'Tax and Trade' and the fall of Kevin Rudd 

Its been a tough week for Kevin Rudd. First his country’s soccer side was bounced unceremoniously out of the world cup. At the same time the non-soccer loving nation of the US not only went through, but topped their group. But for Rudd this was not the worst of the week.

He is no longer Prime Minster of Australia. His party turned on him and triggered a leadership contest that saw him ousted by a Welsh-born émigré and Australia’s first woman PM. She is groundbreaking for several other reasons as well one observer quipped.

"Imagine that, 30 years ago: an unmarried woman, living in sin with a man. Who is a hairdresser. And aspiring to high office. Forget about it. "That's how far we've come."

So what did Kevin Rudd do that was so bad his own party knifed him in a party coup? In an act that will be seen as political suicide by political historians, Rudd took on Australia’s mining companies by hammering them with a huge tax. It was brought in under the climate change banner.

“The 48-year-old immediately offered to end a bitter dispute over a controversial 'super profits' mining tax, which is threatening $20 billion worth of investment and has unnerved voters, saying she would throw open the door to fresh negotiations.

Needless to say the miners are rather pleased and have taken the step to stop their high profile ad campaign against the government. Mining stocks have risen on the news of the change of government.

“"There is hope of a possible watering down of the resources tax now that the leadership change has been announced. With the tax factored in, company values fell, and now with the tax now looking like it might not be as intense, valuations naturally rose on the back of that, and share prices are rising," he said.” Both the Obama administration in the US and the Cameron coalition in the UK came into power promising legislation to “tackle climate change.” Economic realities and the Australia change of government may cause a second look at proposals and see them watered down in the coming months.

About The Author

Andrew Ian Dodge

Bio:
Andrew Ian Dodge is a 40 something writer, consultant and rocker. He married Kim in 2007 and is busy working on writing projects with her including several novels and lyrics/singing for Growing Old Disgracefully. He is author of the political techno thriller "And Glory". He writes for his own blog www.andrewiandodge.com... more
Pin It
Favorite

Speaking of...

More by Andrew Ian Dodge

© 2018 The San Francisco Examiner

Website powered by Foundation