Economy
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Julie Bishop fails Economics I. Guest blogger Ian McAuley
In justifying the Coalition’s cuts in foreign aid, Julie Bishop said that borrowing from overseas only to hand it back overseas was unsustainable in light of our mounting debt. That statement has glib appeal, but it’s a serious misrepresentation. For a start the Government does not borrow from overseas. Rather, almost all the Commonwealth’s revenue Continue reading »
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What does Labor stand for? Principles to drive policies and programs. John Menadue
Late last year I was approached by a friend who is very politically active about what I thought the ALP could do to renovate its policy platform. I discussed this request with an old friend, Ian McAuley. Together we prepared a paper ‘Principles to drive policies and programs – or – What does Labor stand Continue reading »
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The election – punishing bad behaviour. John Menadue
One thing the election did was to explode the perceived wisdom that if the economy was doing well, governments are seldom voted out. But the Rudd Government was. As I have written in earlier blogs. The Australian economy, by almost any measure is one of the best performing and managed in the world. Our material Continue reading »
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We have never had it so good. John Menadue
The election campaign by the Murdoch media and the Coalition suggests that the Australian economy is in a mess. But almost all the facts suggest that we have one of the best performing economies in the world whether we measure it by economic growth, debt, inflation or employment. Now a survey just released by the Continue reading »
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The phoney war over deficits and debt. John Menadue
For almost five years, Tony Abbott, Joe Hockey, Andrew Robb and Barnaby Joyce, have been giving us dire warnings about deficits and debt. You would think the Australian economy was a smoking ruin. But the politicking over deficits and debt has changed remarkably in the last few weeks. Early this year Tony Abbott told us Continue reading »
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The election: economy and deficits. John Menadue
In the run-up to the September 7 elections, we will hear a lot of misleading stories about the economy and deficits. My contention is that with the good luck of the China boom, the government has managed the Australian economy well. Our economic performance is amongst the best in the world. But the public debate Continue reading »
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Back from the brink of disaster. John Menadue
Many people and particularly women will be disappointed that our first female Prime Minister has been forced out. She has been most unfairly treated by the media. Things have been said about her by Tony Abbott and others that would not be said about a male Prime Minister. But my view is that a Continue reading »
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Beware the debt and deficit trap and the European mistake. John Menadue
The Europeans may at last be breaking free of the debt and deficit trap that has caused so much social and economic damage across Europe. Even the IMF is at last challenging the austerity mindset that took hold in Europe. There is a lesson for Australia in this. The Australian Government has allowed itself Continue reading »
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It’s the tourism product stupid – not marketing! John Menadue
The Australian tourism industry tells us often that we need to spend more in marketing and publicity and that the tourists will come. I have always been sceptical; believing that what matters most is the tourism product itself. Marketing didn’t work with the Oprah Winfrey circus despite the government tipping in $5 million. On top Continue reading »
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The Miners’ Lament. John Menadue
It is only a matter of time before the miners start lamenting that they did not seriously negotiate with Kevin Rudd over his Resources Super Profits Tax (RSPT). The mining industry has always favoured rent/profit taxes instead of royalties. What the mining industry really disagreed with was the rate of the Resources Super Profits Tax. Continue reading »
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Myth-busting. John Menadue
One after another, the opinion polls tell us that the Liberal and National parties are much better economic managers than the ALP. This is despite Australia having one of the best performing economies in the world by almost any measure; debt, economic growth, employment and inflation. Unfortunately for the Liberal and National parties and John Continue reading »
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Truth, Trust and the Media. John Menadue
Our mainstream media is in a downward spiral. Its decline is driven by new technology and a growing sense by readers that we can no longer trust the media. We have a lot of spin, but very little well-informed debate. Ken Henry has commented that he can’t recall a time when public debate was so Continue reading »
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Are wage rates to blame? John Menadue
We have read a lot recently from retailers and restauranteurs about high wage rates particularly at weekends that are said to be a major burden for business. But is this the full story? There are several factors that we need to consider. Do we have too many retailers and restaurants? Restaurants seem to be opening Continue reading »
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Is the ALP a political party or a suicide cult? John Menadue
Friends overseas are amazed that with a world class economy such as ours, the Australian Government faces a rout. I try and explain that the government’s difficulties are self-inflicted; that it is tone-deaf on many political issues; that the Prime Minister is not being listened to and the public will not accept what she did Continue reading »
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An Excel coding error with tragic consequences. John Menadue
In 2010, just after the Greek financial crisis, two respected conservative Harvard economists, Reinhart and Rogoff, published a paper ‘Growth in a time of debt’ that said that once debt exceeded 90% of GDP, economic growth drops off sharply. Their thesis added great weight to those urging austerity on such countries as Greece, Spain and Continue reading »
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The blame game over schools: a way through the impasse. John Menadue
The Commonwealth and the States will blame each other for failure to agree on Gonski ‘light’. It is a pattern we have seen so often over many years, particularly in health. Federalism is just not working for us. It has become an obstacle to good government. The Commonwealth financial dominance will continue. The States are Continue reading »
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Where has the Business Council of Australia been? John Menadue
The BCA President, Tony Shepherd, was at it again on Wednesday 17 April at the National Press Club attacking the Government for many failures – a lack of focus, the need for politicians to sacrifice their jobs for the national interest and that old perennial of his, reform of the labour market. His comments were Continue reading »
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Privatisation on the wane. John Menadue
From the days of Maggie Thatcher, Ronald Reagan and John Howard, the assumption has been that the private sector will grow in relation to the public sector because it is more efficient and contributes more to the public good. The political correctness of the political Right assumed that privatisation would carry all before it. But not Continue reading »
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Productivity and Skills. John Menadue
For months, the Business Council of Australia and senior business executives have been banging on about the need to increase labour productivity. To achieve this, they have emphasised the need to amend the industrial relations legislation, ‘Fair Work Australia’ as essential to lift productivity. Many have seen it as an attempt by employers to rebalance Continue reading »
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Sport and Markets. Guest blogger: Ian McAuley
We are all suitably shocked by Justice Minister Jason Clare’s announcement of the findings of the Australian Crime Commission’s investigation into the use of prohibited substances and links to organized crime in sports. I heard his solemn announcement as I was driving home, past our local croquet club, and wondered if any code was exempt. Continue reading »
