Why are we so stupid? A CONTINUING CONVERSATION

PROBLEM

We dig stuff up and sell it to foreign buyers so they can add value and sell it back.

We sell off our country to foreign buyers so they can profit at our expense.

We sell management rights to others because we are unable and stupid.

Indeed, we sell our heritage to others.

We will eventually be leasing someone else’s country.

Why?

Now, the Premier of Victoria wants to sell the leasing rights for our ports to some management company believing that we are so stupid that we can’t manage the facilities ourselves.

Simple finance 101 says that if anyone is willing to pay megabucks for management rights then they must be able to return a healthy profit on that investment.  Therefore, the question is, if someone is willing to pay for that opportunity then why aren't we reaping the same profit?

Stupid people outsource management because they can’t do it themselves.

Smart people make the most of their assets.

We must be stupid.

RESPONSE

I agree not wishing to be political as I know both parties do it but it was the Liberal party that started it with the sales of government run assets. I have often argued, using the SEC as an example - prior to its sale the profit from the monopoly was ploughed back into maintenance and improvements to the service. Once it was sold off the maintenance was cut and the profits from sales distributed to the shareholders

FOLLOW UP
Unfortunately, Kennett had little choice but to sell off utilities with unions running riot destroying what little productivity we had.  This is easily proven by records - just look at the number of public transport strikes prior to the sales and strikes after.

I also must say that Cain Kirner left Victoria in a very parlous state which forced Kennett to sell off the management rights to get money and protect our credit rating.  This is also easily proven by Records.

Personally, I would have preferred that this hadn't happened but unlike Cain Kirner, Kennett didn't walk around with his head in the sand whilst Victoria was sinking.

In this instance, with our ports, we have another Cain Kirner look alike with Andrews.  He has already thrown away circa $700+ million of our money by 'not' building a 'strategic' link for the future of Victoria which would have already produced thousands of  jobs but instead - has achieved nothing.  This stupid 'retrospective' decision has cost us dearly in terms of international reputation, possible investors and our strategic future.

Now he has to sell our strategic future in Melbourne's ports to fund basic domestic maintenance such as level crossings which have zero to do with the future growth of Victoria.  This Government are fools focusing on minutia, the same as every other labour Government, whilst Victoria loses its future.

Indeed, only stupid people outsource management unless there is no choice.  Kennett had no choice but Andrews does.
 

Andrews has made me-me political promises which he can't keep, is currently achieving nothing and is still making more promises for projects in forward estimates decades away.  He seems to have run our coffers dry and is now desperately seeking money by selling our future to fund basic maintenance, to be seen to be doing something and to try and keep political power.

Where is his vision with basic business 101 strategies leading to our future?

Perhaps I am asking too much of a minutia focussed labour Government.