Debt and Deficit - Coalition Budget Emergency

[medusala]

Abbott actually increased spending...

Y, no argument from me. They cut spending by a tiny bit (1ish %) in terms of gdp and yet look at all the moaning from those with their snouts in the trough and Shorten failing to support them. Gutless by Libs, pathetic by the ALP. Shameful stuff.

 

[Juddism]

Abbott actually increased spending...

http://www.budget.gov.au/2014-15/content/bp1/html/bp1_bst10-05.htm

2012-13: $367,204 million

2014-15: $412,484 million

the question is what is he spending it on? Chaplains and marriage counseling certificates don't come cheap...

he was on 730 last night carrying on about leaving the kids debt..well, bugger me, we have $2 trillion in personal debt, who's leaving who the debt??

 

[Ratts of Tobruk]

From The Age: Asking for understanding from voters, Mr Abbott said at the beginning of the election campaign in 2013 it was stated by the then Labor government that there would a deficit of $18 billion but that turned out to be about $48 billion.

"So there was a $30 billion budget black hole that Labor created and tried to cover up," he said, adding that Labor since the election was "feral" and the crossbench in the Senate "rather populist".

So after hitting the 'reset' button, Abbott comes out and lies again - pretending the Coalition's spending once coming into power is somehow Labor's black hole.

 

[yibbida]

So after hitting the 'reset' button, Abbott comes out and lies again - pretending the Coalition's spending once coming into power is somehow Labor's black hole.

There was some Liberal shrill on Lateline running the same line. Going back to the same old playbook.

It's like they enjoy being in opposition and using slogans.

 

[yibbida]

Someone should send Abbott a link to the PBO if he thinks that

http://www.treasury.gov.au/PublicationsAndMedia/Publications/2013/PEFO-2013

The Charter of Budget Honesty Act 1998 (the Charter) provides for the Secretary to the Treasury and the Secretary of the Department of Finance and Deregulation (the Secretaries) to release publicly a Pre-Election Economic and Fiscal Outlook report (PEFO) within 10 days of the issue of the writ for a general election. Such a writ was issued on 5 August 2013.

The purpose of the PEFO is to provide updated information on the economic and fiscal outlook. The information in the report takes into account, to the fullest extent possible, all Government decisions made before the issue of the writ and all other circumstances that may have a material effect on the economic and fiscal outlook.

The only thing the PEFO didn't factor in is that Abbott and Hockey would load up the debt for pollitical reasons alone. Purely so they can run their "Budget Emergency" line to implement their neanderthal policies.

 

[yibbida]

Ahhh it was a Liberal Party talking point!

http://www.theguardian.com/australi...-messages-are-neither-coherent-nor-convincing

Watch for the usual conservative cheerleaders to parrot this:

http://static.guim.co.uk/ni/1417755917666/labour-and-coalition-messag.pdf

Our plan for budget repair:
∙ All along we have made clear what we’re doing clear and unequivocal: We’re building a strong
prosperous economy, fixing Labor’s budget mess and helping deliver jobs and more jobs - Not a Plan
∙ It’s all about our policies – policies that clean up the mess from Labor, irresponsible in government and
now reckless in opposition - Not a plan
∙ The Abbott Coalition Government has shown deep courage and strength of character from the time we
were elected - Not a plan (and a lie)
∙ The budget strategy led by Treasurer Hockey gives Australia hope for the future; the Treasurer, Finance
Minister, the Government have the courage that Australia needs at this time - Not a plan and no hope for the future
∙ You have to have policies that work. That’s what this Coalition Government has; that’s what this
government has been absolutely resolute on - Not a plan and their policies don't work.
∙ We’re putting in place the longterm structural reforms needed to make the budget sustainable and
return it to surplus - That is an aspiration not a plan.
∙ Changes in market conditions including commodity prices only reinforce the importance of our fiscal
reforms and getting the fundamentals right - not a plan
∙ We have a plan for budget repair – the only plan. Labor has only a plan for budget sabotage – they were
incompetent in government and are wreckers in opposition - Slogan

Can any of the conservative cheerleaders explain what their plan is from that?

 

[medusala]

Textbook Keynesian spending.

Oh, sorry, wrong team.

Economic vandal

 

[Lebbo73]

Costello responds to Leigh Sales argument that he caused the structural deficit

 

[Ratts of Tobruk]

Costello responds to Leigh Sales argument that he caused the structural deficit

That's embarrassing. He's asked the question straight-up twice and pretends to not understand what 'structural deficit' means. Three times he pretends Leigh is just asking about deficits and so denies they had anything to do with a structural deficit.

No ticker.

Near the end he says the easiest cut to make is to not spend money you haven't promised yet. The irony being that the same rule applies for tax cuts. The easiest policy to make is to give people money you don't have to spend yet. The long-term consequences of the tax cuts under Howard/Costello, alongside the middle class welfare are quite obvious to anyone with a passing interest in economics. And at the time we all knew it was about buying votes.

And because Lebbo is a bit of a right-wing warrior allow me to concede a bipartisan point so he might see the wood for the trees. Rudd was asked in the lead up to the 07 election if he would retract those income tax cuts and he said he wouldn't. Obviously it's hard to up people's taxes, but he did adjust the brackets without taking the opportunity to fix the structural deficit. That was hardly surprising considering the mining boom, but it was a missed chance. Gillard would raise the rates slightly on the 37-80K bracket by 2.5c/dollar, while also tripling the tax-free threshold, and introduction a consumption tax (yes, the carbon tax is just a consumption tax with environmental benefits). So you could consider that another missed chance but the economy was being relentlessly talked down by the Coalition and confidence hadn't returned after the GFC. Hard to raise taxes further in that situation, especially with Abbott promising to remove the consumption tax, worsening our structural deficit.

 

[yibbida]

Textbook Keynesian spending.

Oh, sorry, wrong team.

Economic vandal

 

[imadodgyumpire]

Debt. Deficit. Disaster.

 

[louismaxwell]

Debt. Deficit. Disaster.

Your so right, their is no debt to worry about, Abbott should just ignore the whole issue, spend whatever. As Shorten will be in power in two years he can take care of this if it does raise its ugly head.

 

[TheMase]

Your so right, their is no debt to worry about...

Probably one of the only ever times I have agreed with something you have said (other than your misuse of "their"). I read but rarely post.

There indeed is no debt to WORRY about right now. We need to curb it, sure, and most have criticised how they wish to reduce spending not the need to do it.

Private debt is a real problem too...

A good article not that you'll read it:
http://www.macrobusiness.com.au/2014/10/australias-addiction-to-private-debt/

 

[Lebbo73]

That's embarrassing. He's asked the question straight-up twice and pretends to not understand what 'structural deficit' means. Three times he pretends Leigh is just asking about deficits and so denies they had anything to do with a structural deficit.

No ticker.

Near the end he says the easiest cut to make is to not spend money you haven't promised yet. The irony being that the same rule applies for tax cuts. The easiest policy to make is to give people money you don't have to spend yet. The long-term consequences of the tax cuts under Howard/Costello, alongside the middle class welfare are quite obvious to anyone with a passing interest in economics. And at the time we all knew it was about buying votes.

And because Lebbo is a bit of a right-wing warrior allow me to concede a bipartisan point so he might see the wood for the trees. Rudd was asked in the lead up to the 07 election if he would retract those income tax cuts and he said he wouldn't. Obviously it's hard to up people's taxes, but he did adjust the brackets without taking the opportunity to fix the structural deficit. That was hardly surprising considering the mining boom, but it was a missed chance. Gillard would raise the rates slightly on the 37-80K bracket by 2.5c/dollar, while also tripling the tax-free threshold, and introduction a consumption tax (yes, the carbon tax is just a consumption tax with environmental benefits). So you could consider that another missed chance but the economy was being relentlessly talked down by the Coalition and confidence hadn't returned after the GFC. Hard to raise taxes further in that situation, especially with Abbott promising to remove the consumption tax, worsening our structural deficit.

Nice story bro. You do know that bracket creep has well and truly swallowed any loss of revenue from income tax decreases.
We don't have a revenue problem yet. We have a spending problem and Labor is being hypocritical and the Coalition is refusing to cut hard enough!

 

[Ratts of Tobruk]

Nice story bro. You do know that bracket creep has well and truly swallowed any loss of revenue from income tax decreases.
We don't have a revenue problem yet. We have a spending problem and Labor is being hypocritical and the Coalition is refusing to cut hard enough!

What has that got to do with Costello (and seemingly yourself) avoiding the accusation and pretending that 'deficit' is the same as 'structural deficit'?

 

[Lebbo73]

What has that got to do with Costello (and seemingly yourself) avoiding the accusation and pretending that 'deficit' is the same as 'structural deficit'?

You can't keep creating new forms of spending like Labor has and then accuse the Howard government of being responsible for so called structural deficits. That is bs and you are making up falsies when you accuse Costello of not knowing what a structural deficit is!

 

[medusala]

That's embarrassing.

The structural deficit was about 1% when the ALP came to power and it was only in deficit in their last year according to Treasury.

Despite having better terms of trade than under the coalition the ALP wasted enormous amounts of cash on useless policies and blew out the structural deficit. That is the reality Ratts.

 

[illavitar]

I've found some buried treasure http://www.theaustralian.com.au/opi...te-rudds-reforms/story-e6frg6zo-1225813625078

Note the date of the article. Back in the days before we had a deficit problem and back in the day when Murdoch was Pro-Labor lol. I think it sums up our current situation pretty nicely and pardons the labor party of any responsibility for this liberal mess.

Howard had us all bent over and ****ed long before we even realised.

 

[medusala]

Howard had us all bent over and stuffed long before we even realised.

How is giving money back to its rightful owners stuffing them?

pardons the labor party of any responsibility for this liberal mess.

Yeah, nah. See treasury graph above. You also seem to neglect that the ALP voted for virtually all of the tax cuts. Not to mention hopelessly optimistic treasury forecasts plus ALP spending after 2009 plus tens of billions left in the future fund and zero net debt.

What did the Romans ever do for us...

Near the end he says the easiest cut to make is to not spend money you haven't promised yet. The irony being that the same rule applies for tax cuts. The easiest policy to make is to give people money you don't have to spend yet.

Poor old Ratts cant grasp that tax cuts are not about giving people money. It's not taking it off them in the first place. Very,very simple. Fairfax type fail

That's embarrassing..

Yes it is. Extremely.

 

[Ratts of Tobruk]

You can't keep creating new forms of spending like Labor has and then accuse the Howard government of being responsible for so called structural deficits. That is bs and you are making up falsies when you accuse Costello of not knowing what a structural deficit is!

I don't have to make up a thing. You posted the video. People can watch it.

Or they can look at Medusala's graph, which apparently shows we still don't have a structural deficit so that's that fixed. And to think Meds is the one always banging on about debt and spending. It's almost like there's an inconsistency there somewhere...

Poor old Ratts cant grasp that tax cuts are not about giving people money. It's not taking it off them in the first place. Very,very simple. Fairfax type fail

Speaking of 'no ticker', nice fallacy you've argued there. If you can't grasp the political reality that giving people tax cuts, gives them more money and the govt less then we may as well stop chatting. And then you compliment yourself by suggesting your point is 'extremely embarrassing' to me? Like a kid with a 'kick me' post-it note still stuck to your hand.

 

[illavitar]

How is giving money back to its rightful owners stuffing them?

It's simple the coal doesn't belong to them it belongs to the nation despite not everyone receiving the revenue from it, and technically it belongs to the Queen of England, not some fat ***** or dumb ill-educated gray hair alcoholic in his hi vis vest thinking he's gods gift to Australia. So obviously it wasn't given back to it's rightful owners as you suggest.
Liberals think they have some god given right to claim land and resources that don't belong to them. They're just one idiot out of 6 billion yet they think they're entitled to our entire water source for example. They're an absolute joke, no one cares about them they are 1 in 7 billion. They really need to get over themselves, and the sooner they do the sooner everyone will be better off.

 

[illavitar]

The structural deficit was about 1% when the ALP came to power and it was only in deficit in their last year according to Treasury.

Despite having better terms of trade than under the coalition the ALP wasted enormous amounts of cash on useless policies and blew out the structural deficit. That is the reality Ratts.

 

[yibbida]

So the first dotted line is the Hockey/Abbott government. Notice how it dips after heading back to zero in the previous year. weird that... It has been heading in a positive direction since 2010/11.

Conservative Cheerleader scores an own goal! lol

 

[Jiska]

Abbott has scrapped the GP co-payment. Free healthcare for everyone remains.

http://www.9news.com.au/national/2014/12/09/15/46/abbott-scraps-gp-copayment

 

[rodney hoo]

Abbott has scrapped the GP co-payment. Free healthcare for everyone remains.

http://www.9news.com.au/national/2014/12/09/15/46/abbott-scraps-gp-copayment

Lucky the adults are in charge, the liberals could not organise a s**t fight at the sewer plant.