Figure 1.--. |
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The conservative National Party and left-leaning Labor Party have dominated New Zealand political life since a Labor government came to power in 1935 during the world-wide Depression. After an extended period of Labor rule when an extensive social welfare system was implemented, the two parties have ruled for rekatively short periods, but no other political party was able to gain a significant number of parlimentary seats. New Zealanders approved a cobstitutional reform in 1993 which will permit other parties to more effectively participate in the political system. Click here for a general overview of New Zealand politics.
The Labor Party won a decisive election in 1935 with a mandate for findamental social reform. The world-wide Depression affected New Zealand as other countries. New Zealanders wabnted an activist Government to deal with the severe economic crisis. During the next 14 years in office, the Labor Party implemented a broad array of social and economic legislation, including comprehensive social security, a large-scale public works program, a 40-hour workweek, a minimum basic wage, and compulsory unionism.
The National Party finally regained control of the government after World War II (1939-45) in 1949 and adopted many welfare measures instituted by the Labor Party. Except for two brief periods of Labor governments in 1957-60 and 1972-75, National held power until 1984. By this time, the New Zealand economy was feeling the strain of supporting the country's extensive welfare system.
After regaining control in 1984, the Labor government reversed course and instituted a series of radical market-oriented reforms in response to New Zealand's budget crisis and mounting external debt. Such a course involved a radical departure from the Party's traditional approach. This program alienated much of Labor's traditional constiuency, badly damaging the Party's popularity.
The National Party in October 1990 was again elected, capturing 67 of 97 parliamentary seats in a landslide victory. To the disappointment of some supporters, National continued the economic reforms introduced by Labor. National was narrowly reelected in November 1993. Two seats each were won by two new opposition parties, the Alliance and New Zealand First.
New Zealanders in a simultaneous 1993 referendum changed their electoral system to a form of proportional representation designed to give smaller parties a larger voice in parliament. This ended several years of public debate fueled by resentment over the ability of government to take unpopular measures with only a plurality of popular support.
