- Jul 31, 2011
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Is it a good idea for Australia to save for the future? Or should we just dig up our resources AQAP and let the market sort it out? Outline why you think so below.
Politics Should Australia set up a sovereign wealth fund?
- Thread starter Upton Sinclair
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tell me htf r they gonna fund it, the miners will just regime change on whichever gov't comes in. Chance of the IPA'ers and HRNicks from the tories run this thru. 0%.
Chance the ALP have the ability to get it thru? 0%
if you want the fund, move to norway.
Chance the ALP have the ability to get it thru? 0%
if you want the fund, move to norway.
Invest inother countries' infrastructure ?
Didnt they find the future fund invested in nuclear arms industry or something ?
Didnt they find the future fund invested in nuclear arms industry or something ?
evo
Let's hit the f*ken road!
Yes, but only if I can be the sovereign.
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I find it a bit circular, really. What would a sovereign wealth fund invest in? Over the past ten years your best bet would have been the big miners. So, you take from the big miners to ... invest in the big miners!
well, lets just nationalise the miners. I dont think you will find much sympathy for Gina Reinhart or Twiggy Forrest
I think you will actually...
The notion of forcibly acquiring assets from someone who has invested heavily and taken a substantial risk in order to create a successful business that creates wealth to employees, associated industries and the country via exports is absolutely absurd.
Tex_21
Norm Smith Medallist
Have posted about this before, but I'm in favour of a SWF that is funded by a rent tax tied to commodity prices (or the terms of trade). This method leaves the motive to improve efficiency and increase profits, in which case the standard rate of tax will apply, but also takes a share of the benefits that accrue as a result of fast-rising commodity prices (for obvious reasons this level would be indexed, probably to the CPI or similar index).
I saw Max Corden talk recently on possible policy responses for the dutch disease in Australia, and one of the options he presented (paper is available on the Crawford School website at anu.edu.au somewhere) was a SWF that invested purely abroad, to mitigate the effects of huge inflows of capital to Australia and its appreciation on the $A.
I saw Max Corden talk recently on possible policy responses for the dutch disease in Australia, and one of the options he presented (paper is available on the Crawford School website at anu.edu.au somewhere) was a SWF that invested purely abroad, to mitigate the effects of huge inflows of capital to Australia and its appreciation on the $A.
#facetious
rayven
Norm Smith Medallist
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I heard keating speak on lateline last summer...he wanted that huge superfund (2nd biggest saving pool in the world apparantly) to fund afforable morgages for Australians...
Evidently the IMF(american reserve bank basicaly) didn't like this as a nation would gather huge wealth and not need tow a global political line and not individuals who could be "influenced'..
I rekon Chifley had similar philosphies towards "bankers"...
Evidently the IMF(american reserve bank basicaly) didn't like this as a nation would gather huge wealth and not need tow a global political line and not individuals who could be "influenced'..
I rekon Chifley had similar philosphies towards "bankers"...
Eh? Is Keating losing it?
Agreed. OP and poll are meaningless without answering these questions.
Another Fannie Mae. What a brilliant idea.
As for the Norwegian SWF I am sure its massive EURO exposure will all work out wonderfully well.
Barnett has spoken of a possible WA soverign fund.
http://au.news.yahoo.com/thewest/a/-/breaking/12973959/resources-future-fund-a-priority/
WA could have a fund set up this year.
WA could have a fund set up this year.
- Jan 13, 2001
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Another example of why Barnett will be in power for the next decade.
If Australia had set up superannuation properly the government could of been a supoer fund and thus would've had the capacity to fund the sovereign wealth fund in a similar way to what Singapore does.
This would of meant that superannuation would not of been eaten away by useless charges and fees, leaving the population better off.
Of course this is based on a premise that the government would actually invest wisely which judging on recent decision has to be questioned.
If Australia had set up superannuation properly the government could of been a supoer fund and thus would've had the capacity to fund the sovereign wealth fund in a similar way to what Singapore does.
This would of meant that superannuation would not of been eaten away by useless charges and fees, leaving the population better off.
Of course this is based on a premise that the government would actually invest wisely which judging on recent decision has to be questioned.
Radical Roo
Club Legend
This is the first sensible thing i have heard, we need to save save save, we need cash cash cash in the bank. We need to make a surplus surplus surplus for our future future future. We need to be ruthless about this, the future of the nation takes precedence over any current day squabbles like refugees, gay rights, gender equality. We need to take action now. We need to mobilize and mobilize now.
Barnett is an arrogant man but he does know what he is doing.
- Jan 13, 2001
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Agree RR, but the only thing is that the media see now benefit in discussing it as it doesn't rate.
All the media want to talk about is sensationalism and the same things that the shock jocks go on about on talkback radio. None of this has any real impact on our daily lives yet our media is full of lies, innuendo and useless information. If you removed all the crap for the nightly news the 30 minute editions wouldn't last until the first ad break.
Radical Roo
Club Legend
Sad isn't it, we really need to have a fair dinkum shake of the sauce bottle don't we.
I'd take my chances in the stockmarket.
- Mar 16, 2002
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As of the 31th od dec 2011 it was valued at 573 Billion US. It's projected to be double by 2019.
60% is invested on the Stockmarket. It holds 1% of the worlds Equity Markets. 1.73% of the Euro Markets. 50% exposure to Europ, 15% asia, 35% Americas and Africa ..... Id say it doing pretty well.
Each man women and child has 1,000,000 US sitting in the fund for the furture of ALL Norwegians.... Sounds terrible.
What do we get from our natural resources??? Mr Forest, Gina, and a constent flow of cash to overseas investors.And blinded greedy twits who sit all day on the computer hoping to get some crumbs at the expense of Australia long term future.
What year are we in the mining boom now??? 15 years????20 years????...30 years??? What have we got to show for it???? Over priced Housing sector.... people living beyond their means.... and a country the is 100% reliant on the income generated from China.... We live and breathe because of China. If China slows we slow and the snow ball effect will be enormous... the housing prices will fall, the unemployment rate will sky rocket.
Norway is now able to invest in other industries and spread the risk from the eventual loss of Oil revenue. Apparently this is stupid???? Are you people serious.
Do we hope that the ethical minds of Gina and Mr forest will help us through the bad times??? yer right.
I support the minning tax..... but I would rather the revenue put in a SWF.
- Mar 16, 2002
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