Winding Down the 2016 Year
We are used to politicians changing their policy positions but, when they do, a question inevitably arises as to whether to accept the latest version as a genuine change. This is particularly relevant to policy positions announced by Turnbull given his well-known history of critiques of Liberal Party policies. So, how to assess what The Weekend Australian’s Paul Kelly describes as “a repositioning of Turnbull” and a preparedness all of a sudden to assault Shorten on character grounds (see Paul Kelly on Turnbull 26-27 Nov 2016)? In fact, not all the change-rationales are canvassed in Kelly’s piece – for example, Turnbull may have at last realised that “something has to be done” to reverse Labor’s favourable polling and to minimise the risk of a challenge to his leadership by Abbott during the Christmas-New Year period.
After the Last Two Weeks of Parliament?
The outcome of the imminent last two weeks of Parliament will set the scene for the Christmas- New Year period during which changes in our political leaders may be foreshadowed or possibly even occur. The most prominent change in Australia in this period was probably the overthrow of Bob Hawke as leader and PM by Paul Keating on 19 December 1991. This occurred after a long period of rivalry between the two Labor leaders. The election of Trump as President and the raising of expectation of changes in government policies around the western worldhas also set the scene for possible leadership changes around the world.
Ken Henry on Budget Problem, Aleppo Highlights US Failures Under Obama, Ban Muslim Migrants?
The Weekend Australian ran as the lead report an interview by Paul Kelly with former Treasury Secretary, Ken Henry, who is now Chairman of the National Bank. Henry said that more needs to be done to reduce the budget deficit instead of talking about it (see Ken Henry on Budget Deficit). This provided an opportunity to point out that the “times have changed” since Henry was the TS and advised Rudd to go for broke: indeed the advice to Rudd was, at best, highly questionable if not wrong (see my letter below). The Australian is to be congratulated for continuing its helpful advocacy today partly through publishing a swag of supporting letters and partly by having its Canberra Bureau Chief, Phillip Hudson, pen a separate article (see Everyone to blame for our budget spiral of hopelessness). Hudson points out that one of the problems is that “ Neither Labor or the Coalition, on their current trajectory, promise a surplus before the next election. Morrison hopes for one in 2020-21. Labor went to the last election with a plan that would leave the budget $16bn worse off over the next four years before making everything tickety-boo within a decade. These scenarios are based on Australia continuing on its growth path of the past 25 years. What happens if something goes wrong?”
Budget (?) “Wins”, Immigration Policy
Although we had a long election campaign during which Parliament was not sitting, it now has another “break” until 10 October during which Turnbull and two other ministers (including Immigration Minister Dutton) will travel to the US. In this coming week Turnbull is scheduled to attend what his press release describes as “the biggest summit on the international calendar” - the UN General Assembly Leaders’ Week, which will include “summits on refugees and migration” hosted by Ban Ki-moon and a smaller one arranged by Obama. But, while discussions at UN General Assemblies rarely produce meaningful policies for use back home, the risk is that Turnbull may relax our refugees policy and, as Abbott did, agree to take more refugees. Given the tightening of border controls by European countries, and increasing concern about terrorists being amongst asylum seekers, Australia’s existing policy would seem justifiable.
Morrison, Turnbull, Abbott & Me on Government Spending
Realising that it risks being attacked in the new Parliament for lacking specifics to justify its “jobs and growth” policy, there are signs that the Turnbull government has, at almost the last minute, produced some commentary on why government spending and deficits must be reduced.