Let’s be absolutely crystal clear about this.

abbott hockey cormannIf you click on the official Prime Minister of Australia government page the first thing you will read is

“Over six years, Labor ran up a $667 billion debt on the nation’s credit card.”

Aside from wishing that the Prime Minister of Australia had a more visionary or engaging opening line, it is a bald faced lie and that isn’t a good way to convince people to trust you.

You will be subjected to a rolling slide show of Tony, Joe and Matthias, photographed in various serious looking poses.  Is anyone else getting sick of these photos of Tony sitting at tables with people surrounded by lots of booklets and oversize graphs?  Is that supposed to convince me that he knows what he is doing?  Because he has his photo taking wearing a white lab coat trying to look into a microscope am I to say oh well the $7 co-payment must be a good idea?

But back to the lie.

“Ran” indicates past tense – in fact Tony Abbott specifically states that this happened “over six years”.  What he fails to mention is that the figure of $667 billion was a projection for possible debt in ten years’ time from Hockey’s MYEFO report produced last December, and it included increased Coalition spending decisions like the $8.8 billion gift to the RBA and all the interest that will cost us, and the foregone revenue from the carbon and mining taxes, and changed assumptions about future unemployment – in other words it was a political exercise designed to come up with as big a number as they could so they could then justify draconian measures as they claim to be reducing it.

Using the term “nation’s credit card” is purely designed to cause fear.  The nation doesn’t have a credit card.  In fact we actually print money and can do so if we have to as they have done in the US.  Credit cards can get individuals into serious debt and the interest rate is crippling.  Using that term makes people think of that rather than a sensible understanding of how government finances work.

While the Coalition continues to peddle this lie I will continue to remind people of the truth because the Australian people have a right to know the real state of our finances.  And because nothing pisses me off more than getting lied to about important stuff.

So what is the truth?

The independent pre-election economic and fiscal outlook’s (PEFO) medium term projections, using long-standing methodology, show that on Labor’s policy settings the Budget reaches a modest surplus in 2016-17, surplus grows to 1% of GDP in 2020-21 and net debt returns to zero in 2023-24.

The latest Budget update shows net government debt for 2013-14 of $191.5bn, or 12.1% of Australia’s GDP (not $667 billion Mr Abbott). By contrast, net government debt in advanced economies around the world averages 74.7%, according to the International Monetary Fund.

Gross debt in 2023‑24 is projected to be $389 billion with surpluses projected to build to over one per cent of GDP by 2024-25.  There are no surpluses predicted over the forward estimates, there is a higher debt, and surplus of 1% 4 years later than predicted by PEFO using Labor policies.

After the GFC hit, the deficit peaked at $54.5bn, or 4.2% of GDP, in 2009-10 – less than half the advanced country average.  In 2012-13, the federal deficit was $18.8bn or 1.2% of GDP, compared to an advanced economy average of 4.9%.

The claim that Labor left “fiscal time bombs” and secret cuts and spending is another blatant lie.  In the 2013-14 Budget, Labor took the unprecedented step of releasing 10 year figures for the National Disability Insurance Scheme and Gonski school reforms, demonstrating how they were funded over the long term.  Those figures, as well as the efficiency dividends on the public service, were there for all to see.  The fact is that Tony’s election promises were made knowing this but, as we saw, working out how to pay for his promises was not on his mind.

Australia is one of only 10 economies in the world with AAA ratings from all three agencies – in the company of other countries with strong public finances like Germany, Canada, Sweden, Singapore and Switzerland. This status shows our finances are considered to be stronger than those of the vast majority of advanced economies – including the US, the UK, Japan, France and New Zealand.

Despite headlines to the contrary, and ill-informed statements by the Prime Minister, the agencies have confirmed our credit rating with a stable outlook.

I hesitate to compare government finances with individual or business finances, but I will say this.  When you go into significant debt, you usually aren’t looking to pay it off completely the next week.  The decision to go into debt is made by looking at your assets, your ability to service the debt, and the value of the investment of the debt.

We do need to make some changes.  There will never be a time when fine-tuning isn’t needed because we live in an ever-changing world with an often volatile global economy.  Situations change requiring adjustments to be made.

We are not in any sort of crisis.  We have the luxury to be able to do long term planning to meet the challenges of the future whereas so many other countries are having to make decisions for the short term as a matter of survival.

Tony Abbott is looking for a legacy for himself rather than for our nation.  He wants to say the debt was huge and I made it smaller and he doesn’t care if he has to lie about figures to make this look true.  If he really wanted to reduce debt why on earth would he stubbornly insist on his paid parental leave scheme?  Why wouldn’t he look at negative gearing and superannuation tax concessions and capital gains reductions?  Why would he buy 58 fighter jets that won’t be in service until sometime next decade?

The “Infrastructure Prime Minister” is building the Abbott Highway to Hell to speed up the path to destruction and he is more than happy to sacrifice anyone who can’t help him along his way.

 

Advertisements


Categories: Politics

Tags: , , , , , , , ,

156 replies

  1. Morrison saying sorry for that death. Release of report.

  2. Abbott is also a defender of the rich, and he is sick of Labor’s wealth redistribution (which is what he accused the carbon tax and the family payments it funded), so he is seeking to restore the balance of welfare for the rich, a helping hand for the privately schooled, and jobs for the boys.

  3. Labor urgently needs to start calling out the LNP on their lies. I’m seeing so many comments online from LNP supporters who are believing everything that the LNP tells them without question. So stop waiting for Australians to work it out for themselves because quite clearly, lots of Australians are incapable of critical thinking. If LNP continues to lie convincingly and turns more people against those on welfare, they will get a second term.

  4. “Tanya just said, it is not clear if this government is aware of what this budget is doing. Spot on, I believe Tanya.”

    They know exactly what they are doing. They are taking from the poor and giving to the rich – as every LNP government has done before them. They have set the wealthy and the poor against each other in social media land and they have set everyone against the welfare recipients in the MSM. People are so busy fighting with each other, they won’t even notice what the LNP are doing.

  5. Reblogged this on DarinSullivan.net and commented:
    Highway to #Auspol Hell

  6. I love reading a Labour blog every so often to see the lack of reality they all have. I’m a CEO of a big enough company to see the pros and the cons in the budget and to be able to say, Lee if you’re such a “critical thinker” you explain the Pros… Because you need to be objective to be a critical thinker and you my friend are simple a Labour Stooge. I can see there are a few minor issues. but If you actually understood economics at a high enough level you would understand that this budget is required. So you know there is VERY little being taken out. only things that were NEVER budgeted for. You are the person who needs to wake up.

  7. ” Lee if you’re such a “critical thinker” you explain the Pros… Because you need to be objective to be a critical thinker and you my friend are simple a Labour Stooge.”

    Actually it’s Labor, not Labour.

    Don’t give up your day job. I haven’t voted Labor for many years and can’t see anything changing in that department any time soon.

  8. Chris,

    If you would care to read my next article called Horse trading you can see some suggestions. I would be interested in the CEO perspective.

    http://theaimn.com/2014/05/25/horse-trading/

    The point is that better outcomes can be achieved by far better ways

    You may also like to read my article from today called Can we make a difference to clear up your misconceptions about this being a “Labour” site. We certainly have many readers who vote Labor, and can I suggest, since the budget our readership has increased.

    http://theaimn.com/2014/05/26/can-we-make-a-difference/

  9. Chris,

    Is Clive a Labor stooge as well?

  10. It’s a real worry that the “a CEO of a big enough company” writes like a semi-educated teenager.

  11. “… we actually print money and can do so if we have to as they have done in the US”
    As if inflation does not come at a cost for citizens! Inflation has historically cost the public more than an appropriately enforced tax – its just that inflation does not cost politicians their office or forces them to make hard decisions.

    “Credit cards can get individuals into serious debt and the interest rate is crippling.”
    So inflation doesn’t? How would investors perceive increasing inflation? How would lending institutions react to increasing inflation? How would the Australian Dollar react to increased inflation? Thought about all this?

    Next time, please read up on your economics subject before you publish such things.

    PS: No, I do not agree with all the decisions of the government, but I condemn inflation as it is an invisible tax on all of us with huge economic costs.

  12. A semi-educated teenager who doesn’t seem to understand that the budget outcome isn’t quite what he seems to think it is for that matter mars08 😉

    Perhaps a teenager might be more comfortable with pictures:
    http://www.macrobusiness.com.au/2014/05/the-epic-crash-in-consumer-confidence/#comment-364014

  13. It’s a real worry that the “a CEO of a big enough company” writes like a semi-educated teenager.

    Snap.

  14. So “printing money” always causes inflation Mark? Perhaps it’s you who needs to read up on your economics subject…

  15. Mark,

    Quantitative easing (or creating money) doesn’t cause inflation. Banks lending that money might, but the QE itself does not. Here’s a good explanation from America.

    The economy grows through investment, spending and consumption. Quantitative easing is a process by which low liquidity instruments (bonds) are replaced with high liquidity cash reserves. These new cash reserves are available to banks for lending – which drives investment, spending and consumption, or they can be invested – which drives the capital markets higher. Even though the Fed is creating money each month, this money winds up on the Fed’s balance sheet in the form of bonds. From the economy’s perspective all that happened was an exchange of low liquidity assets to high liquidity assets – assets which if lent or spent, can now help fuel economic growth.

    QE has potentially severe implications for inflation, but not directly from the QE itself. Instead the inflation will come as a result of a dramatically increased total money supply resulting from bank lending. QE does enable more bank lending, but the lending must take place for the total money supply to grow.

    http://www.financialsense.com/contributors/matthew-kerkhoff/qe-printing-money-inflation

  16. yes one cannot help that this Prick of a Prime minister is treating the majority of Australians with total contempt, treating us like sheep, and taking us to his ABBOTTOIR . and I thought Howard was bad;. this Dipstick is one crazy selfish Mother fxxxxxx who does not give a shit about any one except himself, and the wealthy. WHO the HELL voted for this PRICK.

  17. im not sure why everyone insists on blaming Abbot for the joint strike fighter purchases seeing as we joined the program when Howard was PM and ordered and put money aside ofver the last 10 yrs for them.

    so while im not positive on most of your article this particular bit about buying new fighters is bollocks

  18. Gareth,

    Because Abbott ordered another 58. we had paid for two and ordered another 12. Why the hell we need to then order another 58, you will have to ask our wannabe Top Gun.

  19. so paying 12 billion in interest for this year alone and increasing over the next 10 years for the reckless spending of the useless previous govt, that would have paid for double the amount of jets we are buying, wake up you socialists, there will be no labor union hacks left once the RC finishes with these corrupt dimwits.

  20. Gordon,

    can you explain why Joe Hockey’s first act was to borrow $8.8 billion to give to the RBA even though they hadn’t asked for it, a decision which added greatly to the interest bill of which you speak. And how do you feel about the paid parental leave scheme which will cost $22.2 billion?

  21. If rattus is wrong on the Rothschilds and this is a conspiracy theory that you know is false? what documents can you suggest that would be useful to read that discredit such ideas?

  22. If it is a ‘bare faced lie’ why wasn’t it repudiated at the time? That is one thing I cannot understand. If someone could let me know why a person can lie their guts out and become the PM of Oz then I would like to know how it is done because I am living on Newstart myself, I have no job prospects and I could really do with a wage that not only gives me wealth but also my family would be eligible for all kinds of kick backs. Other than that, why did the Labor party implode on itself and let them get away with it…there has to be a reason for this other than infighting…

  23. Taking money primarily from the poor makes me of villainous rulers from old stories such as the Sheriff of Nottingham who administered the shires and collected taxes in Robin Hood’s time.

  24. donwreford,

    The onus is on rattus to provide verifiable evidence for his claim. There is no requirement for anyone to prove that he is wrong.

  25. “If it is a ‘bare faced lie’ why wasn’t it repudiated at the time?”

    Murdoch controls most of the print media in this country and he wants the Liberal party in power, so he is very selective in the reporting in his newspapers. Fairfax’s biggest shareholder is Gina Rinehart, who bought into Fairfax Media and got herself on the board so she could control the media. James Packer is a Liberal supporter, so is Kerry Stokes. These people have an agenda and they aren’t interested in publishing the truth. Labor is even being hobbled by Bronwyn Bishop during question time.

  26. The 2007 election left Tony Abbott with a big reduction in earnings. His response was to take out a $710,000 mortgage to pay out his existing mortgage and to ensure he borrowed enough to cover his recurrent expenditure on the education of his daughters and lycra.
    Now this person feels he is entitled to lecture us all on “living within our means” and not to borrow to cover recurrent expenditure?
    As far as the projected long term debt of 667 million. If one takes it out to 2050 (the projection that is ) we get to something like 3Trillion. And by the turn of the century Labor’s budget disaster will equal the national debt of India and China combined.

    Seriously I think we have to consider there is something curious about how provocative the budget is to the lower classes. It could all be a distraction to focus our attention away from the need to “Fix the Federation”. I have only heard Abbott mention this three times and never before the election.
    It could be that separate the commonwealth back to the stronger states models and concentrate the federal government powers in such a way that the conservatives, the neo-cons, remain in power for decades.
    Think about It for a little while.

  27. “It could be that separate the commonwealth back to the stronger states models and concentrate the federal government powers in such a way that the conservatives, the neo-cons, remain in power for decades.
    Think about It for a little while.”

    Abbott also wants an end to compulsory voting. Conservatives take their voting seriously. The people who cannot be bothered voting when they don’t have to tend to align with the left side of politics.

  28. Lee, it’s interesting reading all your comment replies and how important you consider grammar over substance!
    There are so many things this socialist article forgot to mention it’s not funny. Lot of money has been sunk into infrastructure projects nation wide; they employ people & create jobs & feed families that spend money & contribute to the economy & companies make a profit for reinvestment or share holder wealth (opps THATS a dirty word, sorry!). $3 bill on the east-west link tunnel project alone.
    The defict that is touted; projected IF all the labor projects were to go ahead; scare tactics? You bet! $80 in health & school funding “ripped out” of the economy? That’s not scare tactics? That money was NEVER THERE! Labor promised it, unfunded as what they wee going to do.
    Like the CEO said there are elements in the budget he/we do not like but live with for the greater financial good of the nation.
    Let’s protect the weak & frail & elderly, let’s not continually give out to those who can improve but choose not to.

  29. Derek,

    Can you tell me what a “socialist article” is?

    ” Lot of money has been sunk into infrastructure projects nation wide; they employ people & create jobs & feed families that spend money & contribute to the economy & companies make a profit for reinvestment or share holder wealth (opps THATS a dirty word, sorry!). $3 bill on the east-west link tunnel project alone.”

    A lot of money has been promised….I don’t see anything happening yet. As you recognise the benefits of government spending on infrastructure, I assume you are lobbying the government to continue with the real NBN? I assume you are writing letters to them defending the BER and HIP programs which kept people employed and the economy growing?

    Regarding the East West link…it appears that it is a lemon that we have been lied to about…surprise surprise.

    The Napthine government has been ordered to fully defend itself in court against accusations it misled the public on the benefits of the East West Link.

    Read more: http://www.theage.com.au/victoria/east-west-link-details-may-come-out-in-court-20140519-38k82.html#ixzz32sXU17Jn

    Regarding Gonski and NDIS funding…it was all laid out for the next ten years in the budget, in the economic statement, and PEFO – fully costed and funded by the increased medicare levy and savings announced in the budget like the controversial cuts to single parents and to universities. Unlike Tony’s PPL debacle which has no details at all – one paragraph telling us nothing.

    You really need to look beyond what this government tells you because they tell big fat porkies.

  30. “Lee, it’s interesting reading all your comment replies and how important you consider grammar over substance!”

    Well perhaps you could tell us what “substance” there was in the recent budget. Because I found very little that was encouraging. There’s a high rate of numeracy and literacy problems among the long term unemployed. Would you care to explain how school chaplains can address that problem? Because that’s the only money going into education. When people can go to a church and get the same service for free, and the LNP is claiming we have a budget crisis, wouldn’t you consider funding for school chaplains to be extremely irresponsible? Are you not concerned that history has repeatedly proven that the Catholic church and children aren’t a good combination? I have a hunch they will be providing our school chaplains.

    Are you aware that there are far more unemployed people than there are job vacancies advertised? Do you have the appropriate qualifications to be able to apply for every job that is advertised? I’ll bet no, and neither does anyone else, so that places further limits on the options of the unemployed. So considering a small number of people want to rip off the system, in the whole scheme of things does it really matter because there simply aren’t enough jobs period? If you’ve been reading all of my comments you must have seen me providing an example where Centrelink did force an unemployed person I know to take a job or lose her benefits. They do look out for fraud and take action when they find it. The LNP rhetoric is simply demonising all unemployed people and wants us to believe that every single one of them doesn’t want to work. Even for those who successfully rort the system undetected, every cent they receive gets cycled back through the economy anyway. What you conservatives fail to recognise is that when consumers don’t have enough money to spend on what businesses are selling, businesses don’t stay in business. The total consumption of the lower and middle classes greatly exceeds that of the top 2%. Let’s see how long those businesses selling non-essential items and services can actually stay in business now, shall we?

    You perhaps care about infrastructure. So do I. I’m concerned that the Howard government sold a lot of it off at rock bottom prices, and there went several sources of revenue. Howard is considered by the IMF to be the worst PM we’ve ever had. His government invested little in infrastructure even when the budget was in surplus. Now the Abbott government is planning to sell off more of our infrastructure. There is speculation that the roads he is planning to build are not the best examples of roads that require public funding. I won’t hold my breath waiting for the promised money for research because we already know what this government thinks of science and they plan to introduce cuts to existing research.

    Finally, grammar is very important if you expect to be understood, or expect others to take all the extra time trying to guess what point you are trying to make.

  31. Ruttus, having commented on the Rothschilds, their seems a considerable amount of commentary on the Rothschilds, I understand this banking family has the possibility of evading any probe in to this organization, if this is so, the ability of this banking group is beyond scrutiny and as such invites suspicion, with reference to the clean up of big money in London’s stock exchange with the defeat of Napoleon and money made by this individual and how he was either devious or had insider information,or both, suggests he is now able to control governments through money, if so this is all part of corruption that requires looking into.

  32. The Rothschilds are no longer one family or business. They have spread all over the world in many different fields. Some are connected, many are not. Look at the profits our banks make – that would be more productive. Businesses that make that much money, just like the miners and big pharma and private health, all are out to influence governments. Forget the Rothschilds – worry about Rinehart.

  33. Because that’s the only money going into education.

    Not quite true. For the first time public money is being given to private institutions like the Whitehouse Institute of Design to supposedly enhance the education of Prime Minister’s daughters.

  34. Once again the left see the mirrors but not the smoke. I find it ironic that so many people have been tricked into thinking that the Federal deficit is the total of what is owed by this country. The truth is that the sum of all sovereign debt including state and federal plus corporate debt plus personal debt places Australia second only to Canada as the most indebted nation by way of debt to GDP ratio.

    So if you think you can just print a little more money as has been done in those nations with runaway inflation, you are sorely mistaken. What is required is frugal leadership an entrepreneurial flair to move this nation into the next economic phase of industrial development. There is no doubt that without industry, employment declines and those taxes that pay for social services will dry up.

    Therefore the salient lesson to you lefties is that the age of indulgence is over, and now we have just a great big bill to pay. Fortunately the bill may have been even larger had it not been for the great work of John Howard and Peter Costello who filled the bank accounts just in time for Kevin07 and Julia to come and trash it.

  35. Chris – some CEO you are. Can’t even spell! You must work for for the lying Rabbott!

  36. “Once again the left see the mirrors but not the smoke. I find it ironic that so many people have been tricked into thinking that the Federal deficit is the total of what is owed by this country. The truth is that the sum of all sovereign debt including state and federal plus corporate debt plus personal debt places Australia second only to Canada as the most indebted nation by way of debt to GDP ratio.”

    You need to have a word to Clive Palmer too then and impart your wisdom to him.

    “What is required is frugal leadership an entrepreneurial flair to move this nation into the next economic phase of industrial development. There is no doubt that without industry, employment declines and those taxes that pay for social services will dry up.”

    Yeah and weren’t we all dazzled with Abbott’s entrepreneurial flair in dealing with Holden, Toyota and SPC-Ardmona? Then there’s the disinterest in clean energy, the NBN and the withdrawal of funding from research which hinders opportunities for creating new industries. I get a warm fuzzy feeling knowing our industries are in safe hands with the adults in charge.

  37. Dear oh dear Stuart, you aren’t big on facts are you. Filled the bank accounts? Hardly. He pissed hundreds of billions up against a wall and kept borrowing more right up to the death.

    Indeed, in the three months before the November 2007 election, the Howard government went to the bond market on 8 separate occasions to borrow money with a series of bond tenders. Even during the election campaign, just 11 days from polling day, it borrowed an additional $300 million in bond tender number 236.

  38. I agree the Rothschild family have diversified, some are renting holiday accommodation and other diverse businesses, the Rothschild banking system has become amorphous and this is because the Rothschild’s would be conspicuous, to avoid public attention they became more corporate, as far as I am concerned they are still in existence except more camouflaged.
    Your comment on how healthy our banking system is? the profiteering of banks is the ability to make big money out of the general public, the banks are all involved with rorts and scams, why they do so well is the government also make big money on taxation, of banks, the old style of banking was democratic, now its in the main for the well off.

  39. Lee, please explain to me the exact cost benefits of the NBN and your opinion of how Labor managed it. I’m aware its created jobs to construct…many of them in fact…I’ve had anywhere between 2 to 50 NBN workers in my street since late 2011. I was in one of the suburbs in Perth said to receive it in the first wave. From memory, we were suppose to have it late 2011…we already have fibre in most of my suburb from years ago during trials (prob can’t reuse it….but def can’t use any excuses of ancient copper and asbestos slowing things down).

    So to break down my dealings with NBN. Saw them first late 2011. Got newsletter after newsletter….then about mid 2012 they wanted me to make an appointment with them to talk about installation. In this kind invitation to make an appointment, was an extremely personalized account of how they would do things. I shit you not, it had half a dozen photos of the outside of my property, with 3 possible routes for installation, with arrows and notes beautifully Microsoft painted on top of the photos….all subject to taking a look inside my house. So they’ve spent easily an hour to make my personalized letter, which is still subject to looking in my house, so maybe none of the 3 options would be variable anyway?? If this is seriously happening for every property, I will shoot myself. Actually, I’ll let the supporters shoot themselves. Do the math, x million properties, x dollars per hour comes to how many billion for just a new letter that’s subject to change?

    So I had my appointment….and I said whatever, do what you want. Then I didn’t hear from them until 6 months later, another newsletter saying “coming soon”. Now I kid you not….on my street, 300m long….we’ve had on average 20 people staring down a ditch for over 2 years. In the summer heat, most cower under the tree, in the winter rain, most cower under a tree. The fibre truck blocks one lane at least 3 days a week….requiring 2 additional lollipop men, to control the 5 cars an hour that travel down the street. Lots of action, still no one has it.

    So anyway…i only just heard from them again in the last couple of months…another newsletter. It says “NBN is now available in your area!!!”. Accompanied by a map, with the area switched on highlighted in red. Guess what….my street hasn’t yet made the cut!!!! Maybe chief Microsoft paint got it wrong??? Nope….still people in my street…will be ready in months.

    Not many people mind fast internet….I’ve lived overseas with a 100mbps connection at home and at work. However for me at least, I never noticed any productivity gains…and at home, as they say, just allowed me to torrent faster. But what people do mind, is the budget being blown astronomically, which the NBN was under Labors watch….and they made next to zero of their planned progress. I’m sorry – but in any project where you blow the budget to the point where any benefit won’t be realized for a very long time…,you try and change the design. You guys may have never have spent money on projects in the real world. But people expect a workable outcome to be reached without it taking longer, or costing significantly more than you were told.

  40. So anyway…i only just heard from them again in the last couple of months…another newsletter. It says “NBN is now available in your area!!!”. Accompanied by a map, with the area switched on highlighted in red. Guess what….my street hasn’t yet made the cut!

    You do know that Turnbull changed the roll out and cut it back?

    Whenever I hear someone say “I kid you not”, my ears prick up and I think they’re kidding.

  41. Mobius and,

    For the first time public money is being given to private institutions like the Whitehouse Institute of Design to supposedly enhance the education of Prime Minister’s daughters.

    And other private colleges, such as yes you too can become a qualified counselor/public relations manager/journalist by forking out much-dollars with our (traaa-daaa) one year ‘fully accredited’ diploma course. Of course, the likelihood that a person would actually ever achieve employment with this qualification is just about zero.

  42. When will people accept that the Howard leadership were the golden days?

    The Howard years coincided -globally- with an unsustainable house of cards. Those years were a fabrication… a con game by the rich and powerful. Encouraged -globally- by lazy, opportunist politicians. Inevitably it came tumbling down. But the public purse bailed them out.

    Now, those same people are still trying to rig the game in their favour.

  43. Even Peter Costello at the time said that Howard’s spending was unsustainable as was shifting debt to the private sector.

    And Howard’s response? To spend more and to keep shifting debt onto the private sector.

    Labor increased private savings and moved debt back to the public sector where it could be sustained. Now Abbott is not only attempting to do a Howard, but to outdo Howard by a considerable order of magnitude.

  44. Kobymac, if you want a dollar value I can’t give you one. Neither can anyone else. But it has loads of potential. Faster transmission of video provides better quality distance education for both children and adults and makes distance education a more viable option than it has been in the past. Plus it gives greater access to more courses and in some cases would negate the need to attend residential components, which is a significant benefit for students, especially for those who are currently employed and need to take leave to attend. It’s much better for people like me with audio processing disorders, where class/tutorial situations present quite a challenge and cannot be replayed.

    Doctors use video conferencing for performing life saving procedures in rural areas, assisted by a specialist located in a city-based teaching hospital who is watching and guiding a local GP, even in the middle of the night. A surgeon who develops a new procedure can be viewed from all over the world by other surgeons who want to learn from him/her and they are able to ask questions while the procedure is in progress. Where procedures are performed infrequently, it gives trainee surgeons and doctors access to observe them in greater numbers because they can be accessed all over the place.

    Businesses based on multiple sites or even in multiple states or nations, can conduct meetings or training without the need for moving staff around. I work in a medical pathology lab which has 17 sites for testing facilities, plus many more collection centres. We could save a fortune by not having to move staff across the state to attend meetings or training sessions. Currently in small remote labs we have to take a person off the floor for a whole day to attend events in the city that may only last 2 hours. That limits the number of people that can be trained at any one time because the local service still has to be maintained. With video conferencing, we can train multiple people in a rural location at the same time if the lab is currently quiet, and if there is an emergency they can simply leave the conference and attend to it. The same videos can be used repeatedly for training multiple groups of people, rather than paying people to conduct multiple training sessions. Our current internet service is not good enough to allow any of this.

    There are cost benefits to businesses who have staff working from home, plus greater employment opportunities for people who are unable to work outside of their home. Video conferencing facilities are of benefit to them too. Greater job satisfaction leads to increased productivity.

    It is extremely short sighted of the LNP to withdraw support from this project. You are also incredibly naive if you think that the NBN should be completely installed within months. The NBN website has always made it clear that the project was going to take years. The budget for it is also allocated over multiple years. In some years it is possible that construction could reach the maximum budget allocated for it and it would have to wait until the following year to continue. All governments work that way, regardless of their political party.

  45. Lee and that doesn’t address the fact that Turnbull lied about his fraudband. It’s going to cost far more than first stated and is going to take much longer than promised as well as being more expensive for the end users.

    Notice how fraudband has quietly slipped out of view.

    Why do the right wing commentators refuse to address the torrent of lies and deceits of this Coalition both before the election and now in government. It seems to me their only answer to how this government is performing is “Labor”.

  46. “Why do the right wing commentators refuse to address the torrent of lies and deceits of this Coalition both before the election and now in government. It seems to me their only answer to how this government is performing is “Labor”.”

    I assume they learn that from observing their political gods. All Liberal politicians can do is criticise everything about Labor. They’re stuck in a permanent state of negativity. I’ve long given up waiting for them to come up with anything constructive. They’re in power now. Still they have nothing to offer and still they are blaming Labor for everything. Their only vision for the future is to advance the top 2% and still the sycophants like Neil cannot see that they are being shafted.

  47. Sorry for being a pessimist about the NBN, my biggest issue with the NBN is not the purpose, but the management of the project and the lack of project definition when pollies pitch these mega projects, without a proper cost benefit analysis (argued too many times before). Obvious project priorities are (1) its got to be on budget (2) its got to be on time (3) most importantly it has to work. It seems in infrastructure projects in Australia people only shoot for number 3, especially when there’s perceived to be a bottomless pit of cash and long term, well paid employment for many. Not here to argue about the libs compromising number 3!!!

    I just dont understand why we cant get them all right for government funded projects. The most common fault, besides pay/productivity pressures in the Australian construction work force, is we aren’t realistic at the start with our estimates on cost and time knowing full this was only getting worse. I know we can put pressure on the contractors by giving them semi unrealistic targets for their workforce to blow, but setting up government projects to fail cost and time wise is always political fodder. I’m not exaggerating anything I said in my previous post, I just have to shake my head and think this project better have some great benefits.

  48. “I just dont understand why we cant get them all right for government funded projects. The most common fault, besides pay/productivity pressures in the Australian construction work force, is we aren’t realistic at the start with our estimates on cost and time knowing full this was only getting worse.”

    I’ve been working in the public service for 30 years. In that time I’ve seen various contracts farmed out to the private sector. I have not observed that the private sector does it any better. In fact, the private sector does not like to take on work where they cannot make a profit, so all the “fiddly stuff” tends to remain within the public sector. Many years ago I worked as a draftsman within road design in the Dept of Transport. When this privatisation became more prevalent we were sending projects out to the private sector to do the design work. When it came back to us we had to redo it as it was not done well. The private sector might be better at sticking to a budget, but there are trade offs for that.

    I am a person who wants to know finer details in the planning stages as it helps me to plan the rest of the project so that it runs as smoothly as possible and on time. In the last 10 years or so I’ve noticed a trend that seems to be quite widespread, and it is also being observed by others overseas with the same trait as me, where the people who are responsible for overseeing large projects only focus on the broad outline and not at all on the finer details. The people who are then charged with carrying out the work have very little guidance from the staff above them and the project then becomes messy and inefficient. We have to go back later and fix up what we didn’t get right in the first place because no one wanted to focus on the finer details. So perhaps that is more of a management trend rather than being limited to the Australian public service.

  49. I voted for Tony Abbott. Not only has he turned out to be a liar, but also an idiot. I don’t mind stricter fiscal discipline but his cuts in support for research and higher education are a recipe for disaster. Turning his back on renewable energy is another mistake. It can only be due to lack of brains. While I don’t agree with the carbon tax because it was just another way to increase taxes that companies could not write off, we really need to find better alternative energy sources. The coalition has been bought by the energy industry. Everything they are doing favors the oil, gas and coal industries. They are not interested in the man in the street except to get elected. I will never vote for the coalition parties again, and I hope that the Australian majority doesn’t either. While I can’t stand Labour I guess I’ll have to vote for the Libertarians.

  50. I didn’t vote for the Lib’s or Labor…now I understand that Labor was pushing for strong communities with health and education and looking after the vulnerable in our communities, not a good enough reason to hate them. I have never voted for Labor but I will be in future, I want strong communities and a health country.

  51. Yes, that is what is happening and I watched it happening and still cannot fathom how the rest of Australia could not see that they were being duped. But it has turned out worse than anyone could have thought…why would they want Tony Abbott as our PM. I dont know, it was made plain and clear what he is…I like that you said it because although people know it to be true they will not admit that the Murdoch machine likes to be in charge and wants the rights to everything. I myself prefer strong communities, health and education in the mix..the country has suffered from flood and fire and nature has really given it to us as well, rebuilding and supporting devastated communities has a cost…

  52. <

    @"kobymac"

    http://delimiter.com.au/2014/06/02/huge-whopping-surprise-cbn-fttn-trials-already-delayed/

    NBN was a massive project and also the best for the future.

    The FTTN that Turnbull has to push is also a massive project, but one that will have to be updated when copper fails or it just cannot handle the speeds.

    Part of the problem that hits both is that Telstra has so much substandard work done over the last 80+ years.

  53. @pimmento

    Lets see them rebuild Adelaide when GMH shuts down.

  54. That’s not going to happen with a Labor state government. Abbott didn’t even invite Jay Weatherill to the Edinburgh RAAF base when he announced that SA would be the base for high-tech surveillance aircraft.

    Someone sent me this link tonight. It’s hilarious and i hope it goes viral. Here is the pride of Oxford University. http://www.dailymotion.com/video/x1y1ez7_tony-abbott-last-week-tonight_news

  55. Turnbull’s trials have been deferred. Having problems powering the nodes. This was said back before the last election.

    It seems our Chief Scientist had no inputs into the so called future medical research fund. No role whatever. It also seems, he had no input into the cuts this government, has made in research in all other departments.
    Has not been asked about the cuts to university research.

    One thing this government is good at, is ignoring all experts. Do not even ask.

    The Chief scientist is Professor Chubb. Must feel loved by this government.

  56. I know. So you know too, and I did not hear anyone talking openly prior to the last elections on this subject, only that the mining tax was hurting Australians, naturally I wanted the mining billionaires to pay for what they earn the same as the rest of us.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: