Jul 24, 2014

Invented budget ‘crisis’ hides incoherence and inconsistency

The "budget crisis" created by the Senate is an invention: the government has walked away from billions in additional revenue itself.

Bernard Keane — Politics editor

Bernard Keane

Politics editor

While we’ve been focused on more important matters, what’s left of the government’s budget strategy has been receiving some belated support from the business community, with NAB and Woodside chairman Michael Chaney urging Labor to pass the government’s budget. “We have to make sure that our ­opposition understands the needs for reform and is prepared to support the government in sensible reforms,” the AFR reported Chaney as saying.

Another mining industry luminary, Sam Walsh of Rio Tinto, demanded the mining tax be repealed — something he might need to raise with mining magnate Clive Palmer, the dogged mining tax opponent who appears to have some influence in such things — and flagged that investment decisions were dependent on the repeal of the tax, despite mining industry analysts who recently declared Australia’s resources taxation system significantly improved.

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19 thoughts on “Invented budget ‘crisis’ hides incoherence and inconsistency

  1. Steve777

    The Coalition hid its true market reform agenda before the election and comprehensively botched it afterwards. They seem to be attempting to implement items from their backers’ wishlists rather than execute any coherent strategy to set Australia up for the future or indeed to accomplish anything.

    The budget reforms have no merit and no mandate. They should be shredded. The Government needs to go back to the drawing board on this one.

  2. Joe Magill

    If what has transpired over the past 6 weeks has been the government’s best selling efforts, we’d best be concerned about their ability to deliver any reform at all. But what really grates is the actions of the business lobbies. Westacott on the one hand argues to repeal the carbon tax and on the other calls for a market based mechanism to deal with global warming with certainty. Chaney has a long history of spruiking first his own interests and secondly those of the Libs, not the government, just the party. The lack of coherent, sensible argument from the busness lobby places them firmly in the “irrelevant commentators” basket along with Richardson, Kelly, Sloan, Ergas and the like. You just have to switch off whenever they open their mouth because you just know their argument is based on their perceived short term self interest.

  3. The Pav

    The real crisis is an incompetent and dishonest government

  4. klewso

    “Woodside” again – after the editorial reference to bugging?

  5. leon knight

    Crisis – what crisis?
    Shades of Alfred E Neumann “What, me worry?
    We could all cry laughing if it was not so serious – neither Hockey nor Abbott have the nuts/nouse to fix Howard’s long-term cock-ups.

  6. klewso

    How did Kelly get into that black hole – did he catch his escalator of decline?
    What’s left to damage of Labor’s financial credibility after years of the likes of Kelly’s/Murdoch’s one-eyed mauling?

  7. Dogs breakfast

    Labor has supported every sensible reform that the coalition has put forward so far.

    That is, none! None at all, they have all been senseless, narrative free, grab-bag of stupidities. The only narrative that has made any sense is ‘rob form the poor and give to the rich’.

    The business lobby is working against their own interests by being so hopelessly and blindly partisan.d

    How can you tell when a business person has completely ceased all synaptic action? They call for certainty, that business needs certainty, can only function with certainty.

    Apparently the fact that the very essence of business is riding the wave of uncertainty, and preferably exploiting the opportunities of change, and has done for millennia counts for nothing.

    Business leaders, there is no such thing as certainty, never was, never will be.

    Change is the only constant, get over it.

  8. Nevil Kingston-Brown

    The Budget is Parkinson’s l’esprit de l’escalier? Makes as much sense as any other theory I’ve heard.

  9. zut alors

    Dog’s breakfast, bravo, well said. Capitalists’ beloved sharemarket would never function if there was certainty: it’s based on risk, the unknown & educated guessing.

  10. Jaybuoy

    Chaney chairs two companies that in the parlance of not your average are leaners… this country needs to slip the tax noose around both these companies and their ilk..lets not worry about slicing services we need to broaden the economys revenue base..

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