For Minchin, modesty remains the best policy

THE Liberal power broker Nick Minchin might have left Parliament but his legacy seems to be everywhere. His numbers skills saved the bacon of the Liberal federal president Alan Stockdale. Less known is that Minchin was the moving spirit behind the revival of free market group the Society of Modest Members.

This group, which was started in the early 1980s, trumpeted economic rationalism: smaller government, lower tariffs, deregulation. It faded away in the Howard years. But Minchin, concerned that the Liberals don't throw away policy principles as they struggle for power, acted to revive it last year. The launch, however, was only last week, when Minchin (who is a patron) was already an ''ex''. At a function in Parliament House, about 60 Liberal MPs (and a couple of curious Nationals) gathered to hear the former minister Jim Carlton talk of the 1970s and '80s crusade by the ''dries''.

There are a couple of reasons why the revived Society is significant.

There is, and will continue to be, a policy battle in the Liberal Party. This divide is not over social issues. What many ''new dries''now in Parliament are concerned about is economic policy, broadly defined. They'll be trying to ensure that Abbott - who is not ''dry'' by nature - doesn't entirely toss over good policy in his race to get the prime ministership.

Earlier this year Minchin argued with Abbott in the party room over the Coalition abandoning the Howard government policy for an increase in excise on alternative fuel. Abbott told the meeting he would always put pragmatism ahead of policy purity. Asked about this on Sky last week Abbott said: ''I don't think anyone should be judged by the kind of rapid-fire exchange that goes on in these circumstances. I want to be pragmatic but it's got to be pragmatism based on values.''

The issue of pragmatism versus policy-with-spine will come into focus as the opposition prepares its election pitch, including on industrial relations, where Abbott favours minimalism but is being pushed towards something stronger.

The Society stresses its gaze is on the future and its rules prohibit it taking specific positions. But in bringing people of like mind together, it will contribute to this Liberal debate.

The other reason the Society is interesting is because most of its leading members are from what might be dubbed the Liberals ''next, next'' generation. The current federal MPs can be divided into three political generations: the Howardites, who are mostly former ministers and still dominate; their heirs-in-waiting (people such as Scott Morrison, Greg Hunt), who are senior shadows; and those who might be dubbed the ''aspirants'', who are on the backbench or parliamentary secretaries. Of the Society's executive, four fall into this latter category: Kelly O'Dwyer, a former Peter Costello staffer; Jamie Briggs, who worked for John Howard; and senators Scott Ryan and David Bushby.

Life can be frustrating for Gen 3, because Abbott doesn't see any advantage in a pre-election reshuffle of his frontbench to accommodate some of them. Abbott wants nothing to rock the boat, he sees only trouble in reshuffling. Gen 3 MPs write for the newspapers, and give daily thanks for the modern 24-hour news cycle, which has an endless appetite for chatter. And, as Minchin understands, some of them seek to carve out a name in policy wonk land.

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