I’ve spent the latter part of today trying to get my head around the complete spending spree that Rudd is proposing. And I have uncovered a rather shocking fact: even if you accept the (discredited) Keynesian stimulatory economics on which it is based, it will have NO immediate impact whatsoever. Even judging the bill on the grounds Kevin Rudd sets out, it fails miserably. His press releases – where he claims this is an urgent cash injection to stimulate the economy – are lies. This is something neither the media nor the opposition have picked up on, yet it strikes at – and destroys – the core of Rudd’s promise.
Posts Tagged ‘Rudd’s Stimulus’
I was under the rather quaint assumption that we had this thing known as the “parliamentary process” in Australia. You know, the fact that parliament must actually pass legislation before it gets acted upon.
Apparently this is no longer the case, and Rudd Fiat is enough.
As you all know, the Rudd Stimulus Package hasn’t passed the senate yet. Hence it is not yet law. Yet apparently this minor detail isn’t enough to stop centerlink proclaiming it as if it WAS law.
For instance, the “Bonus Payments” section merely states:
“On 3 February 2009, the Australian Government announced the Household Stimulus Package to provide widespread assistance to low and middle-income households. The Household Stimulus Package includes one-off bonus payments for some Centrelink customers, including families, students and farmers.
Bonus payments are non-taxable and are not considered income for social security purposes.”
And proceeds to go into details. Another example, where it asks “how much educational entry payment do i get?” it answers “If eligible, you will receive a one-off taxable payment of $208. From 24 March 2009 you will also be entitled to an additional non taxable supplement of $950 if you enrol between 1 January and 30 June 2010″
I repeat – these things have NOT passed parliament yet.
This is a joke.