Letters to the editor October 3 2019

If most Australians are already highly indebted, the only way they can spend more is by borrowing more. This will not only take our already very high levels of debt even higher, it will also increase the chances of the economy going backwards in an even bigger way at some point in the future.

Historically low interest rates have not succeeded in significantly increasing the level of economic activity. For all these reasons, I believe the RBA should stop trying to use extremely low interest rates to stimulate economic activity in the current economic environment.

Doug Brewer, Nelson Bay

PIN POINTING TO A PROBLEM

WITH official interest rates the lowest ever at 0.75 per cent ('Latest rate cut unlikely to be last', Herald 2/10), already the banks are not passing on the full benefit to borrowers. It's a practice that has been going on for quite some time now.

With the introduction of credit cards with chips, the requirement for signatures and PIN numbers on credit card purchases was dropped and the tap-and-go system was introduced. In the event of a stolen or lost card being used fraudulently, many financial institutions will bear the cost of these transactions up to $100.

However, while banks are not passing on the full reductions in official rates I believe that they are using it as a means of recouping the above mentioned $100 through the back door. I think they would be in front on this one.

It appears the banking royal commission has achieved little, and it is time the federal government considered reversing the deregulation of the financial industry or at least reintroducing compulsory PIN numbers.

Bill Snow, Stockton

DEEM CHANGES APPROPRIATE

MANY heard our Treasurer Josh Frydenberg, say on Tuesday the government's position is that they expect the latest Reserve Bank interest rate reduction to be passed on in full to customers.

To demonstrate integrity, and for the government to set the example that our Treasurer now espouses, will the government also pass on in full this latest rate reduction by reducing the deeming rate the government instructs Centrelink to apply to retiree investments?

In an effort to clarify, it is that rate that reduces Centrelink partial age pension payments to retirees.

With the ongoing lowering of interest rates, a retiree is also forced by Centrelink's application of deeming rates to draw down more heavily on their superannuation or investment capital that is not being offset by sufficient interest income.

The long-term result is that affected retirees will need to access a Centrelink full-age pension much earlier than was financially planned, bringing heavier government expenditure.

Conversely, retirees forced to reduce spending to help extend their superannuation or investment capital, and without any reduction in the deeming rate, facilitates only an insignificant extension in time before a Centrelink full pension is paid.

Notably, any reduction in retiree or consumer GST eligible spending also reduces the amount of Commonwealth GST collected revenue to be paid to the states.

Richard Barnett, Hallidays Point

United for future

MAJOR political parties (Liberal and Labor) support coal and parliaments are up to their neck in coal, their economies dictate more coalmines. I think politicians are putting us into a fool's paradise.

Climate forecasters have predicted for Australia no significant rainfall for at least seven months from November to April 2020. We are experiencing the worst recorded drought in our history.

Prime Minister Scott Morrison wants more immigration. I think politicians should think twice about the impact more immigration would have on our environment. As it stands now, we are running out of water. Politicians must forget their differences and work together to lower emissions, roll out renewable energy systems and immediately start developing future contingency plans for drinking water and food production for the country as a whole.

Maureen O'Sullivan Davidson, Swansea

ENTITLEMENT ISN'T NEW

DENISE Lindus Trummell (Letters, 24/9): yes it is so easy to just put all the blame on the younger generation for having high aspirations and a sense of entitlement, isn't it?

Where do you think they got that from? Did they just wake up one morning and say "I want the biggest and best of everything", or is it possible that they were encouraged by the older generation, who in the good times were given tax benefits and franking credit "entitlements". Perhaps CEOs getting 10 years of an average workers wages in one year's bonus, or banks offering cheap loans that they most often could not afford?

I also grew up through the earlier times, but the difference between now and then was that I had to show that I could afford a house loan, and holidays weren't expected but worked for and enjoyed all the more when we had one.

Should the young be blamed for what we set them up for?

Allan Earl, Beresfield

WE HAVE OUR OWN TROUBLE

I BELIEVE ScoMo is showing more dedication towards Donald Trump, his Twitter rants and political blunders than his own people back here in Australia who need the help of the government.

Get your priorities right, mate. Your role back here is certainly not to support Trump's pipe dreams nor to cover up his immature actions. Stay in Australia and do your best to resolve our problems, not get involved with a country that can't even introduce gun laws to reduce mass shootings in schools.

Mr Morrison, have you heard that numerous towns in NSW will run out of water by November (Guardian 15/9)?

Maybe your solution might be to amass all our tugs and tow that massive iceberg that has just broken away from the ice shelf (ABC 1/10) back to Newcastle for transport to these townships.

Come on, get cracking on problems at home. Don't get involved with problems overseas that realistically don't mean or concern Aussies.

Graeme Kime, Cameron Park

SHARE YOUR OPINION

Email letters@newcastleherald.com.au or send a text message to 0427 154 176 (include name and suburb). Letters should be fewer than 200 words. Short Takes should be fewer than 50 words. Correspondence may be edited and reproduced in any form

IN my opinion the current discussion on relaxing lockout laws boils down to a conflict between two groups: those supporting the laws, who are concerned for the lives and safety of our young people; and those supporting the liquor and gambling industries. Correct me if I am wrong, but I am not aware of any venues providing entertainment into the early hours of the morning. After midnight, venues provide alcohol and gambling. These two industries make massive donations to both the Coalition and the Australian Labor Party, who I believe dance to their donors' tune.

Joan Lambert, Adamstown

AFTER watching the news for the last few weeks I've decided Australia has no reserve of fuel but a surplus of fools. Still waiting for a ray of hope on climate change? Don't hold your breath. The loss of sand at Stockton beach is a disaster. Imagine, if you will, going for a swim and finding no sand at Nobbys, Dixon Park, Merewether, Blacksmiths or Caves. Anyone starting to get climate change yet?

Ian Osborne, Belmont

PETER Devey (Letters, 30/9) suggests no people are dying from climate change. He has obviously overlooked the 35,000 victims of extreme temperatures and associated wildfires during an August 2003 European heatwave; and the 55,736 Russians who died during a similar event from June to September 2010. Both events were attributed to the climate change he apparently doesn't believe in. Perhaps he feels his non-belief justifies the omission.

Richard Mallaby, Wangi Wangi

GRETA Thunberg and her message must be ignored because she "has no life experience", her critics say. Our Prime Minister has had 51 years' experience on the planet and his answer to fixing the current millennium drought is for Australians to pray for rain. On the one hand we have a 16-year-old imploring us to implement the advice of climate scientists to save us from what's coming, and on the other we have a 51-year-old PM telling us to simply rely on superstition. Surely Australians really don't have to think all that hard about who is worth listening to.

John Arnold, Anna Bay

BARNEY Langford's comments comparing Greta Thunberg to Joan of Arc (Letters, 30/9) only reinforces the point I made. Joan claimed to have received visions from a number of long-dead saints instructing her to recover France from the English. Joan was used by the powers that be, just like I believe Greta was.

John Davies, Newcastle East

IN reply to Peter Devey's and Steve Barnett's criticism of Greta Thunberg's speech at the UN, she will be middle aged in 2050 and can be held to account if she is wrong. I suspect that like me, you two gentlemen will have long departed this earth and will not be held to account if you are wrong.

Jim Bell, Mayfield

YOU have to have some sympathy for 16-year-old climate activist Greta Thunberg, she obviously doesn't realise she is being used by adults who should know better.

Jim Gardiner, New Lambton