MB Radio: Rort of the Elites

Just weeks out from the 2017 Federal budget Gunnamatta spoke with David Llewellyn Smith and Leith van Onselen about the economic backdrop framing budget decisions, as well as the dynamics of Australia’s key commodity exports and the implications this has for the economic outlook, employment, incomes growth and the housing market.  With the federal government and all major political parties baulking at the prospect of addressing Australia’s economic imbalances, while articulating ideology rather than evidence based responses, the discussion covers the symptoms observable in the housing and energy markets, along with the rise of ad hoc, vested interest protecting policy, and the subsequent disenchantment of Australians with mainstream politicians and some of the core mainstream economic policy positions embedded over a generation

Part 1

Part 2

Part 3



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      • I’m planning on moving to India (North India, Himachel Pradesh, Mcleod Ganj)
        Not christian, not a minimalist, not a sadist… no intent to slum it really, but i don’t need some 4×2 McMansion to be comfortable.
        It’s cheap, it’s pretty and YOU, yourself, the individual are free (not like this sick nanny state)

  1. Fake left Labour, fake environment green, fake free market Liberal rentseekers.
    vs Real red (neck) haired Hanson reduce immigration.


    • So true
      WE need a party with say 3-5 core values and ever decision needs to be in line with these. Nice and simple, to appeal to the plebs/sheep

  2. In the eyes of the Greedy wanna-bees, Jacob, people who value quality of life and service to others are “insane” and “left wing” as you say.

    The people in your example at:


    have a fulfilling life that the greedy-wannabes do not not understand.

    As the father comments:

    “The longer we have stayed here the more we can see the positive effect it has had on us as people. I feel much freer of money and possessions – these things don’t define my life.”

    The anger, bias, bullying and manipulation frequently displayed in these Macrobusiness pages are the produce of such greedy-wannabe’s distressed thinking and feelings as they express the lack of peace in there lives.

    I commend you for putting this link up. You are doing a service for all readers.

    Peace Be With You.

  3. Those Soundcloud images don’t look like Port Melbourne, more like Portofino,so thanks for phoning the chat in. Maybe a glossary is helpful when HnH uses terms like ‘really fucked up’ and ‘going to shit’ because his point is not really clear.

    • MB readerMEMBER

      Very interesting listening but I agree, the use of terms, as referred to by Jake, does not assist in persuading others who do not accept or understand what MB espouses. MB needs to be more professional.

  4. “Fake left”…Love it.

    Good work in calling out the corruption of our entire political class.

    • Fake left, dribble, a bit of travelling with a few body checks and plenty of shooting from outside the circle.

      Just an average day in the life of a labor politician. I hear Sam gets the odd free throw too.

      • China Sam still trying to work out if he is atheist or muslim, white man or white man hater, Australian, Iranian, or Chinese. He should be allowed to work out these identity issues in his safe space.

  5. Would agree housing and population really are two of the largest issues over the coming electoral cycle.

    Although there will be bugger all coming in the Budget or this calendar year to help that situation. The immigration cut policy (if it does come) would not be until much closer to an election. Although of course, Abbott’s faction making noises about it now.

    This added with the (likely) commodity price downturn Budget ruin makes me think the position of Morrison that will be most in trouble in the near future. The undermining is already under way and while it isn’t the big scalp of Turnbull, they’ll be happy enough to take out September 2015’s Brutus and undermine Turnbull at the same time. Mal’s reckoning will come later.

  6. Whats the point of RE when for all intents and purposes w/ incressed job and wage/income crapification w/ the prospect of having more that 11 jobs by the time your 40 w/ the likely hood of having to move significant distances for work.

    Seems like a lot of hard fought rights to give away for a depreciating consumable…..

    • “Seems like a lot of hard fought rights to give away for a depreciating consumable…..”

      Too right, eh ?
      I’m training my kids up to be anarchists ;-)”

  7. This podcast has reminded me of several points in Paul Gildings book “The Great Disruption: the End of Exponential Economic growth” which incidentally, I read while working in an oil refinery a few years back. Our past several Laboral governments seem to be hell bent on rushing us into that scenario of zero growth, though I doubt they are doing it deliberately.
    I don’t think living like slum dog millionaire, being a specufester or being a religious zealot is really where our society should be heading and I don’t believe that zero growth is any sort of admiral economic goal…so, my conclusion is that we simply have a political “elite” who are not up to the job required of them.
    Nice words like innovation or platitudes of jobs and growth don’t make it happen just by talking the talk or by wishful thinking. Time for replacement of “do nothing” with someone with a bit of nous and vision….but where are you hiding?

  8. There is another way of looking at the education and population ‘QE’ as you call it. Alternatively, we can re-frame it as the government shifting revenue heads out of its mandate to household expenditure. At first blush that looks ergregious but it may really have been a policy no brainer for the following reason: – The very key measure of ‘labour participation ratio’ which began a glorious big upwards arc after Vietnam war, is now rushing down to earth. It isn’t doing that only because of failing productivity, or failing job creation, its ACCELERATING AGE DEPENDENCY RATIOS. So labour participation drops out partly becausse older people work less. So, although I haven’t had time to think it all through, labour participation rates are fighting an age demographic and these forces are especially pronounced in Euro Area (Trading Economics has data). So the question I put to Australian analysts is: How much of the population, health and education ‘posies’ are., rather, no-brainer policies in the face of these overwhelming demographic trends? I looked for Treasury papers on this and only found one on changing volatility in household spending under the impact of these forces. IE if you bolt on expenditure from households such as taxing them if they don’t have health insurance it lowers the volatility of household spending as you enter an economic recession ( probably).

  9. https://www.commercialrealestate.com.au/news/low-rates-push-businesses-into-buying-property-in-melbournes-inner-suburbs/

    Mr Heatherich said that the demand for townhouse sites was stretching far beyond the inner north, with a current listing for a permit-approved townhouse site at 7B Copernicus Way, Keilor Downs, attracting more than 200 inquiries.

    Recent moves by the Victorian government to address housing affordability would only strengthen demand for these properties, Mr Heatherich said.

    “The government change to stamp duty and first-home owner assistance is only going to increase demand throughout the middle suburbs,” Mr Heatherich said.

    • Ridiculous. Businesses buying residential property is just a wasted opportunity for individual investment of tax deductible capital.

      This must be stopped. Abbott should get onto this immediately.

      Would give him the opportunity to restart his Stop The Businesses campaign. (Margaret would be ever so proud.)