Oxfam reaction to Rafah evacuation order

Oxfam Australia Media Release In reaction to Israel’s imminent invasion of Rafah, Sally…

Forces of Impunity: The US Threatens the International…

The International Criminal Court is a dusty jewel, a creation of heat,…

Suburbtrends Rental Pain Index May 2024: Urgent Action…

The latest Suburbtrends "Rental Pain Index" for May 2024 uncovers the escalating…

Nesting in Australia: Indian Spy Rings Take Root

In his 2021 annual threat assessment, the director-general of ASIO, the Australian…

Pezzullo: The Warmonger Who Won’t Go Away

The compromised former top boss of the Australian civil service has the…

Student Loan Debt Relief Welcomed By The Independent…

Independent Tertiary Education Council Australia Media Release The decision of the Australian Government…

The Economy Is A Mess And Other Obvious…

Economists and sporting commentators have two things in common: They frequently make…

Domestic violence disclosure schemes: part of the solution…

Monash University Media Release The spotlight is yet again shining on the national…

«
»
Facebook

Tag Archives: budget

No Country Ever Axed Its Way To Prosperity!

Photo: Meme-pictures

Photo: Meme-pictures

“No nation has ever taxed itself into prosperity.”― Rush Limbaugh

“No country has ever taxed or subsidised its way to prosperity” Tony Abbott.

So, I’m very lucky to have with me, one of the Liberal economic advisers, Mr Fik Tishus, to work us through the Coalition plan to get the country back back on its feet. Thanks Mr Tishus, can I get you to outline what you feel are the priorities for this country.

Thanks, Rossleigh, can I call you Rossleigh?

Ross, thanks, but back to the question what are the priorities for this country?

Rossleigh’s a very unusual name where does it come from?

My parents called me that – no idea why. The priorities?

Yes, we have them all worked out.

And they are?

In a sealed envelope in my desk.

Could you, perhaps, tell us one.

Fixing the economy.

What are you proposing to do to fix the economy?

Oh, we intend to make the economy STRONG, and to reduce the DEBT.

Yes, ok, and how are you proposing to do this?

By getting rid of waste and unnecessary taxes.

Such as?

Well, we have a mandate to get rid of that great big tax on everything the Carbon Tax and the Mining Tax.

Right. So how does this help you bring the Budget back into surplus?

Well, it’s a big tax and if we reduce it then we don’t have to pay as much.

But as a government, you receive tax, you don’t pay it.

Is that true?

Yes, you don’t pay tax as the government.

No, I meant is it true that we’re the government? I hadn’t noticed. Sorry, I don’t get out much.

So how does it help you balance the Budget?

It’s actually getting rid of waste that helps us balance the Budget.

Can you give me an example of waste?

Well, there’s a booklet put out by the Party which lists Labor’s waste. It was called Labor’s Big Book of Waste. Clever title, eh?

I looked at that book, and I could only identify about $4 billion dollars worth of so-called waste when I added it up. And much of it wasn’t ongoing. That’s hardly going to put the Budget back into surplus?

No, but when we get rid of all these public servants who are doing nothing, we’ll have saved billions?

But who’ll do the work they now do?

Private industry. They’ll do it more efficiently. They’ll even make a profit at it.

But doesn’t that mean we’ll be paying more?

No, that’s the thing about private industry we don’t have to pay their wages.

Yes, but don’t we have to pay the companies for the work they do?

Of course, and they’ll be making profits, because Australia is now open for business.

How does this help the Budget?

Because the economy will be booming again. Thanks to the fact that we no longer have all that red tape.

So, let me get this straight: You think that by reducing your revenue base, putting people out of work and the government just doing as little as possible, then the structural problems in the Budget – such as the ageing population – will just disappear?

Did you never think to ask your parents about your name?

NO!

It’s amazing the questions people don’t ask.

It is.

I mean you haven’t even asked me what the response to growing deficits in the Budget is called.

I know.

It’s named after me. It’s called the Fik Tishus solution.

I think I sort of knew that already.

Well, I better go. If we’re in government, I’ll have to go and stop the Ministers from doing anything. Small government that’s the answer.

What’s the question?

I don’t understand.

That’s what worries me.

The Labor Party Should Be Charged For The Cost of Printing Abbott’s First 100 Days Booklet!

Labor wastes money! We know this. Tony Abbott, Joe Hockey and company have been banging on about Labor wasting money for years.

And today, Joe Hockey will tell us that the budget has blown out from the $30 billion estimated during the election campaign to a whopping $50 billion. That’s, of course, all down to Labor. Well may not, the $8 billion that the Coalition gave to the Reserve Bank. I suspect that won’t come up in the Press Conference.

“It’s blown out by a further $20 billion!” announces Hockey

So the obvious question is: “But isn’t more than half that, the money you gave to the Reserve Bank and the billions of dollars of tax revenue which you’ve decided not to go ahead with?”

Unfortunately, I doubt that one will be asked. I doubt that the press will even ask – if saving money is such a priority – why did Tony Abbott waste money producing a booklet of his first 100 days? If they do, Hockey will immediately say that Kevin Rudd did that too.

You see, that’s politics: Everything Labor did was bad, unless we’re doing it too, in which case it’s perfectly ok, because they did it!

But rather surprisingly, I’m not at all concerned about the recent booklet. I want to re-visit a more important booklet that the Liberals created. The Little Book of Big Labor Waste, where they list 60 areas where Labor had wasted money.

A few months ago, I actually read this booklet and wrote about it in a blog. And it seems to me that Liberals have either forgotten all about it, or are saving the big announcements for their committee of audit. Either way, I don’t think it’s good enough.

For example, where’s the announcement that they’ve stopped this outrageous waste of money! Public servants getting milk! 350 litres to 900 bureaucrats. That’s more than a third of a litre each! If they could just stop this altogether, then we’d the Budget would be a mere $49,999,999,890 (or should that be $49,999,999,999,890. Like Barnaby Joyce, I sometimes get my billions and millions mixed up).

Image

There were a few other concerns, like Labor advertising the “schoolkids bonus” because people weren’t aware that they were entitled to it. A complete waste of money, because the Liberals are scrapping it, so there’s absolutely no need for people to have known about it!

In fairness though, there are some areas where the Liberals have delivered. For example, there were many complaints about money being wasted on research. And as for this one:

ABC

Well, I’m sure that they won’t waste any money on equity and fairness when appointing anyone to anything. As for the ABC, they can just appoint Andrew Bolt to the board. That should ensure that there’s no bias against the Liberals. Because, after all, isn’t that what bias means? You write something against the Liberals. Everything else is just the truth!

We were wrong on Joe Hockey and Debt Ceiling. Correction Follows!

A few days ago, I posted a blog suggesting that Joe Hockey was planning to lift the debt ceiling by 33% to $400 billion.

Hockey To Lift Debt Ceiling by 33%, and the Hypocrisy Level to an All-time High

I was wrong.

When you make a mistake I think the best thing to do is admit it and apologise.

It’s just been announced that Hockey is seeking to lift the debt ceiling by 66% to $500 billion. So obviously, he’s concerned that Labor will continue to waste money in Opposition. After all, the Liberals had a pretty good go at doing that.

Treasurer Joe Hockey says the Federal Government is increasing the Commonwealth debt limit by $200 billion to provide “stability”.

Mr Hockey announced the increase after Federal Cabinet met today to consider the debt limit issue and the details of the Government’s commission of audit.

“I announce today that the Coalition Government will have to increase the debt limit for Commonwealth Government securities to $500 billion,” he said.

“We are increasing it to that level because I’ve been advised that on December 12, the current debt limit of $300 billion will be hit.”

Joe Hockey said the last Treasury assessment, provided in the pre-election fiscal outlook, predicted debt would peak at $370 billion.

But he said recent trends showed it would instead exceed $400 billion.

The ABC, 22nd October, 2013.

Of course, this is to provide “stability”, whereas Labor raising the debt limit to $300 billion was a budget emergency. $40-60 billion of it is just “a buffer” according to Joe. Why we need a buffer when the Liberals are back in charge is yet to be explained. I mean, there was no black hole in the costings and every promise was accounted for, so why do we need to keep on borrowing money at an even faster rate the Labor Government.

But anyway, sorry everyone for misleading you the other day.

 

Like what we do at The AIMN?

You’ll like it even more knowing that your donation will help us to keep up the good fight.

Chuck in a few bucks and see just how far it goes!

Your contribution to help with the running costs of this site will be gratefully accepted.

You can donate through PayPal or credit card via the button below, or donate via bank transfer: BSB: 062500; A/c no: 10495969

Donate Button

What do we do now?

So it’s over; the Coalition has triumphed in the contest of ideas and will (eventually, one hopes) form a government.

Tony Abbott has been described as the most effective opposition leader in a generation. This may or may not be accurate, but it cannot be argued that he has achieved his goals with a combination of balls-to-the-wall confrontation and maintaining a small target on his weakest points. The question now becomes what kind of a Prime Minister he will make, and what his collection of Howard-era ministers will do now they’ve reached power in the 21st century.

The first thing we need to understand is that what the Coalition government will do, now it’s in power, is not what they said they would do while they were in opposition.

To some in the electorate, this may come as a surprise. They may actually think the Coalition fully intends to do the things they talked about during the campaign. But things promised during the campaign were not real; they were props, to support Tony Abbott’s approach to the job of opposition. They continued on from the years preceding the election, from the very moment of Abbott’s elevation to the position of Leader of the Opposition.

“The job of an opposition is to oppose”, and that’s what the Coalition did – regardless of whether they agreed with the policies on offer or not.

Prior to Tony Abbott, worthy policies had a chance of bipartisan support. Abbott himself in years gone by argued for the imposition of a carbon tax; Malcolm Turnbull was ready to sign on to support Labor’s policy in this area.

It was on this very matter that Abbott was able to replace Turnbull as the leader, and he never looked back. Even in those areas where there is “bipartisan support”, it is conditional; according to Tony Abbott, the Coalition wouldn’t be doing its job if it didn’t find aspects to criticise in even the best policy.

The Coalition’s stated intention since 2010 has been to oppose the government on any and all fronts. Opposing requires you to have an alternative solution to point to. It doesn’t have to be fully fleshed, or even achievable; nobody will look at it too closely whilst it’s just an alternative. But you can’t oppose a successful or important piece of policy or legislation without pointing people to an alternative; it shows that the thing you’re opposing is not inevitable.

So the Coalition threw its weight behind a bunch of pointless, useless or impractical ideas – not as real policies, but as props for its position of opposition. NBN-lite, Direct Action, the easy bits of Gonski; these helped it to point to Labor’s NBN, the carbon price, and the full package of Gonski and say “we don’t agree with these, and we don’t need them.” Despite the fact that experts universally panned the alternatives on offer, showed that they were impractical and expensive and simply couldn’t do what the Coalition was claiming, the opposition stuck to its guns knowing that the electorate didn’t care about details and didn’t care about feasibility. Pandering to a voter’s fears is eighty percent of the job, but the other twenty percent is to quiet that little part of their subconscious that says “what do we do instead”?

But now the time of opposition is over, and Tony Abbott and the Coalition have made a rod for their own back. They’ve sworn not to do deals. They’ve sworn to stick to their guns and get their promises delivered. They’ve sworn to be a no-nonsense government that says what it means and does what it says. And now it’s achieved government saying all of these impractical and counterproductive things that it is going to be required to do.

There are always get-out-of-jail clauses; every incoming Coalition government goes down the same path. The “budget position is so much worse than we knew that we can’t do the things we promised” route. Will the Australian people stand for it this time? For the first time, there was a PEFO, as thorough a retelling of the budget standing as possible, to ensure there are no surprises for an incoming government. Despite this, the amazing invisible Joe Hockey has been reported as saying that the Coalition would need an independent, external audit of the finances before they knew the true budget standing, so it seems obvious that they’re going to try this well-travelled road again.

And if the “not enough money” issue isn’t going to serve – for instance, in repealing taxes that you’ve sworn black and blue are losing money, or replacing a nation-building effort with something cheaper and nastier – then you can delay. Thus, the NBN will undergo “three separate reviews and a forensic audit” before the Coalition will even know what to do with it. Who wants to bet that these won’t take up most of the Coalition’s first term of government and be ready with propositions by the time the next election comes around? (Labor took a very similar approach to a series of policy areas in 2007, so it’s certainly not without precedent).

But eventually a government has to be judged on what it did, not what it said it would do. Sometimes, the promises that a government has made to get elected can come back to bite them. Thus Labor’s rounds of tax cuts, promised at the 2007 election in answer to the Coalition’s same promises, had to be delivered in subsequent years as the budget situation worsened and they became progressively more unaffordable. Those tax cuts may even have contributed to Labor’s more recent budget woes and its need to find new sources of revenue. Kevin Rudd, in those days, was desperate to keep all of his promises, just as Tony Abbott is now. Julia Gillard found out the hard way the results of being publicly excoriated over reneging on a promise (even though Gillard’s was a matter of semantics rather than intent). So will Tony Abbott back off his promises on NBN, on direct action, on PPL, on returning to budget surplus?

Those with memories of past conservative governments fear what this one might do when the promising is over and the sharp teeth of conservative policy are revealed. In any number of areas, in the last days of the election campaign, Tony Abbott and his senior staff were careful to put caveats on their promises. Undertakings which had previously been unequivocal – promises in blood, you might say – became subject to conditions. If the Direct Action plan on climate change fails to reach agreed emissions targets, the Coalition will renege rather than spend more money. The boats will be turned around – presuming it is safe to do so, which it never will be. (And incidentally, we won’t hear about it one way or another, because boats arriving is a politically damaging sight.) The NBN will be killed, with the exception of contracts already signed, because you can’t break contracts.

The big test for the Coalition is still to come. Will it stick to its guns? Will it attempt to implement damaging and ineffective policies that it doesn’t believe in itself? Will it revert on policy to ideas that are more useful, that might actually work, at the expense of going back on their word? And if so, what tricks will they pull to prove that what they said before the election was not a lie, but simply a position that had to be changed as circumstances changed?

And will the Australian people remember how well that particular approach worked for Julia Gillard?

 

Like what we do at The AIMN?

You’ll like it even more knowing that your donation will help us to keep up the good fight.

Chuck in a few bucks and see just how far it goes!

Your contribution to help with the running costs of this site will be gratefully accepted.

You can donate through PayPal or credit card via the button below, or donate via bank transfer: BSB: 062500; A/c no: 10495969

Donate Button

$110,000 done, $69 billion to go

Like what we do at The AIMN?

You’ll like it even more knowing that your donation will help us to keep up the good fight.

Chuck in a few bucks and see just how far it goes!

Your contribution to help with the running costs of this site will be gratefully accepted.

You can donate through PayPal or credit card via the button below, or donate via bank transfer: BSB: 062500; A/c no: 10495969

Donate Button