Category Archives: Economy

GREG HAMILTON. The Class War – Part 2: The Bludging Class.

We’re paralysed by a state of cultural anarchy that marks the decline of the Enlightenment Age and its class war that will see one percent of the world’s population owning over two thirds of all wealth by 2030.  Do we … Continue reading

Posted in Economy | 2 Comments

GREG JERICHO. Australia’s middle class is being given a new look, and it’s not pretty.

The real low and middle-income earners are being erased from the debate in an unhealthy and one-sided class war.

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MICHAEL PASCOE. Electricity – driving towards the coal cliff

How bad, how dumb, how driven by internal political stupidities, how simply nonsensically odd are the electricity troglodytes pushing to keep the old Liddell coal-fired power station open for a few more years? Their case is destroyed by a single … Continue reading

Posted in Economy, Environment and climate | 2 Comments

IAN McAULEY. How political opportunism and poor journalism brought us a dumbed-down tax debate.

Neither the politicians nor the media are helping the electorate to understand the issues around corporate taxation. Lowering the corporate tax rate for large companies would do hardly anything for Australian investors, but corporate executives, board members and foreign investors … Continue reading

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JIM COOMBS: “Class Warfare” – Bring it On !

CEDA survey “Community Pulse 2018 – Economic Disconnect” perhaps tells us what we already know: The vast majority feel that they have got less than a fair share of our years of growth, and our working conditions have worsened, and … Continue reading

Posted in Economy | 3 Comments

ALLAN PATIENCE: Fragmenting Australia

CEDA (the Committee for Economic Development of Australia) has recently published a report (Community Pulse 2018: The Economic Disconnect) that shows that “there is a disconnect between Australia’s strong economic record and the community’s sense of having shared in the … Continue reading

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STEVE LOHR China extends its lead as the top producer of supercomputers (New York Times 26 June 2018)

U.S. has world’s fastest, but rival surges ahead as the most prolific producer

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MICHAEL PASCOE. Wealth and power inevitably having their way with the tax system

The strange thing at the core of the Turnbull personal and company tax cuts is that the most important and controversial elements are so far away. And as John Kenneth Galbraith put it so succinctly ‘The modern Conservative is engaged … Continue reading

Posted in Economy | 3 Comments

STEVE CANNANE. Banking royal commission: ‘Big four’ accountancy firms ‘heavily conflicted, should be under inquiry spotlight’ (ABC 25/6/2018)

Australia’s “big four” accountancy firms should be put under the spotlight of the banking royal commission, according to a British investigative journalist who has written an expose on their activities overseas.  

Posted in Economy, Politics | 1 Comment

MICHAEL KEATING. Tax Cuts, the Economy and the Next Election

Last week the Government got its personal income tax package through the Parliament. The Government estimates that these tax cuts will cost the Budget $144 billion over the next decade. The Government has not, however, provided us with convincing evidence … Continue reading

Posted in Economy, Uncategorized | 2 Comments

JAMES FERNYHOUGH. This is how the biggest tax cut in history will affect you. (New Daily 21/6/2018)

Australia’s wealthiest 5 per cent of taxpayers are set to receive a $7000 tax cut, after the Turnbull government’s income tax bill passed through the Senate with the help of Pauline Hanson’s One Nation.

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2018 Lowy Institute Poll – Climate change, renewables and coal.

Despite the debate and political rhetoric, most Australians have not been persuaded to support coal over renewables for the nation’s energy security. Almost all Australians remain in favour of renewables, rather than coal, as an energy source. In 2018, 84% … Continue reading

Posted in Economy, Environment and climate, Politics | 1 Comment

ANDREW LEIGH. Rising to the challenge of inequality.

Thomas Piketty and his colleagues have used new data to track inequality and sharpen the choices we face. 

Posted in Economy, Human Rights | 2 Comments

ALISSA J. RUBIN. An era of French strikes is ending (AFR 13/6/2018)

Nowadays, we have people who are too rich,” he said. “In the United States you do not care so much about equality, but we care about it,” says Bodiou, a retired civil engineer.“It does not mean we all have to … Continue reading

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MICHAEL PASCOE. RBA awakes – Australia is not getting the wage rise it needs

The laws of supply and demand for labour are broken. The Australian economy is not getting the wage rises it needs and there’s no sign of that changing.

Posted in Economy, Uncategorized | 1 Comment

HANS HENDRISCHKE and WEI LI. Chinese investment in Australia falls as political debate hits confidence

Chinese direct investment in Australia has declined, according to a new report by the University of Sydney and KPMG. In 2017, the value of investment fell by 11% in US dollar terms, from $11.5 billion in 2016 (A$15.4 billion) to … Continue reading

Posted in Asia, Economy, International Affairs | 1 Comment

NICHOLAS GRUEN. All finance requires is an upgrade for the internet age

The Financial  Times has published a letter from Nicholas Gruen in response to Martin Wolf’s column about the Swiss ‘sovereign money’ referendum, previously reprinted on this blog).  Mr Gruen’s letter is as follows: Given the resounding ‘no’ from the Swiss … Continue reading

Posted in Economy, Uncategorized | 2 Comments

JAMES FERNYHOUGH. Revealed: This is how much ordinary Australians really earn. (The New Daily June 8, 2018)

A casual glance at the news in recent months may have left you thinking the average Australian earns almost $85,000 a year. If that sounded insanely high to you, then your instincts were bang on. An ordinary Australian earns way, way less than … Continue reading

Posted in Economy, Politics | 1 Comment

MICHAEL KEATING. What country seeks to go to war with its banker? (Repost from 30/1/2018)

This article supports Hugh White’s conclusion that the US is unlikely to succeed in fighting China for primacy in Asia. The US has been living beyond its means for a long time, and has depended on foreign finance, and especially … Continue reading

Posted in Economy, International Affairs | 2 Comments

STEPHEN LETTS. The GDP myth: The planet’s measure for economic growth is deeply flawed and outdated.

Just as it has every three months for the past six decades, next week the Australian Bureau of Statistics will unleash a torrent of numbers that make up the national accounts.

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ROSS GITTINS. How we could revive faith in democracy (SMH 6 June 2018)

How much is our disillusionment with politicians, governments and even democracy the result of our pollies’ 30-year love affair with that newly recognised mega-evil “neoliberalism”? To a considerable extent, according to Dr Richard Denniss, of the Australia Institute, in the … Continue reading

Posted in Economy, Politics | 5 Comments

MARTIN WOLF. Why the Swiss should vote for ‘Vollgeld’.

A radical rethink of the financial system was essential after a devastating crisis There are many other ideas in this broad area that seem worth pursuing. One would be to allow every citizen to hold an account directly at the … Continue reading

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MICHAEL PASCOE. The Australian government’s hypocritical stance on PNG corruption.

It’s illegal for Australian entities to bribe foreign entities, but apparently we’re perfectly happy to take dirty money from bribed foreigners and consort with corrupt leaders. Malaysia’s prime-minister-in-waiting, Anwar Ibrahim, called us out on Friday, expressing a view that Australia … Continue reading

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JIM COOMBS. Counting.

“If you can’t measure it, you can’t manage it.”  The mantra of the managerialist “economic rationalists” has led to oversimplification and oversight (in the sense of ‘failing to see’) of what actually matters: the real values involved in the work. 

Posted in Economy | 3 Comments

IAN McAULEY. What’s so sacred about small business?

Flowing from the Financial Services Royal Commission is a stream of stories about the bad behaviour of big business, but is that distracting our attention from the shortcomings of small business?

Posted in Economy | 1 Comment

JOHN MENADUE. Continuing corporate failures.

There is a growing and unfortunate litany of corporate failure in Australia – and not just the banks and wage theft on a large scale. One continuing failure has been an unwillingness by our corporate sector to equip itself for … Continue reading

Posted in Asia, Economy, International Affairs | 1 Comment

RICHARD DENNISS. The big con: how neoliberals convinced us there wasn’t enough to go around

Australia just experienced one of the biggest mining booms in world history. But even at the peak of that boom, there was no talk of the wonderful opportunity we finally had to invest in world-class mental health or domestic violence … Continue reading

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CLAIRE JONES. Italy crisis poses dilemma for Draghi over ECB’s next step.

Central bank hawks want to keep plan to end QE but market jitters could force rethink.

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SPENCER ZIFCAK. Are Thousands of Asylum Seekers in Australia About to be Thrown off Income Support?

About two months ago, Peter Dutton’s Department of Home Affairs took a decision that will have momentous consequences. In an initiative, given no publicity, the Minister decided that the substantial majority of asylum seekers awaiting the determination of their applications … Continue reading

Posted in Economy, Refugees, Immigration | 2 Comments

MICHAEL PASCOE.  Fear and loathing in superannuation – Liberal and industry fund conspiracy theories

The Productivity Commission’s recommendation that all superannuation funds have an independent chairman and board seems reasonable, yet industry funds are vehemently opposed to it. Meanwhile the industry funds, on average, clearly outperform their retail opposition, but the Liberal Party has been … Continue reading

Posted in Economy, Politics | 2 Comments