. Lj AUSTRALIA.
PRIME MINISTER
PRIME MINISTER'S EPAC PRESS STATEMENT
The Economic Planning Advisory Council held its
third meeting today.
The Prime Minister said that he had been heartened
by the spirit of co-operation in which today's discussions
had been held. He also emphasised the role of EPAC in
bringing views to the Government.
In this spirit, he had invited the non-Commonwealth
members of the Council to bring forth at the next meeting
papers or ideas on desirable medium to long-term paths to
greater economic growth.
A range of issues was discussed.
The Treasurer outlined the nature and the rationale
of the new foreign exchange system announced last Friday.
The Treasurer also outlined the improved economic
prospects evident since the Budget was brought down. In
ccnsequence, it now appears that the Budget forecasts for
activity, employment and unemployment were somewhat too
ccnservative. Other members of EPAC contributed information based
upon their areas of special knowledge, and in general also
stated that in their view the current economic position had
improved since the last EPAC meeting in October.
Council discussed a paper on " Supply Side"
approaches to unemployment prepared as a background document
by the Department of Employment and Industrial Relations.
Members found the information contained in the paper to be
useful, and indicated that they would bring forward
considered reactions in their papers for the next meeting.
Council also discussed another background paper,
prepared by Treasury, on the structure of taxation in
Australia. The Government considered it valuable to have
icIeas expressed to it about the structure of the tax base
within the context of existing revenue needs, and EPAC
members agreed to develop their thoughts further in this
area in their submissions for the next meeting.
2.
Matters pertaining to the Prices Surveillance
Authority and wages were discussed briefly, out it was
agreed that there -were other meetings being held this week
at which these issues could ap~ propriately be discussed more
f ul ly. The meeting considered the status of papers
prepared for EPAC.
It was agreed that all papers be treated on an ' In
Confidence' basis prior to their consideration by Council.
It was also agreed that there be a general
presum-Dtion in favour of declassifying and releasing papers
after the Council had considered them, though the wishes of
those individuals and organisations who had prepared papers
should be respected.
Minutes of EPAC meetings wil. be made available
publicly, normally before the next meeting of Council but
after mnembers had had an opportunity individually to check
their accuracy. Projections prepared for the second EPAC meeting by
both the Department of Prime Minister and Cabinet and the
Department of Employment and Industrial Relations,' as well
as the Director's Report on the Technical Committee's
discussion of these projections have now been declassified.
The Prime Minister stressed that the documents
contained projections of alternative senarios rather than
concret~ e forecasts of the future.
He also noted the Technical Committee's concurrence
with this view, and the range of c-ialifications within that
Committ~ ee on particular numbers in the Various projections.
The backg; round papers on " Supply Side" approaches
to uneniployment and the structure of taxation referred to
above have also teen declassified.'
12 December 1983