"It's going to hurt, I just don't know how much": Wayne Swan over Budget surplus promise
15 replies, posted
[img]http://resources2.news.com.au/cs/newscomau/v2/_shared/base/css/images/icons/homepage-title.png[/img] Source: [url]http://www.news.com.au/national/its-going-to-hurt-i-just-dont-know-how-much-says-wayne-swan-over-budget-surplus-promise/story-e6frfkw9-1226187642666[/url]
[img]http://resources1.news.com.au/images/2011/11/07/1226187/638785-wayne-swan.jpg[/img]
Treasurer Wayne Swan said he won't know until later in the year how much he'll have to tighten the government's belt. Picture: Ray Strange Source: The Daily Telegraph
[release] • Wayne Swan admits spending cuts will be painful
• Opposition claims 2012-13 surplus "not achievable"
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[B]TREASURER Wayne Swan has admitted he’ll have to inflict painful spending cuts in order to reach a Budget surplus by 2013 - but doesn't yet know how much.[/B]
Mr Swan said he would have to wait until a regular Treasury report on the state of national finances, which will be delivered just before Christmas, to determine the full extent of the cuts.
The promise of a surplus has been the Government's big economic management boast while the Opposition has doubted it will be achieved.
Opposition leader Tony Abbott today called on Labor to axe the $50 billion dollar National Broadband Network to fulfill its promise.
Now achieving it could be an urgent necessity.
Mr Swan insisted Australia's forecast growth rate of from three to 3.5 per cent was "relatively strong" amid a threatened global slump, but that a surplus was "very important".
“Because it shows you've got the capacity to meet the challenges of the future, and to keep your spending in good shape,'' he told reporters in Canberra.
“If you look at what's happening in Europe, what you're seeing there is the consequences of very lax fiscal policy over a 10, 20 and 30 year period.''
Europe is facing an economic crisis with the collapse of Greece and the possible recession in a much more important economy, Italy. This is affecting growth in other countries, including Australia.
“At a time when there is such global economic turbulence it's absolutely critical that we demonstrate clear, consistent fiscal discipline," the Treasurer said.
“This is not easy. I've always said this is a difficult task. But we are determined to come back to surplus by 2012-13.''
A Budget surplus by 2013, as promised by the Government, is of major political importance.
The Opposition is ready to pounce with the claim the Government has wasted money and put the economy at risk, and has gone back on its word.
The Government could also face a need for severe cuts in spending, with a risk of strangling growth at a time when the Australian economy will be struggling against the global downturn.
Mr Swan said any cuts would be implemented "in a common sense way" but the extent of the belt tightening would not be known until the Mid-year Economic and Fiscal Outlook, MYEFO, towards the end of the year.
“There's no doubt that growth is lower; there's no doubt that revenue will be lower; there's no doubt that the Government will have to find the savings," he said.
Shadow treasurer Joe Hockey agrees a surplus is “very much" an objective but has accused the Government of being “big taxing, big spending".
“Labor can't deliver surpluses, it's not in their DNA,'' he told ABC Radio, pointing out the last surplus delivered by a Labor government was in 1989/90.
“Whilst they lecture the rest of the world about fiscal austerity, they fail to undertake it themselves,” he said.[/release]
This was an inevitability, it was either the ALP do it now or the Coalition do it later. Sucks but what can you do
Also Joe Hockey "accused the Government of being “big taxing, big spending" needs to shut the fuck up
At least delay the National Broadband Network until government spending has broke even and is in better shape to support such a thing. Seriously, it would be very nice but it isn't really necessary.
[QUOTE=james0724;33163490]cut everything but the NBN has to stay.[/QUOTE]
"Let's cut funding to social services, but only as long as we can get 1 gigabit per second broadband!"
cut everything but the NBN has to stay.
[QUOTE=Antdawg;33163487]At least delay the National Broadband Network until government spending has broke even and is in better shape to support such a thing. Seriously, it would be very nice but it isn't really necessary.[/QUOTE]
They might as well do it now, the Coalition would cut it if it were delayed
Why do you guys get honest politicians willing to say anything not sugar coated with roses?
[QUOTE=Lonestriper;33163476]
Also Joe Hockey "accused the Government of being “big taxing, big spending" needs to shut the fuck up[/QUOTE]
Yup you're right Joe fucking Hockey, cutting social services spending and not increasing taxes is exactly what labour does.
[QUOTE=Xain777;33163547]Why do you guys get honest politicians willing to say anything not sugar coated with roses?[/QUOTE]
This statement is an exception to the rule and it's already suger-coated a lot.
Everyone knows that getting surplus is going to be hard, very hard, and Labor is pretending they can do it despite the economic climate.
[QUOTE=Lonestriper;33163476]This was an inevitability, it was either the ALP do it now or the Coalition do it later. Sucks but what can you do
Also Joe Hockey "accused the Government of being “big taxing, big spending" needs to shut the fuck up[/QUOTE]
Explain more, because all I am seeing is a huge amount of fuckups and ridiculous expenditures that have done nothing for us but put us in debt. How was this "inevitable" (unless by inevitable you mean as soon as Labor got in it was inevitable we would go billions into debt). Labor always borrows tons and seemingly are completely incapable of balancing budgets. We will be paying for this terrible government for years to come.
And for those bemoaning the NBN, its not going to happen, Labor is fucked come next election and the Libs will cut it down or scrap it as fast as they can. The cost will be too much after they inherit a government with no money, the cost was too much to start with anyway.
Also how does Carbon Tax + Mining Tax + Billions in debt not equal "big taxing" and "big spending" O.o
[QUOTE=Isotope;33163867]Explain more, because all I am seeing is a huge amount of fuckups and ridiculous expenditures that have done nothing for us but put us in debt. How was this "inevitable" (unless by inevitable you mean as soon as Labor got in it was inevitable we would go billions into debt). Labor always borrows tons and seemingly are completely incapable of balancing budgets. We will be paying for this terrible government for years to come.[/quote]
A lot of the reforms they do push through have paid off in the long run even when it landed us massively in debt. However, the point I was making was it was inevitable that cuts would have to be made in order to bring the budget to surplus, a goal I don't think is particularly necessary as we have a very manageable debt compared the US or Europe and the taxation base will be expanded in the coming years, after the next budget is posted. Making moves for a budget surplus is currently more of a political than economical move by the current government.
[quote]And for those bemoaning the NBN, its not going to happen, Labor is fucked come next election and the Libs will cut it down or scrap it as fast as they can. The cost will be too much after they inherit a government with no money, the cost was too much to start with anyway.[/quote]
Because fuck updating infrastructure right?
[quote]I would hope anyone with half a brain knew Labor would NEVER meet that promise. I laughed when I heard them say it, and laughed at some of my dumber friends who thought it would happen.[/QUOTE]
It is entirely a political ploy and unfortunately it has the (subjectively) sad effect of making the cuts the coalition will put through when they get elected seem better than they are
[QUOTE=Lonestriper;33163973]A lot of the reforms they do push through have paid off in the long run even when it landed us massively in debt. However, the point I was making was it was inevitable that cuts would have to be made in order to bring the budget to surplus, a goal I don't think is particularly necessary as we have a very manageable debt compared the US or Europe and the taxation base will be expanded in the coming years, after the next budget is posted. Making moves for a budget surplus is currently more of a political than economical move by the current government.
[/QUOTE]
I see, well yes, one way or another either party was going to have to budget cut. The manageable part I suppose is true, and I wouldn't even mind if I felt like I had seen anything but monumental wastage. I am sick of political posturing from both sides, I sometimes watch our politicians and I wonder if they realise they have left the schoolyard. They act like children O.o
[QUOTE=Lonestriper;33163973]
Because fuck updating infrastructure right?
[/QUOTE]
Updating infrastructure is all good, at the cost of the NBN with stupid promises on things like "every household" with a scope so large and a government so bad they cant possibly stay in long enough to even implement it? not so good. My family owns farms, I spent a lot of time as a kid in the country, trust me, the vast majority do not care for or need the NBN. As far as I know the take up rates have reflected that as well. It just seems to me it was incredibly poorly thought out like so many of Labors other projects.
[QUOTE=Lonestriper;33163973]
It is entirely a political ploy and unfortunately it has the (subjectively) sad effect of making the cuts the coalition will put through when they get elected seem better than they are
[/QUOTE]
I am still failing to see why it was necessary, if I knew a friend who went about life dealing with money the way this government deals with it I sure as hell wouldn't give him any of mine. I suppose this is what happens when a bunch of career politicians and public servants are running the show who treat money like it grows on trees.
[QUOTE=Isotope;33164054]I see, well yes, one way or another either party was going to have to budget cut. The manageable part I suppose is true, and I wouldn't even mind if I felt like I had seen anything but monumental wastage. I am sick of political posturing from both sides, I sometimes watch our politicians and I wonder if they realise they have left the schoolyard. They act like children O.o[/quote]
Politicians are like that. Also what particular government spending infuriates you? I'm just curious as to which is monumental wastage and which isn't
[quote]Updating infrastructure is all good, at the cost of the NBN with stupid promises on things like "every household" with a scope so large and a government so bad they cant possibly stay in long enough to even implement it? not so good. My family owns farms, I spent a lot of time as a kid in the country, trust me, the vast majority do not care for or need the NBN. As far as I know the take up rates have reflected that as well. It just seems to me it was incredibly poorly thought out like so many of Labors other projects.[/quote]
In an increasingly technologically and internet based world the implementation allows the option to be there for all of Australia to use it for it's benefits. It might be jumping the gun a bit but I feel if it were to be completed it would be more beneficial than not. As for the inability to stay elected to implement it, it was always going to be a long process as it is on a national scale.
[quote]I am still failing to see why it was necessary, if I knew a friend who went about life dealing with money the way this government deals with it I sure as hell wouldn't give him any of mine. I suppose this is what happens when a bunch of career politicians and public servants are running the show who treat money like it grows on trees.[/QUOTE]
Oh I am also confused as to why they bothered, as it alienates large sections of their voting base. The ALP hasn't endeared itself to anyone, even both sides, which I think will be reflected by modest increases to the greens and moderate increases to the coalition in votes.
Also you need to realise the important distinction between the Government and a business, both have to treat money in a different way, as money respectively is something to be spent by the government and something to be gained by business.
[QUOTE=Xain777;33163547]Why do you guys get honest politicians willing to say anything not sugar coated with roses?[/QUOTE]
Because when Australian politicians say something, they say it. Either that, or they don't mention it at all and we end up with all these weird batshit bans and all like we woke up in the morning with an awful hangover and a window squeegee up our ass.
[quote]My family owns farms, I spent a lot of time as a kid in the country, trust me, the vast majority do not care for or need the NBN. [/quote]
Personally, I think fuck rural australia, there is not a need for 1gbps fiber services.
A bridging measure between satellite and the NBN is needed.
[QUOTE=Lonestriper;33164126]Politicians are like that. Also what particular government spending infuriates you? I'm just curious as to which is monumental wastage and which isn't
[/QUOTE]
Things like their Asylum Seeker stuff ups, BER, NBN and pink bats come to mind, wasn't there also fuelwatch and grocery watch and some cash for clunkers schemes that all failed dismally? Not to mention the amount of money that's going to be wasted implementing and then shutting down this stupid CO2 tax. I must be too right wing because I am really having a hard time thinking of any schemes Rudd/Gillard have tried that haven't turned into money wasting disasters. Oh and how could I forget Live Export, holy hell what on earth were they thinking, stuff up an entire industry and then hand out some more borrowed money in the hopes to make it all better?
Seriously I need to be less biased, so I'd really appreciate you rattling off some successful spending that this government has achieved, would broaden my horizons so to speak.
[QUOTE=Lonestriper;33164126]
In an increasingly technologically and internet based world the implementation allows the option to be there for all of Australia to use it for it's benefits. It might be jumping the gun a bit but I feel if it were to be completed it would be more beneficial than not. As for the inability to stay elected to implement it, it was always going to be a long process as it is on a national scale.
[/QUOTE]
True, and in principle it seems good, really though if they weren't in tons of debt and had more realistic goals for the NBN the Libs might not ditch it when they got in power. The whole thing just seems like another shambles though, but I guess I'll wait and see. In principle its definitely one of the few policies that I think is at least looking into the future in a good direction.
[QUOTE=Lonestriper;33164126]
Oh I am also confused as to why they bothered, as it alienates large sections of their voting base. The ALP hasn't endeared itself to anyone, even both sides, which I think will be reflected by modest increases to the greens and moderate increases to the coalition in votes.
Also you need to realise the important distinction between the Government and a business, both have to treat money in a different way, as money respectively is something to be spent by the government and something to be gained by business.
[/QUOTE]
I must admit to finding the whole things a little hilarious. They managed to alienate off the lower income working family types by shoving through the carbon tax when most of the population didn't want it, then go after the mining industry. At this point I thought all they had left were the inner city trendy types, and then they stuffed up the asylum seeker situation and managed to alienate a portion of them as well. It's little surprise their voter base is either going right or going more extreme left.
[QUOTE=Contag;33164475]Personally, I think fuck rural australia, there is not a need for 1gbps fiber services.
A bridging measure between satellite and the NBN is needed.[/QUOTE]
Couldn't agree more, and my family owns rural property and I love the internet. Hell I would quite like to have the internet at the farm, but I'm not a selfish arsehole who thinks the rest of Australia should fork out billions just so I can enjoy the pleasure of the net out there.
Having traveled a bit around Australia I seriously wonder sometimes if some of these bureaucrats have even seen the country they live in. Hundreds of kilometers of poorly surfaced and unsurfaced roads running through barren terrain out there, with water, drought and agriculture problems. For most of the people living out there I highly doubt High Speed internet is at the forefront of their minds. Little wonder, go to Canberra and its like a state sized sheltered workshop >.>
[QUOTE=Isotope;33164750]Things like their Asylum Seeker stuff ups, BER, NBN and pink bats come to mind, wasn't there also fuelwatch and grocery watch and some cash for clunkers schemes that all failed dismally? Not to mention the amount of money that's going to be wasted implementing and then shutting down this stupid CO2 tax. I must be too right wing because I am really having a hard time thinking of any schemes Rudd/Gillard have tried that haven't turned into money wasting disasters. Oh and how could I forget Live Export, holy hell what on earth were they thinking, stuff up an entire industry and then hand out some more borrowed money in the hopes to make it all better?
Seriously I need to be less biased, so I'd really appreciate you rattling off some successful spending that this government has achieved, would broaden my horizons so to speak.[/QUOTE]
All the education reform or funding thus far is difficult to judge because of the delayed effect it has, I wouldn't immediately call it a waste of money at the moment, seeing as the BER was acting simultaneously as stimulus to the economy and building for the schools. The public health sector had a boost as well, more focus on training of doctors and nurses and a few schemes such as the teen dental plan which have been pretty successful.
This reminds me, I have to make a drinking game for the next election
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