Arresting Intergenerational Theft
As per usual, budget week in parliament has been a hectic one. However, it has been anything but business as usual for the government.
Last night, Australians received a clarion call from Mr Hockey about the need to change the financial path our nation has travelled over the past six years. The country simply can’t afford to continue to mortgage our children’s future in order to prop up our entitlements today.
The budget seeks to arrest the alarming blowout in our annual deficits and accumulated debt from an estimated $667 billion to around half of that amount. That simply can’t happen without some financial sacrifices being made.
Many of those concessions were telegraphed prior to the actual budget announcement and I did mention that we should all reserve judgement until the entire product could be considered.
Readers will know that I think lowering taxes and limiting the size of government are important elements of having a sustainable public sector. However, I also know that making radical changes can result in short term difficulties. In that respect I think the budget gets the balance about right.
Naturally, there are some changes that I wish weren’t included but there are also many adjustments that have my full endorsement.
There are a range of infrastructure investments and removal of duplicate services that should support future productivity and keep our economy ticking along in the face of possible future headwinds.
And that’s really what this budget is about – preparing our nation for the future.
While aspects of the budget, when considered in isolation, may concern some individuals and sectors, overall I feel the budget hits the right note.
I know that assessment may prompt a range of reactions from many readers. Many of you may also have specific questions about the budget and I want to make myself available to answer them.
So next week I will devote this e-letter to responding to any budget questions you may have. Please feel free to let me know what you think and send your questions through.
I look forward to hearing from you.