Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Gib Bogle who wrote (56471)	10/14/2009 4:44:01 PM
From: Maurice Winn	3 Recommendations Read Replies (1) \| Respond to of 217918

Gib, why do you think Bill English is going cap in hand to international financiers for $40bn or so to tide the government over until "things come right"? They are not planning on building $40bn of roads, fibre, airports, power stations, and other good things. They are planning on continuing to keep the spivs and bludgers in the manner to which they have become accustomed. Bill and his cronies along with the likes of Clark who now expect to live on the taxpayers in luxury for life plan to keep a hefty chunk of it for themselves. Sure, they plan to mismanage some fibre installation. They can't organize the fibre they have already got so it's a puzzle how they think they'll do better with new fibre. CityLink, Velocity and Vector charge extorquerationate prices for slipping a few photons down their tubes. Have a drive around and see all the "For Sale" "For Lease" signs around the industrial/commercial areas. People who have to earn a living by getting customers are having a hard time. Those with government sinecures are fine [until the money runs out as happened in California]. The revolutions never start in the Ivory Towers. They start out where the hunger encroaches. If you inspect NZ government spending since Y2K, you will see wildly increased profligacy. Since the economy has barely increased and has now shrunk, the government has no visible means of support. <Employment in the construction trades is down 10% (not surprising after a boom decade in construction), but to a large extent life for most carries on much as usual. > NZers borrowed $150 bn and that debt is increasing, to hire said builders and to revalue their houses higher and to make each other coffees at $4 a throw. Strangely, creditors want repayment. More and more people are finding those payments are more difficult than expected. Because interest rates have fallen, many have been thrown a lifeline - for now. Bargain basement interest rates can't last long. Lenders give up lending. Savers don't bother. With rampant taxation, workers give up working. 1 million have fled, leaving only 4 million here. Those 1 million are producers = bludgers aren't welcome overseas. Personally, I like the recession. The roads are not as busy. I can go to any cafe any time and get a seat. People seem to like to get some business and are inclined to cut prices. For bludgers though, life is still great in NZ and continues unchanged. But I know of some people who are suffering from the ACC and other cutbacks as government spending growth inevitably stalls. The impecunious Kiwi Baby Boomers are going to be shocked when Chinese immigrants vote that they should have saved for their old age and their families should take care of them. Generations X and Y are not going to be too keen to pay for them either. I wouldn't want to be a Baby Boomer depending on government money when I turn 65 and hoping they keep the spigot open for me for 20 more years after that. Yeah, right!! Helen Clark taxed the $150bn which was borrowed and spent, taxing it again, and again, and again as it circulated in an ever-diminishing death spiral as she bled it each time it passed GO. Now, the borrowing is done and the spending has to stop and therefore the tax take stops. Ooopps-a-daisy, now what? Hey, no worries, the World Cup will save us. Government departments bidding against each other for the NZ TV rights - that's government for you. Recommendation - short NZ. Mqurice