Menzies House

Barnett thinks Chinese understand business and WA better than the Kanberra Komrades Kommunity (KKK) aka ALP

WA Premier Colin Barnett says relations between Western Australia and the Gillard government are at a low point, and the Premier has begun forging closer links with Beijing rather than Canberra as economic power shifts to the resource-rich state.

Mr Barnett told the Perth forum, attended by 350 business leaders, that Western Australia's closer ties with China were occurring because 60 per cent of Australia's exports to the Asian superpower were from his state. China invested more in Australia than in any other country. Of that investment, about 80 per cent went into Western Australia.

Mr Barnett said Western Australia accounted for 44 per cent of Australia's exports, equal to the sum of exports from NSW, Victoria and Queensland.

Is that the sound of the secession clock I hear ticking?

Andy Semple

Speak without fear and Question with Boldness

In the news...

Premier Mike Rann won the South Australian election, but not before a few Liberals took some key seats off Labor (including the one where Premier Rann lives - which isn't in his electorate). Some dodgy tactics were employed by Labor though that have had local talkback radio chattering all week.

Meanwhile, business is concerned in Tasmania about the implications of a hung parliament there, with 10 Liberals, 10 Labor and five Greens elected at the weekend.

In the NT, reports are emerging of people who are getting pregnant just so they can access the often controversial baby bonus.

The ‘Capitalist Roaders’ of the PRC

Thomas Greenhalgh writes on the economic impact of freedom of enterprise in China.

The People’s Republic of China (PRC) prides itself upon its corporatist approach to economic growth, particularly geared towards export markets, yet State Owned Enterprises’ (SOEs) now noted poor performance, in regard to inefficiencies and faux profits (through government lending), have left us with the question as to where the greatest impetus for growth within the Chinese economy is, or at least will be. The conclusion is increasingly that economic development is happening despite strong state intervention.

The Little Red Book of Inefficiency

Thomas Greenhalgh writes on the dangers of Chinese State-Capitalism.

The People’s Republic of China’s economic success since 1979, now the world’s fastest-growing major economy, largest manufacturer, second-largest consumer, largest saver, and second-largest military spender, must surely be indicative of China’s State Owned Enterprises’ (SOEs) success, must it not?