Shane Jones needs to clarify WTO comments - Crampton
It's being suggested grants from the government's Provinical Growth Fund might violate world trade rules that block state subsidies for agriculture. Such subsidies were phased out by the fourth Labour government more than 30 years ago. But the Minister for Regional Economic Development Shane Jones, who runs the fund, has dismissed any risks to New Zealand. Mr Jones acknowledged in parliament that he had sought advice about the risk, but downplayed any consequences. Eric Crampton is the chief economist at the New Zealand Initiative. He talks to Guyon Espiner.