Three contractors are bidding to fix a broken fence in Yarralumla.
One is from Canberra, another from Melbourne, and the third one
is from Perth.
All three go with a government official to examine the fence.
The Canberra contractor takes out a tape measure and does some
measuring, then works out some figures with a pencil. "Well", he
says, "I figure the job will run to about $900: $400 for materials,
$400 for my crew and $100 profit for me".
The Melbourne contractor also does some measuring and figuring,
then says "I can do this job for $700: $300 for materials, $300 for
my crew and $100 profit for me".
The Perth contractor doesn't measure or figure, but leans over to the
government official and whispers "$2,700".
The government official, incredulous, says "You didn't even measure
like the other guys! How did you come up with such a high figure?”
The Perth contractor whispers back "$1,000 for me, $1,000 for you,
and we hire the bloke from Melbourne to fix the fence".
"Done!" replies the government official.
And that, my friends, is how the new stimulus plan is working...
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