The common dilemma all political parties face

In Australia there has been traditionally, three major political parties at Federal level; Labor, National, and Liberal. For the sake

In Australia there has been traditionally, three major political parties at Federal level; Labor, National, and Liberal. For the sake of numbers Liberal and National have joined forces, a marriage of convenience without which neither would stand a chance of being elected into government.

That leaves us with effectively two main contenders; Labor and the Liberal-National Coalition.

No matter who is in government and who is in opposition, both share a common dilemma that is only capable of resolution with a meeting of minds.

That dilemma is one surrounding the divide between what we, the Australian public want governments to provide in services, and what tax we are willing to pay.

In Economics 101 terms, this is known as the “economic problem:” wants and needs exceeding financial capacity. And this becomes strikingly evident in the recent discussions about raising GST, highlighting the dilemma. More than 50% of Australians surveyed don’t want an increase in GST. Neither do they want a reduction in welfare or services.

The Labor Opposition crew has been jumping up and down with delight believing that if a GST increase is brought in, Liberal-Nationals will get the boot at the forthcoming election. It would, after all, be an election issue. They are probably right.

Obviously the LNP crew wants to remain in power, so it looks like the mooted GST increase will get the flick and other ways of raising additional revenue will be sought.

If Labor takes over government at the next election, it will face the same challenges as the LNP, either increasing revenue to pay for current programs or reducing expenditure until it equals or is less than revenue.

A sensible approach would be for both Opposition and Government to work together for the common good and decide how they will increase revenue or reduce expenditure. By having a meeting of minds, both parties would take their similar/identical policies to the people and one party would be elected on other issues and not taxation and expenditure.

Then, the governing party could implement the changes without having to worry about a backlash from the voting public on unpopular issues.

As we all know, this will never happen, although it would help promote what is best for Australia rather than what is best for a political party.

What’s your opinion?

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  1. The LNP is heavily committed to smaller government, which means privatising everything to do with the public, education, health care, welfare etc, so it can concentrate on making things easier for big business to maximise profits & minimise taxes in OZ. Global warming is not their problem; the Great Artesian Basin, the Great Barrier Reef, the National parks, Marine reserves, the CSIRO, the universities & hospitals, all up for sale.

  2. The GST is off the table for NOW , it is the same with cuts to the CPI rise for pensioners but should they get elected again, it will not only be on the table, they are stacking the Senate so it will BECOME LAW

  3. A vote for Liberal is a vote for deception, I don’t trust them, they will do and say anything to gain Government and it will change after they are put into office

  4. i wont vote for anyone that alters gst, medicare, hospital and education funding and pensions

  5. No they will do what’s best for the POLITICIAN to ensure they continue to receive all their perks and TAX FUNDED PENSIONS after all that’s what they are in politics for. Definitely not for the best interest of the Australian people or Australia for that matter, if voters fall for the years of lies we have had to put up with and vote the LNP back in then they will be voting for more lies and before long a definite increase in the GST and any other way they can raise money such as CUT PENSIONS AGAIN, while once again approving a pay increase for our POOR UNDER PAID POLITICIAN.

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