Jim Chalmers – the new ALP shadow treasurer – has an op-ed in the Australian this morning.
Wednesday’s feeble national accounts and the Reserve Bank’s decision to cut interest rates to new record lows on Tuesday shone a big spotlight on three facts: our economy is floundering, middle Australia is struggling and the government has no plan to turn things around.
Just last month the electorate expressed its opinion as to who had the better plan.
Not since the global financial crisis has national economic growth been as meagre as it has been the past year.
Yes – in anticipation of a Labor victory at the last election the economy has been very sluggish.
We’re in our third consecutive quarter of a so-called per capita recession — the longest period since the early 1980s downturn.
Repeat after me – there is no such thing as a per capita recession.
First, in the part of the economy that matters most to families around the kitchen table, wages are stagnant, household consumption is weak, household saving is low and work is insecure.
… and the ALP went to the election promising massive tax increases?
In the absence of wages growth, with cuts to penalty rates and rising household expenses such as electricity and childcare, more needs to be done to complement interest rate cuts to put more back into people’s pockets.
… and the ALP went to the election promising more renewable energy?
Judith has a good piece in The Australian:
The basic idea was that he could impose higher taxes on mainly non-Labor voters while handing out more free stuff to Labor’s faithful constituency while reeling in some extra voters. There would be no need for those pesky questions about how Labor could afford to increase spending on health, education, childcare and other pet projects.
In his op-ed today Jim Chalmers is still calling for spending increases.
Seems to me that it’s not enough to change the front office, you need to change the speech writers too.