« Senate Debate | Main | Senate does its job »

June 26, 2003

more of the same

This article on the privatisation of Testra locates this policy in the need to continue the ongoing process of economic reforms that started in the 1980s.

Those reforms (deregulation, privatisation, minimal government, user pays, more competition, tax reform) have been a form of technocratic re-engineering to secure the maximium possible penetration of market mechanism in social life.

Henry Ergas says that:

"Telstra's full privatisation is therefore a key step towards completing the micro-economic reforms which have contributed so much to Australia's prosperity."

Australia's prosperity? Presumably Henry means an increase in GDP. But that increase has resulted in an unequal distributon of income that has been experience by the middle class a hollowing out and relative decline in their quality of life.

I cannot see how a fully privatised Telstra would invest the billions need to bring high speed broadband to regional and rural Australia. The Howard Government is only talking in terms of ensuring that $200 million is spend to improve phone access. Form a coporate perspective large investment in rural Australia is a loss making enterprise. High speed broadband for regional and rural Australia only makes sense in terms of the public good. It does not make sense in terms of increasing shareholder wealth.

Posted by Gary Sauer-Thompson at June 26, 2003 10:59 AM

Trackback Pings

TrackBack URL for this entry:
http://www.sauer-thompson.com/mt2/mt-tb.cgi/306

Comments

Selling of telstra will not resort any beneficial to Australia , there Enormous factors to be considered ,jobs cuts wont help our economy , services in regional areas, our pride of having telstra as our very own, the customer services wont be so sufficient ,call costs and various issues

Posted by: Umair at October 4, 2003 03:40 PM

Selling of telstra will not resort any beneficial to Australia , there Enormous factors to be considered ,jobs cuts wont help our economy , services in regional areas, our pride of having telstra as our very own, the customer services wont be so sufficient ,call costs and various issues

Posted by: Umair at October 4, 2003 03:42 PM

Post a comment




Remember Me?

(you may use HTML tags for style)