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Showing posts with label Australian Election 2010. Show all posts
Showing posts with label Australian Election 2010. Show all posts

Tuesday, August 24, 2010

Election Reflections – Three perspectives - pls read and Contribute to the debate

above: Australia's next Prime Minister?

With the Australian election result ‘on a knife-edge’ there is a need to reflect on what has happened and analyse what went wrong. In Left Focus today we host three perspectives - one from a Left ALP activist (myself), another from AMWU organiser, Don Sutherland, and the last from Tim Anderson – who offers a non-ALP but Left perspective.

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First perspective: Tristan Ewins


To begin; the mining industry assault on Labor has laid bare the real workings of power in this country, and the fragility of our democracy in a meaningful sense. No grassroots or popular organisation could match the mining industry ‘fear war-chest’ that ran into the hundreds of millions.

And great sections of the media 'came on board' for this assault on Labor too. Often this bias is subtle: involving selective quotations, framing of debate or emotive language. At other times it is blatant. Even the ABC focused relentlessly for the first two weeks of the campaign on the 'leaks drama' . This focus was at the expense of policy and substance - where the ALP could have made up ground given the opportunity.

Everything Labor did, most of the media put a ‘negative spin’ upon it. For instance: former PM Kevin Rudd was ‘brought on board’ to sell the message that whatever voters thought of the ‘coup’, too much was at stake to elect a Liberal government. The ‘Rudd legacy’ was itself at stake. The idea was to put speculation about disunity and instability to rest: to show a ‘united front’. Instead we had commentary on Rudd’s body language, and more disruptive and damaging media speculation.

The work of media in a democracy should be balanced scrutiny and allowance for diverse viewpoints, including scrutiny of policy: not the pursuit of the most ‘entertaining’ narrative. Was this just something to do with Australian media culture – or something more sinister?

Many were disillusioned with Labor on climate change and refugees: but the vast majority of these would have defected to the Greens and not the Liberals.

In pursuit of a majority, Labor has been on the back-foot for decades, as shown on the issue of asylum seekers. (although for some much of the neo-liberal ideology has actually been internalised, and thus support for its tenets is not even seen anymore as a compromise)

Labor has to compromise to hold together a broad constituency marked by internal contradiction. The rise of the Greens means there is now room for alternative (Left) perspectives to be voiced openly and publicly – and thus influence the ‘terms of debate’. This could also translate into policy leverage in the context of critical and reasonably conditional support for Labor. But the broader support base now enjoyed by the Greens, and the imperative of maintaining the balance of power in the Senate, might mean the Greens also have to contain some of their most radical impulses. The Greens should also try and open lines of communication with the progressive Christian community in an effort to broaden their support base further.

Over the long term change is a matter of mobilising the social and economic forces to counter the dominance of concentrated private wealth; in the public sphere, civil society, and in an industrial sense. Being a voluntarist I don't see this as impossible. But this is no easy task given the realignment of class forces in this country over recent decades.  What I think is that we need to get unions, progressive NGOs and progressive political parties working together, pooling their resources and co-ordinating their efforts. These are the 'power resources' possibly available to us. Imagine a co-ordinated and determined effort here; including marginal seats campaigning; and efforts at establishing alternative media - especially where it's needed most.

Of course the importance of marginal seats in this country undermines the political leverage of most voters. The Greens are right in supporting proportional representation. But even despite our electoral system; ordinary people can achieve influence and power by organising and intervening: in their communities, their workplaces and in the public sphere. A participatory culture is part of the answer to monopoly media and ‘one way information flows’. Although many older Australians are not engaged with ‘new media’: so undermining the power of the monopolists could occur ultimately in the form of generational change.

The Libs also pretty much got away with their line on debt and waste without much media scrutiny. They blew these out of proportion grossly - especially debt - and we need continue the work in putting the record straight here.

It is extremely important: that despite what's happened we cannot afford to let the Right *determine the historical narrative*. We need to continue to *contest* this narrative vigorously, arguing the need there was for progressive stimulus, progressive tax reform, infrastructure investment: and how the ALP achieved positive outcomes here.

We need continue to emphasise that – based on their own statements - the Liberals would have seen us into recession had they been in government. Despite the outcome the ALP made up significant ground on the theme of 'economic management' during the campaign. There was a movement away from neo-liberal consensus - and the credibility of neo-liberal ideology - and we need to hammer this home as well.

In the long run contesting this narrative is amongst the most important challenges; because if we don't then Left and Centre-Left forces in this country will be on the back foot - and probably out of government - for a very long time.

We also need focus on so-called 'working class Tories'; 'Howard's battlers': It's unavoidable that some working people will be socially conservative; but we need a clearer appeal to economic and class interests to undermine this base of support for the Liberals.

In the election aftermath there are also other issues Labor must address.

The prospects of a minority Labor government are not yet ‘dead’.

Ex-National Bob Katter might hold the key to who forms government in Australia. We know he's a protectionist and so may try and use his position to get protection for Australian agriculture. But can he hold onto this in the long term? (any hung parliament will not last) This gives him incentive for a long-term deal with Labor.

What if Labor offered a long-term deal that ‘locks agricultural protection in’ for over a decade, delivers infrastructure to the bush, and supports Katter as Agriculture Minister so long as he remains in parliament? This in return for ongoing support, including observation of cabinet discipline. Other independents may also be swayed in return for regional and rural infrastructure - locked in for a long-term deal. Of course big commitments to rural infrastructure would impact upon the budget, and would necessitate progressive tax reform to finance. Cutting other programs to make room is not the answer.

The Greens should be offered something in return for their support also: and implementation of their proposed $4.3 billion dental health scheme could be a very good start. That and the $2 billion commitment they want for Education. Some compromise policy on climate change will also be necessary. Understandably - delivering on the environment is crucial for Greens credibility.

Finally there is the issue of post-election reprisals within the Labor Party.

Some will believe that Labor should have held off going to the polls until later in the year, or even until 2011. And we will never know now what would have happened had the parliamentary caucus given Rudd a window of opportunity to turn public opinion around. Had he resigned under circumstances of a voluntary agreement, the process would not have left such a ‘bitter after-taste’ as it did for many.

So some are pointing to the leadership change; others are questioning the quality of the campaign. And then there is the issue of state Labor governments in New South Wales and Queensland – where infrastructure privatisation split the ALP within, and left many wondering if state Labor in NSW and QLD stand for anything other than dividing the spoils of office. Certainly the intervention of the mining giants was crucial, comprising the real ‘turning point’. But the behaviour of the media – with sometimes-subtle, sometimes-blatant bias - was out of our control.

What’s crucial for the ALP now is that the process of reprisal and counter-reprisal not get out of control. For the immediate future – while there is still some prospect of a minority Labor government – there is a need for internal discipline to maintain credibility.

But there will also be a need for analysis and reflection after the issue of who forms government is decided. What’s crucial in this context is the development of a structured and ordered process: honest reflection, but also such inclusiveness as to maintain cohesion: planning and mobilising for the next election.


Second Perspective: Don Sutherland

First attempt at coherent thoughts re Australian federal election



10 months ago it was hard to imagine that the Rudd Labor government would not comfortably win a second term.

Why do we today have - at best - a hung parliament but with Liberals holding 2 more seats than Labor, and 4 undecided? An Abbott neo-con Liberal-National Party government will be a massive setback for working Australians and their families and for much of the broader population. On the other hand, this is a huge win for the mining companies, energy companies, employer organisations and tobacco companies.

This grim story is counterbalanced by the very significant and powerful swing to the Greens so that they will have the balance of power in the Senate, and will have one lower house seat for the first time, alongside of (it seems at the moment) a new green independent from Tasmania. Overwhelmingly, their policies are progressive on the environment (although there are some blindnesses there), industrial law, telecommunications, refugees and asylum seekers, green manufacturing development, and telecommunications.

I think a number of interactive factors contribute to this.

Since Copenhagen the dominant right wing faction of the Labor Party, in it's machine, in it's parliamentary wing and in the union movement have completely botched both strategy and tactics, and the major, decisive moments that come along in any campaign. The Rudd Labor victory of 2007 delivered a big swing in seats to Labor, but this was balanced by having very small majorities in a lot of new seats that made up their majority. Thus, Rudd Labor had certain vulnerabilities and almost every major decision, particularly since Copenhagen but not exclusively, exposed these vulnerabilities.

Second, both the commercial and public big media gave Abbott and the Liberals a very easy time. (For example, driving around yesterday, polling day, I listened to Australia's national public broadcaster running 2-3 stories that were very favourable for Abbott to one that was not negative, but very flat for Gillard. Many other examples.)

Third, the Liberal campaign was very coherent and consistent. It played lowest common denominator values and policies very well. The billionaires will be delighted.

Finally, the broader left that includes the left both in and outside of the ALP failed to effectively communicate with the mass of workers on the mining industry tax, asylum seekers and climate change.

I am mulling over this question: "How much does our increased effort in time and content in on line communication interfere with our capacity to win support through face to face dialogue?"

I ask this question as an active supporter of and participant in on line communication. Strong political economy awareness makes it very easy to work out that the original and re-negotiated mining industry tax is a very good thing for workers and the suburbs and townships that they live in.

It should never be forgotten that a genuine grass roots mass movement called the Rights At Work Campaign was the decisive factor in the defeat of the Howard neo-cons in 2007. For real prospects of progressive change in Australia, an improved movement of this character must now be re-built no matter what the outcome of the negotiations this week about the likely hung parliament.



Third Perspective: Tim Anderson


Creating the democracy we don't yet have



Unexpectedly, it seems to me, a great opportunity for social change has emerged. This might seem strange, with another neo-fascist on the verge of becoming Australian Prime Minister. However remember that real change comes from widespread social participation, over longer periods.

First of all, the problem has to be clear - both of our major parties serve a tiny corporate elite, which likes to play them off against each other, to discipline them. This oligarchy (tightly interlocked finance, mining, media and investment groups) likes 'change' amongst the administrators, but never allows them 'power'.

Despite its origins in trade unions, the ALP is institutionally committed to gaining administrative office, and that means Labor must cut deals with this oligarchy. If the Greens, in their enthusiasm to be'credible' with the big powers, start cutting such deals, they will be similarly compromised, as were the Democrats before them. This is a time for bold new ideas, not shabby deals crippled by electoral ambitions.

The August election was a strong statement against this shallow electoral politics. Disillusionment with the two right-wing parties has created an outcome where a few populist MPs and the Greens will have a chance to demand some institutional change.

That is not enough, but it is important. What about proportional representation in elections? What about wider constitutional change and accountabilities, for example including (i) prohibiting war without parliamentary consent (ii) meaningful Aboriginal rights instead of constant tokenism, and (iii) a wider set of citizens and workers' rights?

We must hear genuine voices for popular struggles. But how is it possible to have a 'new politics' through the old language? Such voices are not possible through the corporate media, which bombards us with trivia, consumerism and 'market solutions'.

We need new media, and we need democratic controls (e.g. mandatory community participation in media boards, public and private) on the existing media. We want to hear the new MPs talking about real issues.

We need platforms to raise and strengthen the popular demands – for public health and education, an end to our appalling wars, real environmental solutions, support for genuine social institutions and control of the corporate tyrannies.

There is, I think, an opportunity for this sort of new politics, in the aftermath of the August election. And there is room for a range of new voices, including the Greens, including the maverick MPs, but also including all those of us who have been disillusioned with conventional politics. If we don't participate, who will?

Sunday, August 15, 2010

The Crisis Down-Under - Joseph Stiglitz

Above: Renowned Economist, Joseph Stiglitz

In this article Joseph Stiglitz praises the efforts of the Australian Labor government in warding away recession as a consequence of the Global Financial Crisis. (GFC)   Stiglitz is one of the most respected economists in the world; and his endorsement ought mean a lot for Australian voters considering economic management as a key issue in deciding their vote.

With permission I am linking to this article.  After an introductoruy excerpt I am providing a link to the full version at pre-eminent opinion website 'Project Syndicate'.  'Project Syndicate' owns copyright rights to the article.  For permission in reproducing this article write to:  distribution@project-syndicate.org.

Although not given permission to reproduce the article in full, I believe is it critical to 'get the message out': the Liberals' fear campaign on debt and spending is deceptive to the core.  Their policies would have seen Australia into recession.  I encourage readers to follow the link at the bottom of this excerpt to have access to the full version.


CANBERRA – The Great Recession of 2008 reached the farthest corners of the earth. Here in Australia, they refer to it as the GFC – the global financial crisis.

Kevin Rudd, who was prime minister when the crisis struck, put in place one of the best-designed Keynesian stimulus packages of any country in the world. He realized that it was important to act early, with money that would be spent quickly, but that there was a risk that the crisis would not be over soon. So the first part of the stimulus was cash grants, followed by investments, which would take longer to put into place.

Rudd’s stimulus worked: Australia had the shortest and shallowest of recessions of the advanced industrial countries. But, ironically, attention has focused on the fact that some of the investment money was not spent as well as it might have been, and on the fiscal deficit that the downturn and the government’s response created...
 
For the rest of this article follow the URL below!
 
http://www.project-syndicate.org/commentary/stiglitz128/English
 
nb: Joseph E. Stiglitz is University Professor at Columbia University and a Nobel laureate in Economics. His latest book, Freefall: Free Markets and the Sinking of the Global Economy, is now available in French, German, Japanese, and Spanish.

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Sunday, June 20, 2010

The Mining Super-Profits Tax Debate – an analysis




The Australian Labor government has proposed a landmark mining ‘super profits’ tax, but resistance from a cashed-up mining industry is revealing the fragility of Australian democracy.  This article considers the arguments around this tax debate in detail.


By Tristan Ewins

For the most part since its election in 2007, the Rudd Labor Australian government appeared to enjoy a position which could almost have been said to have been unassailable. Kevin Rudd himself was riding high in the polls as one of the most popular Prime Ministers ever.

Importantly: Labor steered Australia successfully from the threat of recession, engaged in the practical and necessary business of counter-cyclical expenditure and investment in the face of dogmatic and opportunist resistance from the Conservative Opposition. Rudd’s apology to Australia’s ‘stolen generation’ of indigenous peoples removed from their families was also crucial and ground-breaking. And more recently, the wages of Australia’s lowest paid were to a significant degree restored.

But in recent months these achievements have been obscured behind scandal over the implementation of Labor’s home insulation scheme; and almost entirely overshadowed by a co-ordinated campaign to derail Labor’s proposed ‘mining super profits tax’. We will deal here mainly with the struggle over tax reform.

Labor Party parliamentary candidate, Andrew Leigh has put the case for the ‘super profits tax’ at the ALP website itself. Leigh points out that twenty leading Australian economists support the proposed tax: including himself, John Quiggin, Fred Argy, Allan Fels and many others. And the revenue gained from the proposed tax is projected to pay for a 2% reduction in Company Tax more broadly; and this is to provide the scope for a rise in employer superannuation contributions from 9% to 12%. http://www.alp.org.au/20-economists-support-resource-rent-tax

In Australia, superannuation is a system of private retirement savings, sponsored by government, with contributions by both employers and workers. While there are serious flaws with regard to equity in the broader scheme of superannuation, obviously the proposed reform could make a big difference to the retirement incomes of Australian workers over the long term.

At the Australian Labor Party website, David Bradbury has also put the case for the proposed tax.
Bradbury argues:

“The existing royalties system is inefficient and out-dated and hasn’t kept pace with the increasing profitability of the resources sector through the mining boom. Before the last mining boom, the Australian people received $1 out of every $3 of profits in royalties and charges, but at the end of that boom, that rate was down to $1 out of every $7.” http://www.alp.org.au/giving-australians-decent-retirement-income

Labor Minister Craig Emerson also puts a case in favour of the proposed tax.

Writing at Australian political website ‘The Punch’ Emerson explains how the ‘super profits tax’, a form of ‘resource rent’ taxation, would replace the current system of royalties. He argues that the proposed tax regime would be fairer in that it taxes profits specifically, instead of “on the [basis of] the amount of minerals extracted.” This, Emerson insists would actually remove disincentives for new investment. http://www.thepunch.com.au/articles/going-boom-the-economic-case-for-the-mining-tax/

Australian economist John Quiggin has also put many arguments in favour of the proposed tax reform.

He explains that in cases where mining companies make “super-normal” profits regardless of tax, the proposed tax reform will not comprise an obstacle to investment.

Specifically, Quiggin entreats us to take mining industry threats of capital flight ‘with a grain of salt’, listing occasions on which the mining giants have made threats in the past:

“…when they were upset about tax policy, about environmental restrictions, about Aboriginal land rights, about union wage demands and work practices…” http://johnquiggin.com/index.php/archives/2010/05/10/some-thoughts-on-resource-rent-tax/

Finally, Quiggin believes such a tax would be equitable, falling mainly upon wealthy investors “many of whom are foreigners.”

Veteran Fairfax journalist Tim Colebatch has also made a number of interesting points in a recent opinion piece.

The title of this piece is perhaps misleading: “Resource Tax amounts to 50% nationalisation of the mines”. The tax no more represents nationalisation than does Company Tax considered more broadly. And even though Colebatch is dubious of Treasury claims that: “the community's share of mining profits has shrunk from 55 per cent over the five years to 2003-04 to 27 per cent in 2008-09”, he nevertheless recognises that the government has a genuine case for reform. http://www.watoday.com.au/opinion/politics/resource-tax-amounts-to-40-nationalisation-of-the-mines-20100607-xqn0.html

A crucial point, as Colebatch recognises it that:

“The Bureau of Statistics' recent round-up of industry data for 2008-09 estimates the profit margin in mining that year was 37.1 per cent. That's three times the industry average of 11.2 per cent… They're doing well.” http://www.watoday.com.au/opinion/politics/resource-tax-amounts-to-40-nationalisation-of-the-mines-20100607-xqn0.html

In fact mining profits are sometimes even higher than this.

Colebatch also observes that:

“Analysts believe the mining boom is the main driver of the dollar's rise, which has wiped out sales and profits for industries lacking its huge profit margin as a cushion.” http://www.watoday.com.au/opinion/politics/resource-tax-amounts-to-40-nationalisation-of-the-mines-20100607-xqn0.html

The point of this is that with the robust dollar, some industries such as tourism and manufacturing are becoming less competitive. Restructuring the tax mix as Rudd Labor is attempting to do is one way of redressing this situation. But cutting overall tax as a proportion of GDP is not an acceptable alternative as there remains a need to provide for welfare and services; including education and infrastructure from which business clearly benefits. (and therefore must pay its fair share to support)

As the debate on the proposed mining tax has developed the fragility of Australian democracy has in some ways become apparent. While the mining giants have a war-chest of billions to draw upon in pushing fear and disinformation, no political party, NGO or social movement can possibly compete.

Much of the Australian media have also apparently abandoned any pretence to inclusiveness and objectivity; throwing themselves head-first into what could honestly be described as a ‘campaign’. Somewhere, we must assume, there is a convergence of interests. The ‘Herald-Sun’, a Melbourne newspaper, for instance carried the headline:

“Bloody amateurs! Harvey Norman chief blasts Kevin Rudd, Wayne Swan over mining tax” http://www.heraldsun.com.au/news/national/bloody-amateurs-harvey-norman-chief-blasts-kevin-rudd-wayne-swan-over-mining-tax/story-e6frf7l6-1225878174465

But excluded entirely from this article was recognition that elsewhere Gerry Harvey, the CEO of major retail chain Harvey-Norman, had actually stated that he did not oppose the tax. http://www.insideretailing.com.au/Latest/tabid/53/ID/8405/Rudd-government-bloody-amateurs--Gerry-Harvey.aspx

Meanwhile: amidst the fear and disinformation, Labor’s implementation of paid parental leave – a landmark reform – received minimal attention from significant sections of the Australian media.

And Chief Executive of the Australian Industry Group (AIG), Heather Riddout, after stating her support for mining tax reform, focusing on “super-normal” profits in ‘The Age’, was ignored by much of the Australian media. (The AIG is a significant and important employer peak body) http://www.theage.com.au/opinion/politics/pilloried-tax-is-a-step-in-the-right-direction-20100609-xwq2.html

Finally, sections of the media have constantly referred to the ‘mining super profits tax’ instead as the ‘super tax’, with an obviously altered connotation.

This kind of ‘framing’ of the debate – with very selective quotations, and sometimes a virtual ‘media blackout’ of themes inconsistent with the ‘campaign’ - is both biased and deliberate; and is a genuine threat to Australian democracy in the meaningful sense of the word.

Much attention has been paid to the perceived hypocrisy of the Labor government in devoting public funds to an advertising campaign of its own; but while Rudd Labor seems to be contradicting its past policy here, there are subtleties that are lost in this debate. In fact civic organisations need to be empowered as against the potential clout of big business; not just in these circumstances, but also more broadly.

In fact a fair compromise would be to devote sufficient public funds for information campaigns and advertising to be available for political tendencies across the political spectrum. One way or another we need to make sure the resources of political parties, NGOs and social movements and such are sufficient to be able to get their message across clearly, and not to be disadvantaged – or even eclipsed - by the level of resources available to the most powerful and wealthy interests.

Theoretically, government has other options at its disposal also. Were a ‘capital strike’ to take place, government could ‘step into the breach’. Abandoned mines could be commandeered, with fair compensation being paid to those who formerly held title.

And a public mining company could be established directly: with the effect of profits flowing directly to the community, literally providing many billions which could be invested in infrastructure and social services.

Perhaps the current political climate, influenced by the long-held neo-liberal consensus, works against such options. But when billions are being ripped out of the country with ‘super-profits’ every year, it is in the national interest for government to invest directly in mining.

Importantly, there are precedents which point to the workability of some form of mining super-profits tax. A ‘Resource Rent Tax’, has operated successfully in the oil and gas industries for over twenty years without any ‘collapse’ of investment.  Although as Tim Colebatch explains: while this tax is also applied at a rate of 40 per cent, it factors in only “above a benchmark (regarding profit levels) set 5 percentage points higher than Kevin Rudd and Swan now propose.” http://www.watoday.com.au/opinion/politics/resource-tax-amounts-to-40-nationalisation-of-the-mines-20100607-xqn0.html

Progressive blogger, John Passant has quoted John Kehoe of the “Financial Review’ to the effect that the existing mining tax proposal would only ‘kick in’ at 12 per cent and higher. This means the regime proposed by Colebatch would see higher taxes on ‘super-profits’ of 17 per cent and above. http://www.theage.com.au/opinion/politics/mining-tax-will-cost-jobs-and-other-lies-20100611-y1hf.html?comments=27

As observed earlier in this article, there are many big mining operations which enjoy profits way above this threshold.

While the existing proposal from Labor is fair – and does focus genuinely on ‘super-profits’ (far above average business profits), it’s important also for the government to think about the current struggle strategically.

Under favourable conditions, it’s important to set new standards; especially where existing arrangements are unfair. Some commentators (eg: John Passant) have written that it’s actually the prospect of a new precedent that frightens the mining bosses most. http://www.theage.com.au/opinion/politics/mining-tax-will-cost-jobs-and-other-lies-20100611-y1hf.html?comments=27

But the power of existing precedents certainly should not be understated.

Given this, it would be legitimate for Labor to consider some restructure of its mining tax proposal: to more precisely match regimes already existing and maintained successfully. By this I refer to the existing resource rent arrangements that apply in areas of the oil and gas sectors. That such a regime could be shown to have already been successful elsewhere – could go a great distance in allaying the fears of the Australian public. Such a compromise would still focus on ‘super-profits’, and – importantly - would establish a foothold for Labor in establishing the principle of resource rent for the mining sector.

And it is a very important principle to establish: as these non-renewable resources belong to the Australian people as represented by democratically-elected government; and there must be some reasonable kind of premium paid by miners on top of Company Tax to reflect this.

Calls for Labor to ‘dump’ Rudd clearly factor into a broader de-stabilisation campaign by the biggest mining bosses and their allies - such as the conservative Opposition which has sold-out the Australian national interest out of sheer opportunism. To replace Rudd now would also set a precedent – that Labor will ‘dance to the tune’ of big business whenever it faces real resistance.

That said: at times Rudd has looked rattled, as if he was entirely unprepared for the scale of resistance he would face in promoting resource-rent reform. Rudd needs to project an image of being calm and in-control.

Prominent political theorist, Christopher Pierson, has considered the dilemmas facing social democrats in great detail. Observing a general trend in social democratic politics, he has written:

“social democratic politics has always been resolutely possibilist or pragmatic.” “…being available to fight on another day is almost always preferred to heroically taking the field against the odds.” (Pierson, 2001. p 57)

There are times when commentators, political parties, social movements and NGOs need to be more uncompromising. If everyone always simply focused on the relative political centre, broader political debate would be silenced, and the course of long-term progressive reform stymied. That means there is still a need to talk about things even that are not possible for the time-being.

But following Pierson’s observation - Labor, for now, could do to withdraw to a ‘better defensive position’; adopting the compromise suggested by Colebatch, and selling resource-rent reform on the basis that the same regime has been implemented successfully elsewhere in the Australian economy. Again: precedent is very important in cementing an aura of credibility in the eyes of the electorate.

There are interests in the mining industry which certainly feel that they have been ‘singled out’: but beyond this there is a genuine case for reform; that the Australian people truly deserve a share when it comes the natural resources which belong, collectively, to all of them.

The challenge for Labor, though, is to apply these principles fairly and indiscriminately, regardless the interests involved; for the principle of distributive justice, and for the collective sake of the Australian people.


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