if labour wins, page-16

IF Labor forms minority government then we will see the following:

1) Mining tax and then reduction in the corporate rate of taxation to 29%, compulsory super to 12%, small business tax cuts.

The hollow cries of the big miners and sovereign risk issues have been shown to be just that- Xstrata sniffing around mid cap miners and RIO just announcing a huge expansion in the Pilbara. Although like many on these boards my speccys bought pre tax are in the red.

Hopefully we see the mining tax tweaked to allay the concerns of the mid and small cap miners as the independent rurals will have more leverage. Hopeless execution, good policy- i hope this time its done a lot better and people like Twiggy get a seat at any Senate hearings that will underpin policy making in a new era of parliamentary process rammed through by the independents.

2)ETS or CPRS or carbon tax or whatever you want to call it, sure we will have higher gas bills but investment in renewable energy technologies may create the mining boom of the next century. We will gain first mover advantage compared to a lot of our competitors by making structural economic changes early.

3) NBN investment- this to me is a no-brainer. Already we are falling behind our competitors in terms of investment in this area- every report commissioned has shown improvemtns in economic efficiency which easily cover any cost. Again having more Parliamentary oversight in a minority government setting reduces the risk of waste and execution risk.

So really I dont think we will all be emigrating out of this country anytime soon if its a Gillard/Green/Rural coalition.