The major political parties in Australia have a bipartisan approach to the sellout of our assets, resources and land.
Heading for Third World poverty
Most of us know that all is not well with the way Australia is being run.
Why is Australia, the World's most richly endowed nation per capita, plunging into Third World poverty at such an alarming rate?
The answer lies in our banking system. If you were permitted to lend ten million dollars you didn't have at 10% per annum you could earn a million a year. If you were permitted to lend the total money in all banks at 10%, even though it was not yours, you would have an annual income of $22,251,900,000 (ABS 1996 figures). Not a bad income having invested nothing of your own. That is exactly what our government allows the banks to do to us using the Fractional Reserve Banking system. The same system that would guarantee the collapse of our monetary system tomorrow if all depositers tried to withdraw even a quarter of their savings on that day.
To understand how banks create money out of thin air, ponder this:
Suppose you have $1000 in your account. The bank counts it as part of their reserve and lends Fred $1000. Now you have $1000 in your account and Fred has $1000 that he is paying $10% on. That adds up to $2000 on paper, even though only your original $1000 ever really existed. Using the 10% Statutory Reserve deposit requirement allowed by our government, and hoping that not too many of their customers will ask for their cash at any one time, the bank can lend ten Freds $1000, giving them an income of $1000 a year from your deposit alone.
When Keating brought in the foreign banks they put the interest up to 18%, 25%, and even 32%. They were pulling in twice the total of all deposits per year without risking or investing a single dollar. Not satisfied with that income, the Statutory Reserve deposit was dropped from 10% to 6% (and called a prime assets ratio) so the banks could lend 15 times their total deposits.
With their profits the financiers bought our minerals, coal, iron ore and uranium, opals, sapphires, sugar cane, feedlots, timber, oil, fishing, hospitals, roads, chemical, pharmaceutical, electrical, tooling, and white goods factories, bridges, jails, tourist resorts, abattoirs, farms, superannuation schemes, railways, buses, trams, cattle stations, Telstra, Commonwealth Bank, railways, electricity, public utilities, and even some water supplies. To add insult to injury, under a 1953 tax agreement the big multinationals pay no tax here. Can you see how they cleaned us out?
But would the Reserve Bank allow such a thing to happen to us, the Australian people?
YES, they would, and did. WHY? Because the Reserve Bank is subservient to the privately owned Clearing House, which allows we Australians to send only a couple of members along to its board meetings so that they can be told what to do, namely, what the world financiers tell them to do.
They didn't teach you about this at school, did they? Did you see it explained in any of the mainstream media?
Instead of warning the Australian people that we were being pushed around by multinational corporations, swindled by international bankers, dictated to by the UN, and bought out by foreigners, the political parties that have governed Australia for the past thirty years have actually co-operated in the process. The sale of our people's bank and invitation to foreign banks to set up operations in Australia has left us at the mercy of international financiers.
"In just three years from June 1992 the amount paid out to foreigners as dividends has increased by 152% ! This is Australian generated wealth that is pouring out of Australia to improve the standard of living in other countries - at Australia's expense !"
So says The Australian Owned Companies Association, in its AusBuy report on Australia's balance of payments. It goes on:
"So in the last 10 years Australia has bought almost as much merchandise as it has sold, has spent a bit more on services than it earned, but has had an enormous loss of $138.9 billion in 'income', this being due to the high level of foreign investment in Australia.
"To finance the 1995 Current Account deficit Australia has had to sell to foreigners the equivalent of 20 Arnotts biscuit companies. The problem is, Australia doesn't have 20 Arnotts biscuit companies, and 60% of the existing one has already been sold to foreigners.
"Selling assets to pay for revenue expenses has to be the ultimate step in bad national management. By the year 2005 it is obvious that there will have to be a change in the Australian Government policies regarding foreign ownership and the protection of Australian industries, if for no other reason than Australia by then will have very little left to sell, nothing left to protect."
Reserve Bank of Australia research (RDP 9405) shows that in 1993 Australia had the highest level of direct foreign investment as a ratio of Gross Domestic Product (GDP) of any major industrialised country.
Foreign investment and job creation
"While there are hundreds of thousands of Australians working for foreign companies, only a small percentage of these jobs have been 'created' by the foreigners. Where there has been growth in the number of Australians employed by particular foreign companies this has usually come from growth in the size of the Australian market or by aquisition of existing businesses or by putting Australian owned companies out of business. Only in rare cases are genuine new jobs created. The extremely high cost to Australia of foreign investment also has a major effect in reducing the number of jobs in Australia."
So says The Australian Owned Companies Association, in its AusBuy report on foreign investment inAustralia. It goes on:
"The takeover offer by the Campbell Soup Co. for Arnotts Biscuits is a good example of the effect of foreign investment on job creation.
"In their submission to the Foreign Investment Review Board dated 24th March 1986, Campbell soup said that if they were given approval to increase their shareholding in Arnotts to 40% then, amongst other benefits, they would increase Arnotts' workforce by 1480 from the level at that date, which was 7500.
"In October 1992, after six years of Campbell Soup involvement, Arnotts was employing 4900 staff, a reduction of 35% NOT an increase as promised, of 20%. By July 1994, the number of employees had decreased again to 4300.
"Why have a Foreign Investment Review Board if a foreigner can promise something and do the opposite? It would be cheaper to have a sign at all major airports saying:
'Australia for sale
no unreasonable offer refused'
Is there anything an ordinary Australian can do about all this?
"The ONLY way to buy back Australia and the ONLY way to to keep Australia Australian owned is to buy from Australian owned companies." says The Australian Owned Companies Association. The Association publishes a series of guides to help you identify which businesses are Australian owned, and which foreign. In most of your common purchases you still have a choice of buying from Australian owned companies or foreign.
Says the Association: "If every Australian averages $50 per week buying Australian made products from Australian owned companies - instead of spending the same amount buying imported products from foreign owned companies, then Australia would:
SAVE $20 BILLION A YEAR ON FOREIGN DEBT
DIRECTLY CREATE 500,000 NEW JOBS
NO LONGER HAVE AN INCREASING FOREIGN DEBT"
For more details on the Sellout of Australia's Assets, see
AusBuy Reports and AusBuy Guides
Tony asks: If you find that you agree with a message presented on this site, please print it out: photocopy it until you run out of paper, then give a copy to each of your friends and neighbours not yet lucky enough to have the Internet !