In May last year, I wrote an article entitled The three horsemen of a Budget Apocalypse, which outlined three medium to long-term headwinds facing the Federal Budget that would lock the Government into deficits for years to come irrespective of who won office at the September 2013 election.
The first of these headwinds is the falling terms-of-trade, brought about by declining commodity prices, which will weigh on national income growth and depress collections of company taxes, personal taxes, GST, as well as state mining royalties.
