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Last updated on August 5th, 2017 at 03:50 pm
I’m in Canberra all day for the release of this year’s Budget. Pray for my soul.
- “One who respects the law and enjoy sausage should never watch either being made.”Posted by Vexorg on 2007 05 07 at 06:20 PM • permalink
- I wonder what’s the nearest place to get alcohol.
Manuka and Kingston are too far away.
Old Parliament House has a bar.For drugs, Civic is the best or the back entrance of any Canberra police station.
Posted by Honkie Hammer on 2007 05 07 at 06:58 PM • permalink
- Just read the executive summary – it is what all the reporters actually do – they leave the examination of the detail to Access econopics or ACOSSSSS – whichever way their political bent goes.
I’m starting to wonder about this fascination with “working families” – are they the only swinging voter demographic?
Being a new dad though, bring on the tax cuts!
- Slightly OT:
Phatty reckons Labor needs a Heffer of their own (a la Keating)
- #5
What the bets on his response?
Not addressing Kyoto?
Not addressing edumacation?Not reducing taxes, if he was smart. And it’s a good question. The government has sucked up the money like a giant vacumn cleaner and it pats itself on the back? It congratulates itself for
stealingbeing fiscularly sage. Just what is the pourpose of government – to take the peoples money and burn it?Posted by Wimpy Canadian on 2007 05 07 at 07:28 PM • permalink
- Also O/T, but you knew this was just a matter of time.
- #11 Whudathunk a democrat would blame it on the evil Bush?Posted by Wimpy Canadian on 2007 05 07 at 07:33 PM • permalink
- You have a soul??Posted by Go Canucks on 2007 05 07 at 07:36 PM • permalink
- I almost went into a coma just reading that. But then my idea of budgeting is spend until the money’s gone.Posted by Andrea Harris, Administrator on 2007 05 07 at 07:49 PM • permalink
- I hope Tim took plenty of booze and tucker with him. I attended the budget lockup once many moons ago – back in the old Parliament House days.
I finished everything I needed to do in an hour then had a further four hours of sitting trying to find something of interest in the budget’s attached papers. Looked around the room and noticed all the older, wiser heads drinking stubbies and eating sandwiches which they’d very sensibly brought with them.
Never went again so didn’t get to put the aquired knowledge to use in subsequent years. I was also told that earlier budget lockups had sometimes developed into quite rowdy affairs.
- 11 paco
Also O/T, but you knew this was just a matter of time.
As to the Yahoo article I posted THIS at LGF earlier today, with the accompanying note:
Governor of Kansas.
Madame Governor,
These reconditioned vehicles are as good as brand new. Actually BETTER then brand new, they were never used.
Please call for rental prices.
Ray Nagin
- Psssssttttt
Hey everyone, a guy by the name of Li, ummm Lik…shit, Lileks, is running loose on the thread below.
24 Paco
Only thing I could think of quickly. I couldn’t believe what I was hearing on the Weather Channel, when they interviewed the Kansas Head Matron.
Towns in her State, obliterated, does she think of her States people?…HELL NO! Does she think of her people now? Yep, as much as she thinks of Darfurians.
- #8 – Every time Keating or Latham shows their mug in the meeja, the Coalition will get a boost in the polls.
Which is exactly why Lindsay Tanner told Keating to keep him mouth shut, and to stay out of the spotlight.
Posted by Apparatchik on 2007 05 07 at 09:32 PM • permalink
- Tim, maybe if you warn the city will erupt in flames if the budget is released, you’ll get a little more action out there…Posted by richard mcenroe on 2007 05 07 at 09:48 PM • permalink
- Why does the meeja bother? All it comes down to is “I’m going to swipe lots of your money, and maybe give you a little back. But not if you’re a WASP without rugmonkeys, you can get off your selfish arse and work a lot more to pay for my social engineering experiments that have produced a surly underclass previously unseen in such numbers since the industrial revolution, and a bigger pack of rent-seeking mendicants than the Borgias, with a much more developed sense of entitlement. Off you go now, people who risk their own capital are the new serfs.”
- I’m with Zoe. If you’re up for a drink I think you’d find a few locals who’d be keen. C’mon Tim, drown your budget sorrows!Posted by Mick Sutcliffe on 2007 05 07 at 11:04 PM • permalink
- Ah, Budget Hearings: Finding new ways to suck the lifeblood out of wage earners.
Well, at least they haven’t taxed thingy yet!
Posted by Tex Lovera on 2007 05 07 at 11:10 PM • permalink
- Thingy…. hmmmmmm….Posted by richard mcenroe on 2007 05 07 at 11:39 PM • permalink
- If memory serves, I recall seeing some map of this blog’s readership, and Canberra was Blair heartland.
Maybe that explains this crowd at Canberra airport this morning.
Posted by Margos Maid on 2007 05 07 at 11:51 PM • permalink
- Maybe that explains this crowd at Canberra airport this morning.
Tim is the fifth Beatle?
Posted by surfmaster on 2007 05 07 at 11:57 PM • permalink
- Totally off any semblance of the topic:
Was wondering how long this would takePosted by Rachel Corrie’s Flatmate on 2007 05 08 at 12:19 AM • permalink
- Budget ‘leaked to Greens’:
Bob Brown: after all the build up about a ‘green’ budget, this is an anti-climax and will disappoint all Australians concerned about climate change.
- egg_
if this budget allocates any more than $1.50 to addressing climate change, I will be very dissapointed tooPosted by Rachel Corrie’s Flatmate on 2007 05 08 at 12:47 AM • permalink
- Thought bubble above Bonmot’s cranial cavity……
Hmmmmm.
Tim has one point left on his license.
Hume Highway to Canberra crawling with radar and Highway Patrol pursuit vehicles.
Kilometers of straight flat freeway at Lake George.
Tim just cannot help himself.
(later)
Tim has no points left on licence and goes into points debt.
No more driving for Tim for 12 months.(now it is safe for the rest of us to take to the highway….)
- #8 I’m starting to wonder about this fascination with “working families” – are they the only swinging voter demographic?
“Working families” is meaningless in itself. It’s actually a euphemism for “working class families”, i.e., the “Kath & Kim” swinging voter way out in Narre Warren and Hoppers Crossing. Not the sort of person the Gillards and Rudds of this world like to be physically close too.
Posted by walterplinge on 2007 05 08 at 02:18 AM • permalink
- OT/
Major flooding event westen MO and eastern KS(river levels may top 1993 in places)
freerepublic topic with links to further info
NWS statement
Widespread Flooding and Historic River Crests Expected…
A weather pattern not observed since the Great Flood of 1993 appears to be taking shape over the Lower Missouri River Valley region today. The graphic below depicts the current weather pattern which favors a setup for a four to five day period of persistent, heavy rainfall. A strong upper level storm system will remain locked across the Southern Rockies for much of the week, allowing deep tropical moisture to stream northward. A stationary surface front, draped across southern Kansas and Missouri, will serve as the focus for repeated thunderstorm development. Several thunderstorm complexes are expected to develop from today, possibly continuing through Friday. Three to five inches of rain has already fallen since midnight Sunday across much of northwest Missouri and adjacent eastern Kansas. An additional three to five inches of rain, with locally higher amounts, is expected to fall over the course of the next several days.
With soils already saturated, and streams/creeks/rivers already swelled from recent rains, flash flooding will become and extremely dangerous and potentially life threatening situation. The excessive rainfall will lead to rapid rises along area rivers with widespread river flooding expected. In fact, current forecasts suggest that historic flood crests will occur on several rivers across northern Missouri, breaking previous high water marks set in 1993
- O/T But Steyn writes about France, why not just make a rule about linking to anything that goes through his brain. (Actually what topic is this thread about?)Posted by dean martin on 2007 05 08 at 04:21 AM • permalink
- I just hope Tim uses a 5.7 litre(tm) or better to get to Canberra, and not an MX5 or similiar. 🙂Posted by surfmaster on 2007 05 08 at 07:08 AM • permalink
- #60
He’d better stay away from the new 6.2 litre high output LS3 (320kW/590Nm) rumoured headed our way!
- And while we are on the budget topic, some things I would like to see:
Tax rebates for personal transport with 6 cylinders or more (bonus rebate for V8)
Polar bear ownership taxed at the top rate50% GST on hijabs
Free Mexicans for all working taxpayers, (you had to be there, thanks JM)
Posted by surfmaster on 2007 05 08 at 07:20 AM • permalink
- Mr Costello challenged them to do the same to a one-off $500 payment to aged pensioners eligible for help with power and water bills.
Heh, has there ever been a more cynical vote buying/shoring up exercise? The government has knocked over every Labor policy initiative so far.
The lefties will be going absolutely nuts.
Posted by Jack Lacton on 2007 05 08 at 07:32 AM • permalink
- #31, 32, 33 –
The following piece of verse appeared many years ago in the letters column of RAM (Rock Australia Magazine). I only wish I could claim authorship.Warning:
AdolescentAdult content.The country was in such a terrible state
That Parliament sat for a Budget debate.
It was quite a few minutes before Fraser spoke
Then he said, Sex will be two dollars a poke.Whether you’re short, little, long fat or thick
A tax will be paid on the use of your dick.
Then Billy McMahon said, Look Malcolm dear,
Will this tax apply to the boys who are queer?The House was in uproar: a terrible sight!
Members were wanking the whole of the night.
The Speaker declared, Let the voters decide
But I think they’ll agree to two dollars a ride.And now in the homes of Australia at night
There’s many a fanny that’s closed good and tight.
We’re taxed on our drinking, we’re taxed on our smoking,
But who’d have believed we’d be taxed on our poking?If two bucks a turn is the price we must pay,
Then the answer is this: with ourselves we must play.
To quench our frustrations we now have to wank.
For this state of affairs we’ve Fraser to thank.Posted by SwinishCapitalist on 2007 05 08 at 07:51 AM • permalink
- Watching Wayne Swan squirm was entertainment enough. Can hardly wait for the Budget reply. How does the SWAT Womble point the finger at a government that raked in $15 billion in the last fortnight alone? Not big enough tax breaks? Swan already said that excessive government spending will upward pressure interest rates. Hard to spend money you don’t have, but if history repeats, then the ALP will find a way to do it.
- OT – Three of the locals here in Lyon have been convicted after the riot on Sunday night and are heading off to jail.Posted by Villeurbanne on 2007 05 08 at 11:02 AM • permalink
- Never thought I’d see the day when Labour criticized a government about too much spending. (Pot, kettle etc). Don’t put pressure on interest rates, ha! ROFL, coming from none other than the 17% Interest Rate Party itself.
Only watched the first 15 minutes or so of the Costello’s budget before being summoned to bed. More tax cuts…goody. Some waffle about the future’s fund. Money here, money there. Whatever it takes to keep Labour out of office this year, I’ll take it (I’m rather anti-government in general, but I also understand the concept of “lesser of the two evils” and there’s no way I’m going through life miserable because not enough people believe in all the things I do; not whilst I’m doing OK, at any rate).
And yes, mojo, they do tax poo-poos, if only indirectly (tax on toilet paper, the toilet itself, the toilet water you use, laxatives, air freshener, rectinol).
- #73 – They burnt 700-odd cars the first night and only about 500 last night.
I guess the SMH would call that “improving”. 🙂
The prosecutions, though, seemed to me to be amazingly fast. The riots happened on the Sunday night, they were arrested the same night and convicted today with custodial sentences (6 months, 3 months and 2 months) today. Hopefully this is the start of a new era in actually cracking down on these thugs.
Posted by Villeurbanne on 2007 05 08 at 01:43 PM • permalink
- It’s obscene for government to have a budget “surplus”. The only way it should be “spent” is to return it to the obviously over-taxed individuals/businesses who paid it in the first place. When the US budget showed a surplus in the 90’s, Bill Clinton explained that he couldn’t return it to taxpayers because we couldn’t be trusted to spend it on the “right” things. Yes, he really did say that.Posted by Kyda Sylvester on 2007 05 08 at 04:46 PM • permalink
- I thought a surplus was OK if used to pay off national debt. I also don’t mind if it enables the government to then release a range of tax cuts. Costello sort of does this, but he could go so much further. And maybe one day they’ll realise that hey, they don’t need all those high taxes to generate revenue; releasing the shackles on trade does that for you. Lower taxes = more revenue (in an overtaxed country). Difficult concept, I know, fellas. Maybe another twenty terms in office will spell it out for them in big neon budget ledgers.
- #79 #80
We now have no net National Debt, thus saving $8.5 billion a year on interest payments. Our top tax rate of 45% now kicks in at $180,000pa. Admittedly business tax receipts are at historically high levels, but so are profits. The risk in further tax cuts would be inflationary pressure (currently 2.5% pa) which could lead to the Reserve Bank increasing interest rates to cool the economy. With household debt levels very high this would be a risky measure.
- OT, but check out the update on Gianna’s dodgy artwork. Today she’s giving head.
- #81 – Now that the national debt has been repaid, I think its excellent that Costello is investing in these Future Funds. If they work well enough, they could reduce the future tax burden.
In an ideal world, the government would have a principal sum earning enough interest to pay for national expenditure without any taxation.
- #81 Thanks – I did hear that right about our national debt last night.
Now, I’m not doubting it’s true, but can someone please explain to me how a thriving economy becomes “overheated” – ie: what does that mean – and how this affects interest rates. No criticisms on my ignorance, now, I’ve just laid my soul bare.
- Also, I thought prices went up when supply was a problem. Unless increased demand can’t be met. I suppose there would be a lag, but to me it sounds like things would balance out once production increased to meet the demand – then prices go down. No? Why does my head hurt? And I have to go to work, too.
- Much of the money given back as tax cuts and cash payments will be spent. Demand increases putting pressure on supply leading to price increases and inflation. In order to decrease demand Reserve Bank increases rates (credit cards, mortgages etc).
And your point is? If the govt spends it, it’s pure consumption, so the pressure on prices and inflation is exactly the same.
Your argument is pure nonsense.
- #83 Ian Deans:
In an ideal world, the government would have a principal sum earning enough interest to pay for national expenditure without any taxation.
I am living proof that your proposal would work. After 20 years contributing to a good super fund, I am now in my 21st year of retirement. My retirement principal sum has supported a life style and spending rate much higher than when I was working for wages. The planning assumed that the principal would be eroded to zero by the end of my life expectancy. However, the principal has actually increased by 34% over the 21 years.
This does not quite reflect inflation so there has been some erosion of capital in real terms. But I am now increasing my spending rate so that I don’t die wealthy.
Of course, if KRuddy gets in, he could screw the whole thing up in 6 months.
- Heh. Go Back to Bed Australia, Your Government Is In Control. Right. We can’t let you keep your money, that would be inflationary. You might acquire some wealth. Then the social programs would be unnecessary, the government could be shrunk, and Armageddon would be nigh.
Man, have I got a bridge in Arizona to sell you.
- 99 – I love the rhetoric on edumacation – how much education does a stop / go sign holder need? Or the dish washer? Seriously, we can’t all be edumacated and selling our “knowledge” skills to asia, and simply because THEY are so far ahead of us it isn’t funny.
I’m curious why Labor is polling so well given the economy is so strong. seems to be a combination of tiredness with the govt and the workchoices scare campaign. LJH needs to spend big on his new “fairness” test and sell this hard – unions got a huge jump on him with their concerted campaign and this sole issue will decide the election.
Most people seem to think Labor will not overspend and be ok with the economy, so it falls back to job security, education and health. On all 3 – it is easier to promise than to uphold your record.
Labor is going to be hard to beat.
- Anything government hangs onto that it doesn’t need for direct expenditure (which could and should be slashed anyway) will be pissed up a rope in very short order- I suggest a perusal of Milton Freedman’s 4 ways of spending money, and government spending all falls in the fourth category, the perfect example of which is our moribund, impenetrable and overpriced national capital. Putting these malfeasant, sticky-fingered jackanapes in charge of not only spending but purloining great lumps of the fruits of others endevours is akin to putting ravenous wolverines into a management role at an abbatoir.
I really cannot understand why I’m supposed to feel chuffed about having my wealth stolen and given to hordes of people who I don’t know, and don’t care about. All this does is clarify the lack of difference between the incumbent and the challenger- if there was a clear choice, I’d probably get back on the electoral roll; lesser of two evils, whooey- I want to be able to choose PURE EVIL.
- If only we could be like Bhutan where the Government focuses on Gross National Happiness rather than all this economic gobbledygook.
We should also keep the ethnic Nepalese on a tight leash, teach Dzongkha as a second language in all schools, have a hereditary monarch and a royal police force committing torture against those of which I disapprove.
Posted by Margos Maid on 2007 05 08 at 08:51 PM • permalink
- You know Tim, if you’d only brought a few bushy-tailed possums with you, you’d be sitting on some great human-interest stories right now…Posted by richard mcenroe on 2007 05 08 at 09:03 PM • permalink
- Hey #87.. whats the difference then, between government bureaucrats spending money and individual people spending their own money ?
I think its a flimsy excuse for the advocates of big government to keep their hold on our wealth and property.
And how exactly, does spending fuel inflation ? Isn’t that assuming everybody spends 100% of their disposable income ?
I don’t buy into this Keynesian nonsense that tax cuts fuel inflation.
- #105
Little bear: keep paws offCostello tells Krudder to keep his mits out of the cookie jar
Be typical for the lil’ f*cktard to be duped by G9 as well as f*cked-over by the unions
- #107
From my original statement at #81:
The risk in further* tax cuts would be inflationary pressure (currently 2.5% pa) which could lead to the Reserve Bank increasing interest rates to cool the economy. With household debt levels very high this would be a risky measure.
*larger may have been a better term
My concern is that those of us with big mortgages could see our monthly payments rise together with interest rates. We got tax cuts which is the right thing but my view is that the way they have been introduced gradually since 2000 has helped interest rates to remain relatively stable.
- 109,
yes. Ill give the Libs one thing, they know that ‘low’ interest rates are the goose that laid the golden egg, maintaining mortgage belt prosperity and at the same time, reminding people of Labor’s past failings.Keatings’ problem and that of the RBA was that they put their foot on the interest rate brake too hard, too often and too late. The Libs know that ‘short taps’ on the brake over the medium term are far better in controlling inflation and inflationary expectations (owing to time lags). This is why the Libs were smart to have interest rates increase slightly over the previous period, where the results are being felt now.
They know full well what’s good for them.
- Caveat Emptor, old bean- if you take out a mortgage you can’t service, on an asset that isn’t worth what you paid for it, why should the rest of us subsidise your userous agreement with a financial institution? The dozy bloody government is one of the driving forces behind the property bubble, by artificially capping interest rates and by giving prices an artificial boost with the idiotic 1st home buyers scheme. Anything I’m forced to contribute above and beyond paying my whack for national and civil defence and infrastructure that can’t be economically privately provided is pure extortion, and as far as I’m concerned wasted; I’d more than likely invest it (and more likely invest it locally if it wasn’t so prone to being swiped by governments- at least in SE Asia the slings you have to provide go directly to the service provider, not to some Poobah in KL, Jakarta or Manila), but if I want to spend it on replica 3RD Reich swizzle sticks, amputee floozies and Peruvian rotgut it’s my business, not some purse-lipped beancounting lickspittle in Treasury. A pox on all of them, and no Medicare rebate for treatment either.
- #107
And how exactly, does spending fuel inflation ? Isn’t that assuming everybody spends 100% of their disposable income ?
From the RBA website:
First, monetary policy affects inflation indirectly, via its effect on aggregate demand and economic activity. When demand runs ahead of the economy’s productive capacity, it tends to put upward pressure on inflation – for example, buoyant demand enables producers to widen their margins, while strong demand for labour tends to strengthen the ability of employees to bargain for higher wages. These effects on wages and prices are interdependent. Price increases encourage demands for higher wages, while wage increases add to costs which in turn are often passed on in higher prices. This interdependency gives considerable inertia to the inflation process. Once wages and prices start to accelerate they are hard to slow down, underlining the need for early policy action when inflationary pressures start to develop.
- Well Habib, I prefer the Libs who with lower interest rates and a better economy actually provide some forlorn hope that any assets that I have worked hard not to piss away can at least appreciate, improving my future standard of living.
This is opposed to a mob that see Treasury as Winnie the Pooh’s ‘Hunny’ pot just waiting to be spent on designing the perfect Lesbian surfboard or promoting non-sexist mime.
- Please tell me they left the price of smokes and booze alone?
Good to see both the green army and the grey army are getting dosh for new choppers too.
Posted by Infidel Tiger on 2007 05 08 at 10:05 PM • permalink
- #114- The reason I don’t have a mortgage is because they are a bad investment- I sold my last property some time ago, and now lease one; to service a mortgage on my current abode would cost me about four times the lease terms, which leaves a lot of beer vouchers to dispose of however I see fit. People have been suckered by the property industry with this lame idea of “you MUST own your own home”- not a bad idea when this investment actually reflected market value; it’s now more like buying Poseidon shares when they hit $280. What people need to be reminded of is that property is only a commodity, and not worth any more than what someone else is prepared to pay; I include it in the following list (and I don’t recall the originator of this sage advice, but their blood’s worth bottling):- “If it floats, flies or fucks, rent it, don’t buy it”.
BTW- here’s how government understands market elasticity- if demand for a good or service falls, price rises; no wonder the Australian Yartz and Fillum industries swallow so much consolidated revenue, there’s no demand at all for their goods and services.
- #115- they don’t need to, they’re automatically indexed to the quarterly CPI (with a bit tacked on to allow for low inflation). Gaspers and tonsil polish go up every three months, so you sinners, wastrels, vagabonds and ner’do wells can sub some worthwhile social welfare endevour, like solid gold nozzles on the parliamentary bidets, or a tour of giant papier-mache’ head puppets to remote Aboriginal communities so they can learn of the true evil of Bushitlerbigmacwarforoil. Fuel used to be included in this scam (along with its local price being tied to the Singapore market rather than the wellhead cost, which is still in place) until the likely placement of heads on pointed sticks caused the PM to reconsider this policy.
Stop whining- it’s all for your own good.
“If it floats, flies or fucks, rent it, don’t buy it”.
I take it your last house was a brothel converted into a seaplane?
Posted by Infidel Tiger on 2007 05 08 at 10:25 PM • permalink
- The Labor Dream Team theme:
In the eighties
Yes, Hawkie sailed the seven seas
In the eighties
Yes, Keating put your mind at ease
In the eighties
The Unions made a stand
In the eighties, in the eighties
Can’t you see we need a Black ban
In the eighties
Come on, protect the Fatherland
In the eighties
Come on and join the Ruddy man
In the eighties
The Unions made a stand
In the eighties, in the eighties, in the eighties (in the eighties)Rudd wants you, Rudd wants you
Rudd wants you as a new recruit
- #118- Other way ‘round, Old Chap; I dubbed it the “Catalina House”.
#119- For once the Spencer St Pravda’s right- it is shameless pork barrelling, and fully expected so it’s certainly not news; the opposition would do likewise, which is the most dissapointing thing about the whole episode. The electorate doesn’t seem to be mature enough to realise that anything “given” to them in a state or federal budget has been dipped from their pocket previously, and is a pale shadow of what was purloined in the first place.
- 1.618- I’m sure Mr. C will give any bleating missive his undivided attention before deletion or slamdunk into the bin.
Helen Coonan’s not exactly run off her feet and hasn’t responded to an issue I raised about staff corruption and mis-use of resources for their personal gain at “Our” ABC, so I would expect the same or less from Treasury (and repeat correspondence would probably result in an audit by the ATO, with extreme prejudice).
- I actually had a call back from the ATO regarding a letter I sent querying if carbon credit “gifts” given to actors would be taxable.
Its in limbo, the ATO has no ruling, but the chap I spoke to mentioned what happened to “tree farm investments” a few years back as a cautionary note. So the ATO at the moment doesn’t tax companies “producing” carbon credits, or individuals receiving them. Does this also give “dirty” industries tax free assets in the form of credits if such a scheme is introduced? It would explain why there isnt a huge resistance to such a scheme in big business.Im more convinced than ever carbon credits are a huge stealth tax by both government and business.
On topic with regaurds to tax, Ive sold a property and am to be hit with a ruinous tax of around 50% on profits earned. If I had been allowed to keep that dough I would have attempted a modest business startup of my own. That would have easily turned over that 100k per year and returned about 15% PA. Because the government cant keep its paws of my prudent investment they have killed a long term tax return and failed to lower the unemployment rate by one full time person.
I hadnt understood how tax can retard growth (rather than “greedy bosses” profits) until now.
Wankers should be embarrased to rake in that much. Leave my bloody money alone!Posted by thefrollickingmole on 2007 05 08 at 11:20 PM • permalink
- Inflation is a general increase in the price level. The fact that bananas increase in price from $4 a kilo to $15 a kilo is not caused by inflation or inflationary. The fact that fuel increases from 80 cents a litre to $1.20 a litre is not caused by inflation or inflationary.
These prices increase because of a lack of supply in the case of bananas caused by a dirty great wind storm and the price of fuel rises largely because of uncertainty surrounding the political stability of supplier nations.
The only way that inflation (a general increase in the price level) can occur is if the money supply increases relative to the supply of all goods and services in the economy. Who has control over the money supply? – the Reserve Bank. It’s only the Reserve Bank that can cause inflation because it has a monopoly over the supply of money.
Essentially what the RBA was quoted at #112 above is correct but note that they don’t say that inflation can only be their fault. The explanation is couched in terms that that the ordinary citizen would not understand so they get away scot free.
Play 2 games of Monopoly and you will see the effect. In the first game, give all the players the starting sum stipulated in the rules and take note of the prices paid for properties when the trading takes place.In the second game multiply the starting money by 10. If necessary add a zero to the notes. (Some governments do this!!!) Note the increase in the prices of property when traded now.
That is the best demonstration of inflation and its real cause I have ever seen. I learned that lession when I was about 8.
- /Off topic
Looks like there were half a dozen or so people who were trying to buy semi-automaitic rifles for an attack on the US military base… in the US itself!
Any bets that:
(a) they do not define their religious affiliations as either Presbyterians, Buddhists, Hindus, Jews or Quakers; and
(b) at least one of them has the name ‘Mohammed’?Of topic/
Posted by Apparatchik on 2007 05 08 at 11:21 PM • permalink
- Posted by carbonsink on Wed 09 May 07 at 11:47am
The budget was very disappointing on climate change, but at least Costello mentioned it this time. In 10 years time that fact that global warming wasnotmentioned for11 successive budgetsfor the past 10 budgets will be regarded as criminalneglect[/strke] stupidity.
- What’s that running down Rudd’s leg…….
It’s a ferret. My mistake, it’s Gillard.
On the whole I do the like the idea of the government becoming a self funded entity, retiree if you like. I also like the idea of putting it in a dodgy nursing home and euthanasing it, so I can take a long holiday without it touching my piss passports.
Posted by Infidel Tiger on 2007 05 08 at 11:46 PM • permalink
- bonmot, we’re going to substitute “ruddy” for “clever” in the context used above, as in, Bonmot was too ruddy by half with the strikethroughs…Posted by richard mcenroe on 2007 05 09 at 12:08 AM • permalink
- OT: Those daffy munchkins over at Lavatory Rodeo are a catty. catty lot. They are getting into Bush because he mis-pronounced Edinburgh and gasp, stood not in exactly the same position as the Queen when she was waiting to speak. Cripes, any excuse for a bashing.
- 142 kae
Oh no, that was caught. Click the Video Link
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