The author has been described by News Ltd as an "iconoclast", "Svengali", a pollie's "economist muse", and "pungently accurate". Fairfax says he is a "Renaissance man" and "one of Australia’s most respected analysts." Stephen Koukoulas concludes that he is "85% right", and "would make a great Opposition leader." Terry McCrann claims the author thinks "‘nuance’ is a trendy village in the south of France", but can be "scintillating" when he thinks "clearly". The ACTU reckons he’s "an enigma wrapped in a Bloomberg terminal, wrapped in some apparently well-honed abs."

Tuesday, November 23, 2010

Wow, could the Australian Federation tear apart like some suggest the Eurozone will?

According to Peter Martin today, who was summarising Dr Ken Henry's testimony to a Senate Inquiry:

"Unless the proceeds of the mining boom were shared across state borders through taxation there was a risk the Federation would break up.

"That is partly a political judgement, but it is also an economic judgment and I think there is evidence in the Eurozone right now of the difficulties of managing a common currency without a comprehensive system of horizontal fiscal equalisation."

"You wouldn't want to see those sorts of tensions play out in the Australian federation. It's a point about national economic performance in a vast land area that happens to share the same currency."