I think the stimulus question is now reasonably passe, for Oz at least, and our focus should move to proposed future government expenditure - given that our immediate need would appear to be in bolstering industry to generate the jobs which will be needed as the mining boom slows, whereas Gillard et al appear to be focusing on education and investment in renewable energy.
It's too late to catch-up on our skills shortage, which only skilled immigration may now meet in the short term, and, though education needs a boost it is questionable whether this should be the prime focus at this time. The same can be applied to a focus on renewables, given other priorities and alternatives for boosting our economy in the immediate term.
The MRRT has missed the prime boom years, the carbon tax is working against our competitiveness, albeit marginally, and our high A$ is impacting on exports and on tourism. The high A$ may be an unexpected 'windfall' for Aussies travelling abroad, and a marginal benefit to those with savings, but is a general negative for our economy. Given that the cause for this is external influences, surely it is reasonable to expect our government to boost our competitiveness through industry investment and/or some modest protectionist measures?

Meantime, Cyprus has produced a most unwelcome precedent - that of bank creditors being viewed as 'investors', such that they may lose their 'investments' if the bank fails. This places the role of government 'regulation' of banks in a new light, whereby prospective creditors may expect reasonable assurance of their security?
In this vein, why are bank officials not held responsible and their assets confiscated first - given that they would have to be held directly responsible for any failure? (And, in the U.S.?)
The world is going crazy!

A new development.
The Russians got their money out of Cyprus by using branches of the
Cyprus banks in Russia and the Baltic states.
Probably at night while the Cypriots were asleep. In more ways than one !

The ECU is not amused !

Not good news for the locals.

JKJ, you have reached a new low:

>Also, if a bank robber spends his loot on, say, building a school hall, does that mean that bank robbery creates net benefits for society considered as a whole?<

How about: if a bank fails, who wins?

Profit: Oz avoided recession (per demonstrated resultants - as listed by AA - low unemployment, etc, business as usual, wheels haven't fallen off, still producing approx 80% of historical average GDP - in an overall severely dampened global economy);
Loss: Government Debt/Expenditure (approx 3.3% of GDP in 'stimulus' spending = minute outlay);
Future: Rosy.

We remain 'the lucky country', despite having three tiers of interfering 'government' and relevant bureaucracies. Pray tell where we are getting it so wrong?

My only concern is that Gillard and Co. don't lumber us with any further debt incurred on lavish vote-catching and otherwise fruitless 'schemes' before the 'awakening' in September (or whenever).
Mind you, if AA is right and Gillard and Co. actually do have 'the stuff', I can only hope that she and her cohorts have a miraculous 'vision' of a genuinely better way forward for Oz - starting with a complete makeover of the ludicrous Fair Work Australia debacle, abandonment of the MRRT and the Carbon Tax (and any thoughts of ETS), reining-in of hyper-ambitions for the NBN, introduction of fixed-price electricity across the board, and scaling-back of ambitions to make all childcare facilities 'early learning' extravaganzas for a new generation of 'Einsteins'.

We don't need much - just a 'fair go' (including a guarantee that the latest developments in the EU regarding Cyprus and the potential 'theft' of bank depositor's funds will never be replicated in Oz).

AA. Just because the whole world is cooking the books on employment, doesn't mean it isn't BS.

David

Why is that a low at all? I know there's a legal difference between the forced redistributions of stimulus policies and bank robbery. I want to know whether there's an economic difference.

We keep getting told that Australia is the envy of the rest of the world.
It is true our debts are small in GDP terms and in per capita terms.

The government is not examining the entrails of the goats.
So it does not know what is going on and the PM sacked the only one that knows.

What does not seem to be understood is that the rest of the world is
trying to reduce its debts and we are going the other way increasing
our debts, while at the same time China's growth is reducing and orders
and prices of coal and iron ore are reducing or are expected to reduce.

Prof Garnaut last night warned that we have to transition our economy
from resources to manufacturing.
Now I don't give much credit to Prof Garnaut as he is a business as usual economist.
He has a totally unrealistic view of the future, but I think he is
right as far as resources and manufacture is concerned.
Globalisation will gradually fade away and local manufacture will
return under the crush of energy cost and availability.

Today the banks in Cyprus are supposed to open, but the bank unions
are threatening a strike, oh well as someone said life wasn't meant to be easy !