The mainstream media is pushing hard for the fiction that the Coalition competently manages the economy, as Alan Austin reports.
FORMER FOX NEWS political editor Chris Stirewalt once said:
“The secret that Trump knows is that if you’re going to lie, go big. Right? Don’t waste your time on niggling little prevarications. Go big. And then what you do is wait for the obsequious toadies to come along and rationalise your lie.”
That sage advice on how to steal elections has been taken to heart by the Morrison Government and some journalists in Canberra’s Press Gallery.
The “big lie” in Australia is that the Coalition manages the economy better than Labor. It is a tried and true tactic, asserted repeatedly in every election since 1974. It was not true then and has not been true any time since.
The economic evidence overwhelmingly indicates the opposite. Independent Australia has collected testimonies of more than 160 economists, academics, world leaders and other authorities who believe Australia’s Labor Government generated the world’s best-performed economy through the Global Financial Crisis (GFC). The dossier keeps expanding.
Just recently added to the pile is this analysis from the University of Alabama:
The Australian economy was the only one of 33 advanced economies around the world that had not gone into recession as a result of the GFC. Compared with other OECD countries, the size of Australia’s stimulus package as a percentage of GDP was by far the largest … [This shows] how successful the stimulus package has been in mitigating the effects of the GFC …
The number of independent observers who believe the Morrison Government has handled Australia’s economy well is also measurable. Few. In fact, the OECD regularly scolds Australia for its multiple economic failures. Its report published last month criticised low wage levels, the decline in total hours worked, high inflation, soaring gross debt and deteriorating trade relations with China.
Australia is confronted with a monumental lie, with many facets.
Jobs are doing great
Treasurer Josh Frydenberg claimed last week that:
“Australia is experiencing a jobs boom with around half a million jobs created since September and the unemployment rate has come down to around a 13‑year low at 4.6% …”
This needs at least six correctives. First, jobs “created” since September are 310,200, according to the latest ABS jobs data. Second, that follows the disastrous loss of 303,500 jobs between June and September. The actual increase over the last two years is just 233,700, an increment of an abysmal 0.9% per year. The last time an increase that low occurred before the Coalition took office was in 1997.
Third, the jobless rate is distorted by the collapse in migration. Fourth, the published employment numbers include tens of thousands of “workers” doing zero hours. Fifth, the decline in full-time jobs masks the severe decline in total hours worked. And sixth, comparing jobless rates now with the Labor years ignores the vastly different global jobs markets.
False global comparisons
“While the United States, and the United Kingdom, Canada, Japan, Germany have all seen their unemployment rates go up since the start of the pandemic, Australia has seen its unemployment rate come down.”
That is mostly false. All developed economies copped a jobless surge in 2020. They have bounced back. Australia’s published jobless rate is still higher than the USA, the UK and Japan. Its actual rate is much higher than all of them. Australia is the only one of those six nations with the current jobless rate still higher than in June 2008, before the GFC.
Australia’s jobless rate in November 2012, under Labor, was 5.25% which ranked fifth in the OECD. The latest rate, for November 2021, was 4.61% which ranks 15th.
“News” companies amplify the lie
The craven pro-Coalition media are already giving the Government a big tick on jobs. An editorial in the Australian Financial Review (AFR) just after Christmas claimed:
‘The V-shaped economic rebound … has brought the fastest monthly jobs growth in Australian history.’
Yes. But that growth follows the worst decline in history. Does anyone remember the AFR headline in 2020: ‘Coalition mismanagement costs Australia 856,000 jobs in two months?’
Of course not. It was covered up. If the media does not blame the Coalition for the worst collapse in employment on record in 2020, it is totally dishonest to give them credit for a partial recovery now.
Labor will increase taxes
Morrison assures listeners at every opportunity that:
“Under a Liberal Nationals Government, you will always see lower taxes than from the Labor Party.”