August 2012
Super subsidies: a budget spending secret
The budget papers mask some public spending by classifying it as ‘tax expenditures’ The amount the federal government spends on superannuation subsidies is forecast to hit $45 billion in 2015-16. Yes: $45 billion! That’s well over 10 per cent of the government’s total projected outlays and bigger than the amount spent on the age pension.
Time to untangle the web of renewable energy policies
Australian climate policy has been defined by its volatility. Grand plans have been hatched, only to wither in the face of opposition. Where policy measures have come to fruition, most have had a short lifespan. On the surface, the one major exception to this is the renewable energy target or RET, which was created by
Debt is not the villain – NL July 2012
This edition of The Australia Institute’s newsletter features: Debt is not the villain Dr Richard Denniss Childcare’s market model in dire need of reform Eva Cox It’s hard to escape the big four banks David Richardson Illicit drugs: Changing the current prohibitionist paradigm Prof Bob Douglas A promise delayed, is a promise denied Bridget Griffiths
July 2012
What we don’t know can hinder us
The federal government spent $374 billion last year providing services to its citizens, but it’s amazing what the government doesn’t know about those citizens. It is only every five years that we accurately measure the population through the census, and it’s only every six years that we get an accurate indication of what households spend
Lower cost, lower cover
There aren’t many people who, after 12 months of incident-free driving, focus on the money they wasted insuring their car against an accident that never happened. Similarly, on returning safely from an overseas holiday, there aren’t many travellers who wish they had got better ”value for money” from their travel insurance policy. Insurance is one
What nobody wants to say about the carbon tax package
Over the past 12 months, the political debate over whether the carbon price is a tax or an emissions trading scheme has been as brutal as it has been boring. Rather than explain the details of what is, in fact, a hybrid scheme, the government, opposition and media have instead busied themselves in the politics
KPIs’ have little relevance in managing our health system
‘KPIs’ have little relevance in managing our health system. There is an old saying that for every complex problem there is a solution that is simple, neat and wrong. The modern delusion that the creation of simple “key performance indicators” can solve complex problems like the management of the health system, the performance of our
All the lonely people
If you felt lonely sometime in the past decade you were not alone. Loneliness – the disconnect we feel when our desire for interpersonal relationships is not met by those we perceive we currently have – was experienced by three out of ten Australians between 2001 and 2009. Although the subjective nature of this experience
June 2012
Social media not the panacea for loneliness: new study
The risk of loneliness increases for those in the community raising children, either as a single parent or as part of a couple, a new study from The Australia Institute has found. All the lonely people: Loneliness in Australia 2001-2009 reveals that three in ten Australians experienced loneliness in that period and that the number
Politics in the Pub Wednesday 27 June 2012 -Father Frank Brennan AO -Asylum seeker policy 20 years on
2012 marks 20 years since the policy of mandatory detention of asylum seekers was introduced by the Keating Government. Today, more than 4000 asylum seekers are being held in immigration detention, 460 of those are children. A recent parliamentary inquiry report into immigration detention, has called for sweeping changes, including recommendations on detention time limits,
Newman is digging in wrong hole
In his televised address, Premier Campbell Newman warned Queenslanders that spending cuts were needed to rein in debt. This follows his announcement that the state cannot afford to pay 20,000 public-sector workers. But how can this be when Queensland is the second most resource-rich state in the middle of the biggest mining boom in Australia’s
Politicians rarely know best
The latest tragic loss of lives as asylum seekers literally risk everything to make a better life for their families highlights both the consequences and the absurdity of some of the policy positions adopted by Australian politicians. Politics, like democracy, often has more to do with compromise than with consistency. But building a nation does
The budget conundrum
As our population continues to grow rapidly, the government is faced with choices is doesn’t like to make. According to the latest census, Canberra’s population has grown by 9.9 per cent (compared to 7.9 per cent nationally) in the past five years – a growth, which among other things, places incredible pressure on the ACT
Bosses flunk training 101
The business community has spent 20 years pushing tirelessly for labour market flexibility but, now that it has it, some have figured out that it is a double-edged sword. In a flexible labour market, wages for skilled workers in high demand can rise really quickly. Who knew! Last week the Business Council of Australia (BCA)
Pharmacists’ special case
Why can the Pharmacy Guild get away with a deal with the government which limits competition? Rather than admit that it is a union working to maximise the income of its members, the Pharmacy Guild of Australia prefers to position itself as a ”professional association” concerned more with improving standards and delivering benefits for the
Two speed economy has gender impact
Media release Today’s increase in the unemployment rate to 5.1 per cent in May hides important gender differences in the unemployment experience, according to The Australia Institute. With the male unemployment rate remaining the same at 4.8 per cent, female unemployment has seen an increase of 0.3 percentage points to 5.5 per cent. “Today’s figures
May 2012
Debt is not the villain
The idea that the Coalition would oppose an increase in the Commonwealth’s debt ceiling makes about as much economic sense as its hostility to a market-based mechanism to address climate change. But, as with most of Tony Abbott’s big calls, it clearly makes good short-term political sense. In an age of slogans it is much
A tax on the developers
It is the perceived value of a location, not the cost of construction, that determines the market price for housing. It’s amazing how progressive business has become in Australia. The mining industry’s biggest concern seems to be creating jobs for migrants. The banks just want to help small business grow and the property developers of
Environment Protection and Biodiversity Act -The green tape slugfest that is the EPBC Act
Nothing gets interest groups more riled up than a proposal to reduce some regulation or, as business groups like to call the federal Environment Protection and Biodiversity Act (EPBC act), “green tape”. In the green corner, we have the major environment groups arguing that such reductions signal further retreat by government in the face of
Fantasy Budget Richard Denniss on Broadening the Tax Base
Despite all the hoopla, budgets in Australia are rarely transformative or reforming. Indeed, it’s only the theatre and spectacle of budget night that means most people even notice it. If we started each budget with a blank sheet of paper it is inconceivable that year after year we would fund portfolio areas in virtually identical
How much tax is enough?
While it is impolite to say so these days, Canberrans don’t pay much tax. While this week’s Commonwealth budget as well as the ACT’s review of the territory’s tax system back up this conclusion, it is unlikely to have much impact on the calls for lower taxes to take the pressure off the cost of
As the miners look tough, the governments look weak
If the mining industry was a political party, it would make the current federal government look like a success story. The miners are internally divided, running entirely contradictory messages and are increasingly unpopular in the published opinion polls. But luckily for the miners, it is far easier to make billions of dollars selling resources you
End of the price gouging
The standard excuse for why Australians pay far higher prices than Americans for clothes, consumer goods and cars is to highlight the high transport costs associated with the tyranny of distance. So what is their excuse for more expensive music and software downloads? Dearer data costs due to longer cables? You might assume that because
Big Four banks earn $12 million per day by delaying interest rate cut
Every day that the Big Four banks delay passing on the Reserve Bank’s interest rate cut of half a per cent represents a transfer of around $12 million from home buyers with variable loans to the banks, according to The Australia Institute. An analysis of the ANZ’s new financial report shows that the bank has
April 2012
Put pressure on big banks
Wouldn’t it be nice to decide how much you were worth? And wouldn’t it be even better to be able to force people to give you the money you think you deserve? Of course it would, but then again, we can’t all behave like the big four banks. In most industries when customers buy less
Note to Joe: Australians support a rise in the Newstart Allowance
The Gillard Government and Opposition are out of step with community attitudes towards welfare payments with a new survey showing that Australians support an $84 increase to the Newstart Allowance. Most Australians believe that the current Newstart Allowance is far too low to meet the most basic costs of living the survey reveals. When asked
The government’s clean energy bank and the Abbott-proof fence
The government announcement on Tuesday that it accepts all of the recommendations of the Broadbent inquiry into the Clean Energy Finance Corporation (CEFC) is a high-water mark in the politics of perception. The commitment to spend $10 billion on renewable energy and energy efficiency helps convince the public that the government takes climate change seriously.
What electricity will really cost under a carbon tax
Late last week the ACT electricity price regulator released its draft electricity pricing decision for 2012-13. And the political response couldn’t have been more predictable. The Coalition raced to highlight that, out of an estimated $244 increase in annual household electricity bills, almost $190 was attributable to the carbon price. Labor and the Greens downplayed
March 2012
Tarkine wilderness another victim of the mining boom – NL March 2012
In our latest TAI newsletter Andrew Macintosh and Deb Wilkinson from the ANU’s Australian Centre for Environmental Law explain the likely threat of the mining boom on the Tarkine. For eight years conservationists have fought to have the Tarkine rainforest in Tasmania included on the National Heritage List. Yet despite its eligibility it is under
QLD mining boom to destroy 20,000 non-mining jobs
Media release QLD mining boom to destroy 20,000 non-mining jobs Queensland’s massive mining boom is likely to destroy one non-mining job for every two mining jobs it creates, costing around 20,000 jobs, according to a new analysis by The Australia Institute. Job creator or job destroyer? An analysis of the mining boom in Queensland by
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