Interesting point there Trainspotter.
After listening (reading) a barrage of labor bashing comments over the past two years, I have come to the conclusion that the best course of action for a government is to do f*** all. If the Labor government did 'f*** all', all the professional whingers on ASF would be happy and have nothing to whinge about (except for maybe a recession).
John Howard was in power for a very long time using this same policy of doing 'f*** all' (except bring in the regressive GST).
Which is why Julia Gillard will be so very clever in the role of PM.
Always loved that smirk.
Peter Costello nice one!!! What a doyen of economics!!!!
Our esteemed former Treasurer, Peter Costello, sold off two-thirds (or 167 tonnes) of our nation’s entire gold reserves in 1997 and pocketed about US$2.4 billion in the process, with gold at the time trading between $US332 and $US416 per ounce. The trouble is that decision has now cost Australia in the vicinity of $6 billion, with the gold price now trading in the region of US$950 per ounce.
Not only that, but Australia was the world’s third-largest gold producer at the time and for the Australian government to sell out its gold holdings, particularly in that climate, sent entirely the wrong message to the rest of the world. In the European Union most governments hold more than 50% of their reserves in gold, while in the US it was as high as 76% during 2008. The US holds 8000 tons of gold in Fort Knox (although the last official audit was in the early 1960s) and has not sold a single bar.
http://www.fatprophets.com.au/Membe...d022af15c&product=Australasian Mining&pt=paid
Now it's roughly $1240 US dollars an ounce.
I think I'll just add a few more one eyes to the debate.
PMSL !! So selling the gold deposit for the going rate in 1997 to pay off debt was the wrong thing to do? If you did the math on the account deficit at the time you would realise that Peter Costello would have SAVED the country in excess of 6 billion in INTEREST COMPONENT alone. Whoopy Doo !
Geeeeeee ...... if only I hadn't have sold those 3 house in 1999 for $123,000 each that are now worth in excess of $350,000 each 11 years later. GOSH I am a dimwit. No wait ... I used that money to buy other property and retire debt thus easing my cashflow situation and reducing my interest component. Financially irresponsible I am ! I will take myself outside and self flagellate until I am worthy of being able to have a crystal ball on commodoties so I can peer into the future to see if I should sell or not. ROFL.
PMSL !! So selling the gold deposit for the going rate in 1997 to pay off debt was the wrong thing to do? If you did the math on the account deficit at the time you would realise that Peter Costello would have SAVED the country in excess of 6 billion in INTEREST COMPONENT alone. Whoopy Doo !
Geeeeeee ...... if only I hadn't have sold those 3 house in 1999 for $123,000 each that are now worth in excess of $350,000 each 11 years later. GOSH I am a dimwit. No wait ... I used that money to buy other property and retire debt thus easing my cashflow situation and reducing my interest component. Financially irresponsible I am ! I will take myself outside and self flagellate until I am worthy of being able to have a crystal ball on commodoties so I can peer into the future to see if I should sell or not. ROFL.
You are making a correlation between the gold price and your own property holdings. You should be given 40 cents to call someone who cares. The gold was the Australian peoples money and Costello sold it no matter how much you want to sugarcoat his reasoning or how much he was offered for it. Maybe he should have read more in his undergrad. What a dumb decision!
Gumby, it's damn easy to take a potshot at Costello 13 years after the fact, but yet if you travel just a few more years back in time, i'd be interested to hear your thoughts on the Labour Govt sell off of the Commonwealth Bank. What do you think that would be worth to the Australian people now?
What the hell are you talking about I thought that was Liberal Party policy all a long?
Afraid not! Labour started the rot.
http://www.richardalston.dcita.gov.au/Article/0,,0_4-2_4008-4_109751,00.html
'The Sunday Telegraph article also makes totally clear that Labor rushed the Commonwealth Bank sale through Cabinet in a desperate attempt to prop up its own budgetary problems. According to Labor powerbroker, Senator Robert Ray:
"the sell-off was pushed through by then-Treasurer Paul Keating purely to pump money into a beleaguered budget." (Sunday Telegraph, 14/07/02)'
OH I thought you meant the gold reserves that all Australian taxpayers invested in!
The Commonwealth Bank. Still making profits? Even after the GFC!!!!
Shock horror!
Thankyou Mr. Keating for not following the UK Tory or US Republican path of deregulating our financial system so it could be hammered by outsiders!! And BANKS FAILING!! You know like KAPUT! I mean finished. Anyway
Hats off Paul Keating!
Next oneidealogues!
Four pillars dude! Was that Liberal Party Policy????
Go on take the credit, I dare ya!
That's what I love about ASF! The banker cowards who love the cream but can't give credit where it's due.
Keep reading!
If Paul Keating hadn't enforced the four pillars rule, than we wouldn't have a job.
PMSL !! So selling the gold deposit for the going rate in 1997 to pay off debt was the wrong thing to do? If you did the math on the account deficit at the time you would realise that Peter Costello would have SAVED the country in excess of 6 billion in INTEREST COMPONENT alone. Whoopy Doo !
Geeeeeee ...... if only I hadn't have sold those 3 house in 1999 for $123,000 each that are now worth in excess of $350,000 each 11 years later. GOSH I am a dimwit. No wait ... I used that money to buy other property and retire debt thus easing my cashflow situation and reducing my interest component. Financially irresponsible I am ! I will take myself outside and self flagellate until I am worthy of being able to have a crystal ball on commodoties so I can peer into the future to see if I should sell or not. ROFL.
Ummmm ... you have a very different sense of reality Gumby.
And now for some facts:-
Between 1983 and 1985 Treasurer Paul Keating deregulated the system by (a) floating the Australian dollar in December 1983; (b) granting 40 new foreign exchange licences in June 1984; and (c) granting 16 banking licences to 16 foreign banks in February 1985.
This accelerated lending competition further. Banks competed with by reducing the security they required and lowering their rates. Crazy loans were made to corporate cowboys.
After the cowboys collapsed the banks were left counting their losses, which ran to tens of billions. A new wave of managers took over and the banks rebalanced their balance sheets by charging stiff rates to their good customers to make good the losses on their bad customers. Australia's four big banks today have been burned by the 1980s and learned the lessons. How long they remember the lessons is another question.
You are making a correlation between the gold price and your own property holdings. You should be given 40 cents to call someone who cares. The gold was the Australian peoples money and Costello sold it no matter how much you want to sugarcoat his reasoning or how much he was offered for it. Maybe he should have read more in his undergrad. What a dumb decision!
Oh really SOURCE!
Four pillars dude! Was that Liberal Party Policy????
Go on take the credit, I dare ya!
That's what I love about ASF! The banker cowards who love the cream but can't give credit where it's due.
Keep reading!
If Paul Keating hadn't enforced the four pillars rule, than we wouldn't have a job.
Agreed. Gumby, hindsight is a wonderful thing. Don't you get tired of defending a party that has been very costly and made quite evident mistakes? You just fire back with retorts rather than cop it on the chin.
Must be a saints supporter...one eyed and delusional...
First of all you are wrong, Keating introduced the SIX pillar system (four banks, two insurers), not four. It was Costello that insisted the four pillar system remain (four banks), after the 2 insurers were taken over. So, yes, will take credit for that
Oh really they weren't allowed to merge???
Tell me more I'm open ears but not balance sheets.
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?