Australian Economy – Treasurer Scott Morrison Warns: Change Or Risk Recession

Posted on Thu 08/25/2016 by

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Bolt New 01By Andrew Bolt ~

Australia’s Treasurer Scott Morrison issues the warning we need:

Treasurer Scott Morrison (left) and Prime Minister Malcolm Turnbull

Treasurer Scott Morrison (left) and Prime Minister Malcolm Turnbull

“A generation has grown up not ever having known a recession, of seeing unemployment rates at more than 10 per cent, with one million Australians out of work or mortgage rates at 18 per cent or where inflation is actually a problem, rather than an aspiration.”

In addition, Mr Morrison will say that on the current settings, a generation of Australians are likely to never pay tax, setting up a new divide – the “taxed and taxed-nots”, prompting the Treasurer to ask: “ Are we still up to the challenge of doing what we need to do to ensure another 25 years of consecutive economic growth?…

“Do we really appreciate how quickly our economic success can turn, and are we as prepared as we can be to deal with it . . . my greatest concern is that we end up answering these questions the hard way.”

This is morally unhealthy and a danger for us all, given that people become dependent on Big Government and defensive of it:

The share of households considered net taxpayers — those whose income tax payments outweigh what they receive in social security — is tipped to fall below 50 per cent in the near future.

According to the National Centre for Social and Economic Modelling, this share has already fallen from 56 per cent to 51 per cent over the past decade, which means almost half of all households receive more from the government in welfare payments than they give up in income tax.

This does not include the GST, a bigger share of average household budgets compared with wealthier families.

Andrew Bolt writes for the Herald Sun, Daily Telegraph, and The Advertiser and runs Australia’s most-read political blog. On week nights he hosts The Bolt Report on Sky News at 7pm and his Macquarie Radio show at 8pm with Steve Price.

Read more excellent articles from Andrew Bolt’s Blog . http://blogs.news.com.au/heraldsun/andrewbolt/