Sunday, August 17, 2008

Bank interest rates not falling

This cartoon speaks clearly for itself. Unless you are living the life of a Packer (with apologies to the late Kerry Packer, a man I admire greatly) and money is not a concern then you certainly can relate to it.

What bothers me the most about this cartoon and in particular this current Federal Government is the way that Australians, in a time when ignorance of news, current events and a lack of access to information are no longer a valid excuse, are still being treated as boofheads.

Sure the ALP faithful voted this man Rudd and his crew in but those who crossed the political divide for change sake only are more than likely wishing now that they had actually voted from the head rather than the heart.

Clearly the Federal Government can not change the way the Banks do their business and I actually support that due to my conservative views but what is happening here, with thanks to former PM Paul Keating (how quickly we forget), is nothing more than the ugly side of any ism and that side is GREED.

The other ugly side shining brightly -- and all parties are equally guilty -- is the pretence given to the people that the great public servants can actually do something about this, that watching the train crash will somehow prevent it.

The distraction of the Olympics will soon be over and it will be back to REAL business. I guess there will be a few sickies following the closing ceremony when the punters of this great sports loving nation realise the undeniable truth of "All that glitters is not GOLD ".

News report here. The commercial banks want to build up their reserves to compensate for their recent losses from substandard home loans. So they may not pass on central bank rate cuts to the ordinary borrower. So the ordinary borrower will pay the price for past foolish bank policies.

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