Category Archives: Finance

British childcare is expensive! Who would have thought?

Yesterday I got a mail from Malcolm boosting his childcare package. Wanting to he helpful but also in a hurry I quickly replied “Save the money and deregulate the system. The regulations are far over the top”. I go a … Continue reading

Posted in Finance, Rafe, Take Nanny down | 2 Comments

David Leyonhjelm on growth and productivity

Op ed in The Fin last Friday. When the new Reserve Bank Governor testified before a parliamentary committee recently, some Labor politicians who love big-spending saw an opportunity. They quizzed him on the global failure of low interest rates to … Continue reading

Posted in Budget, Economics and economy, Finance, Guest Post, Wasteful Spending | 17 Comments

David Leyonhjelm on superannuation

The Government has pulled a swiftie on superannuation. In the May budget it proposed to increase tax on super by nearly $3 billion by 2020. Labor sniped at some design features but offered no real opposition and proposed its own … Continue reading

Posted in Federal Politics, Finance, Guest Post, Taxation | 58 Comments

Cross Post: Peter Swan – Experienced shareholders better than independent directors for business

Businesses benefit from having substantial shareholders as directors on audit committees, but only when they are utilising swing trades, new research shows. The research compares the presence of these experienced directors as opposed to independent directors in management of Australian … Continue reading

Posted in Cross Post, Economics and economy, Finance | 2 Comments

Tony’s economic narrative

This is what Tony Abbott thinks: Malcolm Turnbull lost without an economic agenda. This is what John Howard thinks: Tony Abbott would have won coming election. And this is what Tony Abbott now writes: In defence of my economic narrative … Continue reading

Posted in Federal Politics, Finance | 103 Comments

I don’t see why they’re surprised

Financial markets may have rules of their own, but even there it has to be that the value of financial products can only rise if the real value of the assets beneath them are also rising. In an economy in … Continue reading

Posted in Finance | 13 Comments

High risk with a limited return

He’s trying to tell you something but with economics in the low state it is in, hardly a soul is even capable of understanding his point. And what he is saying is that lowering interest rates is not only not … Continue reading

Posted in Economics and economy, Finance | 8 Comments

Government officials are not omniscient

Pyrmonter sent me a link to a magnificent Alex cartoon. This captures a sentiment that we see a lot in economic commentary – the view that the monetary authority (and sometimes the Treasury too) is somehow omniscient. That these economic … Continue reading

Posted in Economics and economy, Finance, Financial Services | 4 Comments

Negative interest rates in Europe specifically designed to lower saving and raise inflation!

Just what Europe’s economies need, lower saving and higher inflation: Mario Draghi: “Together, the measures will contribute to a return of inflation rates to levels closer to 2%” The European Central Bank has introduced a raft of measures aimed at … Continue reading

Posted in Finance | 51 Comments

True confessions

Yet another wild story of American economic management. It is from the Wall Street Journal and titled, “Confessions of a Quantitative Easer”: Having been at the Fed for seven years, until early 2008, I was working on Wall Street in … Continue reading

Posted in Finance | 24 Comments