Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Hansard source

I thank the member for Kingston for this very important question, because the Australian economy has come through this global recession in stronger shape than any other advanced economy—the strongest growing of 33 advanced economies, and one of only two that did not contract during the calendar year 2009. Of course, we have unemployment rates that are the envy of the United States and Europe, and there have been something like 180,000 jobs created over the past year. I think that is supported strongly by everyone on this side of the House that has supported the government’s economic stimulus.

The fact is that Australians have worked together—employers and employees. The community has come together to produce this outcome, and this has been a remarkable achievement. It has been commented on today by the Reserve Bank in their minutes that have been released today. This is what they had to say:

It now appeared that the peak unemployment rate in the recent downturn had been equal to around the low point in the previous three cycles.

That is a fantastic result for Australia. This has been commented upon by the Commonwealth Bank and their chief economist, Michael Blythe, who had this to say a couple of days ago:

The Australian economy withstood the full force of the global financial crisis and recession remarkably well. Australia dodged the recession bullet.

That is what Michael Blythe had to say. He then went on to comment as to how that was the case, and he had this to say:

A year ago, consumer sentiment in Australia was collapsing, much as it was everywhere else. The extreme pessimism proved relatively short lived, however. A large part of the divergence between expectations and reality reflects the fact that aggressive policy action worked, and it worked quickly.

That was the impact of the government stimulus.

Of course, what the events of the past 18 months show is the importance of maintaining confidence through responsible economic management. Of course, what we have seen from those opposite is exactly the opposite. What we have seen is a glimpse of erratic and reckless decisions from the Leader of the Opposition and what he might do if he were in government. We have seen total disarray. Those opposite could not describe the size of the tax, who it would apply to or when it would start. They have simply been in disarray.

But the really good news is that Senator Joyce came back today. He came back to make it all crystal clear. He was asked by Lyndal Curtis on AM this question:

Business … will pass on this tax if you are taxing companies like Woolworths and Coles. That will feed into the … price of bread and milk, won’t it?

Senator Joyce said:

… it will …

Of course, what he has confirmed is what we have been saying: the price will be paid by pensioners and families—all of this so somebody on $150,000 a year can receive $2,800 per week. He is not content with pulling a billion dollars out of public hospitals. Pulling a billion dollars out of public hospitals is fine, but he wants to pay $2,800 per week to somebody on $150,000 a year. That just tells you the twisted priorities of this Leader of the Opposition and how out of touch he is with the lifestyles of average Australians.

He said something very revealing in the party room last week. We discovered what was under the budgie smugglers: a big new tax.

See this speech in context