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The Forum > Article Comments > Funding the farm > Comments

Funding the farm : Comments

By Andrew Leigh, published 29/11/2010

There has to be take as well as give in economics

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Thanks Chris. The Murdoch press does, however, have a large share of the market and it would be fair to say that a lot of people's opinions are based on their papers. Brisbane only has one daily newspaper (The Courier Mail, News Ltd.).

I do believe free trade is beneficial to everyone, otherwise we go back to the world of 100 (or so) years ago. The question is usually how to manage it to avoid unnecessary hardships. Also, free trade is all good but I don't think we have it in any form as of yet. National boundaries, cultural differences, geopolitics etc. tend to put limits on the movement of capital and people.

Protectionist policies may have their benefits but I am not fully supportive of them. Subsidies (the usual option) tend to breed complacency and reliance, stifling innovation and efficiency and benefitting one group over another even in the same country. We periodically see new ways that protectionist policies crop up as in the trend for "regional food products" (French/Italian wines, Greek cheese, champagne etc.). It's amazing how we find new ways to make things more and more complicated.

http://currentglobalperceptions.blogspot.com/
Posted by jorge, Tuesday, 30 November 2010 1:12:23 PM
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Shadow minister and jorge,

Yes, I agree that a world that promotes liberalism is indeed a better world, and that Australia does benefit from investment. I know of no other ideology that offers the world and Australia better hope.

And yes, in agreement with shadow Minister, as long as stfrings are attached, let us take the investment. After all, that is how china plays the game.

But I wont be relying on Labor or any other govt to always do the right thing.

MPs and govts need to be constantly reminded about how our reliance on FDI inflows plays out in terms of the effect on the domestic population in a number of ways. If it is affecting our social fabric, housing, or industry, some commentators need to be all over it and inform debate rather than implying everything is ok
Posted by Chris Lewis, Tuesday, 30 November 2010 2:53:59 PM
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By the previous post, I am referring to the effort of many and how public opinion forces policy change, as evident in 2010 when public outrage forced Labor to change its foreign ownership rules given much purchase from offshore.

Why should Australians tolerate this at a time of record home unaffordability, and they were right to force policy change. At least, i thought so.
Posted by Chris Lewis, Tuesday, 30 November 2010 3:03:45 PM
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