economics. The author, Don Craig, makes use of material from "Beyond Hypocrisy - The Doublespeak Dictionary" by Edward Herman for an article on the use of doublespeak in economics.

Deceptive language has been used to subvert communities with extremist market philosophies. Nations have been encouraged to become deeply indebted and now the IMF demands repayments with demands for 1) Sale of lucrative public assets to overseas interests, 2) Conversion of the economy to an export oriented one at the expense of domestic demand, 3) Curtailment of social programs with any significant payments, 4) Curtailment of public asset maintenance, 5) Perpetuation of debt, etc.

The article points out that the "General Agreement on Trade & Tariffs" (GATT) was not permitted to be debated, yet its impact on standards of environment, health & safety remains unknown to the public.

"Special interests" once referred to money used to buy influence among legislative power brokers. This, in the new doublespeak means workers, women, farmers, aged & inform, the unemployed, and ethnic minorities. "National Interest" has now been redefined as "the demands and needs of the corporate community".

"Free Trade" is now the "drive for limitless growth, and the desire to externalise costs such as pollution and waste by passing them on to the community thereby increasing profits". "Free Enterprise" is now "the use of privately or publicly owned property for profit".

"Entitlement" is used to suggest an authorised privilege and less an earned right. "Dole, Superannuation, Benefits" are bestowed on the recipient; that citizens have paid taxes or into a super scheme makes no difference. Thus there are "Handouts" to inefficient parasites. "Throwing money at problems" is used with social problems but never in reference to defence spending.

"Privatisation" is now the "Disposing of public sector assets at low prices and hugh sales commissions to powerful groups and individuals who supported the ruling party last election".

"Stability" is a code word for "rule by the right guys".

Don Craig concludes the article with a reminder to attune yourself how propaganda in the media operates. Redefining of words allows manipulation and progress with hidden agendas.

Associate Professor of Law at Auckland University, Jane Kelsey, in her book "The New Zealand Experiment" attacks the propaganda that NZ has made great strides with the grand economic experiment inflicted on us. She is also aware of the manipulation of language. "Labour market flexibility" means going to bed not knowing if you would have a job the next day. "Price stability" means sudden increases in your interest on mortgages and loans and suppression of growth by the Reserve bank. "Fiscal responsibility" means continual cuts in income support, benefits and social services. In this decade of greed, talk of "short-term pain for long term gain" means pain for the poor and gain for the rich.