Human nature.

This week Australia got a lesson on how human nature works - and how it can influence the prosperity of this country.

The Australian Labor party - the present Federal government - is a socialist party whose original policy planks included nationalisation of most industry. Many years ago they proposed to nationalise the banks and the following uproar forced that issue to a vote.
The result was a fat lip and a thick ear for the proposal - and ever since the banks have reigned supreme as a pack of bandits cheerfully robbing their customers with impunity.

Labor has toned down it's socialist credo in recent years, but the underlying format rose to the surface when they banned the $ 8,000 rebate on domestic solar hot water heating for those earning $ 100,000 or more a year.

The principle of " means testing " - long a lynch pin of socialist thinking, reared it's ugly head and seems certain to apply to most other areas of community largess.

So - what was the outcome ? The suppliers of solar hot water systems claim that there has been an eighty percent cancellation of systems on order.

Here we see the other side of human nature. A person with an income of $ 100,000 a year could probably afford the cost of solar hot water - and the huge reduction in running costs would deliver an ongoing saving - but what sticks in their craw is the fact that something that they consider their right has been withdrawn.

It probably wouldn't matter if the original rebate had come with an eligibility clause. What sets up roadblocks in the human nature psych is the fact that something has been taken away - and the obvious answer to that is to totally reject the new offer.

Unfortunately, this exercise in tinkering with human nature hurts both sides of the divide. Australia would be better off if every home had solar hot water. It would aid the global warming battle by reducing electricity use and would bring economy of scale into the manufacturing of solar units, making them more affordable for the less affluent.

Those well off people cancelling orders because of a pig headed attitude to the withdrawn rebate are missing out on a huge reduction in operating costs - and probably contributing to the future increase in electricity costs as more power stations are needed. Hot water heating contributes to a huge slice of power usage.

There are no winners ! Just as a socialist can not withdraw from an attitude of " soak the rich " the average person - rich or poor - will relate negatively to any benefit that is being withdrawn.

That is simply the beast that is named " human nature " !