By Marcus Champ
Given our ex-Prime Minister has released his “trumpian” manifesto “To get Australia Working Again”, I thought why not provide an alternative view from someone not in the parliament, who is just an average person, and until recently has barely been involved in the political process. Just to put up an alternative of what could be but for what we loosely call our representative government.
As a disclaimer, a few weeks ago I joined the Greens and only attended my first meeting very recently. So, although there is a great deal I have proposed that is also reflected in the Greens policy platform, there is some that is not, so consider the following as what I am passionate about and NOT official party policy (yet).
As a start lets set the context for everything that will follow.
- Everything I will list is based on evidence with references, reports and strong rationale. In fact it would change the political discourse a great deal if we relied on evidence and a logical basis as opposed to narrow minded blind ideology.
- I cannot list everything so I will provide a snapshot which will give a good overview of the key areas that need to be addressed.
- Although I have been thinking about this for some time, there is still some detail to work through and I don’t have staff, or a department, a background in public policy, or until recently a party history over decades to draw upon, so please keep that in mind in the comments.
- Lastly, I may not mention it specifically, but I would end the puerile vilification of poor and underprivileged manifest in recent policy such as robot-debt.
Before someone asks “but how are you going to pay for what follows”, here is the answer: Another very important piece is to understand how modern economics and Government spending actually works as opposed to the neoliberal dogma that dominates our political discourse: Neoliberal economics and austerity does NOT work, causes massive damage, and is largely responsible for reducing the middle class, and the transfer of wealth to the rich. Let’s base economics on facts NOT ideology, therefore:
- Australia is a sovereign nation with its own fiat currency, which means the Government CANNOT run of money, Government Debt does NOT carry over to the grandchildren, and Govt does not need to go to anyone to raise funds. Funds can literally be created, as they are now, by keystroke….ok, sounds interesting but so what, what does this mean?
- The key point to this REALITY, is that Government spending is NOT constrained by money, taxation does NOT provide the Government with funds to “pay” for services, and the budget does not need to be “balanced “ let alone in surplus. In fact Government spending is critical to effectively managing the economy, and in simple terms a Government deficit equals the non-Government surplus and vice-versa.
- This means if the Government runs a surplus what is actually happening is more money is being taken out of the economy than being put in, and the shortfall has to be made up by either reducing spending or borrowing…this is why non-government sector debt (yours, mine, and everyone’s) has grown so massively since the Howard Government. It is non-government debt that largely explains our current economic malaise, characterised by constrained spending, anaemic retail sales and acts as a huge anchor on the economy and prevents productive capacity from being deployed. The level of non-government debt is so high the RBA itself has identified is at sovereign risk to the economy that constrains their ability to move interest rates.
Lastly, many of you will be thinking doesn’t endless spending just create inflation? No, not necesasarily.
- The real constraint on spending is the productive capacity of the economy, but what does this mean? In simple terms this means if you demand 150 cars, but the economy can only produce 100 cars, this causes a shortage and prices for cars will go up causing inflation.
- Given Australia’s inflation is historically low and we have considerable unemployment/underemployment, it means there is a great deal of productive capacity in the economy before we have to worry about inflationary pressure. In fact in terms of wages we are in a deflationary environment, which you can thank our political leaders for next time you vote.
If you want to know about the reality of how macroeconomics works, just look up Modern Monetary Theory which has also been mentioned on this site previously.
A Citizen’s Manifesto for a Better, Stronger, more Sustainable Society
Overall Vision: Transition Australian economy into one that serves the people to create a more fair, just and stable democracy that encourages and rewards participation, innovation, knowledge creation, environmentally sustainable practices, and inclusiveness.
Taking Money out of Politics
- Banning all foreign and corporate/incorporated donations. Cap donations from individuals to say $1,000 per annum, and have real-time reporting of ALL donations, with an independent office to provide summary data to the public and basic weekly/monthly reporting and oversight.
- Ministerial diaries to be recorded and made searchable, taking into account reasonable security steps to ensure protection of privacy and security.
- Establish a Federal ICAC based on the NSW model with wide ranging powers and independence
- Establish channels for people to participate in the political process through direct feedback, voting on bills, and putting forward suggestions in a more transparent and easier way.
- Expand freedom of Information laws and processes to make them easier, simpler, taking out fees, and more timely.
- Public funding of political campaigns and elections to be reviewed and increased if necessary. This includes giving the Electoral Commission extra powers to check in candidate legitimacy, such as citizenship, offences, and financial solvency to ensure integrity of candidates.
- Establish a Banking Royal Commission.
Strengthening The Social Safety Net
- Jobs Guarantee – Implement a voluntary employment program called the “Jobs Guarantee” anyone who wants a job can have one. Everyone in the program would be paid a real living salary (see Universal Basic Income below), it would come with simple benefits such as basic holiday leave, sick leave, base superannuation, medical cover, basic work-cover insurance etc. It would be administered at the local level and a wide range of job options would be covered. The basic premise would be if you are doing something to benefit society it would be counted.
- Universal Basic Income – Replace the myriad of social programs, unemployment benefits, single parent payments, and more with a single program based on a Universal Basic Income. It would be no obligations payment to cover a wide range of activities, from stay at home carers, inability to work, taking care of sick family members, self-development and education, and more. It would be means tested and reduced as higher incomes are earned. Some key principles: no waiting periods, small number of key restrictions, and controls.
- All privatisation of social program would be terminated and government agencies strengthened or created to administer and provide oversight.
- Housing program for the homeless…quite simple, build basic houses, run as communal communities with intent of moving people out of support system into their own housing as soon as possible. With UBI, and Jobs Guarantee this should occur quickly.
Health and Well-being
- Zero Harm Drugs Strategy – The “War on Drugs” has been an abject failure and new approach required. Illicit drugs viewed as a public health issue, de-criminalised, strongly regulated and funding directed to prevention and treatment. Mandatory treatment programs, drugs available through prescription, with intent of treating individuals to break the dependency cycle.
- Any supply outside of the regulated process would be strongly acted upon with appropriate sentences for suppliers outside of the regulated regime. Having said that, it is expected the illicit drug trade would cease overnight, as the economic model driving it is destroyed.
- Alcohol and smoking which are far more destructive would be treated in a similar way. When it comes to smoking ban all sales of cigarettes/tobacco products, to anyone born after a certain year. Smoking will be eradicated.
- New funding for mental health, NDIS, hospitals and generally strengthen Medicare to be a true single payer system such as expansion in dental services, renegotiation of Pharmaceutical Benefits Scheme in the public interest. This would include much stricter controls on advertising to doctors and other meddling by private companies in the public system.
- Principle would be the private sector is not an efficient way of running health services, and remove for-profit motive for set standard medical services for everyone. Privatisation of public hospitals to cease, and funding arrangements to public health to be reviewed and streamlined. End subsidies to private sector health insurance.
Public Ownership of Critical Public Infrastructure
- Privatisation has been a disaster with massive cost to the economy, and wealth stealing by rent-seekers and the politically connected. Water, Electricity, Domestic Gas, Education, and NBN considered critical infrastructure and returned to public ownership. Ensure strong oversight through Government owned corporation status, and returning dividends to the public, but no private ownership.
- Immediately end disastrous privatisation of TAFE and reinvest in trades and apprenticeships
- NBN would be halted, and re-done as fibre to the premises for EVRYONE. This is critical infrastructure for the next century…do it once, do it right, do it with Fibre.
- De-carbonise economy, with appropriate support and incentives to facilitate the process.
- Create a “People’s Bank” potentially operating out of Post Offices, providing basic banking, personal and business loans, and zero fee accounts.
- End privatisation of the prison system.
- All key public infrastructure to be wholly owned by the people.
Infrastructure and Research Investment
Implement a widespread program of infrastructure spending, linked to Jobs Guarantee, and directed to building the productive capacity of the economy.
- High speed inland rail, particularly for freight to be seriously looked at
- Weather proofing the a National Highway
- Public Transport investment across all cities
- De-carbonise economy, install electric vehicle grid across country
- Revitalise CSIRO, take out profit motive from research and create new institutions for oversight
- Reignite Australia’s once blossoming space industry, including looking at options for launch facilities and other related opportunities.
Housing Crisis
Principle being Housing is to live, not for speculation, and policies need to ensure speculating is restricted. The single truth is housing prices rise to the level of debt allowed. Demand has a role, but is NOT the driver of process. With these policies house prices will fall, but in relative terms everyone will be better off.
- Reduce immigration levels to pre-Howard era levels (see immigration)
- Increase capital required by Banks to provide home-loans.
- Review capital gains tax, and negative gearing with intent to phase out
- Restrict all foreign investment to new buildings only and actually enforce
- Bring housing and real estate agents under anti-money laundering legislation
- Create new section in ABS to independently collect data on housing market, and provide data to public and broader market in a timely manner
- Revitalise public housing schemes, and implement rent control programs if necessary
Social Justice and Animal Rights Reform
Human rights, social justice and equal opportunity needs to be strengthened.
- Equal marriage, right to access reproductive services such as abortion, and voluntary euthanasia implemented
- Direct appropriate funding to public access to justice and law services
- Strengthen freedom of information and whistleblowing laws
- Animal rights to be strengthened, end grey-hound racing and look to phase out all horse racing as it is cruel and inhumane, and encourages gambling which destroys families.
- Review sponsorship in sports, particularly in terms of gambling and alcohol
- Phase out poker machines, and all forms of exploitive gambling. Non more casinos and look to close some.
- Negotiate a treaty with Aboriginal and Torres Straight people, apologise for past treatment, and change the date of Australia Day.
Immigration and Wages
- Immigration levels are historically very high. We are currently adding around 200,000 people every year, which is way above historical levels. Review to focus on family reunification, asylum seekers, and critical knowledge and skills required. Phase out “pay” for visa programs, and bring back to merit and humanitarian focus.
- 457 visa are being rorted and need to be greatly curtailed, Prosecute companies that are rorting the system.
- Review all free trade agreements where labour can be brought in to circumvent domestic laws and requirements. In fact review all free trade agreements and ensure none are every negotiated in secret again.
- Strengthen union participation in the labour negotiation process.
- UBI and Jobs Guarantee will act as new “minimum standard” so no one will be forced to stay where they do not want to.
Manufacturing and High Technology Economy
- Create new investment fund similar to Clean Energy Fund to provide seed money and investment into start-ups and new business ideas. Returns back into fund to strengthen over time. Start with $10 billion capital to get it started.
- Build new electric care facility on old care factory sites, and convert all government vehicles to electric over time.
- Provide investment to transition economy to re-use, recycle and reduce waste in every sector. Using Models currently operating in states provide national oversight to meet waste and efficiency targets. Expert expertise.
- Invest in new renewable energy economy, and cease all subsidies for fossil fuels, and phase out coal from all energy production. Export expertise to world.
Taxation Reform
Taxation is a powerful tool to shape behaviour and direct productive capacity and focus across the economy. It should be a tool that is used to reinforce and support policy as appropriate with a broader social goal to build equity, fairness, and level playing field.
- Remove GST from being linked to state funding…this is divisive, unnecessary and detracts from productive capacity across country.
- Pivot taxation from labour to capital. Eliminate payroll tax, implement estate tax, and review all taxation for what it is trying to achieve and how it is adding to the productive capacity.
- Rebalance taxation from the poor back to who has the capacity to pay.
- Close loopholes, particularly profit shifting and focus taxation on source of revenue.
- Restrict the amount that can be claimed in taxation advice with progressive caps based upon income.
- Churches have been increasingly involved in the public discourse, so they can start paying taxes.
- Stop revolving door of taxation expertise between government and consulting companies, particularly the Big 4.
- End superannuation taxation subsidies to wealthy.
- Place an extra taxation levy on any company with CEO pay greater than 100 times more than average worker. Pay to include ALL forms of remuneration, including options and shares.
Break the Game of Mates
Rent-seekers, the politically connected, the corrupt have been siphoning off wealth from the economy in a number of key areas and every person loses thousands of dollars every year from these activities.
- Review land-banking, developer kick-backs, zooning, and urban development with particular emphasis of stopping the revolving door from public to private sector.
- Superannuation rules changed to boost returns and return costs. It has been estimated EVERYONE is losing around 1-1.5% returns on their super due to this corruption and profiteering.
- Banking – The financial sector has benefitted directly from being a key player in the game of mates and this needs to be broken. Place fees on all financial transactions with zero productive benefit, such as complex financial transactions, and transactions purely for speculation.
- Stop revolving door of politicians moving in and out of private sector,. Minimum 2 year banning from consulting, and lobbying in similar area, and stopping parliamentary pension over a set level of salary. This would be retrospective, with due warning.
- Review how public infrastructure funding is done. Privatisation of all public infrastructure to cease and ownership back to public where possible.
- Review relationship with all foreign owned and local mining companies to ensure the people are properly benefitting from our own resources. Establish a system based on Swedish model moving to profit sharing, review royalties, and mine rehabilitation guarantees. Prosecute if necessary to get attention. If mining companies threaten to leave, show them door and create a public owned company to do what they will not.
- This also means reviewing with intent to nationalise ports, airports, and key infrastructure.
- Return Universities to focus on actual learning and research…take out profit motive, and fund accordingly.
Other key initiatives:
- Establish independent authority to support local media, with own statutory fund like a “wealth fund” but for independent media. Corporate media has failed and no longer can maintain independence and quality, so provide umbrella to support new media. Link to Jobs Guarantee and recognise journalism as a civic improvement activity that can be supported.
- Review the current levels of Government, or at very least completely re-draw relationship with states. Set funding levels based on need and per capita, remove GST from this process.
- Moratorium on consultant spending, and review of all relationships and activities with consulting companies starting with the Big 4.
- Consider a “debt Jubilee” to deleverage economy in a cost effective and efficient manner.
- End involvement in stupid wars, don’t progress submarines we don’t need, and review all defence spending which has a history of profligacy and poor outcomes.
- Restore funding to the ABC.
- Start the process to move Australia to become a Republic.
- Look at ways to encourage people to participate in the decision making process of the parliament.
- Remove the damn fence from lawns over parliament house.
Obviously there is so much more that needs to be done to transition Australia into a fair, sustainable, and socially just society where everyone can share in our collective endeavour.
Lastly, it is anticipated these policies and reforms will eliminate unemployment, extreme poverty, homelessness, greatly reduce drug dependence, and it would be expected the crime rate would significantly shift downwards.
