Mr BALDWIN (3:09 PM) —My question is addressed to the Treasurer. Would the Treasurer indicate to the House the economic advantages of further labour market reforms? Are there any other views?

Mr COSTELLO (Treasurer) —I thank the honourable member for Paterson for his question. Can I say what a moving speech he made on the condolence motion earlier, and I thank him very much and very sincerely for it. The member asked me about the economic advantages of labour market reforms. Australia has now had more than 10 years of uninterrupted economic growth. Unlike other major developed economies around the world such as the United States, Japan, France, Germany or South-East Asia, which have all been through recessions—in some cases more than one recession—Australia’s economy has been continually growing over the last 10 years. That is a result of serious economic reform like balancing the budget, serious economic reform like paying back Labor Party debt, serious economic reform like abolishing wholesale sales tax and replacing it with the GST, serious economic reform like cutting income tax rates and increasing thresholds, serious economic reform like cutting company tax and halving capital gains tax, and serious economic reform of Australia’s waterfront. If we want to continue to enjoy the benefits of economic growth and higher productivity in this country, this country needs another round of industrial relations reform and, again, it will be the coalition government that leads it.

The Leader of the Opposition is on record as saying that there is nothing left in industrial relations. He says the industrial relations lemon has been squeezed dry. Well, there is a lemon in this debate and it is not industrial relations reform. It is the Leader of the Opposition, who parades himself as a front man for the ACTU, saying the industrial relations lemon has been squeezed dry. Contrary to his view, the Governor of the Reserve Bank of Australia said in February 2005:

of productivity—

The OECD, in its economic survey of February 2005, said:

And the IMF, in its latest article IV report, says exactly the same thing:

the government’s package—

There we have the IMF, the OECD and the Reserve Bank governor all saying Australia needs industrial relations reform.

Mr Tanner —Even your own supporters don’t agree with that—Mark Wooden and others!

The SPEAKER —Order!

Mr Tanner —You can’t even get your tame economists to agree with it.

The SPEAKER —Order! The member for Melbourne!

Mr COSTELLO —On the other side, we have the Leader of the Opposition, who says the industrial relations lemon has been squeezed dry.

Mr Tanner —What does John Stone say about it?

The SPEAKER —Order! The member for Melbourne!

Mr COSTELLO —Well, if it is a choice between the economic wisdom of the member for Brand and that of the Reserve Bank governor, the OECD or the IMF, I know which side of the argument has credibility. It is the side that this government is pursuing.