Politics Benefits of mining in Australia?

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Oh how I wish our state never sold off its Power supply....

Actually Western power is a private company who's price is set by the government. If they don't make a profit (since they need government approval to raise prices) the government makes up the difference out of general revenue.

Basically people were complaining about rising power costs but were all ready paying them through their taxes.
 
So you are saying that if not for the mining boom we would still have a car industry? Considering the car industry has been subsidized since WW2 and that they decided to leave right after the subsidies were cut makes you wonder...


I am saying that most countries that have a car industry have some sought of subsidies.... and that the GM said they would still be here if the Aussie dollar wasnt so high.
Are you still denying Dutch disease?
 

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I am saying that most countries that have a car industry have some sought of subsidies.... and that the GM said they would still be here if the Aussie dollar wasnt so high.
Are you still denying Dutch disease?

Did GM say that?

“The decision to end manufacturing in Australia reflects the perfect storm of negative influences the automotive industry faces in the country, including the sustained strength of the Australian dollar, high cost of production, small domestic market and arguably the most competitive and fragmented auto market in the world,”

Our dollar only really surged versus the $US (because the $US was tanking).

Again I ask you without the mining boom do you think GM would still be here? GM does not say so.
 
I am saying that most countries that have a car industry have some sought of subsidies.... and that the GM said they would still be here if the Aussie dollar wasnt so high.
Are you still denying Dutch disease?

Australia's car industry was always tiny and only ever survived because of high subsidies. You can't expect to have a thriving manufacturing industry and the world's highest wages at the same time.

Like I said, we used to lead the world in agricultural machinery manufacturing at the turn of the 20th century. The Harvester decision ensured that would not last. Sunshine was sold to Massey-Ferguson not long after and Australia has manufactured close to bugger all since.
 
Did GM say that?



Our dollar only really surged versus the $US (because the $US was tanking).

Again I ask you without the mining boom do you think GM would still be here? GM does not say so.

depends on if you believe what affect the Aussie dollar had on the cost of business... I think if the Dollar had of stayed around 70cents than I think we would still have a car industry. ... of course with some subsidies like the rest of the world gets.
Would you call subsidizing freight costs as a subsidy?
 
Australia's car industry was always tiny and only ever survived because of high subsidies. You can't expect to have a thriving manufacturing industry and the world's highest wages at the same time.

Like I said, we used to lead the world in agricultural machinery manufacturing at the turn of the 20th century. The Harvester decision ensured that would not last. Sunshine was sold to Massey-Ferguson not long after and Australia has manufactured close to bugger all since.

Our high wages is purely fixed to currency on an international stage.... dutch disease had a huge affect on that.
 
depends on if you believe what affect the Aussie dollar had on the cost of business... I think if the Dollar had of stayed around 70cents than I think we would still have a car industry. ... of course with some subsidies like the rest of the world gets.
Would you call subsidizing freight costs as a subsidy?

So why doesn't GM agree with you? In fact what are you basing this reasoning on at all? Why didn't the car industry go out of business in the 80s when we at parity? Why didn't we have a massive car/manufacturing boom when the AUD was buying 48c USD in the early 2000s?

GM only announced they were leaving once we announced we were cutting subsidies.

http://www.couriermail.com.au/news/...827493012?nk=1a5e253edeba24c52333ecae2e2abad0

Best-practice car factories produce a minimum of 250,000 vehicles per year. In the end, Australia’s three car brands combined could barely reach that.

When Mitsubishi shut shop in 2008 the Australian car industry became a wobbly three-legged chair. Once Ford was lost, the tipping point was imminent for Holden and Toyota, despite their public posturing.

Combined, all three brands have lost more than $1.5 billion on their local manufacturing operations over the past decade, despite receiving more than twice that in taxpayer funding over the same period.

The first domino fell in 2008. Where was the mining boom then?
 
I am saying that most countries that have a car industry have some sought of subsidies.... and that the GM said they would still be here if the Aussie dollar wasnt so high.
Are you still denying Dutch disease?

We don't produce cars because Australians stopped buying Australian made cars.

For some reason people would rather pay for Australian cars to be built through taxes instead of by buying Australian cars
 
State%20Subsidies%20Final-EDITED.jpg

It would seem like we like our taxes to be used to allow foreign mining companies to make enormous profits too.
 

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Environmentally its horrible. Economically its not sustainable to mine finite resources such as coal and iron ore for a long time eg 30 - 40 years at our current rate. Then add the other problems such as the Chinese mining boom slow down, opening of a super mining facility in Brazil. Why we would want to continue with mining in the long term, we need to invest in other areas or at least make mining less environmentally damaging and efficient to deal with these factors.
 
Environmentally its horrible. Economically its not sustainable to mine finite resources such as coal and iron ore for a long time eg 30 - 40 years at our current rate. Then add the other problems such as the Chinese mining boom slow down, opening of a super mining facility in Brazil. Why we would want to continue with mining in the long term, we need to invest in other areas or at least make mining less environmentally damaging and efficient to deal with these factors.

There is enough reserves to continue current production for well over a century.
 
Environmentally its horrible. Economically its not sustainable to mine finite resources such as coal and iron ore for a long time eg 30 - 40 years at our current rate. Then add the other problems such as the Chinese mining boom slow down, opening of a super mining facility in Brazil. Why we would want to continue with mining in the long term, we need to invest in other areas or at least make mining less environmentally damaging and efficient to deal with these factors.

lawl
 
Environmentally its horrible. Economically its not sustainable to mine finite resources such as coal and iron ore for a long time eg 30 - 40 years at our current rate. Then add the other problems such as the Chinese mining boom slow down, opening of a super mining facility in Brazil. Why we would want to continue with mining in the long term, we need to invest in other areas or at least make mining less environmentally damaging and efficient to deal with these factors.

Which other industries would they be? If you say manufacturing I am going to laugh in your face.

Considering that the vast majority of our export income comes from mining how do you propose we pay for these other investments?
 

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