Treasury " Don't spend money.

 
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I think I'm going to scream if I hear one more interest group (intended pun) apply pressure to the government to not spend money. I don't have any problems understanding the economic rationale, however, that shouldn't be the overwhelming consideration.

In Victoria we have seen a government too paralysed, by fear, to spend money, and when they do it is on the basis of public private partnerships.

Now, I have a fundamental problem with this. My argument is simple, but I think it should only need to be relatively simple.

It is as follows. Traditionally, we paid taxes, to the government, in order that the government would spend the money in ways that would benefit the community. Now, we didn't always agree with every cent of expenditure, however, overall most people, I assume, would agree that generally we were better off as a result of this.

Now, we pay taxes, however, it would appear that the government is too scared to spend the money and therefore decides to hold onto the money. Then, when we really need something, it engages a private public partnership to complete whatever project.

Therefore, we now pay twice, plus a margin sufficient to provide the private part of the transaction an adequate profit to justify their involvement.

Maybe, this is why government expenditure causes inflation.

Kevin and Brian

 
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What is it that Brian has that so many Labor Policians, including the current Prime Minister, have wanted to get their hands on.

It's clear Kevin wouldn't normally associate with Brian, but it's equally evident that he did in the run up to putting together his leadership run.

And if Brian is trully an Arfur Daly, then what has he got to help protect his back. Please god, let it be a juicy scandal, just like the ones they get in the UK and America. You know the sort of thing I mean, a politican being found in a nun's habit, handcuffed to a bed, whips etc.

All we get are phone calls and missed dinners.

Brendan gives John his bat back

 
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It is almost sad, John Howard's great legacy, at least intended legacy, received the same fate many in the work force faced. Consigned to the waste bin, thankfully before the recession starts.

Workchoices wasn't really a problem while employers continued to demand more labour, and employment rates continued to soar. The real danger was when the economy softened.

But, we don't have to worry about that. We have a safety net now. Don't we?

Arise Sir John

 
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I almost gagged when I heard the Queen might knight John Howard.

Then, I thought, if ever there was someone in Australia the Queen, would, should, select it is John Howard.

He has been her most loyal supporter, and has shown skill in defending her crown, as all good knights should. Who could ever forget his brilliant managment of the referendum, so skillfully drafted it could never be passed.

Arise Sir John.

Sorry Day 13 February 2008

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It is a great day. I have to admit, that at first, I didn't get it. I thought sorry day was just that.

However, I think I was wrong.

This is Kevin's inauguration. His chance to change the world, inspire the world, remember "Ask not what your country can do for you, ask......".

I think he sees this as the moment, the moment his Camelot starts.

Banking Exit Fees

 
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Cheap headlines, no real result.

Sorry

 
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Brendan gets on board, finally. Who the hell is advising him. This was a battle he would never win, too many members of his own party can see it is the right thing to do. Still, he's only interim leader. The real leader is waiting in the wings, but more about that later.

The good thing is we all agree, sorry doesn't have to be the hardest word.

Interest Rates are going up, again.

 
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Happy interest rate rise.

Apology Smology

 
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I have been amazed, reading some blogs, letters to the editor and listening to talkback, at the depth of feeling some people have to this issue. Particularly thise amongst us who think the apology is wrong and compensation is wrong.

All I can say is what is wrong with you? There are people in this country that had a great wrong done to them, and have suffered a great deal of pain.

The least we can do, is have the government apologise, and in doing so try to show that, as a country, we recognise the pain some of our fellow citizens have been through. I, for one, would like to demonstrate that we do care.

Sorry Seems to be the Hardest Word

 
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We all thought it would be so easy, but Kevin Rudd is showing his John Howard genes. A true statesperson would have thrown caution to the wind and launched into "sorry".

Instead, ironically, we have the Fonz, someone who just can't say sorry.

Bob Hawke, Gough and dare I say it, Malcolm, would have all launched straight into it, given the circumstances of today's world. They would, wouldn't they? I'm sure they would.

Sharemarket Sheep

 
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What can you say, what can you do, I have no idea.

Sharemarket Meltdown

 
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Oh oh. This is bad. Billions slashed from share markets around the world. Could this mean that the tattslotto win Rudd and Swan got with the economy just got p----d up against the wall?

Kevin Rudd and His Economic Plans

 
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He's going to do it all, fight inflation, keep rates low, build things, maybe something with the fish and loaves.

And all in the face of a recession, man he's good. Isn't he?

Wayne Swan calls the Banks greedy.

 
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He isn't the first and certainly won't be the last. And, while he is simply speaking to the electorate, he is right.

For years now the banks have consistently improved profits by growing their business and by improving their margins. I'm not critical of them doing that, we all try to do it. What concerns me is their attitude. They seem to believe that when they are improving margins that this is their money, and that they retain all of the gain as profit. There was never any intention to pass some of the gain onto their customers, by way of reduced interest rates.

However, when margins weaken, as they are now, they argue that this is a cost that needs to be passed on to their customers.

Looks like having an each way bet to me.

There's a recession coming.

 
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More and more it looks like America is headed for recession, and we all know what that means.

Made me look back and check when the last recession was, and I was reminded that it predated the liberal government. As such, I realised that both labor and liberal are equally as inexperienced when it comes to managing an economy in that cycle. Makes you think.

Anyway, if we have a recession don't grumble, the sun will still come up, the birds will still sing in the morning, and life will still be good, albeit no longer on a 72 inch plasma.

Howard gets back into life

 
Just as we all get back to the desk, shovel, whatever, after the Christmas break I notice that John Howard has started advertising for a research assistant, to help him with, ?????????????

Wouldn't really fancy that job, imagine working for a man who has had the bueareaucratic might of a nation working for him. Do you think he will adapt easily to a staff of one, or two? Guess who would be making the coffee?

T'was the night before Christmas.

 
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He wouldn't, would he? Bet he would at least think about it.

Have a very merry christmas.

Coag Meeting, a love in by ex 60's hippies?

 
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Oh, wasn't it nice to see them all together, loving and hugging at COAG. How long before they realise Kevin isn't Santa, but the boss.

They will merely be the foot soldiers in delivering Kevin's vision for health, education etc.

And you know what, I don't think it is a bad thing. I struggle to see what value the state governments add. I know there are regional issues to take into account, but does having a government in every state mean this is well dealt with. We've got Brumby, and I don't think we benefit.

Parliament will now sit for 5 days.

 
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It is so typical of new governments, management, relationships, to start off by wanting to clear the decks of the old, bad, ways and demonstrate to the world that things can be done better, in a more open way.

Then, the first compromise is made, and it is completely justifiable, however,in doing so the government, etc, has to stray just a little from the principles it was established on. Then it happens again, perhaps a little further and deeper, then a little more. Then the press find out about the first transgression. We all know what happens next, and before you know it they've been in power for two or three terms and they are starting to get just a little on the nose.

Then, the cycle starts all over again, and again.

Bali Conference for Climate Change.

 
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Shouldn't be cynical, I truly hope this is a time we will look back on and say that change really occurred. I don't just mean Bali, but the general change in attitude we are seeing worldwide.

The one thing that annoys me, is when Western Countries, particularly America, won't commit until countries like China and India can make significant reductions. My view, lead by example. I know they are hiding behind this argument to protect their own industrial base, buttttttttttttttttt.

Julia's Prime Minister

 

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It is a momentous occasion, our first female pm, albeit just while the boss is away. I did like her comment, about hoping some young girl, somewhere, would see that and see that it is possible. Or at least words to that effect.

However, does anyone imagine she had free rein, no pun intended. The list would be long, the follow ups relentless, and control would not be relinquished. Kevin is the sort of leader that would only go into surgery under local anesthetic, least he may not be available to ensure the "correct" instruction was issued, and then followed.

Also, will there be a leadership deal. Julia is only several years younger, and just as ambitious. Ok, I just wanted to be the first to say it.

Bali and Green Coal

 


I saw a bit of the 7.30 Report tonight, and while I didn't really listen to what was said, I did hear them mention the coal industry, at the same time as Bali, and reducing carbon emissions.

Now, I'm sure scientists have thought about, researched, tested, discussed, written papers etc to the nth degree. However, the solution to pump the emissions deep into the earth seems fundamentally flawed to me. Man watched smoke disappear into the atmosphere for years and honestly believed, because it disappeared, that no harm was one. Isn't it possible, that simply pumping it underground is the modern equivalent. We can't see it, so it isn't harmful. Is this the solution future generations will thank us for.

To me, the logic is the same as piping the fumes to China, and releasing them there, because no one would really notice.

And yes, I am using a PC, and lights, that are fueled by coal power plants. The TV is also on.

I have opted for green energy on my power bill, if that helps.

Kevin Andrews gets a new job.

 

Brendan Nelson has shown some quality, demoting Kevin Andrews to nowhere. The man is a disgrace and should have never been a minister. Even if he was doing Howard's dirty work, he did it badly. I'm sure not even John Howard wanted him to handle the Haneef case the way he did. You can imagine Howard saying, "Look Kevin, all I wanted was to raise the fear factor and do a little dog whistling on the racism thing. What in the hell did you think you were doing." "Ummmm, errr, ............".

Also, Tony Abbott got demoted, pity, I had lots of material for him. Hopefully, for me, a comeback.

Labor- Is The Big Storm Coming

 



Still having trouble publishing pictures, as such resorting to Picasa, to upload. I must admit my brain doesn't cope. I also have to apologise, the site is messy, better get that man in I was promising to do.

Labor, may also have a mess to deal with, depending on how things pan out economically. Hope they don't complain too much about the previous government, bit of a turn off.

Business and Politics. Scary Monsters

 

Best I could do, I seem to be having all sorts of problems up loading the pictures. It is a bit small, however, click on it and it becomes scarily large.

Post Election and Big Business.

I have to say I am grumpy. I've just heard about the banks starting to introduce interest rate increases above and beyond those that result from increases in the cash rate. I know it was discussed as a possibility before the election, but it is no surprise that they waited until after the election to actually do it. The reason is obvious, they didn't want to become part of the political debate, particularly as the election rhetoric of both parties would have been to take steps to stop the banks.

Now, everyone can see that banks margins are under pressure, particularly if you look to the short term movements in markets. However, the banks have aggressively chased instruments, such as securitisation, to improve margins in the last decade (and beyond) with spectacular success. Given the profits they have generated, it would seem, and I am happy for someone to argue otherwise, that they had capacity to pass on some of that benefit to their customers, but chose not to do so.

Now, when the markets ebb, well perhaps more than ebb, in the opposite direction they demand that the customers compensate them for such market movements.

Isn't this having an each way bet.

I'm sure, that when profits are announced in 12 months time we will see profits that are higher than this year. And, they will be announced as having been achieved in an increasingly difficult market. Fagan hell.

Labor's Ministerial Portfolio Allocations

You just wouldn't want it would you, immigration, the widow maker of portfolios. Admittedly John Howard put dills into it, Kevin Andrews and Phillip Ruddock were the stand out dills, but it just isn't going to make you sexy with the electorate. You have the dilemma for appearing tough, for certain, significant, sections of the electorate, but then you get beaten around the head for any injustice carried out by your department, or in Andrews' case the minister.

I wonder how Rudd sold it.

And just on Kevin Andrews. Who voted for him, I bet that's a party stopper question in his electorate.

Labor's first meeting as government.

Must be exciting, though not without trepidation. I mean I would be scared, working for a control freak like Kevin Rudd. Have your heard him being interviewed when discussing the ministry, the twinkle in his eye when he discusses setting benchmarks etc. Look, having peaple like him can be good for the country, they can get things done, I just feel sorry for those working for him.

Kevin Rudd's Victory Speech

They all do it, the first Prime Ministerial speech, promises open, accountable government, a determination to unite the country and to establish a new beginning.

Then things to start going wrong, the new leader feels trust has been betrayed, or he starts to receive bad press and gradually the open door will close.

However, I won't be cynical, this is a new beginning and I'm sure the patterns of the past will not be followed.

A new beginning.....

The Night Before The Election

It's almost over, the policies, dirty tricks, we can now reach for the prize, the sausage at the church fete, Ummmmmm.

Liberals and the racist leaflets

John Howard and the leadership of the Liberal Party claim they had nothing to do with this, and it is quite possible they didn't. However, they have created a party machine where, in the past, the use of race has been a legitimate (not in my opinion, I stress) weapon to include in political warfare. I imagine most observers of previous elections would agree.

So, while the racist leaflets may not have been approved by the leadership, I can't help thinking that an example, for behaviour, tactics etc, has been established at the most senior levels and it is no surprise that it would be imitated at more junior levels, albeit, in this case, not all that junior.

True leadership would set an example to follow, not poor behviour to imitate.

Julia Gillard was late.

Oh my god, how awful it would have been to walk into Federation Square, late for a radio interview. Would you have been tempted to say you were only half as late as Tony? I didn't hear the interview, however, I understand the tension was detectable, that's always delectable.

I have to say I am enjoying the election so far, Howard wanting to talk about the future, not the past, except when talking about Labor. Kevin sticking to the script, to the frustration of the journalists. Th only thing I would like more of is the gaffes, sure, we have had some good ones, but not that many. Both parties have been reasonably disciplined. Disappointing really.

Kevin Rudd's Cocky Little Smirk.

I do love it when the Libs are under pressure, it usually bursts out through Downer's mouth.

I can't believe Alex believes such comments help. Surely he must realise that tantrums appear, to the public, as just that, behaviour of a child that can't get it's own way.

John Howard - Another Bad Poll Cartoon

The polls haven't moved again, they are still bad for John Howard. I'm reading more and more that it is demographics, with the youth vote going to Rudd. Seems a little like the Whitlam era when a generation wanted change. I think that time the war, in Vietnam, had a lot to do with it. Now it's housing prices. That is of course an oversimplification, however, the generational change factor is the interesting one. I wonder if it would have been an issue if Costello had been leader. So, I'm sure, does he.

John Howard, "Give you the money"

When it rains........ Actually, that's the other thing that is going wrong for John Howard.

He really can't take a trick. I'm sure the auditor was wrong, it would only be a coincidence that Coalition seats benefited from pork barrelling in the last election. Further, even if it was deliberate, he's atoned, he is giving everyone money this election. Try and find someone who wouldn't benefit from a coalition victory, or a Labor victory for that matter.

Bring on the election and prosperity for all.

John Howard - Fiscally Responsible?

Who said John Howard is the political master of our times? Personally, I just think he has just come up against dud opposition in the recent past. Today's efforts by Rudd prove that. Rudd simply fed Howard a dummy, ie the "me too" strategy, which led Howard on a spending spree, only to leave him exposed as being fiscally irresponsible, the very charge he made against labor. Where can he go now?

If he does manage to pull a rabbit out of the hat, and "that trick never works", then I agree, he should be labelled the best politician of the generation, if not all time.

If he doesn't, and the liberals are decimated, then he will have a very sad, and lonely, retirement. I'm not saying that anyone deserves that, however, he does to deserve to pay the price of his winning at any cost style of politics. Particularly, given the price some people have had to pay to allow him those victories.

Howard and Rudd, Economic Managers?

If you didn't laugh you would cry. The election is being fought, in a large part, on the relative economic managment skills of the Howard team vs the Rudd team. And they are roughly equal. Both are incompentent.

First, both pursue tax cuts causing increases in interest rates and further rises to come.

Then, they propose to solve the housing affordability crisis by encouraging buyers to, effectively, spend more. That is, they are simply encouraging increased demand without trully addressing the supply issues. Under both parties housing will just get more expensive.

Howard has done this once before with the first home buyers scheme. Such schemes only make housing more expensive, particularly if the supply issues aren't addressed.

I think I am going to have a cry.

Rudd's Nuclear Power Plants.

Two weeks to go, most of the money spent, it's now time for the scare tactics to really crank up.

Also, some dirty politics might even be a bit of fun. Say a senior christian pollie caught with his/her pants down.

They can do it in England, we should be able to do it here. We can beat them a just about everything else, why not the pollie scandal Olympics. Just before an election would truly be a gold medal performance. We deserve more than a politician running late, or forgetting the script. Give us sleaze.

John Howard says sorry. Got yah.

This is what happens when the suburban solicitor becomes Prime Minister, every word is dangerous and treated with up most care. Why, well someone might sue. A nation perhaps?

Imagine the proposal to Janette, a carefully worded set of draft documents, formalised after careful consideration and advised amendment. Please God, say he at least lit a candle.

John Howard, Rabbit Outta a Hat, Again? Cartoon

Can he do it? While he has stayed on message, and been given some gaffes to work with, John Howard hasn't found his Tasmanian timber workers this time. Can he pull the rabbit out of the hat? To quote Rocky, "Aw, that trick never works".

Interest Rates Increase Cartoon.

No doubt about John Howard, he keeps trying and trying. Having lost the interest rate argument, particularly in the face of a, highly, probable rise tomorrow, he changes tack and tries to argue that given rates are rising, largely due to international factors, that only experience can manage the economy.

Will this generate interest in another term for a Howard Government?

Peter Garrett Cartoon

Poor Peter, tripped up again. "No I didn't". Who knows, it did seem like a silly thing to say, and that's what most mistakes are.

Part of me thinks that Steve Price saw a silly joke as a chance to make a name for himself. Still, while politicians make mistakes, journalists make careers. Steve's got to eat.

I equally profit from the mistake, no mistake, no cartoon.