May 4 links: Rate rage


  1. Does Gittins! really make sense?

    He says we should be training people up for the services sector for when the boom busts (fair enough) but today’s shortages are primarily in the trades.

    Its far more likely we’ll train up a lot of tradies over the course of the mining investment boom, and when it busts, we’ll have millions of unemployed tradies trying to find work in a devastated housing market.

    • I suppose the choice is to train people to be employable today, or employable in a post resources boom Australia. What skills we’ll need after the bust is anyone’s guess. Gittins! is almost certainly right that it won’t be manufacturing (because we will have fallen so far behind, catch up will be impossible), but what?

      • Surely technology.. IT engineers, programmers, etc, etc

        Timeline fits with NBN too

      • Technology skills are very easily outsourced to places like India, and being an exporter of technology, I can tell you, times have never been harder.

        Which brings me to another point: Gittins! says we should train up people for work in the services for when the resources boom ends, but what is going to fill the gap in national income left by collapsing mining income? Does Gittins! think we should move into service exports? If so, these are the very industries that are under extreme pressure ATM from the currency, and won’t be hiring anyone for the foreseeable future.

        • I think you’re right Lorax..
          Plus I don’t think ,there’s much being after importing welded sections for gas’ after condensation and delivery points…little maintenance or workers…big return and
          even bigger problems see ‘Gas-land”..
          I somehow feel that picking up the trade tools to create a million dollar project of income and production employment (p/jobs),is somewhat harder than putting pen to paper after 10ys….where as the type never runs out…Our market,ideas and competition has never given up faded or fallen behind ,like we have…..
          The easy thing about it is we can produce so many more things cheaper than the US…forget China , right…can’t even provide a cheap holiday anymore..No fast trains etc,just costs hidden in endowment short

          Sell Labour ?? said the man out of invention …

          cheers JR