Excessive Benefits

Australian Finacial Review
20th October 2005

In Lies and Statistics (15 October) John Black refers to the alarming extent of middle class welfare identified in my report to the Australian Chamber of Commerce and Industry on "Commonwealth spending (and taxes) can be cut - and should be". But he erroneously suggests I said that the top two quintiles of household incomes received "only" 32 per cent of benefits paid by government. To the contrary, my report clearly indicated that such benefits are excessive, should be reduced and the proceeds used to cut taxes.