Just last night I was having dinner over at a friend's place. We had pasta and salads. Just before the dinner, my friend's mate came over to collect some chairs. We had a little conversations and wondering what kind of profession he is in. Then we touched on the economy crisis and if he was affected. He told me he is not worry too much about it. He is planning to sell his home in Sydney and move to a lower cost area in Queensland. Then he will go on dole - collecting income from the government for being jobless. And it seems it's becoming a trend!
After dinner, I was watching the news. The Prime Minister Rudd announced that the government has lost 115Billion AUD from various taxes, such as corporate tax, GST and etc. In another word, the government do not have much income!
Now let me piece this together. If majority of the people going on dole, expecting the government to hand them the money, the question now became, where does the money come from?? Sooner or later, the government may go bankrupt, if the economy is not generating enough fund for the government. The only thing I can think right now is Personal Income Tax! Whatever it is, the crisis has deepening. I begin to see more complications.
1 comment:
I am sure you know that the country Iceland has declared bankrupt. I read that the next likely Europe nation to be bankrupt is UK! Can you imagine that!? Will Australia be faced with the same fate???
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