Why Stevens can bank on a budget surplus

Surplus surplus surplus - important politically not so much in the real world. If the economy is so well managed why are there so many businesses closing down
Jack (Why Stevens can bank on a budget surplus, December 19).

Stephen, you said: "the fact is that GDP growth is 3.1 per cent and the unemployment rate is 5.2 per cent (Why Stevens can bank on a budget surplus, December 19). This is an economic double that suggests fiscal tightening, not stimulus, is entirely appropriate."
Doesn't that mean that for the past 3-4 years, the "economic double" meant that fiscal tightening and not a surplus is entirely appropriate. You have scored an own goal for Labor and vindicated the Coalition's statements that the govt overspent.

Well said Stephen, your article pretty much sums up the current situation and the risks of higher interest rates if the ALP does not hold its nerve on achieving a near balanced budget or if they try to crowding out the private sector for demans for skilled workers for infrustructure projects. These risks will surely re emerge after the elections if the ALP win another term (Why Stevens can bank on a budget surplus, December 18).
The RBA is pinning its hopes on a house building up kick, but imo I doubt any of those who have experienced the much higher RBA rates over last 3 years would want to risk getting back into the property market unless they could secure 10 year low interest fixed rates. Its a rate trap waiting to ensnare the next lot of unwary new home buyers, however banks should consider lowering the LVR to protect themselves from future losses imo. In my scenario we could probably expect a longer period of low interest rates if the ALP lose the next elections as their would be a higher risk of them wanting to stimulate the economy again and lead the RBA to increase interest for the rest of us.

Dear Stephen, (Why Stevens can bank on a budget surplus, December 19)
I can give you a few facts as well from our large regional city :
- many university graduates cannot find employment
- many of last years graduates are still looking for permanent positions
- large engineering practice recently made about 15% of its workforce here redundant, because of lack of work
- many retailers closing their doors
- tax office aggressively chasing small businesses for unpaid tax obligations, who simply do not have the cash to pay them
I can keep going if you like ...
Remember Labour's great until they run out of spending other peoples' money; well they have finally run out, I would say !

Yeah I agree with Stephen's last comment, "there is little risk the government will do anything other than keep a tight reign on fiscal spending and it will keep that surplus in its sight" ...... until the next election at least (Why Stevens can bank on a budget surplus, December 19).
Until then they will just announce but not fund high cost program's like Gonski and disability insurance and desperately try to keep a lid on money haemorrhaging from asylum seeker programs, the NBN and carbon tax compensation to name just a few.
Way to go Labor !

Maybe Stephen's right, but surely the quality of the surplus or near surplus counts most (Why Stevens can bank on a budget surplus, December 19). Nothing has been done about the structural deficit engineered by the last government; rather, Labor has added to it and has plans for much, much more.

The real deficit is a lot bigger than is admitted by Labor due to the NBN (Why Stevens can bank on a budget surplus, December 19). A dodgy business plan might keep it off the books for a while but eventually it'll become apparent that the money given to NBN Co isn't going to be repaid at a commercial rate. At that point it'll have to go back on the books and the budget will be a sea of red.

Unemployment figures lie: those scratching a living on part time employment, those doing a menial task with great qualifications to keep some money coming in, those who chose to go back and study as they couldn't find employment - these people don't figure in the version of unemployment currently used (Why Stevens can bank on a budget surplus, December 19).
The vacant shops, and closing down sales, the staff reductions and business closures - these don't figure in this equation I take it.
I see FPV has announced it's closing it's doors as well - Australian manufacture cannot beat cheaper imports, even with a quality product.
Mr Koukoulas would do well to wind down the window on the way to work - what he smells won't be roses.

With the last two quarters showing GDP growth of 0.50% and 0.60% respectively and mining kicking in 80% of that growth - how can anyone state that Australian GDP growth is tracking at 3.10%.
With the obvious lower contribution to GDP growth in future quarters - you tell me Stephen why the next two quarters will provide 2% GDP growth in a slowing economy to achieve 3.10% annual GDP growth. This misguided and lack of understanding of our economy has led Swan to believe he can achieve a surplus! (Why Stevens can bank on a budget surplus, December 19).

Robyn,
The last Government gave Labor a large surplus after paying off the last Labor induced debt which took a Coalition Government debt a decade to pay off.
Expect a new Coalition Government to take significantly longer to fix up this Labor mess! (Why Stevens can bank on a budget surplus, December 19).

I'm not sure what planet some of you guys are on but in the economic powerhouse of NSW – i.e. the hunter Valley – we have been in economic free fall for over 6 months (Why Stevens can bank on a budget surplus, December 21). The huge industry that supports coal cant remember it being this bad - ever.