Sunday, August 11, 2013

Dear Candidate for the Federal Parliament

Dear candidate

As a grandfather I am more concerned for the next thirty years than the next three, the next sixty than the next six. For this is the legacy I leave my grandchildren and their children. With this in mind I would appreciate your response to my following concerns.

The Economy

Our aging population means that we are likely to face increasing demands on health services. Aged care appears to be chronically underfunded. Gonski, or the Better Schools program, and the National Disability Insurance Scheme now appear supported by both sides of politics - at least in the short term. But neither have secured long-term funding.

John Daley, Chief Executive Officer at the Grattan Institute, expects Australian governments face a decade of budget deficits owing to lagging income and expenditure demands. In June last year David Hayward, Dean of the School of Global, Urban and Social Studies at RMIT University, wrote of the deteriorating condition of state budgets resulting from revenue flat-lining rather than reckless spending. State and Territory governments are the recipients of the GST.

If we are to provide for the long-term needs of the nation it seems we must address taxation. Yet as soon as taxation changes are mentioned in the political debate the other side runs a scare campaign. Dear candidate, what plans do you or your party have for a far reaching review of the taxation system that includes company tax, superannuation concessions, GST and tax concessions to ensure it addresses the nation in the longer term?  The aim of any tax review should, I believe:
·         Maintain a socially cohesive society by providing for a fair and equitable distribution of income. This means arresting and reversing the increasing income gap in our society.
·         Create and maintain equality of opportunity by addressing social disadvantage.
·         Rewarding effort while providing incentive for those who could work but won't.
·         Consider the demands the Commonwealth, State and Territory governments.

Population Growth

Continued population growth coupled with finite resources presents the world with one of its most significant challenges. At the same time we have an economic model that relies on a growing population. Why is there little discussion of this?

What thought are you and your party giving to alternatives that enable the creation of wealth and the provision of essential services while arresting and reversing population growth? If there are areas where we should consider lowering our expectations, what are these and what would be a more realistic expectation. I would appreciate you addressing this in both national and global terms, including education and development in poor nations, something that has been shown to slow population growth in poor communities.

Species Extinction

Unless we act quickly the only koalas, tigers, rhinoceroses, Great Barrier Reef and many other species my great-grandchildren may see will be digital preservations. Australia has suffered a significant loss of biodiversity since European settlement and the introduction of too many harmful feral and exotic species.

How do you and your party propose to arrest this decay and preserve what is left for future generations?

Climate Change

Both Liberal and Labor state that they believe the science that says human activity is affecting our climate and both have committed to similar reduction targets. If the expectations for the future eventuate we face significant disruption to the worlds economy, the displacement of people and loss of species. Even if your targets are achieved this may not be enough to prevent rising sea levels, and most certainly will not be if larger carbon based economies than ours do not achieve significant reductions in greenhouse gas emissions.

What risk management strategies do you have to mitigate loss associated with climate change? Do these include the identification of critical resources and measures to safeguard these, including food production, habitation and transport?

Managing Risk

I fully understand that things will always come up during the Governments term of office that require it change course and will therefore be unable to deliver on all its election promises. For this reason I would prefer you presented your strategy as policy objectives, not promises. It is one thing not to hit an objective, another not to keep a promise.

Over the last few years we have been continually promised a budget surplus, only to see successive deficits. While I have no economic expertise I have watched with interest as formerTreasurer Wayne Swann has held to his budget forecasts on more than one occasion long after economic commentators have predicted the promised surplus will not be delivered. Frankly, as a voter this does nothing to instill confidence.

Risk management is being used increasingly in business to identify risks to business objectives and develop strategies to first prevent loss associated with those risks and then to mitigate against those risks if they eventuate. If this strategy had been applied in the budget example above, the government would have been able to spell out its budget strategy, explain to voters the risks that might prevent it achieving its objectives, and what plans it had to manage these risks. This may have included delaying the move to surplus, reducing expenditure in some areas, or options for raising income. Such an approach would allow me to better evaluate the performance of the government by considering its performance against its overall strategy, including its risk management strategy.

Conclusion

While there are other issues I could have listed I will limit myself to the above. As I said above, my concern is not so much for the next three years, but the next thirty, the next six but, the next sixty. Right now I see little, if any, evidence, that either side of politics have a vision for the future or have given consideration to the issues that concern me. Therefore, I have little confidence in either side and it seems that it will make any difference who I vote for in September.

Please convince me I am wrong by spelling out your vision for the long-term, addressing the points I have raised above.


Yours Sincerely


Ken Marsh

No comments:

Post a Comment