We've gone from 75 billion when Labor took over to 250 Billion - and bugger all debt to 107 billion. http://www.bloomberg.com/news/2011-...-debt-ceiling-treasury-secretary-says-1-.html Debt to GDP: http://www.treasury.gov.au/documents/1496/PDF/01_Debt.pdf
what a catastrophe, robin hood Rudd did that...... I am so embarrassed by this government, centre politics wins government not communism
The Australian debt ceiling (amount we are allowed to borrow) was raised from 75 billion to 250 billion by the Labor government - quietly on budget night while people were distracted. This is IMO due to the current government being utterly crap, inefficient, wasteful, overspending and wealth redistributing idiots.
Labour are like a drunken shopaholic with someone else's credit card. They are economically inept. Any idiot can run up a big bill when given power over spending. It takes a party with intelligence and skill to run a surplus. Labour pissed away Australia's surplus in a couple of years and ran way into the red, and now are introducing 3 new super taxes to try and dig themselves out of their own mess that they are sitting in.
Interest Rates will always be higher under their type of government.. I forgot who said that. Regards Errol43
There was a funny cartoon in one of the papers were John Howard was relaxing on a lounge with a drink and the caption read ( how's that change going that you were after?)
Yeah this is what bothers me. People don't realise that being in debt is a bad thing either, because most of them are in massive debt themselves. It has come to be the norm.
That's how it always happens in Australia. We don't actually have a debt ceiling. The government releases a budget and if there is a deficit, the budget legislation includes the authorisation to borrow enough to cover that deficit so everything gets done in the same package. The Americans have a ridiculous system where they come up with a piece of legislation for the budget and then sit down and try to work out how to create more legislation to raise the money to pay for it. The U.S. is the only government I'm aware of that uses this 2-part way of managing it's finances.
being in debt isn't a bad thing, borrowing your maximum is bad and using the money on things that are overpriced or not going to give you a return is bad but debt its self is not evil. It's nice how you're all happy to bash labour for spending when john howards policies created this huge housing bubble and record levels of private debt.
John Howard didn't we did, we were the people borrowing to excess and ramping up house prices he just left us the option to spend to excess by keeping the economy going well. Difference is we dug ourselves a private debt/housing price hole and the current government is digging us all a public debt and crappy economy hole.
Very true. Howard is no hero. He is the very opposite. Hands up everyone who would like to buy their first house under Keating's high interest and low principle? Or Howard's low interset and skyhigh world record home principle? I don't remember pensioners having to go into reverse mortgages et al due to having to pay for food under Hawke/Keating, like today's Howard legacy. But that is the way Liberal saves its money, passing public debt onto private debt, inflation grab tax all the way home(less). Snort Snort, make the piggies fat.
It's not authoritative. However, I did find the offending bill: Appropriation Bill (No. 2) 2011-2012 http://parlinfo.aph.gov.au/parlInfo...toc_pdf/11075b01.pdf;fileType=application/pdf Amendment of the Commonwealth Inscribed Stock Act 1911 18 Amendments (1) Subsection 5(1) of the Commonwealth Inscribed Stock Act 1911 is amended by omitting "$75" and substituting "$250". Apparently it received Royal Assent on the 29th of June of this year. These goons have more than tripled the "debt limit". I don't recall this getting much press but this is a huge story. The COMMONWEALTH INSCRIBED STOCK ACT 1911 can be found here: http://www.austlii.edu.au/au/legis/cth/consol_act/cisa1911288/ An Act to provide for the issue of Stock, Bonds and other Securities by the Commonwealth and for other purposes COMMONWEALTH INSCRIBED STOCK ACT 1911 - SECT 4 Power to create stock (1) The GovernorGeneral may, by writing signed by him or her, create stock, Treasury Bonds, Treasury Notes or other prescribed securities from time to time for: (a) raising money by way of loan; or (b) converting any loan raised by the Commonwealth into any other loan so raised; or (c) paying any expenses of carrying this Act into effect that the GovernorGeneral considers are properly payable out of capital; or (d) lending by the Treasurer under securities lending arrangements under section 5BA of the Loans Securities Act 1919 . (2) Stock created pursuant to paragraph (1)(a) shall not be issued or sold unless: (a) authority to borrow the moneys to be raised by the issue or sale is granted by section 3A of this Act or by any other Act; or (b) the issue or sale is for the purpose of carrying out an obligation of the Commonwealth under the Financial Agreement. COMMONWEALTH INSCRIBED STOCK ACT 1911 - SECT 5 Limit on stock and securities on issue (1) The total face value of stock and securities on issue under this Act and the Loans Securities Act 1919 at any time must not exceed $75 billion. Amendment history for Section 5: am. No. 26, 1915 rep. No. 18, 1963 ad. No. 78, 2008 The amendment in 2008 was due to the COMMONWEALTH SECURITIES AND INVESTMENT LEGISLATION AMENDMENT ACT 2008 (NO. 78, 2008). Bizarrely, it appears the Bill was introduced after the 2007 election (though this is not 100% confirmed), although it could have been a departing shot from Howard/Costello.
