The new Howard
Up until now seen as a conviction politician, the Prime Minister is taking the path of ruthless pragmatism in pursuit of a fourth term next Saturday, says national affairs editor Mike Steketee
October 02, 2004
YOU could call it collateral damage: when John Howard raised last week the option of pre-emptive strikes against terrorists overseas, other countries suddenly started paying attention to Australia's election campaign.
..With the stakes so high for the Prime Minister, offending a few million people overseas who do not get a vote in next Saturday's election and raising the old spectre of boorish Australians trying to bully countries in the region is just too bad.
..If he can attract votes by spending money yet to arrive in the Government's coffers but which Treasury says should be available during the next four years, touch wood, cross your fingers, then he will do it. If an Opposition policy even hints at appealing to voters, he is prepared to match it or neutralise it. Throwing money at problems before the 2001 election worked, so he is doing it again, except on a scale many times larger -- in fact, greater than anything previously seen in Australia.
If voters have memories of 17 per cent mortgage rates under the Hawke government -- as many do and as the Liberals are reminding them in their television advertising -- and if the focus groups used by parties to tap into the minds of voters are worried about interest rates rising, as they are, then Howard certainly is not going to let the opportunity pass.
..The fact that economists say that a return to interest rates at these levels is inconceivable and that the Coalition's spending from the budget surplus is more likely to feed into higher interest rates than Labor's policies, is irrelevant. What matters is what the voters believe and reinforcing those beliefs.
..Howard is funding election promises mainly by running down the surplus. By contrast, to try to establish its economic credentials, Labor was identifying offsetting savings for most of its new spending, although Latham is putting his fingers into the surplus till as well.
Though the effect on interest rates of either approach is not necessarily large, it would be greater under the Coalition's policies than Labor's.
..Howard has elevated the relationship with the US to a new plane but at the cost of a commitment to a war in Iraq based on false premises and with dangerous consequences for the Middle East and the fight against terrorism. He is the first of the three main original partners of the coalition of the willing to face election but is lucky that Australia has suffered no casualties and that Iraq looks likely to swing votes mainly in safe Liberal and Labor seats.
.. etc ...
http://www.theaustralian.news.com.au/common/story_page/0,5744,10942668%5E28737,00.html