Media Release

Tuesday 23 August 2005

Schoolyard squabble

In a much-publicised TV debate, Helen and Don point-scored over whose tax cuts are bigger and who should receive them, while the real financial issue facing this country was ignored.

“Compounding interest on debt affects every man, woman and child”, says Democrats for social credit Finance Spokesman John Pemberton. “While the leaders squabble, our debt and interest burdens continue to climb relentlessly.”

“Every loaf of bread is loaded with the cost of debt at every stage of production – from the plough to the plate.”

“The total debt is about $300 billion dollars and rising. We service this debt as taxpayers and as consumers. No one escapes.”

“That is a debt of $300,000 for a family of four, nearly $13,000 of their precious income drained away servicing debt every year,” Pemberton warns.

Slashing interest rates by half would give that average family an extra $125 a week, with no need to cut services or borrow more money.

“Having identified the huge debt and its attached interest burden, we should be asking the economists some questions,” says Pemberton.

“Why is our economy is based on so much debt? Why doesn’t economic analysis begin with debt and its cost?”

“If our leaders must squabble, at least let us hear them point-score over dealing with debt and interest, the true cause of our woes.”

ENDS

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