Rudd’s secret spending freeze: no soup for you

Mo says:

07:54am | 01/09/09

Rudd the tv star, Rudd the UN unofficial, Rudd the big spender. When do we see Rudd the competent PM?

Paul T says:

08:16am | 01/09/09

Talk about power and popularity going to someones head. What a disaster he has created.

Joel B1 says:

08:51am | 01/09/09

I’ve occasionally wondered why Rudd has a cabinet at all. Obviously he needs a deputy PM, that being Gillard.
But I suspect the rest are there just to fill out the photo ops without having to bother photoshopping someone in.

Lester says:

09:48am | 01/09/09

Your comment:
Well Mr Rudd you bought your way to stardom with our money, now what are you going to do?

Mark B says:

09:54am | 01/09/09

Looks like Rudd opened up the lolly bag and let everyone help themselves, while he got carried away with how popular he was. Now he’s looked back in the bag and all the lollies are gone! oops! Turnbull was right. lol

watty says:

10:09am | 01/09/09

It is NOT Government money….it is taxpayer’s money being handed out to boost our Kevin

Geoff Cass says:

10:49am | 01/09/09

Watty is correct -  not one cent of all the cash Rudd has chucked about comes from his government !!  The ONLY cash government has comes out of your pocket and mine in the form of taxes, rates, charges, fees, levies, duty, imposts, tolls, tariffs, GST etc. etc.
But from way he talks and acts, one could be forgiven for getting the impression that it all comes from Rudd himself, personally.

Michael says:

11:12am | 01/09/09

How about cutting down on travel and other expenses, surely MP’s huge pay packets could cover a few airfares; they might be a bit further down the back of the plane than anyone in parliament is used to though!!

Mick says:

11:35am | 01/09/09

Dell Bosca/ Rees = Labor mess
Rudd and Co = Broken promises and spend, spend, spend tax payers monies

So tax hikes, reduced funding to state schools/hospitals, poor fiscal management, policies that are too complex and expensive for their own good…..

Boggles the mind how we can vote Labor in at all levels and watch corruption and incompetence take root.

Bob says:

12:02pm | 01/09/09

Rudd wanted to be everthing to everyone, this is what happens when you don’t have enough guts to make tough decisions because your to concerned your popularity may fade!

Lillie says:

12:21pm | 01/09/09

I’d prefer Howard and Costello holding the purse strings any day campared to this wasteful, self promoting phoney of a PM.

CarlT says:

12:27pm | 01/09/09

The marvels of Fabian Marxist economic mismanagement are on display again.
That these fiscally incompetent idiots of the loonie left are voted in from time to time shows that about half the Australian population are mentally retarded.
Spend some time working on a polling booth handing out how-to-vote cards and you will see what I mean.
Labor could not run a coin-operated toilet successfully.
Labor will bankrupt Australia and the #1 creditor will be the government of communist China.
Of course, given that KRudd and most of his ministry are members of the Fabian Society, the stated aim of which is the creation of a Marxist state through a process of gradualism (look up the Fabian web site if you do not believe me), that may have been their plan from day one.
I would like to partition Australia. Put all the Labor voters on one side of a big electrified and mined fence and the non-Labor people on the other, then wait a few years for nature to take its course.
We could watch as the starving hordes from the Labor side of the fence tried to escape their workers’ paradise. Think of the great Marxist economic success stories, such as the CCCP, the whole of eastern Europe, Cuba and North Korea.
Don’t believe me?
Think on this. Marxism, in all its forms, is the only system of government in the whole of recorded human history that has had to build fences and lay minefields to keep their populations in.
Not even the Nazis had to put a fence around Germany to keep people in.

Shelley says:

12:51pm | 01/09/09

I’m sure all those school halls built at schools closing down, with attached plaques and signage, will make us all feel warm and fuzzy when the next really needy cause gets told by the PM to naff off with their begging bowl.

Why, even those cheap Chinese bats are a great investment over actual education or delivery of essential services.

Every penny spent has been spent wisely and to the betterment of future generations.

There will be no need for any future expenditure.

simon says:

01:02pm | 01/09/09

Higher Taxes coming soon - courtesy the Henry Tax review.
Crap services care of underspending in federal departments.
Project and Program overruns so far $800 Million in the Computer Roll out, $45 Million in NT housing program that hasn’t build a single house, and $1.7 Billion overrun by Gillard so she can place campaign signs at every public school for next election.
Was that worth your $900.00 stimulus dollars? Is you vote still bought?

Edward Elric says:

01:04pm | 01/09/09

It’s not like your average public servant gets a whole lot of perks anyway - coffee, tea and milk is NOT provided, and there has been a recruitment freeze for the last two years - meaning you can only move sideways. Even Christmas parties aren’t funded by the Department. Meanwhile, the upper management gets payrises, coporate credit cards, paid for meals and business class flights.

Peter says:

01:39pm | 01/09/09

I wonder if anyone in the media is brave enough to confront Rudd in an interview about this? I guess not, anyway Rudd is too clever to leave himself open for scrutiny, thats why he likes light hearted shows where he won’t be grilled, like apperaing on Rove.

Colin says:

01:47pm | 01/09/09

Lester, watty, Geoff Cass:  Sorry lads, it’s much worse than that.  If it were simply “our” money they’ve p***ed against the wall, then not so bad.  But it’s not our money… it’s mostly BORROWED money, (ie), from China, etc.  So we the citizenry have to pay it all back… with interest.  Very roughly then, in worst case assuming all of the $315B is borrowed, then a 7% interest rate = $22B per year…. in interest alone.  Consider:  Have we ever had a Fed Budget surplus of $22B in one year ... even at the height of the mining boom?  So, will we find ourselves borrowing even more, just to pay back the Interest?  That’s effective bankruptcy. Or enslavement to the lender (China?)... take your pick.

CarlT - Dead right. Fabian Marxism = “creeping” communism-by-stealth.

Brad Coward says:

02:16pm | 01/09/09

The Australian economy has to go down as the most popular stuff-up in the history of the nation !

May says:

02:26pm | 01/09/09

We thought Turnbull’s disaster with the utegate saga was monumental at the time but I think Rudds stuff up with our economy and debt will surpass that.

Joe says:

04:09pm | 01/09/09

I don’t care what you all say… his actions have prevented the close to 10% Unemployment figures we are witnessing across the world. So we had to go into debt to prevent this… so be it. His strategy prevented Australia from going into recession, reversing the negative growth figure in the December quarter, boosting confidence in spending and investment. Todday we find out that manufacturing is up, and other economic factors are looking good while the rest of the world continues to flounder. Get some perspective people. If the government had not acted in tandem with the Reserve Bank, we would now be in dire straits.  Rudds actions have spared thousands of people from the soup kitchen lines .

simon says:

05:40pm | 01/09/09

Joe.. get back to writing Mr Rudds speech. You know what happens when you blog when you should be working. If that “blackarm” stuff up happens again you will have a “Black and Blue Arm”

pc says:

06:48pm | 01/09/09

So, there are still some rightards left in Australia. That is not exactly news.  Simon has missed the excellent point that Joe was making because Leo missed it too. How does the Ruddbots economic policy - its generosity or its meanness - relate to actual people? That would be journalism. Leo manages to discuss policy and economics as if it is an abstract without any relationship to people. And if you rightards were serious about challenging the Ruddbott on policy you would end the psuedo speak of “fabian marxism”. It just makes you sound like you really cant think of anything to say,  If you want to actually hear a fabian and/or marxist talk,so that you can LEARN what they think, i suggest actually reading a book, Keynes, Marx, Lenin, they all wrote books, you can read them, they dont just have to sit on your shelf. (And yes I know some of you prefer to burn them so Id prefer it if you just didnt pick them up at all.)

Formersnag says:

07:31pm | 01/09/09

The soup kitchen lines have been getting longer all ready, and the funding for them has also been getting leaner.

The stimulus spending has not protected us from 10% unemployment at all. Merely delayed the inevitable, and increased the severity, when the economic tsunami, finally does make it to our shores, AS IT WILL.

Colin says:

07:47pm | 01/09/09

pc, I have read Marx and Keynes.  Have you?

Your comments might be of value for discussion if you actually put forward something resembling a specific , substantiated point of argument or rebuttal.  Mere ad hominem (eg, persistently pathetic use of term “rightards”) doesn’t cut it.

Since you obviously want us all to think that you;ve read Marx, Keynes, and Lenin, how about some specifics pc? Tell us why and how application of Keynes General Theory will leave Australians better off in, say, 10 years?  Why is it better to (theoretically) prop up the economy now, by going into unsustainable debt that can only be addressed through either (a) declaration of sovereign bankruptcy, or (b) massive inflation of the currency to inflate away the debt?

I repeat my question… have YOU ever read Keynes / marx et al? if yes, then please enlighten us with specifics. Otherwise, at the very least please quit with the unnecessary insults, which make it appear that you have nothing intelligent to add to the discussion.

pc says:

11:55pm | 01/09/09

In order to pretend that I didnt have anything to add, Colin, you stray very far from the topic. I do use insults, but I feel that truly expessing myself requires it and adds rather than detracts to the power of my post. (I dont believe my post has any power mind you.) The discussion, as I understand it, is about spending post stimulus package. My point in relation to the narrative course of this strand was that, as Joe mentions, Australia has fared better than comparable countries. This is because of the stimulus package. How has this affected actual people . That is the real question, you rightards just want to talk about the labour partys chances of re-election. This isnt about my ego Colin. I havent ever read a book by Keynes. I know that he isnt a revolutionary and so I assumed he might have been a fabian, in fact come to think of it Im not sure hes a fabian. So it was a poor example. The point remains that creeping communism is the most rightardly line to use. It is as if you think the Republican parties failing attempt to “astroturf” Obama can actually work as “gabba grass” to portray the Ruddbott in a similar fashion. There are no reds under the bed colin, this is a sideshow and we have more important, REAL things to scare us. Perhaps one day we could talk about them on punch.

Dean says:

08:07am | 02/09/09

Rudd is a lousy PM with the inability to lead and make decisions. History will judge him as a media friendly but politically hopeless leader. Has he achieved much so far? I’m unemployed, taxes are increasing and if interest rates go up thats it for me and family. So Rudd why so media shy these last 2 days? State Labor shame reflecting on you?

Colin says:

11:11am | 02/09/09

pc, you still insist on ASS-uming that others are “rightards” because they disagree with you/criticise Labor policy. In my view, both “sides” of politics are hopeless, self-serving, lying scum.  MY FB motto sums up my political views:  “It doesn’t matter who you vote for, the government still gets in!”
Thank you for confirming that you’ve not “ever read a book by Keynes”... that despite your piously challenging “rightards” to do so if “we” are “serious about challenging the Ruddbot on policy”.  So, moving on, Have you ever read Marx?  ‘The Communist Manifesto’, perhaps?  Or ‘Das Kapital’?
Your “point”, pc, is that you (and Rudd) claim that Au has “fared better than other countries”, specifically in terms of the “stimulus” packages’ effects for “actual people”.  Fine, let’s discuss that… show us proof that X,000 Australians are PERMANENTLY better off thanks to Keynesian “stimulus” intervention. PROOF, pc… not Govt rhetoric.
The on-topic point that I and others have tried to make, is that Keynesian stimulus is robbing Peter to pay Paul.  The money borrowed must be paid back… with interest.  Given the huge numbers involved (see above), we are likely to find ourselves in exactly the same situation as the USA, to wit, we can NEVER pay it back, because we must borrow ever more just to pay the INTEREST alone.  The only way out of that scenario is either (a) declare sovereign bankruptcy - look at numerous Eastern European & Sth American countries in the 20th Century for case studies, or (more likely) (b) inflate the hell out of the currency, to pay back the debt in massively devalued dollars.
Both of those scenarios impose FAR greater damage and pain for real people, and over a much longer period of time, than just pulling your head in and directly assisting the most needy during a short, sharp recession.  Consider Weimar Germany, Argentina, Hungary, or currently Zimbabwe for examples, pc.
It’s not about “reds under the bed”... it’s about proven historical example.

Jane says:

11:31am | 02/09/09

“The marvels of Fabian Marxist economic mismanagement are on display again.
That these fiscally incompetent idiots of the loonie left are voted in from time to time shows that about half the Australian population are mentally retarded.
Spend some time working on a polling booth handing out how-to-vote cards and you will see what I mean.
Labor could not run a coin-operated toilet successfully.
Labor will bankrupt Australia and the #1 creditor will be the government of communist China.
Of course, given that KRudd and most of his ministry are members of the Fabian Society, the stated aim of which is the creation of a Marxist state through a process of gradualism (look up the Fabian web site if you do not believe me), that may have been their plan from day one.
I would like to partition Australia. Put all the Labor voters on one side of a big electrified and mined fence and the non-Labor people on the other, then wait a few years for nature to take its course.
We could watch as the starving hordes from the Labor side of the fence tried to escape their workers’ paradise. Think of the great Marxist economic success stories, such as the CCCP, the whole of eastern Europe, Cuba and North Korea.
Don’t believe me?
Think on this. Marxism, in all its forms, is the only system of government in the whole of recorded human history that has had to build fences and lay minefields to keep their populations in.
Not even the Nazis had to put a fence around Germany to keep people in.”
CarlT - SPOT ON sadly.

Peter says:

08:20am | 05/09/09

Looking at the comments here either all the Labor supporters are still in bed sleeping off their night of binge drinking or there just aren’t as many as Krudd would have us believe?
The greatest trick the Devil pulled was convincing the world he didn’t exist.
Well Mr Krudd I see you for what you are. A crafty Devil with far too much power.

me my mo says:

09:06am | 05/09/09

pc says:10:55pm | 01/09/09 - I’m curious: if it was Rudd’s stimulus package that has gotten Australia through the recession, why are other countries, such as the US whom have spent a larger portion of their GDP in stimulus packages not had similar effects?

Also named Jane says:

10:24am | 05/09/09

Education “Infrastructure” - $1.5 billion over budget,  NBN - reported to be going to cost $20,000 per installation makes budgeted $43 billion look sickly, Aboriginal housing - a real mess, IR reform - a real mess, and that’s just for starters.
Interest on $315 billion reported to be going to be $1.5 billion per month.  Have the average Australians gone to sleep?

Scott says:

10:31am | 05/09/09

Quote"A leaked Treasury brief recommending the Government continue with the stimulus spending” ..## Come on Leo. Call it like it is - it wasn’t “leaked” it was “released by the government”. You know it we all know it. Secondly, you have fallen for more strategically “government released” information. The government releases “Oh look, we rejected $20 million here, and $50 million there”. All to keep the eyes of people like Leo Shanahan off the elephant in the room. It’s like a giant avalanche is coming done the mountain caused by Rudd, so the government releases a picture of Kevin stopping a small snowball rolling down the mountain. What does Leo Shanahan do, release a statement that the avalanche isn’t occuring and that it’s difficult for snow to get down the mountain because Kevin Rudd has stopped a snowball.

BOYD says:

11:09am | 05/09/09

LETS HOPE KRUDD IS DRAFTED OFF TO THE FRENCH FOREIGN LEGION AS SOON AS POSSIBLE , AND LET LINDSAY TANNER CLEAN UP SOME OF HIS MESS BEFORE LABOR SPEND ANOTHER DECADE OR SO IN OPPOSITION

Steeve says:

11:36am | 05/09/09

Goodness me all the remaining young liberals left seem to be posting here today.. Suck it up kiddies. Rudd is in for the next two terms at least, whilst your lot couldn’t organise a P*ss up in a brewery. You are endangered species Liberals, one the world would be better off for the extinction. Maybe the last one wil share the same case that last tasmanian tiger is stuffed in.

Leo Shanahan says:

12:11pm | 05/09/09

@Scott if you read what I wrote, namely, that this indicates “a Government that’s determined to stick to the line that all the stimulus spending was necessary,” it’s pretty clear that the treasury document was released by the Government. On your second point, without going into questions of sources too much, you are wrong. The Government does not want this made public because while it wants to save money, it also shows that there is already no money for non-stimulus package spending. So if ministers and the public service are irritated now, what’s it going to be like in two or three years in a bid to get back to surplus.

Scott says:

01:15pm | 05/09/09

Leo:
If you believe “t’s pretty clear that the treasury document was released by the Government” why use the term “leaked”.  Why not focus on something more obvious. Why should the RBA take money out of the economy through an interest rate rise (which takes money from private individuals) instead of the Government reducing Fiscal spending (reduce the government Aggregate Demand. ) reducing debt and reducing the demand the Federal Gov’t is placing on the debt market.  Unfortunately Leo journalists seem willing to only address the issues set by government media advisors.

derek says:

01:24pm | 05/09/09

Stop crying, you don’t know how lucky you’s are. You all have internet, you’s all have either a computer or a mobile. I agree with Joe, try living in another country if you feel Rudd is doing such a bad job. Pfft!

Luke says:

02:38pm | 05/09/09

derek -  You could have said that about Howard as well.

Unconvinced says:

03:09pm | 05/09/09

First Krudd destroys our bank balance with massive deficit, next comes destruction of our already suffering education standards, close in line is annihilation of small business followed closely by destruction of quality Primary health care and all within one term of office. I’d say he and his ministers have done well. What else was expected when labor became elected? Congratulate to the KRUDD Government because it rare that so much can be achieve in less than a term.

N of Q says:

04:15pm | 05/09/09

Well it’s not our money and it’s not government money Rudd has cheerfully spent…..IT’S BORROWED MONEY AND WE WILL HAVE TO PAY EVERY CENT BACK ++++ by that time Rudd will be long gone enjoying what every other retired PM enjoys and that is the tax payer funded lurks and perks, thanks for throwing us into the deep end Ruddy boy, I’m glad I don’t run my household like you run government.

Couscous says:

04:14pm | 05/09/09

Is this the “secret” spending freeze announced in the May budget? Everyone is Canberra is well aware of the newly imposed cap of 2 per cent real growth in public spending.

Julian Thomas says:

07:45pm | 05/09/09

working in the public service there have already been massive changes in operations, new operation nazis I mean managers have been appointed and all their job descriptions includes a prominent cause to change the culture accordingly, god help us all