Background

Readers will know that society is changing rapidly. And it should be said, this is mostly for the better.
But as new attitudes take hold, accepted norms are challenged. One such example is the current debate about the role of the company.

On 18 May, we get the opportunity to elect a new Parliament. The choice is between a Coalition that has governed as a minority and been wracked with factional warfare and leadership instability, and a Labor opposition that has pledged a massive tax and spend agenda.  Along with this agenda they put out heroic and uncosted emissions reduction policies that will result in a multi-billion-dollar transfer of wealth offshore as large companies buy carbon credits, which will enrich a few insiders at a massive cost to the economy and employment with little to no impact on the climate.

It is only a week since the Federal Budget was tabled, but it seems like an eternity. Already important matters going to the heart of our economic prosperity have been pushed aside amid puerile debates over how long it takes to charge your electric vehicle. If you must charge at home because charging stations are non-existent, your meter will be spinning like a top and the grid will be so unstable that your neighbour cannot use his toaster. Tech billionaires are chiming in to “say it ain’t so”.

Historically when credit growth slows, it is because the economy is tanking. The last time this happened in a serious way was in 1991.

The building industry in Queensland is a major part of the economy and because our economy is not as diversified as the Southern States, it is of greater economic significance. The industry is structured like a pyramid with Owner/Developers at the top, Project Managers, Head Contractors and finally Sub-Contractors at the bottom.

Greetings to all avid readers from the Black Stump. The Stump was confined to the reservation in the latter part of 2017, but we are not silenced for long. There is just so much material to write about!

We will risk being accused of recalling only our accurate predictions, rather than our missed ones. The less said about Theresa May the better.

However, a few comments about Donald Trump are in order. In this blog in early 2017 we argued that Trump had the right policies for business; that his tax cuts would be the centrepiece of economic growth in the USA.

We choked on our breakfast cereal this week when Bill Shorten announced Labour’s plan to confiscate the cash refund component of franked dividends. So much has been published already, it is not necessary to repeat. Readers can do well by following this link to Henry Ergas in The Australian.