Prof Michael Hudson was in Aust in 2009.He confronted our RBA and asked them why they are not creating the new money to equal inflation but also increases in pop + productivity.Silence was the answer.

Why are we borrowing from Global Central Banks who create in as debt in their computers.What is wrong with the RBA's computers Saul? Who should own our productivity Saul? A private group of banks or the whole of society?

The US Fed (Private group of banks) has created at least $16 trillion since 2008 and loaned it out all around the planet creating inflation here too,thus forcing up rates.This is in addition to the $14 trillion in bailouts and debt to fund phoney wars of imperialism.

Why cannot the RBA create just the inflation money of 3% which is $54 billion pa.We would not have to borrow from China for the NBN.Our monetary system is an absolute rip off.New money should not be expressed as debt by private banks.

Excellent comment Arjay.

Surely Australia should be building infrastructrure to harvest northern wet season water and an aquaduct system to run water south to headwaters of the Darling River that runs naturally all the way to the Murray.

Many existing and new rural ventures along the way, plus those down south impacted by water shortage, could suddenly have an almost guaranteed PRODUCTIVE water supply.

But the big mining revenue is being squandered for example, on an unproductive non export NBN.

P.S.

f.y.i possibility photos now posted here:

http://justgroundsonline.com/forum/topics/barnaby-joyce-water-mp-attention?xg_source=activity

Printing money is phony wealth. Leave that for Magarby and the US. Sooner or later that money has got to be taken out of circulation, or else you have one of those black holes. No wonder the question was not answered. To stop any decline in AU manufacturing you can bye Australian, seeing that is not going to happen, without a world war. China is fast out costing it self, as a cheap labour state, the shift will be on to some other developing country.

You will not face the fact that we are facing peak everything and quite soon.

There has been a global recession each time when oil has been in short supply before,
So it is inevitable it will happen again.
This will alter the whole equation when the world economy takes a beating because without China and India taking great quantities of ore, coal and gas our mining boom will go bust.
Then what are we left with? No manufacturing, no oil of our own, a huge unemployment problem and no future.
There are 95,000 new cars hitting the roads worldwide every day. It does not take a rocket scientist to work out it must take more oil than is being produced to supply just this sector.
Yes we are selling huge quantities of gas offshore but you know what? You cannot put digital dollars in a fuel tank of a diesel truck and make it go.

I think it's on the cards that Chindia's economic activity could slow dramatically, both in domestic and export markets. That will curtail their input demand from Australia. The case has been made elsewhere that high Western debt levels combined with the non-increase in energy from oil will cause a global slowdown. Increasingly there will be disquiet about Australia supplying so much coal and LNG to these countries while we are obliged to practice carbon chastity at home. We will import more and more carbon intensive goods from Chindia made with the help of Australian coal and gas. A lot of those goods could be made here.

To take one example I think it would be a mistake to lose the steel industry in Australia. It's a handy thing to have if international turmoil lies ahead. I think Australia must consider carbon tariffs and other forms of carbon leverage which we have the power to influence.