Not that young, but probably younger than you by the sound of it. Sure the tax will impact on estimated valuations now, in mid 2010. It would be stupid to think otherwise. The key word being 'estimated'. I think we really need to see what the climate is when the tax is actually up and running to make assumptions. For example, if the dollar keeps freefalling like it is, it becomes a lot cheaper to run mines that sell commodities in USD. For all I know, the USD could be 1.50 by the time the tax kicks in, and this whole conversation is completely pointless. For all I know, the copper price is double today's when the tax kicks in, which also changes the landscape a bit. Or, for all I know, the world economy falls off a cliff, and the tax office is paying everybody 40% for years on their losses.
When you say 'moneys distributed' if you're referring to stimulus, the evidence is that we're not in recession, and our property is booming, and our unemployment rate is one of the best in the western world.
The Rudd government for all it's pathetic stances on the environment, not supporting a bill of rights, not standing against the overfishing of Blue Fin tuna, diverting the cronic refugee crisis to tropical islands and Indonesia, not standing up to Japan when they hunt wales in our waters, etc. etc. etc. DID do one thing. They kept the country out of recession, and indirectly prevented a considerable drop in employment by handing out a lot of money. They also saved the a#ses of a lot of banks with the guarantee. Macquarie is a very lucky group of people, who are incidentally funding a hostile takeover of another company I own shares in, and undervaluing it big time.
disclaimer: I will not be voting for Labor at the next election.
OZL Price at posting:
$1.02 Sentiment: None Disclosure: Held
