Nursery is 100% on track with his comments, especially in light of the fact we have already lost control of more than 80% of our natural resources. Indeed, as it stands we are mere farmers for the foreign owners of our mineral resources, which by the way, are finite. That is, some will run out during the next generation, others resources will take longer. Oil for instance, where less than a half a generation ago we were 80% self sufficient, and now we are heading for 20%. Why - we have sold it all, and to boot, we have allowed foreign entities to do the selling.
Obviously Australia's outward cash flow to buy foreign oil in the years to come is going to be a big expense, which of course will be borne by today's children. Our legacy to them ! Yes, we will have to tell them it was sold for $10-$20 a barrel
Naturally we are all focused on making a dollar in the here and now, however we really need to take heed of how Australia Inc makes its dollars.
Endowment sales, that's how we earn money. Sell off our god given assets(the farm) without regard to future generations, and to make it worse, allow those assets to be colonised by almost anyone in the world who happens to have a fistful of dollars. Obviously these foreign owners have no interest in the welfare of future generations of Australians. Rather, their mission in life is to extract what they can, as fast as they can, then move on to greener pastures. Wherever they may be in the world.
For example, the Swiss mining giant, Xtrata, head officed in a country without a single kilogram of copper. Indeed, we are their servants and they buy the shovels so we may dig. Of note too, we in Australia don't make the shovels
The problem is we are cursed with natural endowments and until they are nearly gone we will have no need to think. Whereas at the moment, all we require are some rubber stamping smooth talkers up in Canberra to keep on selling the farm and tell us how well we are travelling
The term "Digger" wasn't coined with out reason, but we still haven't got it.
LYC Price at posting:
53.0¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)