On 9 November 2001, Senator Marise Payne kindly responded to an email of mine. On receipt, I interspersed my thoughts:

At 11:55 AM 9/11/01 +1100, you wrote:

>Dear Mr Kavanagh

>Thank you for your email of 23rd September 2001. I apologise for >the lateness of this reply.

That’s no problem at all, Senator. Thank you for the courtesy of a reply.

>In your email you state “…bailouts just do not work. Not only are >they pernicious, but it is morally wrong that business privatises its >profits but seeks to socialise its losses.” I could not agree more with >this statement.

>Recent calls for the Federal Government to intervene in the Ansett >fiasco are indeed very misplaced. Governments cannot be held >responsible for every firm that goes out of business. Recently Ross >Cameron MP, Member for Parramatta made the comment that >small businessmen in his electorate would never be bailed out if >their businesses went bust.

We’re on common ground here, Senator!

>With regards to your other comments on the possibility of Land >Tax being used by the Federal Government as a way of depressing >the housing market at times when interest rates are reduced, I am >very much of the opinion that this could have many deleterious >effects on the economy. I have never agreed with Land Tax in any >case, as it is in essence a punishment for owning property. The >reason why I believe that it is wise for us to pursue lower interest >rates, is that while the price of land may fluctuate according to land >price speculation, the only way that we can actually directly assist >home buyers is through seeking to reduce the amount they have to >pay to the bank in mortgage repayments.

I am afraid that isn’t possible in the longer term, Senator.  My paper concerning forthcoming economic depression (published in the British magazine Geophilos) makes the case that short term interest rate cuts feed directly into higher and higher land prices and ever-escalating mortgages. Mind you, you’re certainly not alone in your views; I doubt that anyone on any side of politics favours the re-introduction of the federal land tax, such is the lack of knowledge about its virtues when used to curb land price escalation, speculative activity, and replacing taxes on productivity.

>I hope that this letter has given you a clear understanding of where >I stand on these issues.

Yes, Senator: you stand beside every other politician in Canberra – that is, in favour of escalating taxes and land prices, both of which are directing us towards global depression.  Maybe we can speak again when people start looking for a way out of the depression?

I didn’t post this response. My bet is on world property markets peaking in 2026 (viz, 1954-1972-1990-2008-2026) and breaking into an enormous financial depression because we didn’t want to employ the land tax weapon against skyrocketing land prices. I was wrong about Beazley and Crean; I hope I’m wrong about the depression.