why the government/taxpayer should support oz

This is my first post after being a long time reader.

I believe it is in the best interests of the Government and taxpayer to support OZ via a guarantee or even putting up funds as a last resort. Why? - because it is in their best interests.

For most people selling (or being forced to sell) at 82.5 cents will almost certainly mean selling at a loss. This means tax losses and therefore less tax revenue to the Government. For my own situation I will have a tax loss carried forward for several years - in the order of $200,000. This means even if I make profits elsewhere I will not being pay tax, and therefore not contributing to tax revenue, for many years.

Mulitply this situation out many many thousands of times and the lack of tax revenue must be billions.

Alternatively, if OZ were to be given a lifeline then most likely 1,2 or 3 years down the track when things have recovered OZ's share price would no doubt be significantly higher. The current losses turn into profit and everyone is happy. Shareholders make a profit - Government gets tax. Not to mention the extra money that goes into the economy eg. buying new cars with the profit etc. all of which helps to create jobs - the flow on effects are obviously enormous.

What does this cost the Government / taxpayer? Nothing.

Even if thrown a lifeline and OZ does go broke, the assests still outweigh the debt - the Government/banks are protected. The worst that can happen is shareholders receive nothing. That is a risk I am willing to take.

I believe that in years to come we will view this current financial crisis as a relatively short period of madness where we lost many great companies.

We need to think further than a few months down the track -this is where the Government must act decisively and quickly.

These are my very strong views - hoping to hear others thoughts.