As Qld debt is ticking over the 90 billion dollar mark, we should be starting to get a little nervous. Jackie Trads plan to raid the public service super fund should makes us more so. The public servants themselves have little to worry about – their money is guaranteed – by us!
So basically we are robbing Peter to pay Paul. My assessment may be a little simplistic, as I am not an economist, but once the interest on your debt reaches the level of your income, YOU ARE SCREWED.
Over the last 9 years, this current government has sold state assets worth around 15 billion dollars. This provides an even scarier scenario. We are drowning in debt and the assts sold were income producing assets. We not only have less capital assets securing the debt, we have squandered the proceeds of their sales and now have less money coming in to service the debt.
So ultimately you and I WILL PAY. We will pay through degrading services and infrastructure in regional areas – Brisbane will not face this as any future government will fear the wrath of the sheer mass of voters. We will also pay through a massive increase in fees and charges. Everything will go up. Previous labor governments revalued income producing assets so they could borrow against them and leave those bodies to pay off the debt, as well as pay the government a yearly dividend.
There is only one way they can do this – SQUEEZE THE ORANGE HARDER – and you and I my dear friends, are the oranges.
Any incoming government will be unable to do much other than follow the path we are already on. This is the nature of slippery slopes, and as an old bushy friend of mine would say, this slope is as slippery as “cat sh!t on a lino floor.”
Where am I going with this? Governments are no different to households and businesses. If you spend more than you earn, you collapse. We are going this way.
Think about this leading up to the next election.
Whoever you are going to vote for – demand a debt reduction plan from them. Vague promises of Bradfield Schemes are a joke if we are so far in debt, we cannot fund a full height wall on the Rookwood weir.
Currently, every Queenslander owes $18,000 of state government debt – men, women, kids, able, disabled, elderly.
Thats around $2 every day in interest alone – Each and every one of us!
By Marty Bella