slapphead_otool

The UK gave a FURTHER 10Bn. Its already in to the tune of 29 Billion pounds.

I agree about it being an Asset, but as we both know an Asset can suddenly vanish in the slip of a pen when things change.

To be blunt, I would struggle to class it as an asset given the state of the shitholes they intend lending it to. Greece, where tax is a dirty word and rioting is the norm? Lending them money is as bad as setting fire to it.

The IMF made a 13 Bn loan to Argentina that went belly up in 2002. The Argies simply refused to repay. The IMF have always claimed that Argentine settled its debts in 2005, but I have some serious doubt. I suspect that a lot was simply written off by the IMF .

As I hinted earlier, no one wants to talk about bad debts, and they vanish from view. The IMF for instance, once wrote off all debts for its 35 worst debtors.

chris955

No the UK is not shit at the moment and is unlikely to be in the future.

commonwealth

sometimes i don't know if you're just being sarcastic

rasen78

If the UK is where you want to be then it is unlikely to be shit. If it isn't where you want to be then it will likely be shit.

However, if you are like me, you will likely be aware that everywhere has its good and its bad. How you deal with those, is down to the individual.

papilon

What's up Slappy?? you keep posting new threads trying to show UK in a very bad light and Australia in a positive way. You keep refering to all the doomsayers?? can't say i find many are out and out doomsayers myself, just people looking for a bit of balance. Your posts make you come across as one of the worst out and out doomsayers on this site. Why???

slapphead_otool

There were a couple of people who kept making doom and gloom comments about Australia and I thought there needed some balance.

I don't think the UK is done for. I think it is readjusting from being a world power to a lower ranking middle power.

Eight years before I was born the UK had the biggest empire the world had ever seen. It was a superpower ranking in military, economic and political might with the USSR and the USA. Now it is somewhere between Spain and France. I saw that decline first hand.

In the last 25 years I have seen Australia ascend in economic military and political importance.

Whilst it is true that Australia has its share of problems, the UK has more, and on a larger scale. Australia is tied to its minerals gas and oil industries, just as the UK is tied to its finance and light manufacturing industries.

china is Australia's main customer, and I agree that is not perfect. The EU is the UK's main customer, and that isn't good either. The EU is just about bankrupt. The UK is having to offer 40 Billion to prop up the EU. Even Australia is having to offer money to keep it afloat. On the other hand, Australia is offering china no financial help.

So when people pop up saying Australia is doomed because of its single customer risk, I simply point out that the UK is in a much more precarious position itself, being tied to a bankrupt and unworkable collection of motley states....

Sorry if I appeared too negative.

chris955

Yes exactly.

papilon

Fair enough, just seemed you were becoming the biggest doomsayer on the board and not just about the UK but a whole range of topics.

commonwealth

and if china goes bust, it's not only oz that's in trouble. the whole world is in trouble. chinese paper money parked in the world's financial centre london will evaporate a million times faster than the tangible resources that australia mines.

mind you, it will take beyond my lifetime to see australian resources drying up.

slapphead_otool

Just me. I will try to be more upbeat.

Mr Grumpy

Australia has at least a full century of natural resources left and more are being found progressively.

Countries with imaginary products like finance will simply die.

commonwealth

uranium will take over fossil fuels when the world realises the so-called green energy sources are so inadequate and expensive to meet the needs of a much bigger population.

and rare earth metals are progressively being found as well. there are very few countries that have these rare earths that power high-tech devices and important technology.

in the meantime, london can sell paper bubbles made from financial derivatives and unrealised gains from money parked by foreigners. but these tricks could be easily transferred to singapore or hong kong or zurich or chicago as well (in a matter of few clicks of the mouse).

commonwealth

less than 1% of Australian land area is used for mining...............

roaringmouse

I would have thought it useful to also note that China's biggest customer is the EU, followed closely by the US. The third biggest customer is Hong Kong, which is technically domestic trade - all of these add up to well over half of their exports from the mainland.

With the jobless in the EU still going up, and who knows what's in store in the US this will mean, presuming less purchase power, that China will not be able to export so much, resulting in people losing jobs there and not needing to import as much from places like Australia.

The EU remaining alive is in the interests of Australia, due to the link through China and the direct import/export link with the EU that Australia has.

slapphead_otool

I fully agree. It is in everyones interests to keep the EU afloat. But the UK is a damn sight closer to the EU than Australia via its link to China.

A failing EU may hurt China, but it sure as hell will hurt the UK more and sooner...