Will the Budget solve our two speed economy?
Paul Bastian welcomes the tax on mining profits and the Government’s continued commitment to manufacturing.
It’s no secret that the mining boom has pushed the dollar sky high and caused problems for manufacturers. But Paul Bastian believes the Government is right to be investing in the future and promoting maths and science.
He tells 3Q that innovation in manufacturing is the key to the future and it must be protected at all costs.
Interest in Federal Budget
Q. Thinking about the Federal Budget – how much attention did you pay to this week’s Federal Budget?
|
2009 |
2010 |
2011 |
2012 |
|
| Total a lot/some |
66% |
53% |
52% |
54% |
| Total a little/none |
31% |
44% |
45% |
43% |
| A lot |
29% |
18% |
19% |
20% |
| Some |
37% |
35% |
33% |
34% |
| A little |
25% |
29% |
31% |
31% |
| None |
6% |
15% |
14% |
12% |
| Can’t say |
3% |
3% |
2% |
3% |
Just over half (54%) of respondents said they paid a lot or some attention to the Federal Budget. This is much the same as the corresponding figure of 52% for last year’s budget.
Those most interested were Liberal/National voters (61%), Labor voters (59%) and people aged 55+ (64%). Only 42% of respondents aged 18-34 paid a lot or some attention to the budget.
Impact of Budget
Q. Do you think the Federal Budget was good or bad for you personally?
Q. Do you think the Federal Budget was good or bad for average working people?
Q. Do you think the Federal Budget was good or bad for Australian businesses?
Q. Do you think the Federal Budget was good or bad for the Australian economy overall?
|
You personally |
Working people |
Australian businesses |
Economy overall |
|||||||
|
2010 |
2011 |
2012 |
2012 |
2010 |
2011 |
2012 |
2010 |
2011 |
2012 |
|
| Total good |
22% |
11% |
17% |
31% |
27% |
20% |
10% |
36% |
27% |
26% |
| Total bad |
26% |
29% |
26% |
24% |
32% |
25% |
43% |
28% |
29% |
32% |
| Very good |
3% |
2% |
2% |
4% |
3% |
3% |
1% |
6% |
4% |
4% |
| Good |
19% |
9% |
15% |
27% |
24% |
17% |
9% |
30% |
23% |
22% |
| Neither good nor bad |
33% |
44% |
44% |
33% |
9% |
31% |
29% |
10% |
25% |
25% |
| Bad |
18% |
21% |
17% |
19% |
22% |
19% |
28% |
18% |
21% |
21% |
| Very bad |
8% |
8% |
9% |
5% |
10% |
6% |
15% |
10% |
8% |
11% |
| Don’t know |
20% |
16% |
12% |
12% |
31% |
23% |
18% |
26% |
20% |
17% |
In terms of the economy overall there was a similar response to the 2012 budget compared to last year’s. 26% (down 1%) thought the economy was good for the economy and 32% (up 3%) thought it was bad.
44% of respondents thought the Federal budget was neither good nor bad for them personally – 17% (up 6%) said it was good and 26% (down 3%) bad. 28% of respondents aged 35-44 thought it was good for them while 38% of those aged 55+ thought it was bad.
31% thought it was good for working people and 24% thought it was bad. 35% of part-time workers thought it was good for working people.
43% (up 18%) thought the budget was bad for business, 10% (down 10%) good and 29% said it was neither.
Approval of Budget Items
Q. Do you approve or disapprove of the following parts of the Federal budget?
|
Total approve |
Total disapprove |
Strongly approve |
Approve |
Disapprove |
Strongly disapprove |
Don’t know |
|
| Reduced spending on defence |
48% |
43% |
14% |
34% |
28% |
15% |
10% |
| Increased spending on dental health |
87% |
8% |
30% |
57% |
7% |
1% |
6% |
| Bonus payments to low-income families with children at school |
60% |
33% |
16% |
44% |
20% |
13% |
7% |
| Returning the budget to surplus |
61% |
26% |
15% |
46% |
19% |
7% |
14% |
| Tightening eligibility for parenting payments for single mothers |
65% |
25% |
26% |
39% |
17% |
8% |
10% |
| Increasing tax on super contributions for people on high incomes |
60% |
31% |
28% |
32% |
20% |
11% |
9% |
Respondents were divided on reduced defence spending – 48% approved and 43% disapproved. Support for reduced defence spending was highest among those aged 18-34 (57%).
On all other items measured there was quite strong approval – in particular on increased spending on dental health (87%). Other items received at least 60% support – including 61% approval of returning the budget to surplus. 71% of Labor voters and 58% of Liberal/National voters approved the return to surplus.
Increasing tax on super contributions for people on high incomes was approved by 52% of those on incomes of $1,600+ pw and disapproved by 40%.
Education Funding or Budget Surplus
Q. The Gonski report also recommends a $5 billion increase in education funding with $1.5 billion of this additional funding coming from the Federal Government and the rest from the State Governments. If the Federal Government provides this additional funding it may mean they will not be able to return the budget to surplus next year.
Do you think it is more important to provide this additional funding for schools or more important to return a budget surplus?
|
Total |
Vote Labor |
Vote Lib/Nat |
Vote Greens |
|
| More important to provide additional funding to schools |
61% |
63% |
58% |
83% |
| More important to return a budget surplus |
24% |
25% |
29% |
11% |
| Don’t know |
15% |
12% |
12% |
6% |
61% think it is more important to provide additional funding to schools and 24% say it is more important to return a budget surplus.
Those who think it is more important to provide additional funding were women (65%), aged 45+ (67%), and Greens voters (83%).
Return to Surplus
Q. Do you think it is more important for the Government to return the budget to surplus by 2012/13 as planned – which may mean cutting services and raising taxes – OR should they delay the return to surplus and maintain services and invest in infrastructure?
| April 4 | Total | Vote Labor | Vote Lib/Nat | Vote Greens | |
| Return to surplus by 2012/13, cut services, raise taxes | 14% | 13% | 13% | 19% | 7% |
| Delay return to surplus, maintain services, invest in infrastructure | 69% | 71% | 76% | 68% | 82% |
| Don’t know | 17% | 15% | 11% | 13% | 11% |
13% support the return to surplus by 2012/13 if it means cutting services and raising taxes and 69% think the Government should delay the return to surplus and maintain services and investment. Opinions are unchanged since this question was asked in April.
No more than 19% of any demographic or voter group supported the return to surplus by 2012/13.
Measures Government should take to Return to Surplus
Q. In order to meet their commitment to return to surplus in 2012-13, which measures should the Government take?
| April 4 | Total | Vote Labor | Vote Lib/Nat | Vote Greens | |
| Increase taxes for big corporations | 63% | 72% | 81% | 65% | 86% |
| Reduce tax breaks for high income earners | 51% | 59% | 63% | 57% | 64% |
| Reduce defence spending | 32% | 37% | 32% | 37% | 67% |
| Cut “middle class welfare” such as the Baby Bonus, first home buyers grant and Family Tax Benefit payments | 36% | 35% | 31% | 40% | 29% |
| Cut spending on unemployment and disability benefits | 21% | 21% | 15% | 28% | 13% |
| It does not need to return to surplus so quickly | 38% | 58% | 65% | 56% | 61% |
The most favoured measures for returning the budget to surplus were increasing taxes for big corporations (72%) and reducing tax breaks for high-income earners (59%).
Labor voters were more likely to support increasing taxes for big corporations (81%).
Liberal/National voters were more likely to support cutting spending on unemployment and welfare benefits (28%), and cutting “middle class welfare” (40%).
Since this question was last asked in April, support has increased for increasing taxes for big corporations (+9%) and reducing tax breaks for high income earners (+8%).
However, the major change since April has been a substantial increase in support for the position that the Government does not need to return to surplus so quickly – up 20% to 58%. This position is supported by 65% of Labor voters and 56% of Liberal/National voters.
Interest in Federal Budget
Q. Thinking about the Federal Budget – how much attention did you pay to the Federal Budget?
| 2009 | 2010 | 2011 | |
| Total a lot/some | 66% | 53% | 52% |
| Total a little/none | 31% | 44% | 45% |
| A lot | 29% | 18% | 19% |
| Some | 37% | 35% | 33% |
| A little | 25% | 29% | 31% |
| None | 6% | 15% | 14% |
| Can’t say | 3% | 3% | 2% |
Just over half (52%) of respondents said they paid a lot or some attention to the Federal Budget. This is much the same as the corresponding figure of 53% for last year’s budget.
Those most interested were Liberal/National voters (64%) and people aged 55+ (63%). Only 42% of respondents aged 18-34 paid a lot or some attention to the budget.
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