Booney wrote:Trader, really good post mate.
Now go and fix it.

Thanks.
I think the fix is rather simple, on paper.
It's having the political will, and the public sticking with you for long enough to implement it properly, that's the impossible part.
As bad as it sounds, and as much as it's a massive generalisation, I think in the past people generally were willing to sacrifice a little for the greater good.
I am not so sure that is still a thing.
There has been an erosion of pride in the country.
I think nationalistic pride peaked in the late 80s. Perhaps in 1988 at the bicentenary. Some may say it lasted a little longer, perhaps through to the 2000 Sydney Olympics.
But wherever you draw that line, it's clear, that in 2025, there is a lower percentage of people who are proud to be Australian, than there was previously.
Today, if you demonstrate pride in being Australian, you run the risk of being labelled a nationalist, or worse.
Why has this changed?
Thats a massive question with even more answers.
Is it cause of the breakdown of family and community?
Is it cause things are tougher so it's harder to be happy?
Is it a greater awareness of our past transgressions?
Is it that click bait media is the future, and negative clicks at 10 times the rate of positive?
But yes, for whatever reason, it's harder to convince people today that their sacrifice is needed for the betterment of the country, and in turn, future generations.
I think society today is more self interested, than nationalistic. Generally prime ministers got multiple terms. From the 70s to the 00s, you'd see Governments for 10 years, and often longer. Since Kevin 07, its more likely than not, that the government, well, more so the prime minster changes at each election, as parties knife their own to appease the electorate who wants change.
Fraiser 75-83
Hawke/Keating 83-96
Howard 96-2007
However after that it went:
Rudd for 3
Gillard for 3
Rudd again, albeit less than 1 year
Abbott got 2
Then Turnbull for 3
then Scomo from 18 to 22
Now we have Albo.
So yeah, I think we've seen a big shift, and that the electorate, or the party in charge, will make a change if they aren't getting what they want right now. It's not a matter of long-term thinking, it's about what can I, as a voter, get now, for myself, and as a politician, what do i need to do right now to get re-elected.
I think if a politician came out and said: "Productivity hasn't kept up with expectations, as such we all need to tighten the belt for the next 3 years" he or she would be voted out before they finished the sentence.
The answer is easy, cut spending on a range of unnecessary items, raise taxes in strategic locations, and invest in long term infrastructure and innovation.
If I were in charge, the areas I'd go after are:
- GST - Raise it to 15% and remove all exemptions. This is a user pays system, its fair for all. You pay your share on what you consume.
- Superannuation - Increase it to 15%. Force people to invest in their futures. The idea being that you put that money away and you fund your own retirement.
- Aged Pension - I wouldn't phase it out immediately, but I'd make it clear that by 2040 it won't exist anymore. Work now, put your money into super, and fund retirement out of that. It isn't for future generations to fund your retirement, it's for you to do that now through employer contributions.
- Natural resources royalties - I know they tried the mining super tax previously, and that was a major failure, but I'd go to a royalty model. Pay x for every tonne you pull out of the ground. Copper, Coal, Gas, Gold, etc. Everything that has value, you can pay a small portion to the government. It's not based on profit that you can move oversees through corporate overhead costs, it's a rate per tonne pulled out of the ground. Simple as that.
- I'd also do a massive review on all forms of subsidies, costs of living allowances, first home buyers grants, electricity rebates, etc. These 'payments' do nothing to increase supply. They do increase demand, and in turn, increase costs. They are not helpful in terms of solving rising prices, but simply are used to buy votes.
- Finally, I'd like to review family tax benefits A and B.
To put some context around the numbers:
By removing the aged pension, you'll save $60bn a year.
By increasing the GST to 15% and removing exemptions, you'll raise another $50bn.
Those two items alone, would see the total government paid off in 5 years (which sits at approx $550bn). It also isn't just that 5 year period you spend removing the debt, it now also means you've freed up roughly 15% of the government budget. Structurally resolving major restrictions and permitting governments to invest in critical infrastructure and innovation initiatives moving forward.
However, as mentioned earlier, there's no way you'd get support from the public to implement those items.
Australian voters would rather we continue to run up a national debt (passing it on to future generations so current voters can live above their means right now), rather than having to take a 5% hit to the household budget through increased GST, nor would they want to be forced to be responsible to fund their own retirements through superannuation increases and the removal of the aged pension.
Even if you did a massive education campaign, with bipartisan support from both sides of politics, and managed to convince the media to talk up why this is in the national interest right now, and you somehow managed to get it approved and implemented, I suspect, that within a very short period of time, you'd see a creeping back in of all the wastage. Support payments would balloon, tax cuts would be handed out to buy votes, and a new debt would be run up, rather than investment in long term strategics and strategic infrastructure.
It sounds cynical, I know, but unfortunately, I think it's where we are at as a society in 2025.