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In this urgent essay, George Megalogenis argues that Australia risks becoming globalisation's next and most unnecessary victim. The next shock, whenever it comes, will find us with our economic guard down, and a political system that has shredded its authority. Megalogenis outlines the challenge for Malcolm Turnbull and his government. Our tax system is unfair and we have failed to invest in infrastructure and education. Both sides of politics are clinging defensively to an old model because it tells them a reassuring story of Australian success. But that model has been exhausted by capitalism's extended crisis and the end of the mining boom. Trusting to the market has left us with gridlocked cities, growing inequality and a corporate sector that feels no obligation to pay tax. It is time to redraw the line between market and state. Balancing Act is a passionate look at the politics of change and renewal, and a bold call for active government. It took World War II to provide the energy and focus for the reconstruction that laid the foundation for modern Australia. Will it take another crisis to prompt a new reconstruction? 'Australia is in transition. Saying it is easy. The panic kicks in when we are compelled to describe what the future might look like. There is no complacent middle to aim at. We will either catch the next wave of prosperity, or finally succumb to the Great Recession.' George Megalogenis, Balancing Act
In the last Quarterly Essay for 2010, George Megalogenis considers Australia's political dead zone. The Hawke, Keating and early Howard years were ones of bold reform; recently we have seen an era of power without purpose. But why? Is it down to powerful lobbies, or the media, or a failure of leadership, or all the above? And whatever the case, how will hard decisions be taken for the future? In Trivial Pursuit, Megalogenius dissects the cycle of polls, focus groups and presidential politics and what is has done to the prospect of serious, difficult reform. He argues that politics-as-usual has become a self-defeating game and mounts a persuasive case for a different style of leadership. From now on, he argues, it is the key divisions between young and old, and north and south, that will shape the nation's future. But can a hung parliament and a pragmatic Labor leader rise to the challenge? 'Rudd, Gillard and Abbott sought power in 2010 on the same dangerous premise, that no sacrifice is required to secure our future. Government on this basis is never worth it because the promise of painless change can never be kept. The voters knew it, which is why they spared themselves the inevitable let-down by hanging the parliament.' George Megalogenis, Trivial Pursuit
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