Interesting to see how Pascoe responds to this who has been overly critical of Hockey and claiming there is no budget problem in Australia.
Budget deficit soars to $48.5bn
The Australian| September 25, 201412:36PM
Joe Hockey has released the final budget outcome for 2013 — 14Source: News Corp Australia
LABOR’S final budget produced a $48.5 billion deficit last financial year, $30 billion more than the deficit forecast by Treasury the government has revealed.
When Labor’s last budget was handed down in May last year, then treasurer Wayne Swan projected a deficit of $18 billion, citing a “savage hit to tax receipts” and a “deep commitment” to support employment and economic growth. The 2011-12 budget projected a $5.4bn surplus.
The figure includes an $8.8bn of additional funding to the Reserve Bank, $571 million to maintain offshore immigration detention, additional funding for public service agencies to manage unfunded redundancies, and the Coalition’s decision to dump 96 proposed tax and superannuation changes.
Treasurer Joe Hockey said the final budget outcome “draws a line under the sand” of Labor’s tenure, citing the blowout as further evidence for the budget cuts and tax increases announced in May.
“Labor left Australia with no plan to fund the future and address their unsustainable spending trajectory over the medium term,” he said in a joint statement with Finance Minister Mathias Cormann.
“If no policy action was taken to repair the budget position the Government inherited, gross debt would have spiralled to $667 billion over the medium term and continued to grow.
“We are making spending sustainable, delivering record infrastructure investment, creating new jobs and bringing the budget back to surplus over the medium term.”
Budget fix promised as deficits soar
Mr Hockey, when asked if Labor manipulated Treasury to produce the erroneous forecasts, said ministers must take responsibility for their projections and “that’s the bottom line”.
“Whenever we sit down with our officers we pepper them with questions … to ensure that we are satisfied that forecasts are as robust as possible. Now maybe the previous government didn’t do that? I don’t know, but they seemed to get every number wrong,” he said.
Comment is being sought from opposition treasury spokesman Chris Bowen.
Stephen Koukoulas @TheKouk · 46m In 2013-14, govt spending was a massive 25.6% of GDP; 2nd highest in last 2 decades, exceeded only by stimulus / GFC year 2009-10
So much for "balancing the budget"
I don't mind Tony spending, but what is he buying, that's my question.
Any expressed market opinion is my own and is not to be taken as financial advice
“Labor left Australia with no plan to fund the future and address their unsustainable spending trajectory over the medium term,” he said in a joint statement with Finance Minister Mathias Cormann.
Pretty sick of the finger-pointing.
Let me assure you that this isn't one of those shady pyramid schemes that you've been hearing about. No sir, our model is the Trapezoid which guarantees each investor an 800% return within hours. Those who can, do. Those who can't, teach. "It's an itchy blanket, it's designed to remind you how lucky you are"
But that's meaningless compared to the 1.4 trillion in household debt, half of which has been racked up by property speculators on IO loans " It's good debt good debt" at least until you have to pay it back during the worst economic downturn since the great depression.
But that's meaningless compared to the 1.4 trillion in household debt, half of which has been racked up by property speculators on IO loans " It's good debt good debt" at least until you have to pay it back during the worst economic downturn since the great depression.
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