Tag Archives: Bill shorten

Too grim a reality

It is not a new concept, it is not even original. My first introduction to the concept of mass executions was in a Star Trek Episode of 1966, ‘The Conscience of the King‘, the story about Kodos “the Executioner”. The backstory was: “In 2246, an exotic fungus destroyed most of the colony’s food supply, and its inhabitants, of which there were eight thousand, faced starvation. Kodos, implementing his own theories of eugenics, selected four thousand of the colony’s residents to be put to death, so that the remaining four thousand might survive on the limited food supplies available“, so when we were introduced to Infinity War and Thanos, the scope changed but the premise did not. This is not an attack on Marvel in any way, the idea existed and that is not an issue. Yet the reality we face is actually a lot grimmer. It is a lot more dangerous, because in my view Thanos was an optimist. At this point we (due to political inaction), we might have to cull 97% of the human race.

Scary is it not?

To see this, we need to take a look at the guardian. The article (at https://www.theguardian.com/australia-news/2019/may/08/un-environment-report-how-australias-political-parties-plan-to-respond-to-the-crisis) gives us: ‘experts rate Australian political response to extinction crisis‘ and that is where the problem starts, politicians are there to cater to big business (for the most) and this is not in the interest of big business. Politicians have a long standing history of not doing the right thing and not putting their foot down, so inaction remains for now the best we can hope for.

So where is the problem?

The responses give a much larger issue that they have been ignoring. When we see: “review but keep existing environment laws; a $100m environment restoration fund to clean up coasts and waterways, protect threatened species and reduce waste; $189m over four years for the “direct action” climate solutions fund, in part for revegetation of degraded land” reads like an absolute joke.

For this we merely need to look at the Adani Carmichael mine. ABC reported: “The CSIRO and Geoscience Australia said the modelling used by Adani was “not suitable”, and also cast doubt over the company’s plans to protect important environments. “A number of limitations were also identified in the proposed monitoring and management approaches, indicating they are not sufficiently robust to monitor and minimise impacts to protected environments,” the agencies’ report said.” Even when we consider “Boost early warning monitoring systems between the mine and the nearby Doongmabulla Springs wetland“, as well as “Respond immediately to any unexpected groundwater impact“, when it happens it will be too late and the impact damage will have been done and finish it for generations. There is more; I wrote about it in January 2018, in the article ‘Vision or imagination‘ (at https://lawlordtobe.com/2018/01/13/vision-or-imagination/) I looked at the Guardian, as well as the Cairns Post where we see “During a recent patrol blitz during the Christmas-New Year period, GBRMPA and partner agencies detected 41 instances of people fishing in the wrong zones, including no-take areas“, unless we change the rules where ANY transgressor gets their boat impounded and auctioned off for repairs of the Great Barrier Reef, this degradation will continue. In a setting where there is coral bleaching to any degree in 93% of the reef is a stage where we need to act differently, or we impose draconian laws to protect the reef, or we cull 97% of the population, I will let you decide, yet remember, politicians are all about promises and discussion, but they lack the balls to act or enforce. It makes for a better case to reduce the population (and resolve affordable housing at the same time).

It is even worse than you think

For that we need to see the words of Melissa Price, the environment minister. Her idea of: “investing in the protection of our native species and their habitats. We are investing billions of dollars to deliver a cleaner environment“, I have no idea what drugs she is on, but I would love to sample them as they are truly psychedelic in nature. You merely need to look at the impact of Cyclone Debbie and “Adani has been fighting to hide details of what it told the Queensland Government about the risk of pollution to the Great Barrier Reef ahead of Cyclone Debbie in 2017” (at https://www.abc.net.au/news/2018-08-10/adani-spent-a-year-trying-to-hide-reef-spill-details/10090632). So when we see: ““Just give me a little detail and we can include and update [the temporary emissions licence],” a department staff member replied“, as well as “Adani admitted to breaching its licence, spilling polluted water into the Marine Park that was 800 per cent dirtier than was allowed” my case is pretty much made. With the apology if I sound too sexist, listening to Melissa Price and reflecting on ‘the protection of our native species and their habitats‘, I feel like I am reading a debate where a vibrator is defining the need of income for the service of any huhu where that owner shows it owns the vibrator it bought (a real graphic an none personal analogy).

So when I read in the article the response from Adani giving us: “We have elected to have the matter heard by a magistrate rather than pay a $12,000 fine, which should not have been issued in 2017 following Cyclone Debbie, and we look forward to resolution of the matter.

A $12,000 fine? Are you out of your fucking minds (I apologise; emotions got the better of me at this point)? In the end, we see that last month Adani paid the $13,055 (according to various sources) and the laughable failure of this shows just how massively the environment department failed Queensland, failed the Australian people and how it failed the environment. In light of such transgressions, in light of the utter failure what is laughingly referred to as: ‘The Environment Department‘ a clear case could be made to cull the population by 97%, CEO’s, CFO’s and politicians get to be at the front of that line.

Oh, and before you think this is me against Adani, you are wrong, Adani is merely one of the more visible examples from a list that includes hundreds of transgressors and the Australian Environment department is merely one of many that has been unable to protect the environment and truly pressure fines that start in the high millions and optionally demand and exercise a right of closure of plants who make these kinds of errors, yet that was not what this was about, merely a symptom of a much larger problem.

It is not much better on the other side of the isle. Even as we see what I regard to be labor party puppets giving us the blame game (like Tony Burke), we see “It is now clear we are on the pathway to a million extinctions, we are potentially facing the sixth mass extinction in the history of the planet [and] Australia remains the extinction capital of the world. This reinforces the need for Labor’s comprehensive policy agenda to fight extinction“, just like other Labor party sided members (like Jeremy Corbyn). We see part of this in “The Greens were “deeply concerned that Labor has taken a weaker climate policy in 2019 than what they proposed in 2016, which was weaker still than what they took to the 2013 election”“, it is not all a given, but the facts are there. Even as this is more a tug between Di Natale and Bill Shorten, the issue is that they are all weak on the environment, because there is too much debt, too little work and for the most politicians have a track record of letting big business walk all over them, so a billionaire family like Adani and several others do not consider Australian politicians to be any more of the loud windbags than the politicians in America and they made an equal disastrous mess of it all.

If we go by the Conversation (at http://theconversation.com/shorten-distances-himself-from-green-overtures-on-climate-policy-116360) we see: “The decision for Bill Shorten is whether he follows the take-it-or-leave-it approach of Kevin Rudd in 2009, or negotiates with the Greens, just like Julia Gillard did in 2011, to deliver a climate policy that gives future generations a chance“, yet what we should see is: “Whomever gets elected has only this term to act, or the final approaching certainty that there will not be any future generations will become a slow but certain given“.

They all talk some talk, not the talks and NONE are willing to start increase fines by no less than 15,000% as well as mandatory closing of no less than 15 months of whatever plant makes the transgressions. In addition, the entire response of ““Just give me a little detail and we can include and update [the temporary emissions licence],” a department staff member replied” need to be met with draconian changes to the employment of whomever made that ‘little’ short-sighted consideration. The time to be nice has been over for well over a generation and the political players need to openly acknowledge that, as well as underwrite whatever law changes are required.

Any response of ‘but Adani will walk away‘ should be regarded as null and void, in the end if there is money, they will come, we need to stop facilitating to large corporations and truly change the way we do business and change the way that they are allowed to do business. The failure is seen when we look at Apple (perhaps the clearest example), when we see: “Revenue was up nearly 13 percent hitting $9.1 billion, compared to $8 billion in 2017“, yet we also get: “With bigger revenue comes a bigger tax bill. Apple incurred a tax bill of $164.1 million for the year, comprised of $127 million in income tax, a $30 million tax adjustment related to prior years and another deferred tax income expense of $7.3 million“, this implies that Apple pays a mere 1%, how will you fund any program for any environment when large corporations vulture entire nations? And when we see the Australian Financial Review (at https://www.afr.com/news/politics/national/uber-in-labor-s-sights-in-multinational-tax-crackdown-20190505-p51k9n) with the smug response “the Tax Institute of Australia warned about extra regulation for multinationals, saying it could discourage companies from setting up operations here“, my clear (and slightly less diplomatic) response would be: “Oh, please let them fuck off! When they lose 20 million customers in Australia and an optional 68 million customers in the UK they will lose more and more, more market share and all the momentum they had!

Facilitating to big business is one of the main reasons we see a loss of environment and biodiversity in the first place. That evidence is shown to some degree by American documentary maker Sue Williams. She gives us (at https://www.abc.net.au/news/2016-09-09/environmental-impact-of-the-iphone/7825360) in 2016: “more than 50 million tonnes of e-waste will be generated this year alone“, with the added: “this ends up in China, India and Africa, the devices were then broken down in unsafe ways where toxic chemicals end up in the water and air.” It shows a much larger issue and even as Australia might not be the place of the largest transgressions, we see that Australia has failed its people and environment in the most total way possible at present.

I wonder if the people will ever vote for the parties that truly are out there trying to set up proper laws to protect the environment, when that happens we will see a rush of panic from anyone riding some sort of gravy train, I merely expect it will be too late at that point.

So, even as we wonder on Marvel and its success, we should also consider that Thanos was an optimist; removing 50% of the population will no longer get it done. When you realise that actual truth, will you ignore it or actually demand change before you have to sacrifice the life of one or more of your children? You might laugh at this as it is not realistic, and it might not be in this generation, but that setting is not a given for THEIR children, not merely because the population will surpass 8 billion within the year, but the fact that when their children are born our population will surpass 9.5 billion, it will be too late at that point. Oh, and when we all accept the compromise to put in place the Chinese one child policy on a global scale, what excuses will nations offer when that policy is breached? Humanitarian reasons perhaps?

Should you think that this is some new revelation, think again! Especially when you consider the dangers that the movie Koyaanisqatsi (life out of balance) showed in 1982, almost 37 years ago. The mere realisation of what the city of New York needed to feed its masses (overfeed its masses more accurately), and we see that the matter got worse, the inaction of politicians globally makes even less sense.

I merely wonder what excuse the politicians give, and who they blame when the collapse biodiversity is at our front door awaiting the label ‘extinct now‘. As we get reports upon reports and denials from its opposition, we need to take heed of the inaction on acts like overfishing and poaching, clear criminal acts that have little or no punishment, when truth comes to bare, remember that any elected politician after 1983 is directly responsible for the mess we see today. The entire push it forward is not to be regarded as a defence, or as an optional response. In my view there is no ‘I was not involved in that decision‘ it will be on their names and the names of their prodigy. If you doubt that, look into history on what the people did in anger to those called: ‘German Girls‘, Women from the Netherlands, France, Norway, Spain, Italy, Greece and a few other places; women who fell in love, had a flirt or for mere survival reasons got attached by a German soldier. They were according to records: “Women who married German soldiers and their children were stripped of their citizenship, interned and deported to Germany. Many of the offspring who remained were abused, attacked and confined to mental institutions because of their parentage. As well as the French part where about 20,000 women accused of sleeping with the enemy had their heads shaved; others were covered in tar, physically assaulted, stoned, spat upon and shunned. As many as 6,000 people considered collaborators, including many women, were killed“, when you read that part, will these people proclaim innocence, state some defence that ‘we’ are better than that now and demand safety for their children? I don’t think you comprehend the masses when it is enraged, these people will all be out of options, and let’s face it, when the big environmental disasters start hitting, the groups of soldiers and police and fire brigades will all be hit with other first casualties, and they will not be much of any protection for these exulted high earners. WW2 was perhaps the foulest example in history, yet it will be nothing when the biodiversity collapses under the pressure of pollution and too large a population, the political inaction will enrage billions on a global scale.

So even as we laugh at the silver screen and Thanos snapping its finger, we are getting to a place where we get to see the infrastructure and resources collapsing, and there will be someone pointing a finger at the politicians, at that point what will that person do? Will he (or she) become a version of 1966 Kodos the destroyer? Will he/she (too late) invoke draconian laws to undo the presented damage, whilst they know it was already too late?

I cannot tell, but I can tell that we are at the end of our ropes to instigate a solution, too many species have become extinct, we did allow our natural biodiversity be permanently affected to that degree.

I am however also aware that there is opposition to my view, one blogger gives a really good setting (at https://conservationbytes.com/2014/03/17/if-biodiversity-is-so-important-why-is-europe-not-languishing/), the blogger is  CJA Bradshaw and he gives another version, a less pessimistic version (in 2014 mind you), I do not agree, but I will not dismiss this view as it is well phrased, well written and gives good examples. He gives at this point a realistic view, yet at the end of this, we will be growing towards a population of 10 billion and there is a limit to what we can get from an acre of agrarian land, knowing that the planet is 30% land and the stage that the population that land supports went from 6.6 to 7.9 billion in a decade gives us a 19% growth in a stage where the growth of land is set to 0%, actually, that is wrong, some scientist claim (I use claim as I never delved into that data) that land capable of being ploughed and used to grow crops (arable land) decreased by almost 30% due to erosion and pollution, so not only are there more people, there is less place to grow their food, and that is actually really important. So as we create more land for crops, the ‘wild lands’ where the animals roam decreases more and more. To see additional dangers, we need to look towards places like Borneo lost in the time between 1985 and 2005 an average of 850,000 hectares of forest every year. If this trend continues, forest cover will drop to less than a third by 2020, so by next year Borneo and all the oxygen producing forests is merely a third of what it was, whilst the population grows and grows, is anyone worried about breathing yet? The same is happening in the Amazon region, the two largest oxygen producing areas gone to the largest degree. At what point will anyone realise that oxygen tends to be an essential need?

All unattended issues and we are actually running out of time, so who is willing in the end to snap their fingers Thanos style?

 

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I know a Japanese joke

An Englishman, and Irishman and a Japanese industrial walk into a bar, which could be the start of a joke, yet there is a very serious issue behind it. You see, when we see (at https://www.theguardian.com/politics/2016/oct/31/nissan-assurances-over-brexit-cannot-be-published-says-business-secretary) on how “the stark warning from Haruki Hayashi, president of the Japanese chambers of commerce in Britain and the European CEO of Mitsubishi, who said businesses needed more than “general reassurances” if his country’s investment presence in Britain was to be maintained” needs to take a little lesson from a firm called ‘Hypocrisy Inc.‘, when we see (at http://www.thisismoney.co.uk/money/news/article-2230999/Nissan-sells-UK-cars-Switzerland-tax-ruse.html), which is from 2012 “Nissan Motor Manufacturing, which has received tens of millions of pounds in Government grants to build cars in the UK, is a contract manufacturer for another Nissan company based in Rolle, Switzerland. The Swiss company buys the raw materials and owns the finished cars. It pays the UK business a fee that is slightly higher than the manufacturing costs, limiting the amount of profits that are declared in Britain

In addition, this is a game that Japanese car makers have been playing on a global scale, including Australia, getting millions in grants, getting what was calculated as a $2,000 discount per manufactured car, whilst shipping tens of thousands for sale overseas. The comedy team Kim Carr and Bill Shorten (the honourable BS) from the Australian Labor party were on that merry-go-round, that whilst in week 3 of the new government blaming the Liberal party for ‘losing‘ the automotive industry. I discussed this in May 2016 (at https://lawlordtobe.com/2016/05/22/tuesday-evening-quarterback/), the UK is facing a similar situation, basically, Japanese firms are trying to strongarm a better deal, which is business minded and all fine, yet the Brexit scaremongering thing is getting on my nerves because I am fed-up with this category of ‘wanker‘ (or is the term ‘tosser‘ more correct?) that they represent. For those people I state, there was no Brexit in Australia, Japanese firms will do whatever they can to broker an increased profit any way possible, Brexit is just their latest excuse (whilst we admit that some raised items are a valid concern, there is still no certainty whether the set changes will actually impact). In interesting side that was not mentioned in this comes from Reuters (at http://www.reuters.com/article/britain-eu-nissan-support-idUSL8N1CY3QI). “The support that the UK government has promised carmaker Nissan in return for building new models in Britain could prove expensive, but the Japanese carmaker’s complex structure makes it hard to estimate“, so like Australia, whatever grant the Japanese receive, could be seen as legalising slave labour, for that is basically the setting when the grants add up to work whilst having no cost for the manpower employed. The Reuters article lights up a few additional issues, yet it also gives view that the Bremain group is still playing and pulling lines to scare the population in making them believe that Brexit was a bad idea and as such trying to swing a way to undo Brexit.

So whilst you contemplate those elements, think back to my September article (those who read it) ‘For Only the Messenger‘ (at https://lawlordtobe.com/2016/09/05/for-only-the-messenger/), where we see the Japanese Prime Minister making demands, whilst we also have the added information that he is making demands for companies that funnel sales through Switzerland, so that paying taxation is kept to an unrealistic minimum. Having cars built in the UK, whilst the grants exceed the cost of labour, whilst in addition, sales are funnelled through Switzerland giving them a 10% taxation option, gives voice to the findings of Reuters. The prestige of having cars build in the United Kingdom does not seem to bring the bacon home, the cost for this prestige is a lot more than the UK governments bargained for. So, when I see the quote “The strong intervention from the Japanese came as the business secretary, Greg Clark, claimed the government’s letter to Nissan cannot be published because of commercial sensitivity“, or is it actually a simple reason? Mainly that any person with an abacus or calculator could work out that government administrations have been giving in to car makers for too long a time at way too high a cost to both the consumer and the taxpayers?

This debate on Japanese demands is actually interesting, because the French political left is now more and more on the side of Frexit, so with Frexit now a realistic issue for 2017, we see that 128 million consumers could fall out of reach to these car makers, should they push for certain options. If Japan wants to play around and endanger an optional 18% European consumer base, that’s fine by other car builders. In my view, the push for non-taxability at any cost could be the more expensive one for Japan in the end and with their economy even more on the edge than America is, it is a gamble that they could actually end up losing. The question becomes, how scared are the UK politicians at present and have they done the clear and correct calculations on what the costs are, because paying for people to be employed is not what job creation is about.

We see similar issues with Honda, from the Wall Street Journal (at http://www.wsj.com/articles/honda-net-profit-jumps-39-1477896050), where we see net profits to $1.7 billion for the last quarter, whilst we see that tax breaks are on the clear side of delivery here. The Wall Street Journal also states “The party may grind to a halt once those tax incentives go away“, in my view the question should be, why on earth are we giving tax breaks to any player making 1,700 million dollars of net profit on a quarter?

In addition, when I see “net profit is expected to increase by ¥25 billion yen to ¥415 billion yen as a result of lower costs“, I ask here: ‘How much tax breaks represent the annual 25 billion in increased profit?‘, which is a question we should all ask, especially when we see unrealistic demands from an industry, where a single player in this industry is expected to be making 2 billion a month more. Would you not agree?

This all intersects with the exit strategies from the EU. Brexit is actively an issue, Frexit is currently a realistic change, yet the silent player in this is now Italy with a December 4th vote coming up. This vote is regarding a constitutional referendum regarding the appointment and powers of the Parliament of Italy. In the background however, the changes could also simplify any referendum on leaving the EU if that becomes an issue. The Italeave group is currently not that big, yet grew when Brexit became a reality, also the right wing groups are not that strong at present in Italy, a change that could become a lot more intense when Frexit becomes real, because it would push Germany as they, together with Italy would be the only two anchors leaving the Euro in a somewhat stable state. As I stated before, two currencies will not be able to do that, making Germany and Italy run for the hills soon and fast. Beware! I stated when Frexit becomes a reality! So there is no given, merely an increased level of likelihood, which is no less threatening.

This now strikes back to the Japanese side, because with these changes over the coming two years, any change the Japanese market makes will have other consequences as well. Consider that they suddenly get that ‘special offer’ from Slovenia or Poland. What will happen when France and the UK are out of that single market? They could make a deal together where the UK and France markets support one another whilst pushing other markets to the left. Suddenly certain Japanese dignitaries will need to explain to certain bosses of the Japanese International Trade that their hand of poker backfired, that whilst they only had 3 of the 5 cards to play. That should make for interesting newscasts in Tokyo, I just hope that NHK News will be airing those news cycles with English subtitles.

Are my thoughts realistic?

Well, that is part of the issue. The other part is that politicians on a global scale are always willing to give away the kitchen sink to be able to boast that they secured 100,000 jobs. The fact that nobody is asking what the costs were makes it even easier for them to do this. Yet overall, the consideration of cost is actively being pushed to the foreground by others, giving me a stronger case, but is it strong enough? I honestly cannot tell, but time will tell as we see the publications of concessions given to the car industry.

The question now becomes, who offered what and for what reason, because at this stage, the Bremain group and especially those with political power are eager to make certain promises (within the office they hold), whilst knowingly undermine the continuation of Brexit at the same time, so that hurdle is one we will see a few times more soon enough. So when we get back to the statement that several newspapers reported on ‘Japanese companies have already begun receiving offers to relocate elsewhere in the EU‘, isn’t it interesting that no one is making any claim that they made the offer and no one is making any report on where they might go to. In this place where ‘leaking’ reports is at the core of scaremongering, that fact does not see the light of day. The clarity is, is that the only place where there is a clear benefit to go to apart from the UK, is the Netherlands, because in the end, manufactured cars need to get delivered somewhere, so as the infrastructure goes down, the costs go up by a fair bit. That part is not given consideration to the extent it needed to have. As 50% of the created cars go into export, consider when the factory is in (for example) Germany, what additional jumps would be needed to get the cars to the same location? Sweden has a similar deal, however with out of control weather 3 months a year and additional issues with extreme cold and an additional delivery distance of 1100 miles, what costs would Japan face in addition?

Just questions that impact the decision, there might be answers, or not. What matters is that people are suddenly demanding decisions, taking away the rights that the British voters had. Is it not interesting that this all happens, whilst Wall Street is in absolute fear that Donald Trump might win? The reason to mention this (at http://www.wsj.com/articles/investors-consider-a-brexit-times-10-trump-win-1478111985) is very applicable as the Japanese profit needy corporations rely on stability, something we see here “In the past week or so, the Vix index of volatility has risen from around 13 to just under 20 points; the S&P 500 has fallen for six trading days in a row, for the first time since February 2015; and the Stoxx Europe 600 has fallen for seven days, for the first time since February“, under these conditions, Japanese car makers will resettle somewhere else?

So these three men were in the bar, the Englishman orders an English Chapter 6, the Irishman a glass of Paddy and the Japanese gentleman ordered tea. As all three look at the tea, the Japanese states: ‘If you are not drinking alcohol, then neither am I!‘ (a reference to Awamori)

 

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Tuesday Evening Quarterback

Well, good afternoon to today’s match, playing on infield, with a home advantage is Australia’s very own Honourable BS, leader of the Labor party. In the outfield is his ego.

Let the game begin! So, when you read the article ‘Labor promises to keep medication cheaper at cost of $3.6bn over 10 years’ (at http://www.theguardian.com/australia-news/2016/may/22/election-2016-labor-promises-medication-cheaper-cost-over-10-years), we see an emotionally charged article that is about…. Yes, what is it about?

The by-line reads: “Bill Shorten pledges to axe 2014 budget cut to pharmaceutical benefits scheme, which has been booked as saving $1.3bn but is blocked by the Senate“, so we seem to get all huffy and puffy regarding pharmaceutical schemes and we seem to be all about stopping big Business, but the Senate will not hear about it. Yet, is that actually true?

You see, the quote “Patients will pay less for taxpayer-subsidised medication if federal Labor wins the election, but the move will cost $3.6bn over a decade” gives us some of the goods, it boils down to the next government spending another 3.6 billion. You see the Government is in debt, in debt for almost 750 billion and that move will add to that debt. We got into that debt as Labor decided to all these nice and seemingly mighty things and then left a massive invoice with the liberals. Perhaps we should take a look at the spin doctoring Bill Shorten did in February 2014 (at http://www.abc.net.au/news/2014-02-10/shorten-says-car-manufacturing-shutdown-was-not-inevitable/5250834). Or consider in equal measure the fact that we see Julia Gillard smiling in a car in the Adelaide plant, whilst the people read on how GM Holden received well over 2 billion in subsidies. The response by GM Holden executive Matt Hobbs is “the subsidies underwrite tens of billions of dollars in local investment“, this sounds interesting as the timeline is off. The Hobbs statement came in April 2013 (at http://www.abc.net.au/news/2013-04-02/holden-reveals-billions-in-subsidies/4604558), now consider the January 2015 news (at http://www.news.com.au/technology/innovation/motoring/holden-shutdown-general-motors-international-boss-stefan-jacoby-says-australia-is-better-without-car-manufacturing/news-story/af4de2d0090baa6c2a0ce24aa0e28729), 20 months later. So how was 2 billion pushed back into Australia? It gets even worse when we consider Toyota. You see, the Honourable BS is forgetting the timeline. Billions in subsidies under labor and miraculously 3 weeks after the elections the parties pull out. I remember watching Bill Shorten, boasting and stating whilst there was a really silent Kim Carr in the background. If we were to investigate the total amount of subsidies here and how much came back, will that equation be a positive one for the Australian people? Me thinks not!

This now equates to the current game being played. You see, even though the guilt of all issues should be shared (between Liberals and Labor, as both parties were around with them subsidies), the issue is that whilst Labor was in ‘attendance’ of government, they did nothing, absolutely nothing to secure cheaper medication. The first step was to stop the TPP, that paper (a document to some, a farce to others) is giving too much power to pharmaceuticals and is a first stopper for the evolution and continuation of generic medication. That part is not in view. At least that small island South East of here (New Zealand) had several people pushing back asking the hard questions. In that regard team Gillard-Rudd did too little and they did not think beyond their governing time here in parliament. If Bill Shorten really wanted cheaper medication the TPP would not be here and we would be trying to hold serious talks with India and UK to unite in a healthcare solution with the aim to provide for affordable medication.

That has not been the case and Bill Shorten knows this, making the article even more of a farce than it already was. This all aligns when we see the article (at http://www.theguardian.com/australia-news/2016/may/19/labor-to-end-freeze-on-medicare-rebates-with-122bn-funding-pledge) and we consider the quote “It is Labor’s biggest announcement of the election so far, and will cost $2.4bn over the next four years, and $12.2bn over the decade“, you see, I am siding with the medical side as much as possible. I believe that doctors, especially junior doctors have a raw deal, but making promises with funds you do not have is why we got into the mess we are in in the first place. It is essential for voters to realise that Labor does not have these funds and when it blows back we will be in even deeper waters. So as we realise that the Shorten-sighted approach to governing is giving away 6 billion (over 10 years) on these two elements alone, the clear dangers are that labor is soon to make the Australian people the bitch of the banks, as they want the interest owed. This is why Labor is too dangerous to be allowed to govern.

You see, when we look at the budgets and balances, Labor has no solution at all, they will blow the total debt, possibly even surpassing a trillion dollars. Now to get back to the other side in all this and that is seen when we look at the Medical Journal of Australia (at https://www.mja.com.au/journal/2015/202/6/costs-australian-taxpayers-pharmaceutical-monopolies-and-proposals-extend-them), an article from 2015. ‘Costs to Australian taxpayers of pharmaceutical monopolies and proposals to extend them in the Trans-Pacific Partnership Agreement‘,

The following summary points matter:

– Intellectual property (IP) protections proposed by the United States for the Trans-Pacific Partnership Agreement (TPPA) have sparked widespread alarm about the potential negative impact on access to affordable medicines.
– Three of the greatest concerns for Australia in the recent draft include provisions that would further entrench secondary patenting and evergreening.
– Pharmaceutical monopoly protections already cost Australian taxpayers hundreds of millions of dollars each year (2013).
– Provisions still being considered for the TPPA would further entrench and extend costly monopolies, with serious implications for the budget bottom line and the sustainability of the Pharmaceutical Benefits Scheme.

So not only were these elements known for some time, previous labor did almost nothing to stop this from becoming a reality (the liberals are in this, as I see it, equally guilty).

So Bill Shorten is even worse than a Monday morning quarterback. After the match is done, after the results are in, he is trying to talk you into a new match, leaving you with more debt and an even smaller piece of life to work with, all whilst being pushed into servitude to those holding the Australian debt markers.

The part that I do not get is that Bill should know better, when we get another politician hiding behind forecasters stating that next year will be better, then those politicians need to be held criminally liable if that upturn does not happen. It is time for politicians to be held accountable to the massive overspending as I see it. I reckon it is the only option left to prevent us to leave the next three generations with debts that we were unable to pay off, especially when they hide behind healthcare claims that were never realistic to begin with.

That’s just my view on the situation!

Before you decide to vote labor, ask your MP how Labor expects to pay for the total of 12 billion in changes over the next 10 years, which makes it 1.2 billion a year. Consider that total taxation collected in 2015 was $445B, you think that this would be enough, but now also consider that the total debt is 168% of the collected taxation, other services will still need to be paid, so if the debt goes down by $20B (which would be an amazing achievement), it will still take a little over 20 years to pay for our debt. Now consider, should labor be squandering this level of tax money, knowing that it will only make our lives harder down the track?

I am merely asking, because in my humble opinion, when a clear answer is not given, when the answer becomes, ‘It is really complex, even for me, but we have a solution ready!‘; at that time, do not walk away from that politician, you should run away! By the way, as a Liberal, running away from the coalition when they cannot answer these questions is equally essential. We need to focus on making Australia great. Also realise that neither side have successfully made any strong improvements regarding taxation loopholes. So, it might be very valid to read that ‘Politicians ‘double-dipping’ on property claims aren’t breaking rules – Cormann‘, yet in that regard, when tax loopholes are not set and at the same time, these politicians are spending money on ‘solutions’ that will not work and in even greater measure will land Australia in deeper debt down the line, those politicians are the ones you need to take distance from and fast, so as I personally see this, Bill Shorten should have known better!

 

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Soliciting the gay vote

It started innocent enough. I was just going over my tweets, seeing what happens and then suddenly something odd happened. I saw this tweet go by: “Wow Plibersek is actually refusing to support binding the ALP in favour of marriage equality“, which seemed odd. So I took a look at the facts (you know, the arrangement of letters in an online newspaper), which got me these quotes from the Sydney Morning Herald “Bill Shorten has narrowly avoided a Left faction attempt to immediately bind Labor MPs to support same-sex marriage equality from the next election onwards but the affirmative policy will still become binding on Labor MPs within four years” and “But while the hybrid voluntary-compulsory formula is a win for Mr Shorten who publicly opposed a plan initially backed by Ms Plibersek to bind Labor MPs immediately, the prospect of mandatory policy by 2019 may also offer Mr Abbott the political cover he needs to deny his own Liberal and Nationals MPs a free vote in this Parliament“, which gives me the opposite. So be wary of some tweets on twitter, for me, with a giggle I say, there you go putting your faith in a tweet that comes from a person who openly heralds ice cream and gossip girl in his profile (which he’s allowed to do of course).

Yet, it is not about the tweet, it is about the information that it brought bare, the ugly truth of solicitation, especially when it is for votes. You see, I am all for the act (I am actually not against it, which is not the same), but in the end, whatever makes a person happy and as long as it does not hinder my way of life I say: live and let live!

Yes, life is often this simple, when an act, a choice of life or a preference is no real danger to other people, when it is no hindrance of your lifestyle, why object to it? Especially when part of the hetero sexual community states it is ‘so bad’ for healthy marriages and they screw up their own relationship all by their selves. The clear statistic of 40% divorce should be the indication that the hetero sexual seems clueless on what they are doing and how to do it right, but that might just be me.

So back to that same sex thing!

How did I get to the solicitation part? That would be the clear issue. Consider that the Labour party has been screwing up their side, whilst in office between 2007 and 2013. Senator Nettle, a member of the Greens in New South Wales introduced the bill (at https://www.comlaw.gov.au/Details/C2007B00038). So there it stayed for a very long time as you can see. So whilst Heavy Kevvie and the Bushfire Blonde were fighting over who was top dog in the PM residence (Kevin Rudd vs Julia Gillard), we now see another wave of Labor members stating half- baked intentions, basically soliciting (as I see it) for the office of governing through ‘the Gay’ vote.

Even in opposition they will not come out for the bill and they need a compromise, if it is so important, why was the act not made law in 2008 or 2009? Now we see in the very beginning of the Sydney Morning Herald “Bill Shorten has narrowly avoided a Left faction attempt to immediately bind Labor MPs to support same-sex marriage equality from the next election onwards but the affirmative policy will still become binding on Labor MPs within four years“, so I can guarantee my British readers that our Labor party is in a bigger mess then the UK version! (I end this with a hefty nah nah nah nah nah)

Then we get the next quote “And Mr Shorten has pledged that a Shorten Labor government would move to make it law within its first 100 days“. ‘Move to make it’ is not the same as ‘making it law’, it is just the introduction for it and the fact that there is a left and another faction within labor, that means that enabling the act is not a guarantee. If the Australian Labor Party (ALP) does the same iteration of non-sensible overspending the moment they get into office, that act is not a guarantee at all (they will suddenly have other ‘priorities’). If you want to see that evidence, then check out the Marriage (Relationships Equality) Amendment Bill 2007 and how it stayed untouched throughout 2 terms of office, in addition, we can watch the news on May 21st 2013 when we saw (I mean read) ‘Kevin Rudd declares his support for same sex marriage‘ (at http://www.news.com.au/national/kevin-rudd-declares-his-support-for-same-sex-marriage/story-fncynjr2-1226647193111). It must have been an election year. Oh wait, yes, that is what it was! His support came 12 weeks before the elections, yes! Way to go Kevvie, trying to score votes, were you?

As I personally see it, if the gay community wants that act to become rule of law, than my advice to them is to get rid of Bill Shorten now and make a vote for either Tanya Plibersek or Penny Wong. It seems to me that they wanted to bind this achievement as mandatory, there is an additional need to change now, because the SMH quote “However, after that, a positive vote for the reform will become mandatory for all of ALP parliamentarians, meaning any MPs voting against it on religious or other grounds would face automatic expulsion, consistent with long-standing ALP rules“, so basically Bill Shorten does not want to get tied down now and hide behind the mandatory vote later on, how is THAT the definition of a leader?

Is it not interesting how these ‘long-standing ALP rules‘ were able to stop the Labor Party from enacting the Marriage (Relationships Equality) Amendment Bill 2007 during their last two terms?

In all this, it also seems to me that of all the political weights throwing themselves as so ‘equally’ minded, it was a Green, Kerry Nettle who introduced the bill, so I think that Labor is nowhere near out of the woods and even though it seems to me that both Penny Wong and Tanya Plibersek are hard on board to get the act stronger and enacted sooner, the question must remain, why was Bill Shorten in any way opposed? Consider the quote from the Age “Bill Shorten has made a last-ditch appeal to his colleagues not to adopt a binding vote on same-sex marriage amid renewed speculation he could be defeated on the issue on the floor of the ALP national conference“, it seems to me that all Labor party leaders prefer to keep the ‘Gay vote’ at hand, but not at their sides, which is odd to say the least. In all this, we see both Penny and Tanya fight for the vote, but the skeptical soul in me does wonder whether this was for marriage equality or to dislodge Bill Shorten from his leadership seat? There is no given info whether that was ever the case, it is just my suspicious nature in all this.

No matter what happens next, if marriage equality does not come now, it will be the main event for debate towards who gets to be elected into office in 2017. To me that sounds like the wrong way to get an act into law, but that could just be me.

 

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The dangers of freedom

I am all for freedom, I reckon that anyone growing up in Western Europe, USA or the Commonwealth has that same feeling. We love our freedom. There is however a dangerous downside. As I see it, freedom comes with the granted option to become an idiot, a moron or any other type of person that we usually find revolting to some extent. There is another group. There is nothing wrong with hem. They seem to be nice, they seem to be honest, and usually are portrayed as fair and they believe in fair dinkum. This is all good, no negative word on that part, they also exercise their right to free speech and they do just that. They believe in certain change, which is all good, but now these people are pushing us all into a dangerous area, where the consequences could be dire. This is not so good, yet they believe that they are doing the right thing. Some might state that the road to hell is paved on good intention. I think that this is too strong a statement, I believe that those people are getting on a bandwagon that goes into a foul direction, because they do not foresee the dangers that lie ahead. This is the issue!

We see this side in the Guardian (at http://www.theguardian.com/commentisfree/2015/mar/03/australian-republicans-we-can-no-longer-afford-to-wait-for-the-monarchs-passing). The title ‘Australian republicans: we can no longer afford to wait for the monarch’s passing‘ gives a hint of what some might regard as treason, but I am still willing to see it as people, devoted to Australia, but not seeing the dangerous currents of that journey. That excuse is not valid, when we consider the article with Bill Shorten (at http://www.theguardian.com/australia-news/2015/jan/25/move-to-a-republic-would-show-australia-is-modern-and-inclusive-bill-shorten-says), ‘Bill Shorten: move to a republic would reflect a modern and inclusive Australia‘. Here we go on dangerous grounds.

You see, the politicians are all about self-preservation! No matter who gets hurt in the process!

My reasoning? I had highlighted them on earlier events, the list is long. One link is found with the ABC (at http://www.abc.net.au/news/2014-02-10/shorten-says-car-manufacturing-shutdown-was-not-inevitable/5250834), Where Bill Shorten stated: ““All of a sudden, all the car component makers (in Australia) for Holden don’t have enough work,” he said. Mr Shorten says “government subsidies for car makers are essential for keeping manufacturing alive”“. Well, we have seen the use of subsidies, in that same article we see the statement: “”Australia subsidises its car manufacturing in the order of about $17 (per car), whereas the Germans do it at about somewhere between $65 and $90 and the Americans, $250″”, yet, when we see the Australian (at http://www.theaustralian.com.au/opinion/columnists/lies-damn-lies-and-car-subsidy-statistics/story-fnbkvnk7-1226824091831), we get: “Reworking the figures, it turns out that Australia has subsidised the manufacturing of vehicles to an extraordinary extent — $US1885 per vehicle, compared with Sweden ($US297), Germany ($US206) and the US ($US166). In other words, Australia has the highest rate of budgetary assistance of the seven first-world countries listed“. We could argue that this amounts to slave labour, as the subsidies is so large that the factories end up with prepaid labour. How is this not regarded as slave labour? Because people are allowed to go home and the money comes from somewhere else? Why should car be subsidised to SUCH extent? In addition, we get the quote “We now know that Toyota Australia has received nearly $500 million in the past four years. Given that there are some 2500 Toyota employees, this works out at $50,000 a worker a year“, so we have car manufacturing plants which seem to come with prepaid labour. How can a nation survive when these factories bend over backwards to avoid taxation and in addition, they received well over $100 million a year?

The next part comes from the Courier mail (at http://www.couriermail.com.au/news/opinion/opinion-the-nations-budget-is-broken-but-bill-shorten-and-labor-wants-to-stop-us-fixing-it/story-fnihsr9v-1227143768045), “The Budget deficit blew out to an astonishing $48 billion last financial year, largely because the previous Labour governments went on a massive spending binge and left nothing but IOUs in the kitty come the next global financial crisis“, by the way, the Labour party has NEVER given any clear explanation on how that money was spend, on what it was spend, and who signed for it. I reckon that is why the Labor party decided on the three party stooges approach (I wonder who plays Curly), namely Kevin Rudd, Julia Gillard, and now Bill Shorten. There was additional bad news, there is NO WAY that the drop in Iron was to be predicted. Neither Labor nor Liberals saw that coming. It cut export with an additional amount surpassing 30 billion, when the coffers are empty, that is not a good thing.

Now we get to the Bill Shorten Republican view. Here we see the following: ““Let us breathe new life into the dream of an Australian head of state,” he said. “114 years ago Australians found the courage and goodwill to transform this continent into a commonwealth. In the 21st century let us live up to their example. Let us declare that our head of state should be one of us.”“, you see, the article reads nicely unrealistic. There are parts that are not mentioned at all. I will get to them soon.

In the same light that Labour overspend us into massive debt, as Labour wrongly ‘illustrated’ the car industry, he also sees his option to get a little ahead as a possible first head of state (odd, do we not have a prime minister?), as he fantasises himself to become. You see, becoming a republic comes with a massive amounts of additional debts we cannot even fathom. As part of this Commonwealth, we are not alone, our army is a joke compared to Russia or China (65000 soldiers do not add up to much against the other large players), even against Indonesia, which might not have state of the art equipment, but they outnumber us 4 to 1, not the best odds to have. Together as one Commonwealth, the United Kingdom, Canada and Australia, we do wield a massive bat, we are part of a whole. So if China wants to play rough (or Russia for that matter), we have a few big brothers in our corner. Now, we could rely on New Zealand to give aid as soon as needed (they would never back down from helping a neighbour), but as Air Vice-Marshal Gavin Turnbull might confirm, the Sopwith Camel really does not have the range to make it to Australia, meaning we need to rely on our own planes alone.

This is only one element and not the most important one when we need to rely on our freedom. You see, I believe that Labor is squarely in the pocket of the US Democratic Party (the one who nearly bankrupted the US), the US is playing too many dangerous games, enabling big business, not holding big business accountable and overall not having the ability to manage its budget. Labor is on the same footing, and how long until the Labor party dances to the song of the White House, making us lose our choices, our freedoms and our value of fair dinkum. Is that what we desire?

What is so bad on being part of what we used to regard the British Empire? I believe that the core values that this Empire had, which were moved into this Commonwealth of ours is still good, it is still strong and it is every bit as Australian as it is British. When the lower classes here lose it all as business no longer deems these people to be of marketed value, who will they cry for? Labour? No, that lot just gave their rights away. In this the Liberal party is not without faults either, but they are not on the republican horse, giving us heaps more options.

This economy is in a bad state, no one denies that. I myself am hurting as much as many others, but like the harsh methods of Germany in 2009, their Austerity saved them and got them on top, I feel that the same will work here, Labor overspending by spending each annual budget twice is too dangerous for us. This is at the heart of the issue.

It is all directly linked to us remaining part of the Commonwealth, the one part that Labor SHOULD have been doing, they are not (or so it seems)! I voiced more than once that our future is on finding strong interactions with other Commonwealth members and offer what we have in surplus, whilst getting what they have in surplus. With Nurses here looking for jobs and the UK having such a massive shortage, why are we not seeking solutions together? Not just the medical industry, we need to put our commonwealth heads together, solving them together, not playing politics on who looks better in a pissing contest, which leaves us with a smelly floor and no actual solution. In this we should also look at what we could mean to Scotland and vice versa. Scotland will at some point be more independent, would it not be great if our message of fair dinkum and our workforce could help this stability, because a stable and prosperous Scotland helps all members of the Commonwealth, including the UK.

So as the Honourable BS talks about some republic, he should realise that unless the deficits and the bad economy are solved, we have no future ahead, other than one as someone’s vassal, a path we evolved from long ago, so whatever story he spins on how the republic gets a better business profile would soon be dead, as soon as people realise that it only opted for one goal, to give large corporations a place to get by on 1-3% taxation, how would that ever be fair dinkum?

 

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Whinging from a desperate left

This is how I felt when both ‘We must stop Angela Merkel’s bullying – or let the forces of austerity win‘ by Owen Jones (at http://www.theguardian.com/commentisfree/2015/jan/28/syriza-merkel-economic-greece-europe) and ‘Bank of England governor attacks eurozone austerity‘ by Larry Elliott (at http://www.theguardian.com/business/2015/jan/28/bank-england-governor-attacks-eurozone-austerity) passed in front of me. It is a unique issue, the political left in league with the banks. It is likely to be a first. The left want the image of cost of living relief, which is a ludicrous fantasy to begin with and that fantasy seems to be all about getting to spend money. We have a similar ‘BS’ joke like this in Australia. That person is called Bill Shorten. You see, as I see it, the banks want ease so that this generation can get a few more millions in commissions before it all collapses.

Let’s take a look at the youthful Mr Oxford (Owen Jones). It starts with the opening premise: ‘Angela Merkel is the most monstrous western European leader of this generation‘. No, she is not! Let’s take a look at the past. Around 2009 Merkel stated that enough is enough. She introduced austerity measures and she sliced back on German spending by a lot. The German people were in pain, they all were. The consequence was that the debt had gone down by a lot, so when harder times came, Germany had shed some of its debt and as such, lower costs on interests and therefor the pain that followed in 2011 and 2012 was suddenly not as painful for the Germans at large. I remember seeing the news. The Dutch did not adhere to such notions, they were all in the mindset like ‘it will get better next year’, at that time the Dutch Finance minister was Wouter Bos. It would not be so good. To be honest, the pain the Dutch felt would not have been that extreme if they had tightened the belt from 2009 onwards as well, but they were all adhering to their ‘good news cycle’, whomever came next had to clean up the mess. It was not just the Dutch, the French, the Italian, the Spanish, as well as the United Kingdom, they all went overboard in spending trillions.

So when I read the deluded word by Owen Jones, it just makes me a little sad. the quote “The Greeks have rebelled against machine men – and women – and they are crying out for others to follow“, that sounds nice as an epitaph for Don Quixote as he marches against the next windmill (possibly a Dutch one), but the Greeks created their own mess. Their inadequacy to deal with corruption, tax collection and a host of other issues got THEMSELVES into the mess they have. Would it not be nice to clearly state that?

Then Own comes with “As Krugman notes, the troika – the IMF, European Central Bank and European commission – promoted “an economic fantasy”, for which the Greeks have paid. They projected that unemployment would peak at 15% in 2012, but it hurtled to over 25% instead“, which is a part I do agree with. There was an economic fantasy, because the austerity measures needed where on lethal levels which cannot be denied, how do the Greeks react? With a series of strikes and vandalism events which only got them into deeper water. A watery grave the Greeks had created for themselves. They now have a debt of well over 325 billion for a population of 11 million, so how wealthy are those 11 million Greeks? If not, where did that money go? The fact that Greek bonds are now at 9.85% should be an indication that Greece is now almost denied existence, it for the most, only has itself to blame, since 2009, how many Greeks actually went to court and to prison for what was done? Of the 2069 Greek accounts in Switzerland (as mentioned in a Greek magazine), who besides the journalist has appeared in court? It seems that making Germany the scapegoat for something the Greeks did themselves is absent of loads of logic.

Then we get another quote that is up for discussion: “Germany ploughed money into countries such as Greece and Spain – that’s the “magic” of deregulated markets – and in doing so “lent more than they could afford”. German banks and their political champions should have known this would end in disaster“, I disagree. Greece was given an option, but was also informed of the intense pressures that this causes. What did they do? Whinge and whine like faulty politicians with the spinal cord of a paperback, not a hardcover amongst them! Instead of going after tax dodgers and those who had made bad calls, to see what they could get back, they went into states of denial, like flaccid applications to a concrete wall, not a scratch was made and when the time was up, they again, whined for more cash, an idea given to them by Charles Dickens in his story Oliver Twist. Then suddenly miraculously, the crisis was over and suddenly they went back to the bond market for more. None of those events are in this article.

Last we get “The future of millions of Europeans – Greek, French, Spanish and British alike – will be bleak indeed. That is why a movement to defend the already ruined nation of Greece is so important. Defeated Germany benefited from debt relief in 1953, and we must demand that for Greece today“, how about the clarity that debt relief came and Greece did nothing, and now, they are whinging and whining (again) for more cash, less debt (through forgiving current debts). However, nobody is making any headway in aligning the justice system and the law to take care of those evading taxation. It will not be anywhere near enough, but it will be a clear signal that Greece is serious about taking a stance for resolving debt and fortifying its annual income. Oh and when the debt is forgiven? Who pays for that money not coming in? The IMF or divide the debt over all the EU nations, who are all beyond their maximum borrowing points? Perhaps option 2? Let the ‘Grexit’ commence and let’s see how the Drachma will leave the Greek people in a state so much worse. At that point the people will dream of those good old austerity times.

Let’s face it, it is not fair to the Greek people, not one bit, but I have seen enough BS in regards to blaming the Germans for what some Greeks did to Greece. If we look at 2013, the quote “The state collected less than half of the revenues it was due to receive last year as it appeared unable to ensure that taxes and fines found their way to its coffers, according to a State Audit Council report submitted in Parliament on Tuesday by its president, Ioannis Karavokyris“, this was an article from November 2013, almost 4 years after the mess they themselves created. (at http://www.ekathimerini.com/4dcgi/_w_articles_wsite2_1_05/11/2013_526451), so as the Greeks drop the ball over and over again, who do they have to blame but themselves? So as I take my leave from Owen Jones, we look at the second Mr Oxford in this equation. With Owen I am willing to concede that he has his ideological heart in the right place, with Mr Smiley Smiley Canadian Mark Carney, former Governor of the Bank of Canada and the current Governor of the Bank of England, the gloves come off. So let’s introduce Marky Mark to the business end of a two by four in the shape of a keyboard!

It starts quite lovely, immediate of the bat with “Mark Carney says eurozone is caught in a debt trap and should ease hardline budget cuts just days after the Syriza election directly challenged policy“, just under the title. Why should we ease up? If we ease up after an election, the Greeks can forgo debt by having 12 elections over the next three years. It is the cost of doing business and as such, the Greeks themselves have not shown one iota of intent from 2009 onward (the lack of artful tax dodge prosecution could be regarded as evidence piece number one).

The second whopping ‘miss-statement’ might be seen in “Speaking in Dublin, Carney said the eurozone needed to ease its hardline budgetary policies and make rapid progress towards a fiscal union that would transfer resources from rich to poor countries“, when we see parts like ‘transfer resources from rich to poor countries‘, in my view (and in the view of some others), it reads like ‘as big business transfers corporate structures towards economic ailing areas. This was achieved through a subsidy structure that gave way to spreading business opportunity to less fortunate areas’. It also translates in the non-written text part of that statement as less tax liable options for big business, already far beyond normal wealth, move towards areas where labour laws are even less protective, optimising profits for big business.

So when he states as a bank governor the following “Carney made it clear that he thought the failure to complete the process of integration coupled with over-restrictive fiscal policies risked driving the 18-nation single currency area deeper into a debt trap“, which is not untrue, yet the part as a banker, that he does not mention is that he and his buddies profit greatly from spending sprees, if governments suddenly get a hold of their budgets, banks lose out a lot. This can be seen in the simplest way when we consider the Greek bonds. When that market opened up again (which should never have been allowed), the Greeks did not just add to their debt, someone in the banking world ended up with a 65 million euro bonus (in total) for selling these bonds, I am certain that the ‘wealth’ was spread around a little, but some of these financial people just cannot make ends meet on 350K a year, supporting a wife, kids, a Ferrari, a Ducati and two mistresses. You need that bond bonus to feel secure in your way of life as I see it. I wonder if the easing up has anything to do with meetings that places like Loomis Sayles ‘might’ have had with Natixis, perhaps Mr Carney attended a social event in such settings?

I agree with the premise we read in the quote “Since the financial crisis all major advanced economies have been in a debt trap where low growth deepens the burden of debt, prompting the private sector to cut spending further. Persistent economic weakness damages the extent to which economies can recover. Skills and capital atrophy“, I agree with that premise, yet this was a given already in 2011. I foresaw these events in 2012 and I read as bankers all over the place were hosting to ‘bright weather forecasting‘ whilst not taking the cautious steps that should have been taken. We can either state that politicians were too stupid to consider the dangers, or they were happy to leave the mess to those who followed (like Labour left hundreds of billions in debts to the Liberals in Australia), after that we see banks and the media in cycles of ‘bad news management’ slowly lowering expectation and forecasts, whilst the money had already been spend. So, yes Mr Carney, you state a good quote, it is just incredibly incomplete!

So, when we read “Carney has been vocal in his support for the European Central Bank’s decision to start buying government and commercial debt in its own version of the quantitative easing programmes, but said the Frankfurt-based central bank was unable alone to eliminate the threat of a prolonged stagnation“, we see nothing wrong. It is to the smallest degree commendable, only to the smallest degree, because several governments had entered a state of overspending, followed by ‘bad news management’ an intertwined cycle that would undo whatever headway quantitative easing would bring. The need for greed will always win in the end, so those programs are just a fantasy, Greece has some evidence of that part too, as they were part in both sides of that game. Isn’t it nice when the bank plays player one, player two and acts as the bank in the middle. That part truly sucks if you are player three and four in a game of monopoly. If we see Germany as player 3, than who is player 4?

I’ll let you do the math there!

You see, the actual solution would have been to take a stronger position on IP rules and regulations. An approach to ease the path for the small innovator of newly designed products. As several IP sides were all about setting goals towards ‘business’ (read big business), they forgot that when we look at the period between the 50’s and the 70’s, innovation came from the small inventors. Nearly every economy starts stepwise from small players and small innovators. Today, the players are so focussed on the large amounts, they tend to focus on large players like Apple and Microsoft and they forget that these companies, for a larger part live of the premise of the Vulture cycle, you pick the carcass until the hunter shoots a new prey, then they wait until it is feeding time. Small innovators (like Markus Persson with Minecraft) have the actual idea, which a large company then buys for 2 billion plus. As small innovators are given space to proceed and as larger players are denied blocking patents to force amalgamation of the true visionary into their moulding process that is the moment when economies will truly move forward. That is how you get forward momentum!

So when we see the final quote by Mark Carney “Carney said the eurozone’s unemployment rate of 11.5% was more than double that of the UK, but its fiscal deficit – the gap between tax revenues and spending – was only half the size of the UK’s. The eurozone, he said, should be using a “constructive” fiscal policy to support demand and mitigate the “tail risks of stagnation”“, we should wonder who he is catering to. As I saw it, the article was all about policies that are interesting for the boards of directors of the corporations, but the people will only be allowed the conceptual benefit on the tale end. Benefits that might have been a realistic form of support for treasuries all over Europe if they had done something actual to properly set up tax policies. Catering to big business stopped being constructive or lucrative for governments for half a decade now, how much longer will you take until you figure out that big business only caters to their own board of directors?

 

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Are we getting played?

I have been away for a little while, which happens! We all have priorities a times and for the most of us (including me), when we are not directly involved in an issue, we tend to ignore them. This applies for me too. Yet, the news as I saw it last night was a little more then just uncomfortable. Last April (the 15th), I wrote the blog article ‘Facts, Fiction or Fantasy‘. I got two responses on how ludicrous the ideas were and as they were just filled with profanities, I decided to trash the messages (it is my prerogative to do so). In the article, I mentioned on how Greece had started to sell bonds again. Their credit rating seemed to have gone up just ever so slightly. Now I read that over the last two days that bank shares have fallen 5.66% and 5.79% respectively. The first complaint that I am likely to hear is how these two are not the same and one does not mean that the other is true, which is correct, but consider the following. A bond is nothing more an ‘I owe you’ between the seller (the Greek government) and the buyer (the investor). The investor relies on information like credit ratings (from places like S&P and Moody for example) to make an assessment on how realistic the investment is. The fact that almost a month later the quote ‘Greek lenders are likely to face large losses over the next two years’ is seen, gives rise to the question whether any upgrade to the credit rating was valid.

Basically, the values of bank shares have diminished by 11% in just two days. How are we getting played? Consider that the banks are dependent on governments, consumers and others to survive. The fact that they went down 11% in two days in a month after the government sold another 5 billion in bonds is not unrelated. The fact that we got informed by the IMF (a ‘prediction’ which is bogus in my view), on how economies were getting better (they stated: “17 out of 18 economies would be positive economies in 2014”), was already not realistic, now we see the Greek bank shares drop and next, in regards to current credit ratings, Ireland now ‘suddenly’ gets a small upgrade.

The question becomes whether rating offices (like S&P and Moody) engaged in what I personally regard as a ‘criminal endeavor to perpetrate a fraud’ against the people of these nations? More important, are they servicing the American banking moguls in that respect? Let me elaborate on this thought. No matter how the American economy is seen, the USA treasury coffers are far beyond minus 17,000 billion (= 17 trillion). The interest on that must come from somewhere and the USA is not likely to be able to afford any level of paybacks for a long time to come, especially considering that this administration has been unable to achieve any kind of balanced budget from the moment they came into office. This is nothing compared to the total USA debt which is somewhere between 50 and 70 trillion (I have no reliable source on what that actual amount currently is). The idea that the EEC might fall apart must be a Titanic sized Wall Street nightmare at present. UKIP is growing (for now) and the French Front Nationale is definitely on course to become the leading French party. Both parties, as well as the Dutch PVV are all in favor of segregating away from the Euro mess and if that happens, the American goose is truly cooked. If they (the financial institutions) are playing a game where too many nations have added even more debt, then the chance of moving away from the EEC is less likely as it would become too unrealistic in regards to the costs that would be incurred on the French and British coin when the total EEC debts are spread around, which might be the game that is currently being played.

It is likely that my thoughts are completely wrong and so out of whack that they only belong with the conspiracy theory magazines. Yet, when we see the debts these places are in, then upgrading any level of credit is just utterly insane to begin with, so I might have something here.

It is not just the issue on ‘how’ or even ‘if’ there is any form of economic growth, the issue is that the outstanding debts are a local responsibility and in stead of push it forward to the next government in place, these governments (all EEC nations) have a sworn duty to stop handing debts onto the next generation. They have a solemn duty to lower the debt. It is not their responsibility to enable multimillion-dollar bonuses to financial groups. They must lower debts. We as people are not here to cater to a group of what I regard to be as flaccid US economists, we all need stronger economies and increasing debts are no way to get to these stronger economies.

Here in Australia we see the objections on the harsh measures that are now being taken by treasurer Joe Hockey. I agree with him to a larger extent. I have zero sympathy for the honorable Bill Shorten (The initials BS are interestingly fitting), on how campaign promises were ‘broken’. He should remember that it was HIS side that had overspend by hundreds of billions. Money their side did not have, so after dumping a car mess and debt mess on the Liberals, they are now crying in opposition. The added mentions by Chris Bowen are equally a joke as this is a Labor mess that the ALP members are now trying to resolve. None of them seem to mention that it was THEIR party in government that had spend the money they never had. Perhaps Labor should consider answering questions on how these issues, which were known long before the election started, should have been resolved before the election started. They will not have any answers there. They overspend and WE (the taxpayers) are now burdened with fixing these issues! In that regard Australia seems to be taking a leaf out of the book or Chancellor Merkel, who through massive austerity directives got the German economy in a much better shape. I feel relieved (even thought it hurts me too), that the ALP is now fighting to get the Australian economy stronger and the coffers of the treasury out of debt. Personally I still believe that when (not if) the US Dollar collapses after the first loan defaults, any nation in massive debt will learn the hard way, the price it faces when the debt is due. Those without debt will get to call the shots for the future and personally I will be happy when we will be sitting at the global governing table where we can choose what will be best for us. Those at the table without a coin should remain silent at the table, those holding the loan slips will get to decide the future for all others, a lesson that is likely to be humiliating and no fun for the citizens of the involved nations in debt.

In the end no matter how good an economy is, the upcoming profit will go to whomever they are indebted to for a long time to come.

It is not a nice solution and in these times it will never be a nice solution, but it must be solved and whilst we might see the insulating joke scandal that had cost money and lives are another side how the Australian Labor party had failed the Australian population. This is not just me bashing the Australian Labor party (no matter how entertaining that exercise is), Bowen is an economist and as such he should in my eyes know better then to proceed on the outspoken track he seems to be. The question in this regard is who Labor was listening to whilst Labor was governing with the fighting twins at the head of that table (Kevin Rudd and Julia Gillard). I feel certain that during that term someone was advising the treasurers Wayne Swan and Chris Bowen (which would be a perfectly valid act), who were the advisors in those years? We can all agree that even though overspending by hundreds of billions is a really bad idea, claiming it was only the treasurers act is just folly! Someone had an advisory plan and the Australian people has a right to know who that was, especially as it is Chris Bowen (former treasurer), now claiming that current affairs are so out of touch with reality that he is rallying the people against the ALP at present. I do think that some cutbacks are too harsh, yet, as I see it, Labor has no right to speak out, as these matters would not be the issue if they had not overspend all these billions.

This is at the heart of the matter; it is about the advisors behind the screens.  We need to see and hear those names! When we seen the list of advisors in that regard (on a global scale), we might be able to start painting a picture. There is even a chance that this picture is a lot more incestuous then a global view of Market Research, but we will decide on that when the picture is drawn.

We can all agree that governing parties are in need of advice and as such, they draw a plan, which is/was executed. So where did the debt come from and who did not close the wallet in time? If that was just the treasurer, then Chris Bowen has in my view no right at all to be this upset as he was the previous treasurer. That part is exactly part of the pain that is playing in Greece and perhaps soon in Ireland too. Where are the people behind the screens? If Sky News is to be believed then the prospect that ‘Greek lenders are likely to face large losses over the next two years‘ shows that upgrading the credit rating of Greece and the subsequent selling of billions in bonds was more then just a really bad idea. It boils down to another example of bad news management. I wonder whether investors would have a claim if they lost money on the purchased bonds only one month ago. Should my case be proven, it should also be clear that we should see the names of those ‘advising‘ on increased credit scores. I do not mean the names of the companies, but the names of the individuals who signed off on that news. Just like the names of the EEC economists that claimed that 17 out of 18 economies would grow in 2014 (mentioned in my blog on May 8th called ‘Public Naming‘).

It is time to shine a light on those who are the cause of many governments overspending their budgets by a lot and on those ‘analysts’ who seem to decide on how much an economy ‘should’ grow, especially as they drop the value of Twitter, who grew revenue by 119% (an amazing feat), which amounts to almost a quarter of a billion dollars. In my view, we the people are getting played by a select group of ‘economists’, who seem to be making more per person per month post taxation then most of us make in a year pre taxation. If you think I am kidding, then consider that the $5 billion in Greek bonds from last April represented a bonus value of $50 million; do you still think I am kidding? When Ireland ‘suddenly’ starts selling bonds, remember that someone will end up with up to 1% of that amount in commissions.

We are all getting played to some extent and it is high time that this stops before we end up paying the bills of other people’s overspending spree! Getting out of our national debt should be our only concern until this is achieved. A goal that should be shared by all the EEC nations as well.

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