REX demands its entitlement

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The airlines are flying in for a handout:

Regional Express has warned its first-half profits will slump due to fewer business travellers, and urged the Abbott government to intervene to help an aviation industry that is ”financially haemorrhaging and approaching collapse”.

…”The Abbott government to date has not made any significant inroads to reversing the devastation inflicted to the economy by the previous government,” he said.

“For many parts of regional Australia, this would spell the end of regular air services forever and it would be ironic if it were the Nationals that presided over this outcome.”

This has lot more to do with declines in FIFO employment as the mining boom crashes than it does a paltry carbon tax that gets passed on to consumers anyway. A nice little wedge between the Libs and Nats this is!

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
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