Oh the austerity of it all...

[Rorschach]

Up with taxes up with unemployment...

Economic statement: Unemployment to climb
* by: STAFF REPORTERS
* From: News Limited Network
* August 02, 2013 10:10AM

THE Federal Government's budget update will forecast higher unemployment and lower economic growth.

The update, to be released today, will predict a rise in the unemployment rate to 6.25 per cent this fiscal year, half a point higher than the 5.75 per cent forecast in May's budget, Sky News reports.

Treasurer Chris Bowen will present the government's economic statement which includes a new levy on the banking industry, an increase in tobacco excise and reportedly more help for the car industry.

There are expectations the economic statement could reveal a $30 billion black hole in revenue.

Forecast GDP growth has been revised down from 2.75 per cent to 2.5 per cent.

There will be no surplus in fiscal year 2015/2016, but Labor will retain its commitment to reach a surplus in 2016/17 despite revenue shortfalls totalling $33 billion.

The budget update will also include a 12.5 per cent increase to the tobacco tax over 4 years.

Read more: http://www.news.com.au/national-news/fe ... z2amBultID" onclick="window.open(this.href);return false;

Oh the austerity of it all... right Monkey Boy
Not that we haven't been saying the deficits and revenue falls due to excessive spending will require either cuts or taxes to fix them.

[Rorschach]

Excerpts
Labor gambled and we all lost
* by: Maurice Newman
* From: The Australian
* June 28, 2013 12:00AM

Labor rightly can crow about Australia's relative economic success. Economic growth, while slowing, is, at 2.6 per cent, better than twice the OECD gross domestic product average of 1.2 per cent, inflation is low, debt to GDP is the envy of most Western and Asian economies and Australia remains one of only 11 countries with a triple A rating from all agencies. But this is through the rear vision mirror, like the bug enjoying the sunshine before it hits the windscreen.

The reality is that Labor has gambled that the best terms of trade in 140 years would be a permanent feature. And, instead of banking the bounty, it spent the present and borrowed the future. Already, the bet is lost. Our terms of trade peaked in the final quarter of 2011 and it could be another 140 years before the stars realign.

Not so in Australia. Government spending has exploded. Australia remains wedded to the carbon tax and increased renewable energy targets and more rigidities have been hard-wired into the workplace. While the rest of the world restructures, Australia remains stubbornly resistant. NSW and SA now have the world's third and fourth highest household electricity prices.

Some manufacturers are ceasing production or moving to New Zealand. Companies are stopping production lines rather than pay peak power prices. The minimum wage has just been increased. The transport infrastructure is sclerotic and a victim of underinvestment and cosy work practices. And a reduced mining investment pipeline is emptying.

Port Jackson Partners says mining costs exceed international benchmarks by a third. That should concern every Australian. It is a reflection of the imbedded structural costs, inefficiencies, increased regulations and low productivity we have tolerated in the good times. Making Australia internationally competitive again is the huge challenge for the next government.

But for now the die is cast and any measures that threaten government patronage and largesse will be resisted strenuously. Opponents of fiscal responsibility will reject attempts to cut spending as "slash and burn" policies. The timing will never be right. They will continue to push renewable energy policies regardless of cost. And, despite the negative impact on investment, they will recommend taxes on business and the wealthy.

The next government must have the strength to stare down these "progressives" and expose them as the arch-conservatives and obstacles to progress they are. The public must understand there is no painless solution and, no matter what, living standards will fall.

This is the legacy of the previous government and that failure to act decisively will prove costly to future generations. Voters should accept that solutions will take longer than one election cycle to implement. The electorate has become bruised and disillusioned with the parliamentary process. An incoming government must level with the people without the spin, hype and fantasy. If popular support can be marshalled it will be the first step in repairing Australia's damaged economy and social fabric .

[Mattus]

[Neferti]

You leftard, you. No explanation ... all intended to make it look like a Coalition Federal Government will be a bad thing for the Big Spenders and those with massive Credit Card debt.

Australia has NOTHING IN THE BANK. We have a HUGE Debt. GALP spent it all and got a few more credit cards and maxed those out too.

You DO NOT fight your way out of debt by getting more credit cards. You tighten the belt if you do happen to get into that situation ..... most people do NOT get into that situation. Unless they want to show off ........ Labor always wants to SHOW OFF ...... it is only TAXPAYERS money so they don't care.

Mattus, would you raid your child's piggy bank if you overspent for some cash or would you just get another Credit Card and max that out as well?

[Rorschach]

If anything Nef, it shows the unemployment rate going up after Rudd and Labor got in, and the GDP growth rate being lower under Labor. Spending most of it's time below .5%