What are some possible drivers for the Aussie economy

With mining fading, unit oversupply about to end all resi construction in Syd, Melb or Bris , a small number of global companies taking over everything, manufacturing in the toilet what is left to drive the Aussie economy. I can see tourism, education and finance but nothing much new. Other ideas?

 

Need more funding in start-ups. Venture funding is a joke here.

Australia is no place for manufacturing - Apparently we are like the 2nd or 3rd most expensive country in the world for manufacturing. One way to make it better is by large scale automation and investing in R&D. Not by slashing research funding in the name of budget deficit - have to see the bigger picture.

 

That'll be good for jobs.

Unless we can utilise some of our mining resources to create more manufacturing for the new automation equipment etc.

We only have services industries and retail left...make sure you are in a service that can't be outsourced to O/S, or a retail sector that isn't disappearing to online..

Our problem is the real cost of employment, but that's not going to change anytime soon; given our lifestyle standard, our Country size and population.

 

Manufacturing jobs are slowly dying down. With R&D and automation, money will come into the country for a change. Local manufacturing also means cheaper prices for locals so keep more money here than send it overseas.

 

Good morning, John; you are up early!!

Local manufacturing won't mean cheaper prices for locals, sadly.

That is why much of our manufacturing has closed down or mover off shore.

Two examples come to mind; in the two industries I have had a fair bit of time and exposure in; Golf (30 years) and now more recently Automotive/Tyres (6.5 years)...

The last Golf manufacturer (PGF) closed down back in the '90's - Spalding were still manufacturing a very small amount of golf balls after this for a while - and the last tyre manufacturer (Dunlop Pacific) closed down some years ago (can't remember the exact date)...maybe 10 years?

 

Morning, Bayview. Actually, never went to bed.

Local manufacturing can result in cheaper prices if automation is used heavily. The wages are simply too high here to be able to compete with countries like China and India. The good thing is those countries are also moving towards heavy automation simply to meet the required throughput, precision and quality.

Electronics manufacturing for example can be very heavily automated. Semiconductor manufacturing - Why isn't that we don't have semiconductor fabrication plants here? Those things costs billions of dollars and only needs like 30 people to run them at full capacity.

Lights-out manufacturing is a real possibility. Raw materials go in, end products come out and are shipped to end users with no human intervention. Humans involved will be skilled in design, management, marketing, maintenance etc. We are still a very wealth country - make hay while the sun shines and all that.

 

Current PM is trying to push Digital Innovation and R&D sector!!!

 

Yeah look at what happened with NBN when he wuz in charge..

 

Yeah, it suddenly became available at our place!
Got a good deal and it works fast! Very happy.

Innovation needs to be supported. Aussies are constantly having to go OS for funding/support for their innovations only to see Australia buy the resultant products back.

 

True...big vision but poor implementation.

Spent billions to buy white elephant!

On my recent to trip, heard Emerson executive having a laugh at NBN roll out.


Same goes for his digital Innovation and R & D.

Most will be funded by various govt agencies.

Digital Innovation from start up grants/subsidiaries

R & D..let's not go there...Rio tinto, BHP are the biggest beneficiaries of R & D grants available.

Enough said !

We really need to subsidize tourism and related sme sector.

Sell our world class education system to wealthy asian.

Boost up farming export by utilizing modern technologies of preserving fresh food.

Encourage/promote skilled migration for regional cities.

 

He is on the right track. Pity it didn't happen before with successive governments before him.

 

But most politicians especially in the past rely keeping manufacturing etc and try to win their votes for the next election.

 

I'd be curious to know where you are located. Anything activated up until very recently (weeks) is likely to be fibre to the premises, so you can most likely thank the previous government. I am yet to hear first hand stories of successful FTTN implementations (apart from the pilot, which had their copper replaced anyway), and while it is possible to place orders in a few locations, I'm not even sure any real sites have been activated (even as of 1st Oct Belmont NSW was listed as "able to order", but I doubt any orders have made it through the sausage factory yet).

Cheers,
Inertia.

 

You forget there is life outside cities.

And no, not weeks but 4 months ago and not fibre to premises, rather Fixed Wireless.

I have no reason to thank the last government (Labor) for anything but the mess we are in today really. Speak for your self on that matter please.

 

Forget revenue growth from primary production. The China-FTA will have a lot to say about it.

R&D has to be in emerging technologies. Even sandstone universities are scrambling for funding and are failing to attract top talent due to serious funding issues.Bionic eye project, computer assisted surgery, hearing aid technologies are same of our success stories. We need more.

Tourism, I strongly agree with. Cut silly visa fees for countries that need one. Speed up processing and aggressively market our world famous outdoors.

Education - need to do better here. Just delivering courses isn't gonna cut it. Has to be top class research universities and the students will queue up. Right now, even top universities have to rely on "agents" to recruit international students and the standard is dropping like a fly.

Immigration - Already doing a pretty good job with skilled migration. Fully support the SIV/PIV visas which also brings in more money into start-ups. Apparently, the demand is not as great as expected because forcing people to invest money in volatile and risky markets isn't for every one but nevertheless a good move.

 

Well you do, because if the Labs didn't announce it as a policy, the Libs would have done nothing. Which would have actually been the more sensible option from an economic conservative perspective.

I do find it amusing (in a bad way) at the incredible mismanagement and attempted secrecy since the Libs have been in. Hasn't gotten the same level of criticism as the Labs got though.

Cheers,
Inertia

 

Like I said, speak for yourself, thank you.

 

Yup the execs at telstra are laughing their way to the bank. Apparently not many people know about the nbn fiasco. With the time and billions spent, major cities should have a respectable optic fiber network by now..

 

The true Liberal mindset: never want to pay for anything, claim everything is a waste of money. But always first to put their hand out.

If you had any idea how long the rollout process is, you'd realise there is a very good chance you should be thanking the previous government. But feel free to bury your head in the sand.

Australia really has to position itself in the smart industries, science, medical, smart/high tech manafacturing, cloud, fintech, etc.

Personally I dont think you could ever go wrong building the NBN, especially as a predominantly fibre service. Still a much better return than half these road projects, education rorts, etc. Plus it sets us up for the future.

I definitely would have built the network different to both the Labor/Liberal plans, though I think Labor's was the better of the two plans.

 

Turnbull provides tax concessions for start-ups - MacroBusiness


Stable science investment: [The sector] will receive $459 million in total over four years, with most funding kicking in from 2017… The government will hand back $200 million to the CSIRO, placed into an innovation fund aimed at co-investing in new companies and existing start-ups…

Tax: Investors will be able to get a 20 per cent tax offset [up to $40,000], rather than a deduction and a capital gains tax exemption…

Start-ups: For established start-ups this will bring forward the point at which they get their tax break, offering a 10 per cent tax rebate for venture capital investments to expand existing start-ups…

Bankruptcy: Laws will be changed to reduce the default bankruptcy period from three years to one year, and a new ‘predominantly similar business test’ will replace the ‘same business test’, allowing businesses to access past losses…

University funding incentives: The government will allocate $127 million over four years of research block grant funding towards collaboration between industry and universities…

Visas: There will be a new entrepreneurs visa created to bring in international talent, and post-grad students with STEM or ICT talent will be fast-tracked for permanent residency…

Government body: The government will create a new board in the Industry Department called Innovation and Science Australia, as well as a new innovation and science committee of cabinet.