Yes! We are allowed to make money while saving the planet.

Friday, January 28, 2011

If you want world class public services you have to pay for them

Over the last 10 years the Australian government's tax take has reduced from 34% of GDP to less than 30% of GDP and its borrowings have reduced from 30% of GDP to less than 10% of GDP.  In both cases they are one of the lowest in the OECD.  Compare to the US with total tax take slightly lower than ours but with horrendous debt, or with northern european countries who have tax takes approaching 50% of GDP but with low debt.  At the same time we are demanding more expensive medical care, smaller school class sizes, better public transport etc. You don't need to be a Harvard scholar to work out that the maths simply don't stack up.

Meanwhile our discretionary income has gone up 60%.  So, instead of having better hospitals, better schools, better aged care, better public transport, we have ......  flat screen TVs, iPads, more cars, bigger houses.   So next time you go out to buy your next gadget or a third car or an extension to your house, ask yourself - "Would I rather have this or would I rather have better schooling for my kids/better aged care for my parents/better trains, trams and buses?"  

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