![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
Descending Into Farce
During this election campaign the LNP coalition has avoided the recommendations of the Charter of Budget Honesty (legislation passed by the previous conservative government) of having costings conducted by Treasury. Instead they had the costings conducted by an unnamed private third party, who apparently know more about the Australian economy than the Department of Treasury and Finance. Yesterday, at 3pm they claimed all would be revealed. With a big media conference planned, the sycophants lined up eagerly. But there was no spokesorc there - delayed until 3.30 apparently. Then 4.00pm, then 4.30 and finally at 4.45pm Andrew Robb and Joe Hockey, the Laurel and Hardy of financial management, finally made their announcements albeit not before some major media had decided to run their news with an empty stage. The firm which did their costings was a Liberal Party family firm, Horwath (not Hogwarts, although vey close) simply crunching the numbers given to them and came out with a bigger future budget surplus than the government. This of course includes such brilliant policies as cutting PBS medicines to the tune of 1.1 billion, and a ridiculous "Stop the Boats Dividend" of 250 million, and with an education tax refund error of 350 million immediately picked up. Most of the claimed savings will come scrapping the National Broadband Network, sacking public servants, and cutting into the "contingency reserve", used for emergency expenses. Clearly this is a forward thinking plan.
In comparison, 50 prominent economists have published an open letter, where they "are convinced by the evidence that the coordinated policies of the Australian Labor Government have prevented the Australian economy from a deep recession and prevented a massive increase in unemployment", not to mention avoiding a shortfall in public income. Nobel Laureate Joseph Stiglitz, former chief economist of the World Bank, praised the government for managing to steer a path through through the global financial crisis, with strong unemployment, low inflation and very low public debt (about 6 per cent of GDP, compared with 40 to 120 per cent in other OECD countries). As Ross Gittens points out; yes, there was some waste. Engaging in a rapid stimulus expenditure meant that some is inevitable. But these amounts are utterly trivial compared to the waste of widespread unemployment and economic depression which threatened us; the BER program, for example, has been an overwhelming success.
As with any election campaign, there are many issues of relative importance. But when it come to the country's economic management and infrastructure future, which I consider to be a very high priority, we have a clear choice. Utterly farcical nonsense from the Coalition, or skillful management from Labor.
In comparison, 50 prominent economists have published an open letter, where they "are convinced by the evidence that the coordinated policies of the Australian Labor Government have prevented the Australian economy from a deep recession and prevented a massive increase in unemployment", not to mention avoiding a shortfall in public income. Nobel Laureate Joseph Stiglitz, former chief economist of the World Bank, praised the government for managing to steer a path through through the global financial crisis, with strong unemployment, low inflation and very low public debt (about 6 per cent of GDP, compared with 40 to 120 per cent in other OECD countries). As Ross Gittens points out; yes, there was some waste. Engaging in a rapid stimulus expenditure meant that some is inevitable. But these amounts are utterly trivial compared to the waste of widespread unemployment and economic depression which threatened us; the BER program, for example, has been an overwhelming success.
As with any election campaign, there are many issues of relative importance. But when it come to the country's economic management and infrastructure future, which I consider to be a very high priority, we have a clear choice. Utterly farcical nonsense from the Coalition, or skillful management from Labor.
no subject
"oh, Labor left the economy in such a bad state, we have found all of these hidden holes in the budget, we can not possibly fund the election promises because the Labor run treasury lied to us."
no subject
As you say, obviously because Treasury and Finance are liars and full of secret Labor officials.
no subject
no subject
One matter I should have raised is that the contingency reserve is "is not a fund of money; it is just an estimation of the likely trend of spending."
http://www.theaustralian.com.au/national-affairs/coalitions-surplus-claims-sunk-by-attack-on-hollow-log/story-fn59niix-1225907049110
In other words, the Coalition is trying to double-dip in their savings claims.
no subject
no subject
no subject
no subject
no subject
no subject
no subject
Absolutely, we should vote against Abbott this election. I won't be surprised when this lot becomes ALP policy in an election to come after though :(
no subject
Labor keeps on appealing on being attentive to their conservatism (e.g., on refugees). However this conservatism is due to their economic circumstances. If Labor fixed that then they would find that their attitudes would be vastly different.
no subject
So, why does that statement appear to be used as an assertion of bias? I find it frustrating that both sides simply make totally unsubstantiated bluster about whether Horwath is utterly trustworthy or biased beyond all doubt. It's all meaningless twaddle based on inherent prejudice one way or another.
Surely, a rational starting point for a benchmark on the company's performance in such a task would be how accurate their costings for WA were?
no subject
As for the company, the fact they costed policies for the WA Libs in 2008 is much less of an issue to me than the fact that the founder of the company was part of the conservative Court dynasty. I am sure they would have had "some input" into the costing process to ensure the figures were acceptable; it is in their interest to do so. That however is even less important to me that there is no possible way that the company could possibly know as much about the Australian economy as Treasury and Finance and there is absolutely no transparency involved in the process.
I mean look at the costing; it's a mere dozen pages, minus the fluff. A local historical society has more comprehensive costing statements than that. This is from a potential Federal government? Twelve pages?!
I couldn't care less what party such a document came from. You just can't claim that you're providing a comprehensive costing to the tune of billions of dollars of public monies on twelve pages from a politically partisan accounting firm.
If this was a story I would find it comical. Because it is dealing with real people here and now... To describe my mood over this as furious is an understatement. It is an insult to the entire country.
no subject
Personally, I don't care if the ALP's economics are slightly less dodgy than the Libs, when it comes packaged with the Communications ministry taking on a role akin to the Stasi.
I don't think I have ever been less happy about a major election, as we're going to get some grade-A wankers either way. I'll be putting both major parties at the bottom of my ballot (apart from Family First ... actually, I might put Conroy even below them) but, sadly, I don't think enough others will do likewise for it to make any difference.
no subject
no subject
Apparently the western world believes in order to protect our freedom governments have to engage in mass surveillance...
no subject
no subject
no subject
But that's the thing of preferential voting. I can weight my opposition to the filter on the negative side with those things I consider positives. Oddly enough, Hockey stated that the Coalition would block the filter in the Senate if Labor was elected.. which means I can avoid both the Labor filter and the Coalition's alternative by supporting the Greens in the Senate, if that is a higher priority.
I can do this weighting with all the parties involved. And when it comes to economic management and planning the Coalition has just lost any credibility with the release of these costings.
no subject
"Comrade, do you have your papers?"
no subject
There was a time when the decision, for me, was between the preferable social policies of the ALP or the preferable fiscal policies of the Libs. Whichever I voted for, the other side would give me something too. Now, we have the ALP taking up some of the worst of the Libs' social attitudes and the Libs losing their way on finance. End result: Two shit parties, neither of whom I want having any part of running the country.
The best party statement I've read all election is this one from the Sex Party. I have no delusions that such a party will get real power, just the faint hope that enough votes for them might make the major parties react in some worthwhile way in future.
no subject
no subject
no subject
no subject
And yes with regards to the second recession. It remains a distinct possibility. Keep and eye on the Kavanagh-Putland line