You need money to run a business.  You also need money to run an economy and provide core public services.  In the first instance, this money comes from customers.  In the second instance, it comes out of your pocket as taxes.  As a customer, you can choose where you spend your money.  As a taxpayer, the Government of the day decides how to spend your money for you.

The non-tradeables sector of the economy, of which the Government is part, grew by more than 15% over the last five years.  The tradeables sector, where we earn our living as a trading nation, contracted by 10% over the same period.

All the wailing of the public sector unions ignores this salient fact ignores that the public sector needs to get more value for each dollar spent.  At a time when we are asking the private sector to increase productivity, isn’t it right that we should be doing the same with the Government sector?