The economy is all the go at the moment. Or has it gone already? Anyway, it’s now permissible to talk about economics. But – promise, promise – only for a few paragraphs. No one wants to talk about it for longer than that. Not for nothing is it called the dismal science.
It is also very difficult to understand. We were told to worry about inflation and the Reserve Bank upped the mortgage rate. The Rudd Government, naturally, blamed the previous Howard-Costello Government for this. Then suddenly we were faced with what Kevin Rudd called “the economic equivalent of a national security crisis” and the government decided to give money to low income people not, as we would prudently hope, to put aside to pay for emergencies, but to spend, spend, spend to save Australia.
We were also told that the Australian economy was in good shape and better placed than most to face the crisis. This, presumably, was because we had a budget surplus of some $20 billion to help fight the “toxic” debt with which the United States, through bad administration and regulations and corporate and individual greed, managed to infect the world.
The letters rushed in. Talk back shouted. Why, they asked, didn’t Rudd and Wayne Swan acknowledge that this great surplus came from the careful Howard-Costello years?
Quite right, too, it would appear. Rudd-Swan budgeted to keep the surplus going, but budgeting for surpluses truly was a feature of the previous administration. However, in politics and economics, one has to be careful about just what is being applauded.
In all those careful years, month after month we carefree Australians spent more than we saved. And we sucked in more goods and trinkets from overseas than we made from exports. All that black, black coal and rich dusty iron ore going to China and elsewhere, all that gush of natural gas – the biggest commodity boom in our history – yet, day by day we as people and Australia as a nation went deeper into debt.
For Australia, it’s called the current account deficit. For us, it is simply household debt. Right now that debt is somewhere between 150 per cent and 175 per cent of our gross national product: that’s the value of everything we do in a year. We’re twice as badly off as the wretched Americans.
That’s also why our nice Australian dollar, which only a few short weeks ago was getting close in value to an American dollar, had dropped so much. The nasty world hasn’t simply decided to punish us, it is just calling up the debt.
It also means, in desperate hindsight, that in the past 10 years we shouldn’t have had those inevitable election campaign tax cuts. Too many of us flooded the money into real estate. That made us richer on paper, but it reality it just made housing too expensive. The government could have gone for even bigger surpluses. But it was always productivity that we needed. Train us for the right jobs. Build the right infrastructure.
Why, we might then have been able to afford the plasmas and the vast range of other goods we have to import to make us happy. We were all too greedy.
TALK of plasmas reminds us that finally someone has set a date to chop off our old-fashioned analogue TVs and switch to digital.
This must be of sad note to the commercial television stations. They have to put out a lot of money to complete the change at a time when revenue is falling with the cautious economy and advertisers are wary because we are finding so many clever ways not to watch their incessant efforts.
A couple also face horrid private equity debt.
The ABC and SBS have their own worries. And because we are wise people, the Department of Broadband, Communications and the Digital Economy – that’s the government – is asking us to say what we want from these broadcasters “in the digital age”.
Here’s a simple one for SBS. Go back to your charter and confine your blasted commercials to the start and end of programs. Don’t let them intrude like a would-be Seven, Nine or Ten.
The ABC may not have waited for us. The discussion paper we are asked to discuss concentrates very much on the changes we want from the switch to digital. It’s full of things like “harnessing new technologies” and “efficient delivery”.
The overall role is set out, too, but it is obvious the government really wants to know how we want to get the message rather than the message itself.
The ABC itself clearly wants more money. That’s not new, and with the switch to digital it has a good claim. What’s not clear is what it wants to put in its broadcasts/telecasts/podcasts/ vodcasts/whatever.
It’s got rid of its natural history unit, it’s pulled out of big documentaries and it’s forcing the redundancy of 35 television producers and researchers. It seems to be part of a plan to outsource as much as possible to the private sector. Is this heartfelt policy, or is it playing poor? Where’s all the drama? The redundancies certainly have the right management twaddle title – “TV Production Pool Efficiencies Initiative”.
And Radio National, where older people listen directly and younger people try later on podcasts, suddenly has decided to get rid of morning staples on religion, media, sport and a couple of others.
Don’t worry, though. We’re told that other product will be provided. Good heavens. It sounds like the old days at Fairfax.
All media need to monitor what they produce to make certain they are relevant to their audiences. The ABC, with no direct commercial strain, also has the duty not to dumb things down. We have enough of that elsewhere.
Let’s hope we don’t get so carried away with innovation and efficiency in our discussions that we forget to say what we want to look at or listen to
FINALLY, the absurdity of our sporting arenas has been exposed again. Adelaide United can’t fit a crowd. Port Adelaide, if it could free itself of SANFL/ AFL obligations, would be far better off at Adelaide Oval. Leading commentator Rex Jory wants Adelaide Oval dug up and replaced by a covered dome. That would probably lose us our AAA credit rating – and Treasurer Kevin Foley presumably would rather have root canal therapy.