13-12-2013 12:45 PM - edited 13-12-2013 12:45 PM
In the short term, there's no consistency in politics.
Back when the Gillard government announced the carbon tax, it took about six seconds for the Coalition to scream this would cost jobs and devastate entire towns. **bleep**, retorted Labor, occasionally by way of karaoke.
Sure, some industries would be hit, but they were the kind of industries the environment needed us to scale back. Meanwhile, we would create shiny, eco-friendly jobs. People would retrain and find new opportunities. The workforce was adaptable and dynamic.
Now, with nobody really noticing, Labor and the Coalition seem to have swapped positions. As Labor inspects the carcass of the Australian car industry, it foreshadows monstrous job losses, the devastation of manufacturing towns in South Australia and Victoria, and protests that you can't simply ask people who have spent their lives assembling cars suddenly to work in nursing homes.
And the Coalition is suddenly brimming with confidence that these things are always transient, evolving and ultimately leave us stronger.
But in the long run, things are far more consistent than all that. The truth is that the death of Australian car making did not begin on election day, September 7, but 30 years ago, when the Hawke government began abolishing tariffs and opening us to global competition.
This was declared a necessary step in Australia's economic evolution. It would bring growth, dynamism and, after some pain, prosperity.
When Labor today argues the Coalition is sacrificing blue-collar workers at the altar of an economic theory, it omits that, in Australia, Labor was that very theory's midwife.
Ask Paul Keating. Actually, don't bother. He's already given his answer when asked what he'd say to blue-collar workers whose jobs disappeared on his watch: "What do I say? 'What's your new job like.' … I mean, did we ever hurt anybody liberating them from the car assembly line?"
For now, an argument rages on whether more government money would have saved Holden.
The opposition insists $150 million would have done it.
The government points out that Holden, like Ford before it, has been "saved" in this manner several times before, only to be unsaved and threaten to leave again. The truth is we'll never know because Holden won't tell us, and even if it did, it would be guessing.
Either way, the government's argument is interesting because it boils down to the assertion that there is nothing it could reasonably have done to prevent this; that this decision was out of its hands and was based on economic factors largely beyond its control. But in defending itself, the government has made an epic admission: that we're not really in control of our economy.
And that much is the heretical truth. We chose to make it true when we threw our lot in with the global free market. We'll never admit this in stark terms. We'll continue to argue over each sensational development such as this week's. But the grander theme cannot be resisted: we do not call our own shots; no longer is there a hierarchy with the nation-state on top and everyone else - corporations, civil society and citizens - below.
Read more: Click Here
So what's the use of the silly Labor/Liberal squabbles? Neither party has any real power over Australian policies, no Prime Minister will be able to determine the course of Australia unless it's in line with the dictates of international finance.
on 13-12-2013 12:53 PM
.
.
The truth is that the death of Australian car making did not begin on election day, September 7, but 30 years ago, when the Hawke government began abolishing tariffs and opening us to global competition.
This was declared a necessary step in Australia's economic evolution. It would bring growth, dynamism and, after some pain, prosperity.
When Labor today argues the Coalition is sacrificing blue-collar workers at the altar of an economic theory, it omits that, in Australia, Labor was that very theory's midwife.
on 13-12-2013 01:00 PM
And the Coalition is suddenly brimming with confidence that these things are always transient, evolving and ultimately leave us stronger.
How fickle.
I guess the Govt of the day and the citizens have to adapt to the Global economy and accept it.. no easy solutions to changes happening due to technological advances & items being able to be produced much cheaper overseas than in Australia (which also gives us consumers more choice in products to buy).
on 13-12-2013 01:05 PM
Change or be ready to fall by the wayside
One thing is sure, if you fail to embrace the art of innovation, your future will be at great risk as new players enter the market to steal your customers with better or different models, or perhaps just better pricing, this being the ultimate business killer as you ‘race to the bottom’.
Innovate or perish, that is overriding need of businesses today, but how many of us are really doing it?
Roger La Salle
on 13-12-2013 01:18 PM
@am*3 wrote:Change or be ready to fall by the wayside
One thing is sure, if you fail to embrace the art of innovation, your future will be at great risk as new players enter the market to steal your customers with better or different models, or perhaps just better pricing, this being the ultimate business killer as you ‘race to the bottom’.
Innovate or perish, that is overriding need of businesses today, but how many of us are really doing it?
Roger La Salle
Innovate or perish? The govt must have missed that message in their haste to cancel the NBN.
on 13-12-2013 01:20 PM
Gives Aussies more choice of consumer items
LOL
Riiiiight
More choice of poorly made by slave labour tons of junk which falls apart before the wrapping's off
Sure
That has to be better than quality made in Australia items
made by Aussies
IN Australia
an Australia which used to have almost full employment
which allowed Aussies
to buy Aussie made products
Gee, what a swap, huh
Now we have 55% of Aussies living on welfare
and eating made in Thailand noodles
and cheap, hormone filled Basa raised in sewage ditches
Yeah, right. The nation once envied for its superior quality of life
has been stripped to the bone
stripped of pride
and a revolving gate whereby those Aussies who can are leaving
at the same rate as the third world enters to take the few remaining low-level jobs
Oh yes, the Lima Declaration and all the other nation-destroying trade agreements did their job alright in reducing Australia to 3rd world status
as planned
on 13-12-2013 01:51 PM
Not every imported product is cheap, fall apart Chinese junk ( unless you only shop at the discount/$2 stores?).
on 13-12-2013 01:58 PM
Trade provides numerous benefits but sometimes these are not well understood.
MYTH: With all the global financial uncertainty, Australia should close the economy to minimise external risks.
FACT: Protectionism itself is the biggest threat to global economic recovery. During the Great Depression of the 1930s, some economies thought limiting imports to protect their key industries would help them recover. Unfortunately, global trade slowed dramatically as a consequence. Trade fosters economic development and creates jobs. Increasing – not decreasing – trade is the best way to achieve global economic recovery.
MYTH: As a food-producing nation, Australia shouldn't import foreign produce.
FACT: Australia is a leading agricultural producer, and exports around two-thirds of total production to the world. Australia actively seeks to lower agricultural trade barriers, which improves Australia's opportunities to export. Food imports provide Australian consumers with greater choice, including food which we don't produce.
MYTH: Imports will bring in plant and animal diseases.
FACT: The Government is committed to maintaining Australia's quarantine standards. Australia maintains robust, science-based quarantine requirements to protect human and animal health and our unique flora and fauna. Australia exports about two-thirds of our total farm production and we expect other countries not to use their quarantine requirements as barriers to our exports. For that reason we must also apply rules at our own borders, consistent with our international obligations.
MYTH: Australia doesn't get anything from Free Trade Agreements (FTAs).
FACT: Australia's FTAs provide the framework for increased trade and investment with our major trading partners, helping to bring money into our economy and provide jobs. For example, the Australia-New Zealand Closer Economic Relations Trade Agreement removes all tariff charges on goods trade across the Tasman. Streamlined import/export processes have also facilitated trade and reduced costs to business. Reducing barriers to services trade is a key part of FTAs, such as the Singapore-Australia Free Trade Agreement, which entered into force in 2003. Services now account for 33 per cent of Australia's exports to Singapore, compared with 16 per cent of Australia's total exports to the world.
MYTH: Trade liberalisation harms our local manufacturers.
FACT: Australia has become a more open, export-oriented economy over the past 30 years with the floating of the dollar and the reduction of tariffs and industry protection. Over this period manufacturing output rose by an average of 1.5 per cent per year and the volume of manufacturing exports rose each year by an average of 6.7 per cent. The Australian manufacturing sector has also shifted up the value-added chain over recent decades. Australia's top manufacturing exports now include high value-added, niche products such as pharmaceuticals, professional scientific instruments and specialised machinery. This is consistent with the Government's commitment to a high-skill, high-wage future for manufacturing.
MYTH: Imports are bad for our economy and local businesses.
FACT: Imports improve Australian living standards. They keep prices competitive and provide a wider variety of goods and services for consumers to choose from, and for Australian businesses to use as components of new goods. Imports also encourage Australian businesses to be innovative and efficient.
MYTH: Trade liberalisation puts local jobs at risk.
FACT: Trade creates well-paid jobs. Studies find exporters are more likely to pay higher wages, and that increasing a country's level of exposure to trade leads to higher levels of economic output over time. In Australia, one in five jobs is now trade-related, that's over 2 million positions. Trade liberalisation improves the competitiveness of Australian businesses and supports a high-wage future for Australian workers. The Australian Government is also helping by investing in skills, education and infrastructure, and improving regulation.
MYTH: Foreign investment is against the national interest.
FACT: Australia welcomes foreign investment because it ensures our continued economic growth and prosperity. Foreign capital has allowed the Australian people to enjoy higher rates of economic growth, employment and a higher standard of living than could have been achieved through domestic savings alone. Foreign investors have helped to establish new industries in Australia, created employment, developed skills and introduced new technologies. It's also true that many foreign owned enterprises are joint ventures between Australian and overseas interests. Australia also benefits from investing overseas.
on 13-12-2013 03:08 PM
I don't know what particular goggles you're wearing Am, beer or otherwise, but they're certainly working!
Do you seriously think that free trade has made us prosperous? Being in debt up to our eyeballs is just a pretendy prosperity!
Free trade made other countries prosperous because THEIR industries are often subsidised by THEIR governments, and THEIR industries can exploit THEIR populations because THEIR governments don't care so THEIR labor is much cheaper than ours. So they can dump their cheap rubbish on us and undercut what's left of our industries which have no other option but to move operations offshore, taking their jobs with them.
Do you really think, with manufacturing closoing down factory after factory and throwing thousands upon of people on welfare, and thousands of people coming to our shores needing support, that the Australian government can continue to sustain the population on welfare at the current rising rate?
We need our government to subsidise and protect our industries to ensure our population has steady employment, otherwise we're going to be swamped by a tidal wave of unemployment that will rival the depression years. And it won't be all that far off.
Trade is all very good and yes necessary, but it needs to be fair trade, not free trade.
on 13-12-2013 03:35 PM
despite the whinge. australians do very well in general, especially compared with others. trade protectionism is gone for good.
a wealthy country can subsidise industry like holden, but the ideology of the right cant live with it , unless its agriculture of course. need those national seats. .