Feb 05 2009
What to do
I think some of you by now will understand that I have a deep-seated dislike for debt. I am aware of the theories between good debt and bad debt but just don’t care. After all, most of the debt that has bought us to where we are, was considered by ‘the people in the know’ to be good debt. Niffs!
Currently, our government is trying to give money (some of which we have already paid to them in tax, the other money we don’t have) to the people in the hope that these people will spend it on products and service to artificially stimulate the economy. My concern is that I don’t believe this strategy will produce many long-term benefits to us. Individually 950 dollars can’t really do much, but collectively I would have thought this money could do a great deal and still result in the stimulation of the economy.
Do we really need to go into debt to achieve this stimulation? When you go into debt for reasons not of a plan ie. Spending with no plan; then I would consider it bad debt.
It looks as though Mr Rudd has also given the states a large pool of cash to distribute as they see fit which is good, but I am hoping there is more of a plan. The word ‘crisis’ is being thrown around like yesterdays undies, however I would like to think that the word crisis has the same meaning as Homer Simpson gave it ‘Crisatunity ie. Crisis = Opportunity.
Now is the time to spend some of that money that has been put into the war chest and spend it on the nations infrastructure. Build some decent public transport systems, hospitals and industry infrastructure to enable Australian companies to achieve further unfettered success in the next boom which will undoubtabley be just around the corner.
Happy to hear some of your preferred suggestions.
The economy works by its people spending money. Large construction projects do not make the world go around. The hand outs in my opinion are warranted.
Rob B, are you mad? $700m of $12b found it’s way to retail from the last round of handouts. Even Jerry Harvey himself questions the strategy, so why would you think the short term fix is the way to go.
Construction provides jobs, jobs bring money and money flows into other sectors of the ecomony.
Anyone who supports blanket handouts is falling for Krudds vote buying, he can’t lose it’s an external influence, world crisis that he didn’t cause but he can come in as the hero and dish out heaps of cash.
As a reminder, our health system sucks, our ports can’t get stuff out of the country efficiently, roads and rail are a disgrace, we invest nothing in technology and R&D. These are the areas that provide long term sustainable economic growth not short term injections of cash.
We will not recover to where we left off in the world unless we invest in infrastructure and national building projects now so we can capitalise on the recover…..in 5 years time.
The only issue is the time it takes for large scale projects to start.
SJ & Tigger, you are idiots. Your EI (economic intelligence) is retarded!
Boring, you have surprised me with your intelligence.
IASM, enlighten me please ‘Adam Smith’ (Google him dimwit)……..just because you run a chicken shop in a low socio economic area ….you need to think about the greater good of the country rather than your short term combo sales………
Hey SJ, thanks for your continued Pup bashing. I see you spurred him on to another top score today, even after 3 of his mates left him trying to salvage yet another innings.
Megaman, you are a niff for even watching Sunrise, let alone believing a word either of those dimwits say.
I see Tiger has smashed you again IASM….you go very quiet everytime someone asks you for input that requires greater thought than “you guys are bevan losers”.
PS. He is on the money with his post too, much more of the cash needs to go to infrastructure. People with jobs are financially ok now that interest rates and fule prices etc are down so it should go into schools, hospitals, roads etc…Rob B, infrastructure projects employ people in all sorts of way you dimwit, so the cash just hits the marketplace via slightly different channels. Then you have a situation whereby we have some facilities that add value to our lives rather than people just pouring money into new clothes or plasmas, but the financial result is essentially the same.
Pieman, we have definately got IASM on the back foot. His time here is limited. Just wait for the next school boy response.
PS. I’m not sure why I dislike you so much as it seems we agree on most things…..except fashion and gambling……….
I think it stems from a post where I labelled you and IASM two of the biggest wankers on the planet (or something similar) – whilst I didn’t actually mean it in your case, I reserve the right to say it again if I see you siding with that idiot in future.
If it wasn’t that it may be just because you’ve interacted with me. That seems to be enough for most people.