October 2014
Fuel tax indexation: the pressure is on
If the Greens and Labor really are concerned about cost of living, they should support the re-indexation of fuel excise in return for a say on how this revenue is spent, writes Richard Denniss for The Drum.
Greens under Christine Milne put protest ahead of progress
You’d never know it from their behaviour, but the Greens hold 10 seats in the current Senate compared to the Palmer United Party’s three. Their current strategy of voting against virtually everything the Abbott Government announces, including things they actually support, has made them largely irrelevant since the last election. It is hard to think
Liberals’ core conundrum laid bare by ANU row
The Abbott government can’t decide if it wants to tell people how to live their lives or free them to make their own decisions. The Coalition’s education policy, for example, reveals the contradictions between the world views of libertarianism and conservatism that the Coalition claims to represent. For many years, the balancing act has worked.
Divestment is just the free market at work
Divestment By the shrill sound of things, you’d be forgiven for thinking the Australian National University (ANU) had sent its teaching staff on a paid trip to blockade the Pilliga. Jamie Briggs, Minister for Infrastructure, attacked ANU for “damaging” job creation. Christopher Pyne, Minister for Education, called the university “bizarre”. Joe Hockey made similar intonations,
Australia needs to be fairer if it wants to be richer
Australia’s richest seven people have more wealth than the bottom 1.73 million households combined. Most people think that’s a problem. Amanda Vanstone, on the other hand, seems to think the bottom 1.73 million should be thankful. “The politics of envy”. This is Amanda Vanstone’s condescending dismissal of concerns over Australia’s rapidly growing gap between its richest and poorest
Chips are down for job creation
As the world coal price continues to fall, politicians are asking themselves what the Australian economy will look like by the time the downturn bottoms out.They needn’t look far.Tasmania offers a clear road map for what happens to an economy when the price of a significant export commodity falls.And, most recently, with news the Tasmanian
Playing dice with the environment
The Abbott government has proposed a “one stop shop” approach to environmental protection to reduce so-called “green tape” and speed planning. The Commonwealth will no longer have oversight for a wide range of developments and it will be left to state governments to consider the national benefit. No one complains about duplication when it comes
Coalmining industry misleads on jobs, tax, says Australia Institute
In a democracy, power is the ability to talk crap and get and away with it. And nobody talks more crap than coal companies. The public think that mining employs far more people than it really does, pays far more tax than it really does, and that it kept Australia out of recession during the
September 2014
Facts about the NSW Minerals Council Debate
Richard debated Stephen Galilee, the head of the NSW Minerals Council on 7.30 NSW regarding their recent attack on our research into mining subsidies. This material sheds light both on our approach to our research and the disingenuous approach taken by the NSW Minerals Council.
A power game that’s all about spin
Facts are so last century. The secretary of the NSW Treasury thinks we have a shortage of electricity and we are in danger of an electricity price explosion. The Commonwealth Minister for Industry, Ian Macfarlane, on the other hand, believes we have an “oversupply” of electricity generation capacity, and that electricity prices are unsustainably low.
Economists’ Statement on Commonwealth Budgetary and Economic Priorities
The austere measures contained in the proposed Commonwealth budget have been justified by fears that Australia’s public debt is expanding rapidly and dangerously, and must be arrested through a dramatic change in fiscal policy. These fears are misplaced. Australia does not face any present or imminent debt crisis. Australia’s deficit and accumulated debt are both
MR: Australia Institute calls on the Minerals Council members to come clean and apologise
The Australian Institute says the Minerals Council members – the large, mostly foreign-owned, mining companies – should explain the attacks on The Australia Institute. The Minerals Council has claimed that The Australia Institute is being directed by a political party. This is untrue and defamatory. The Minerals Council should immediately desist from making such claims
Christopher Pyne’s higher education plans won’t fly, and shouldn’t
For American presidents, the ‘State of the Union’ address provides a once in a year opportunity to set out a plan for the direction the country needs to take and the policies required to get it there. The closest Australian governments get is the annual budget speech, and that is provided by the treasurer, not
August 2014
Rationalists silent on monopolies
Many may have bemoaned the dominance of “economic rationalists”, but I’m beginning to miss them. Sure, they often used simplistic and narrow assumptions to justify a wide range of bad ideas but, compared to the economic irrationalists dominating today’s policy debates, at least they were willing to have a fight with vested interests. The economic
Coalition reaps what it sowed
The hypocrisy of Joe Hockey’s call for big business to make the case for his economic reforms is breathtaking. His government’s signature economic ”reform” was to rip up a perfectly good carbon tax. The Prime Minister and Treasurer rightly bet that business groups would sit silently by while this populist policy destruction took place. But
Biggest blow for budget yet to come
Tony Abbott’s problems with the Senate are only just beginning. The black eye the Palmer United Party gave him on his carbon and mining tax repeal is nothing compared to the body blow he will receive when the major policy initiatives announced in the budget, initiatives that weren’t mentioned during the election campaign, hit the
July 2014
Nothing liberal about Australia’s superannuation industry
The Liberals will tell you that they don’t like telling people how to live their lives. Indeed they regularly tell us that individuals, not governments, are best placed to make decisions about what is in their own best interest. But, like successive ALP and Coalition governments, Tony Abbott and his team are big fans for
Carbon policy sinks to symbolism
Just as introducing the carbon tax didn’t really drive the cost of a leg of lamb to $100, removing it isn’t really going to have any noticeable impact on the cost of living. Supermarkets are adamant they didn’t increase prices when the carbon price came in, and they are just as adamant they won’t cut
Flexibility the key to tackling climate change
It’s much easier to solve imaginary problems than real ones, which explains why the current Government is highly concerned about low levels of debt, and relaxed about high levels of greenhouse gas emissions. Since 1950 our national debt has fallen from 100 per cent to 14 per cent of GDP. Our greenhouse gas emissions have
What to make of Palmer’s gambit – A message from Ben Oquist
Last week was another big week for The Australia Institute. You might have seen that we launched another major research report, Mining the Age of Entitlement, this time on the $17.6 billion worth of taxpayer support that State governments have given the mining industry. You might have seen Ben Oquist’s name mentioned in relation to
Palmer puts climate in the centre
The day after Clive Palmer announced he would oppose the Abbott government’s efforts to abolish the 20 per cent renewable energy target, the price of market-traded renewable energy certificates jumped 27 per cent. The same day shares in Infigen, a company with a big portfolio of renewable energy generation, jumped 16 per cent. The next day, as the
June 2014
Age of entitlement lives on: Report exposes billions in government handouts to mining
Age of entitlement lives on: Report exposes billions in government handouts to mining State governments are providing billions of dollars in subsidies to the minerals and fossil fuel industries, a new report by The Australia Institute (TAI) has revealed. The report exposes the massive scale of state government assistance, totalling $17.6 billion over a six-year
Symbolism does not create prosperity
Charging sick people $7 to go to the doctor will hurt ordinary Australians far more than the carbon price ever did. While, admittedly, the ALP did a poor job of explaining it, the reality was that most Australians received more in compensation than they paid in higher electricity prices. Of course there is no compensation
May 2014
Tony Abbott’s budget, tax strategy lacks conviction and logic
If Joe Hockey was actually determined to broaden the base of the GST he wouldn’t start by including food, he would start by imposing it on private school fees and private health insurance. Not only would he collect billions in revenue, he would raise it primarily from high-income earners. While the poorest Australians spend a
Forget GST, hit the rorts on super
If Paul Keating’s pet shop galahs are still alive I suspect they are talking about tax reform these days. And no doubt all right-thinking galahs know that tax reform and increasing the GST is one and the same thing. The Commonwealth government will collect $363 billion in taxes this year, with state and local governments
Budget hacks away at our core principals
The Government says our education system, our health care, our pensions and our social safety net are unsustainable. The big question I have is why? Every prime minister since Whitlam has managed to maintain the principles of universal health care and education. They have managed to maintain help to our elderly and less fortunate. Why
Abbott delivers a billionaires’ bonus
To paraphrase Winston Churchill — never in the field of budget conflict has so much been extracted by so few at the expense of so many. While the rest of us face a horror budget where we are told to keep calm and carry on, the miners are walking away puffing a cigar and doing the
Stand down, there is no budget emergency after all
Treasurer Joe Hockey expects unemployment to rise and business investment to fall. He plans to shed 16,000 public sector jobs into a labour market that Treasury says is softening. Indeed, Treasury states that the proportion of people who are employed or looking for work will continue to fall, “reflecting the expectation that employment growth will
Government’s agenda is to look after its own
John Howard is the Ronald Reagan of Australian politics. While Reagan is deified by modern Republicans for his fiscal conservatism, in reality he oversaw big increases in government spending. But because he took from the poor to deliver to the rich they love him all the same.
MR Auditing the auditors: The People’s Commission of Audit
National Party constituents will be amongst the hardest hit if the federal government adopts recommendations by the Shepherd Commission of Audit, a new analysis by The Australia Institute has found. While the Commission of Audit suggests that people are visiting the doctor too often, it does not take account of regional circumstances. Despite evidence that
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