Month: May 1999

I sometimes see Geoff Pryor in the early morning walking near the frost-covered school oval. To the casual observer he is walking his dog. But I know he is at work. He is wearing headphones listening to AM. He can be seen in the office later in the day with the same headphones, listening to Question Time.

And then he trawls the office and works the phone. He talks to colleagues and contacts. He comes into news conference. He tosses ideas about.

Most people imagine that the difficult part of Pryor’s day is drawing the cartoon. Not so. For him it is the easy part. The hard parts are selecting the topic and picking an angle. In that respect his job is similar to editorial writing. The churning out of the 700 words is the lesser part of the task. The
selection of topic and picking the angle is far more difficult. Once you have done that the writing (or in Pryor’s case the drawing) is like winding up a rubber band and letting it go.
Continue reading “1999_05_may_selfgovt forum”

This week we have been marking the 10th anniversary of self-government for the ACT.

I say marking, rather than celebrating, because there has been the usual bout of outcry along the lines: “”We voted against self-government in a referendum and the past 10 years have been hell.”

But we were in for hell anyway.

Not many people took notice of what the Federal Minister for Finance, Peter Walsh, said about ACT financing on February 28, 1988, a year before self-government:

“”Funding will continue at present level for two years, then be cut back progressively for the next two years until it has same funding arrangements as the states.”
Continue reading “1999_05_may_self-govt blurb”

Self-Government in the ACT had a troublesome birth. In the past 10 years the territory has seen much change in the way it has been governed: some argue for the good; some argue for the not so good. The debate continues about ways of improving the structure of government. Yesterday, a conference on the 10th anniversary of ACT Self-Government canvassed the issues, following an opening reception the previous night. The conference was hosted jointly by the Act Government and the University of Canberra and sponsored by The Canberra Times, AMP, Macquarie Bank, Fujitsu, the ACT and Region Chamber of Commerce, the Canberra Theatre Centre and the Canberra Museum and Gallery.
Continue reading “1999_05_may_leader31may”

The questions arising from the funding for the Bruce Stadium upgrade get ever more complex.

When the upgrade was announced in late 1996, it was costed at $27 million. The ACT Government has consistently said that its input would be limited to $12.3 million, plus some financing costs and that the rest would be funded by the private-sector.

The aim was twofold. First, to make the stadium suitable for Olympic soccer. Second, to prevent the exodus of the Brumbies rugby union team and the Raiders rugby league team which was threatened at the time. The upgrade was to bring the stadium from 11,000 seats to 25,000 with additional temporary seats to accommodate 40,000 for special occasions.

The project was ambitious, but worthy. Indeed, some form of upgrade was necessary to hold the two main sporting teams.
Continue reading “1999_05_may_leader2may wages”

The deal between the Government and the Democrats is not ideal, but it is better than no reform at all.

It is now inevitable a goods and services tax will now pass the Senate. It is a significant day for Australia. It means services will be taxed. It means exports will not be taxed. It means tax will focus more on consumption than income and investment. The tax base has been significantly broadened. It means that future governments will be able to do the things that governments should do. It means the economic distortions that flow from the uneven incidence of taxation are lessened.

The GST will not be a panacea for Australia’s economic problems, but it does mean Australia can go into the new century without the burden of a creaking tax system. That system relied on an ever narrowing base – the wholesale sales tax on a range of goods that were forming an ever decreasing percentage of the economy and PAYE income tax which was becoming ever more avoidable.
Continue reading “1999_05_may_leader29may gst”

The ACT Government predicts it will raise more than $2 million a year from speed cameras. This is a damning admission. It is not damning because it is evidence that speed cameras are mere revenue raisers. Rather it is damning because human stupidity is so predictable that the actuaries in Government can budget for $2 million worth of human foolishness every year.

The cameras need not revenue-raising. The test of that lies in the hands of the very people who are squealing loudest that they are revenue raising. All they have to do to prevent themselves being “”victim” of a “”revenue raising” exercise is not to speed. It is quite simple. Unlike rates, which are revenue raising, paying speeding fines is not a universal, compulsory level. Only people who break the law by speed have to pay them.

Indeed, speed cameras are the very opposite of revenue raisers in their intent. Rather they are expenditure savers. Speed is one of the prime causes of car accidents. To the extent speed cameras cause people to slow down, the number of accidents will fall and the public expenditure caused by the resultant injury and death will fall, as will the private expenditure in caused by the resultant injury to property.
Continue reading “1999_05_may_leader25may speed cameras”

A review has been ordered into the ACT taxi industry.

The taxi industry is one of the few remaining industries regulated on the basis of economics as well as safety. Governments do not determine how many hairdressers Canberra should have, or how many newspapers, landscape gardeners or electricians. Why should they determine how many taxis there are?

Governments should ensure that taxis are safe and that the drivers are competent, in the same way they regulate electricians and plumbers. Those matters are in the public interest. However, the ordinary rules of supply and demand coupled with a general principle of freedom of enterprise should govern the number of taxis.
Continue reading “1999_05_may_leader24may taxis”

Hasn’t the Health Minister got better things to do? Last week Michael Wooldridge personally rang a man who had faxed in an abusive complaint about the minister’s standard form letter explaining changes to the health-insurance system. It began, “”Dear Older Australian . . . .”. Paul Harley-Green, a young 71-year-old, took objection, referring to Dr Wooldridge as an egomaniac and “”fartface”. He also phoned Dr Wooldridge’s office and, according to Dr Wooldridge, was abusive to a female member of staff.

According to a report in the Sydney Morning Herald, Dr Wooldridge, telephoned Mr Harley-Green. He was in the shower. His wife answered. Dr Wooldridge dictated a message through her to Mr Harley-Green that Mr Harley-green was “”a rude, f…ing, nitwit loser”.

Mr Wooldridge issued a statement yesterday about the incident. He did not deny The Sydney Morning Herald report. He said that police had been called on previous occasions over what he called Mr Harley-Green’s harassment of politicians.
Continue reading “1999_05_may_leader18may wooleaderidge”

Senator Brian Harradine, the Tasmanian independent senator, has apparently made a final decision on the GST. He will not support it. The tone of his speech yesterday indicated that it was no longer a question of quantum of compensation for poorer families, but about the fundamental fairness of a such a tax. He said also that the Government could not guarantee that any compensation measures would be locked in. That is a silly view. Parliament can always override itself later.

The Government says it will continue negotiating with Senator Harradine, but it should realise that it is a wasted cause. Either he will not support a GST no matter what, or the price will be so high that it will not be worth it. Already the Government has foolishly agreed to legislation on internet pornography largely as an attempt to sweeten Senator Harradine. That legislation will put unnecessary fetters on internet commerce and will not achieve its objective. On the GST, it seems that Senator Harradine would require such fundamental changes that the Government’s tax package will be just brown paper and string with no content.

Continue reading “1999_05_may_leader15may gst”

Treasurer Peter Costello says this is a Budget for the times. If so it is time for good book-keeping. It is time to put the economic house in order. It is time to do that on three counts. From 1992 to 1996 the Australian Government ran up a large amount of debt to a total of $80 billion. It was an unsustainable path. Running up of debt had to stop and it had to be repaid. Secondly, Australia continues to run a worryingly high current account deficit. Companies and consumers are importing too much and are not exporting enough. And export prices are low. In that climate failure by Government to control spending will result in lower international confidence in Australia. Thirdly, our major trading partners are not doing well.

The Budget exemplifies a fundamental difference between the Coalition and Labor – a difference that remains despite the end of the Cold War or Labor’s partial embrace of economic rationalism. The Coalition would prefer to get the Budget in surplus and retire debt so the economy is in good order with low inflation, low interest rates and sustainable growth. Labor, on the other had was willing to run deficits and run up debt. The philosophic difference is that the Coalition aims to make economic conditions good so people can do well on their own account. Labor, on the other hand wants the Government to do more for people.
Continue reading “1999_05_may_leader12may budget”