Economy

Feb 28, 2014

Capex figures makes Hockey’s budget challenge that much harder

Yesterday's private capital expenditure figures make for terrible reading -- especially if you have a budget to prepare, Glenn Dyer and Bernard Keane write.

Yesterday’s shocking private investment data from the Australian Bureau of Statistics will significantly complicate Joe Hockey’s revamp of the budget. Rather than a slash-and-burn attack on spending, the Treasurer and his advisers now have to grapple with an emerging investment drought, as well as the actual drought in eastern Australia.

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3 thoughts on “Capex figures makes Hockey’s budget challenge that much harder

  1. PaulM

    Tell me again about the adults now running the government. Just like some will never let the facts get in the way of a good story, Hockey sees determined not to let the facts and objective evidence get in the way of his ideological pursuit of the tory dream. As for Abott, he wouldn’t have a clue.

  2. Jimmyhaz

    His dream isn’t Tory, it’s decidedly Libertarian. He honestly see’s government and government spending as the root of Australia’s ‘economic woes’ (which, until very recently, were entirely manufactured). I wonder what it will take for him to realise that the private sector is not, in fact, the answer to all our problems. Possibly when we have privatised our water supply, and a glass of it costs us two dollars?

  3. R. Ambrose Raven

    On the contrary, Hockey will secretly welcome such bad numbers.

    Brutal Austerity is the whole idea. Abbott/Hockey’s Destruction of the Car Industry Plan is a deliberate and calculated act. Why is that behaviour so difficult to recognise when it is being practiced in Europe and the U.S. with religious zeal?

    In Europe and the U.S. the filthy rich – the 0.1% – have done very very well from brutal Austerity; to plunder similarly here, they need to inflict similar pain. Therefore, as representative of the filthy rich and of transnational capitalism Abbott the Hun’s agenda (equally driven by Hockey the Hatchet-man) is in fact quite open, quite simple, and quite brutal – to wreck the economy so as to indirectly force the massive cuts in wages and income transfers that that stratum has so far been unable to inflict directly.

    While doing obvious damage may take a long time, post-1980 deregulation has done much to render our economy and society more fragile and more stressed, notwithstanding its overall wealth.

    Wrecking CFEC and the car industry, Qantas and SPC, signing up to “free” trade “agreements” with Investor-dispute clauses, importing even more sweatshop coolie s457 visa workers, giving lots more public money to private schools and none to government schools, $7 billion on Direct Action as useful extra lead weight (which will – as intended – benefit polluters), and the RBA being given $8.8 billion that it didn’t want or need, are all breathtakingly brazen and naked wastes of money that nevertheless add substantially to the budget deficit. Crucially, they thus become an excuse for cuts of a similar magnitude to household-oriented Budget programmes.

    Thus Abbott the Hun and his henchman Hockey the Hatchet-man will ensure the necessarily large losses of jobs and opportunities to destroy our wages, our lifestyle, and our future. Note how “awards”, recently made a minimum safety net, have now been blessed by Abbott the Hun as the new industry standard.

    You want to see our future as the Noalition would have it? Look to the fate of the ordinary people of Spain, Greece, the U.S. or Britain. It is after all the fate of the ordinary people; the filthy rich are doing very nicely thank you very much.

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