At the start of the twentieth century superannuation was something reserved for the executive staff of banks, insurance companies and a few other large trading corporations The expectation of ordinary wage earners was that retirement delivered a very frugal life sustained by the old age pension.
By the mid point of that century superannuation was steadily becoming more widely accessible in the workplace. It was common for many people to work for the same employer for all of their working life and industry saw it as a way of ensuring loyalty. An employee with a growing retirement nest egg was unlikely to be poached away by a competitor offering a small pay increase.
Eventually, the government became alarmed at the numbers predicted to be eligible for the aged pension as our population grew and implemented a national superannuation scheme which required employers to contribute a percentage of the wage paid into a retirement account. The aim was to have all citizens retire without need for the aged pension.
Unfortunately, there are gaping holes in this ambition. People who constantly changed jobs ended up with small amounts scattered in numerous funds with poor earning capacity. It missed the target on those who are self employed and women usually fell short of an adequate retirement because they were paid less than men, often left the workforce to have children and lived longer in old age. These shortages are expanding as we embrace the gig economy and the workforce has changed from permanent to casual employment.
The government plans to lift the employer contribution from 9% to 12% and there is a fear that this will continue the wage stagnation that is currently evident. We live in an ever changing world and this entire retirement issue needs a new planning approach if it is to avoid the same problems that are seeing many retire with insufficient savings to fund their lifestyle.
One of the deficiencies of the present system concerns our Indigenous people. Unfortunately, they do not enjoy the same longevity as out non-indigenous citizens of whom men live for 80.2 years and woman 83.4. In comparison, Aboriginal and Torres Strait islanders achieve 71.6 years for men and 75.6 for women.
Despite this shorter lifestyle, the age at which they can access their superannuation is the same for both of the indigenous and non-indigenous groupings. Given those lifetime discrepancies it would not be unreasonable to expect them to gain access earlier to compensate for the much shorter time they will experience in retirement.
Tinkering at the edges of the national retirement policy will only perpetuate the same mistakes. Now would be the right time to take it apart and reconstitute what needs to be done to take into account the changes that are taking place in employment in Australia, and that may include the tax that apply to the gig economy to compensate for the lack of money it contributes to the retirement pool.
Friday, 7 February 2020
Thursday, 6 February 2020
Disrupting Home Prices !
The machinations of the International Monetary Fund are of little interest to most householders but a change at the top is about to impact on house finance and it seems an absolute certainty that we about to see the greatest market change in a hundred years.
When legendary Frenchwoman Christine Lagarde headed the fund it ignored global warming and concentrated on market stability. The recession that hit in 2008 caused a momentary scare, but a scarcity of buyers and a drop in the asking price quickly evaporated and the price spiral recovered its ever upward climb.
The new managing director of the International Monetary Fund is Kristalina Georgeiva (66), an environmental economist from Bulgaria. The cities of the world that are leading this housing price spiral are Sydney and Hong Kong and here the median house price is hovering close to a million dollars. What is being studiously ignored is the effect rising sea levels will have on land fronting beaches and where building on river flood plains is now expanding. Science tells us this will be very apparent by the middle of this century - and that is just thirty years away.
We have had a waning of what to expect. In 2016 a storm off our east coast created a sea surge that stripped away beaches at Collaroy and destroyed the foundations of a group of beachfront homes. Both the oil and the coal industries have been spreading doubt on global warming in an effort to protect their markets and the very homes that are most at risk are the ones attracting the highest resale prices. These days a home fronting onto a beach is a multi million dollar proposition and usually attracts a mortgage that reflects that price tag.
The demand for new homes is seeing new estates built on flood plains beside rivers with the claim that they may see hundred year flood events. A rising sea delivers rising river levels and within the span of many existing mortgages that flood may be a matter of when the daily high tide arrives. That the banks are still freely lending for properties that will be subjected to flooding is madness.
It is likely that the diktat of the International Monetary Fund is about to bring change and for ordinary citizens the financial aspect can be devastating. The price expectation of the home we live in is the foundation of our personal wealth. What it is worth is decided by what others are prepared to pay for it and if the banks refuse to finance new loans that value will drop very sharply. It seems obvious that this global warming equation and rising sea level is about to impact on the valuation of all low land - and it is the priciest suburbs that will be hit the hardest.
The banks have been ignoring this risk because the seeming inevitability of ever upward house price inflation has brought stability. Should a borrower default on a loan, returning the home to the market ensures a plurality of buyers and now the long term effect of climate change on house prices is about to impact on those areas which will feel the first effects of rising sea levels.
It was inevitable that this housing price bubble would eventually burst but the effect will be felt hardest on the areas which presently are the most attractive to buyers. It is the ambition of many to live in a beach front home, and that home price is accordingly high.
It seems that home elevation on a flood map will be the new valuation index that will determine mortgage eligibility - and the price level !
When legendary Frenchwoman Christine Lagarde headed the fund it ignored global warming and concentrated on market stability. The recession that hit in 2008 caused a momentary scare, but a scarcity of buyers and a drop in the asking price quickly evaporated and the price spiral recovered its ever upward climb.
The new managing director of the International Monetary Fund is Kristalina Georgeiva (66), an environmental economist from Bulgaria. The cities of the world that are leading this housing price spiral are Sydney and Hong Kong and here the median house price is hovering close to a million dollars. What is being studiously ignored is the effect rising sea levels will have on land fronting beaches and where building on river flood plains is now expanding. Science tells us this will be very apparent by the middle of this century - and that is just thirty years away.
We have had a waning of what to expect. In 2016 a storm off our east coast created a sea surge that stripped away beaches at Collaroy and destroyed the foundations of a group of beachfront homes. Both the oil and the coal industries have been spreading doubt on global warming in an effort to protect their markets and the very homes that are most at risk are the ones attracting the highest resale prices. These days a home fronting onto a beach is a multi million dollar proposition and usually attracts a mortgage that reflects that price tag.
The demand for new homes is seeing new estates built on flood plains beside rivers with the claim that they may see hundred year flood events. A rising sea delivers rising river levels and within the span of many existing mortgages that flood may be a matter of when the daily high tide arrives. That the banks are still freely lending for properties that will be subjected to flooding is madness.
It is likely that the diktat of the International Monetary Fund is about to bring change and for ordinary citizens the financial aspect can be devastating. The price expectation of the home we live in is the foundation of our personal wealth. What it is worth is decided by what others are prepared to pay for it and if the banks refuse to finance new loans that value will drop very sharply. It seems obvious that this global warming equation and rising sea level is about to impact on the valuation of all low land - and it is the priciest suburbs that will be hit the hardest.
The banks have been ignoring this risk because the seeming inevitability of ever upward house price inflation has brought stability. Should a borrower default on a loan, returning the home to the market ensures a plurality of buyers and now the long term effect of climate change on house prices is about to impact on those areas which will feel the first effects of rising sea levels.
It was inevitable that this housing price bubble would eventually burst but the effect will be felt hardest on the areas which presently are the most attractive to buyers. It is the ambition of many to live in a beach front home, and that home price is accordingly high.
It seems that home elevation on a flood map will be the new valuation index that will determine mortgage eligibility - and the price level !
Wednesday, 5 February 2020
Driving Home the Message !
A hot summer Sunday night in Sydney. Seven children were walking in a group on a footpath, some with pushbikes when a Mitsubishi Triton SUV ran a red light off busy Pennant Hills road and roared into their street, swerving over double lines to overtake a slower car on the wrong side of the road. Somehow the driver lost control and it mounted the kerb - and slammed into that group of children.
Four died on that roadside. Three - from the same family - were killed. Another - a cousin - was critically injured and the others are in hospital with serious injuries. The driver was a 29 year old man and a breath test allegedly returned a reading of .150, nearly four times over the legal alcohol limit. He was arrested and charged with twenty offences which include manslaughter, dangerous driving causing death and high range drink driving. It seems inevitable that he will serve a lengthy prison sentence.
This is a tragedy for the family that lost three of their children to an act of stupidity. Seeing those dreadful pictures on television probably revived memories for many viewers of times they have driven home drunk - and had the good luck to avoid causing a similar accident. There are few of us who have not at some time in our lives driven a car when affected with alcohol.
That killer driver is probably a nice young man in most other aspects, but today he is protected from other prisoners because he will be a marked man in the prison system. Whatever career he was following will be disrupted and his life is changed forever. The death of those children will forever haunt his imagination.
Once again the authorities juggle the question of how we get drunk or drug affected drivers off the road. The good news is that this is a declining offence and that can clearly be sheeted home to random breath testing. We were much more likely to have a few drinks and drive before those booze buses put fear into the equation and the percentage caught drink driving edges slowly lower. The money it takes to mount a saturation breath test programme is money well spent because that is what gets through to the average driver. It is the fear factor that a breath test can take place - anywhere and at any time.
Unfortunately, there is an element that does not respond to reason. They are usually young and out of control and often behind the wheel of a stolen car. They delight in outrunning police pursuits and when their driving license is suspended they drive regardless. Usually, they are well known to the police and there is a need for them to be given special attention. It is time that driving with a cancelled license automatically sees the offender serve a prison sentence.
We will never totally eliminate the drunken driver until self driving cars eliminate humans from behind the wheel. The biggest problem is the driver who does not set out to exceed the drink limit but gets carried away with the bonhomie - and finds himself or herself on the wrong side of that .05 limit. That is where the decision to call a cab - or drive home regardless is critical.
Making that right decision will probably hinge on the fear factor from seeing those flashing blue lights and breath testing taking place at all times of the day and night. That is proving the most effective weapon in reducing drink driving !
Four died on that roadside. Three - from the same family - were killed. Another - a cousin - was critically injured and the others are in hospital with serious injuries. The driver was a 29 year old man and a breath test allegedly returned a reading of .150, nearly four times over the legal alcohol limit. He was arrested and charged with twenty offences which include manslaughter, dangerous driving causing death and high range drink driving. It seems inevitable that he will serve a lengthy prison sentence.
This is a tragedy for the family that lost three of their children to an act of stupidity. Seeing those dreadful pictures on television probably revived memories for many viewers of times they have driven home drunk - and had the good luck to avoid causing a similar accident. There are few of us who have not at some time in our lives driven a car when affected with alcohol.
That killer driver is probably a nice young man in most other aspects, but today he is protected from other prisoners because he will be a marked man in the prison system. Whatever career he was following will be disrupted and his life is changed forever. The death of those children will forever haunt his imagination.
Once again the authorities juggle the question of how we get drunk or drug affected drivers off the road. The good news is that this is a declining offence and that can clearly be sheeted home to random breath testing. We were much more likely to have a few drinks and drive before those booze buses put fear into the equation and the percentage caught drink driving edges slowly lower. The money it takes to mount a saturation breath test programme is money well spent because that is what gets through to the average driver. It is the fear factor that a breath test can take place - anywhere and at any time.
Unfortunately, there is an element that does not respond to reason. They are usually young and out of control and often behind the wheel of a stolen car. They delight in outrunning police pursuits and when their driving license is suspended they drive regardless. Usually, they are well known to the police and there is a need for them to be given special attention. It is time that driving with a cancelled license automatically sees the offender serve a prison sentence.
We will never totally eliminate the drunken driver until self driving cars eliminate humans from behind the wheel. The biggest problem is the driver who does not set out to exceed the drink limit but gets carried away with the bonhomie - and finds himself or herself on the wrong side of that .05 limit. That is where the decision to call a cab - or drive home regardless is critical.
Making that right decision will probably hinge on the fear factor from seeing those flashing blue lights and breath testing taking place at all times of the day and night. That is proving the most effective weapon in reducing drink driving !
Tuesday, 4 February 2020
Life After the EU !
After forty seven years of membership, Britain has finally severed its connection to the EU, but in the worst possible circumstances. For the next year it will be subjected to the EU rules but will not have a vote in the decision making process. That will be a time of negotiation to decide the terms that will apply to this " divorce " settlement and it is quite possible that twelve months from now a " no deal " exit may still be the final outcome.
Britain is negotiating from a position of weakness because all the power is now with the remaining EU members. They have a vested interest in not making the terms of partition too generous to discourage other unhappy member countries from bolting out the door. So far, the British problems with negotiating an orderly exit have tamped down discontent in the rank and file.
The big issue is how Britain will trade with the other EU countries. The EU started out as a common market in which member countries gave preference to the goods exchanged between one another. As an outsider, Britain is no longer entitled to that preference. The old British empire has evaporated and Britain must stand on its own two feet and trade with the rest of the world. This may not be welcomed if it disrupts existing trading block arrangements.
Perhaps the greatest area of friction may be within Britain itself. A great number of the population voted at the referendum to remain in the EU and lost by a small margin. Scotland is likely to demand another vote on remaining within the United Kingdom and hopes to re-join the EU. That land border question in Ireland remains explosive and will doubtlessly dog the negotiations to arrange the final outcome of Britain's withdrawal from the EU.
Some EU members may re-engage old disputes with Britain now their vote is vital in seeking a settlement. The status of Gibraltar is an old sore with Spain and may prove a hindrance in getting Spanish acceptance to withdrawal terms. In the past Spain has closed the border and disconnected telephone contact to stop Spanish workers accessing the colony. Britain would be wise to remember the Argentinian invasion of the Falkland islands when it thought Britain was distracted.
The biggest question is whether the people of Britain will enjoy what they term " getting their country back ". Britain will still be the preferred destination for those escaping intolerant regimes and vast pools of refugees still exist on the continent awaiting a chance to cross the English channel. Britain neither changed its currency to the Euro or took part in the free movement across borders without passports or visas so it was spared the worst of change within the EU and it will still be subject to the International Court of Justice.
Perhaps this new " freedom " is mainly an illusion. The blame for a changing world was sheeted home to EU membership. There is no going back to an earlier world when Britain was head to a vast empire and " ruled the waves ". Now it is a matter of fitting in to what may prove to be an unfriendly world of the future.
Britain is negotiating from a position of weakness because all the power is now with the remaining EU members. They have a vested interest in not making the terms of partition too generous to discourage other unhappy member countries from bolting out the door. So far, the British problems with negotiating an orderly exit have tamped down discontent in the rank and file.
The big issue is how Britain will trade with the other EU countries. The EU started out as a common market in which member countries gave preference to the goods exchanged between one another. As an outsider, Britain is no longer entitled to that preference. The old British empire has evaporated and Britain must stand on its own two feet and trade with the rest of the world. This may not be welcomed if it disrupts existing trading block arrangements.
Perhaps the greatest area of friction may be within Britain itself. A great number of the population voted at the referendum to remain in the EU and lost by a small margin. Scotland is likely to demand another vote on remaining within the United Kingdom and hopes to re-join the EU. That land border question in Ireland remains explosive and will doubtlessly dog the negotiations to arrange the final outcome of Britain's withdrawal from the EU.
Some EU members may re-engage old disputes with Britain now their vote is vital in seeking a settlement. The status of Gibraltar is an old sore with Spain and may prove a hindrance in getting Spanish acceptance to withdrawal terms. In the past Spain has closed the border and disconnected telephone contact to stop Spanish workers accessing the colony. Britain would be wise to remember the Argentinian invasion of the Falkland islands when it thought Britain was distracted.
The biggest question is whether the people of Britain will enjoy what they term " getting their country back ". Britain will still be the preferred destination for those escaping intolerant regimes and vast pools of refugees still exist on the continent awaiting a chance to cross the English channel. Britain neither changed its currency to the Euro or took part in the free movement across borders without passports or visas so it was spared the worst of change within the EU and it will still be subject to the International Court of Justice.
Perhaps this new " freedom " is mainly an illusion. The blame for a changing world was sheeted home to EU membership. There is no going back to an earlier world when Britain was head to a vast empire and " ruled the waves ". Now it is a matter of fitting in to what may prove to be an unfriendly world of the future.
Monday, 3 February 2020
Limiting Purchasing Choice !
Aldous Huxley predicted in his book that in 1984 our lives would be controlled by a " Big Brother " appointed by the government. That date came and went without incident, but today we are nearer the scenario described in " Animal Farm ", Some are more equal than others !
We seem to be on the cusp of seeing a cashless welfare card displacing the practices of putting money in people's bank accounts. The government despairs that too many people simply waste the largesse the government provides on alcohol, tobacco and gambling and in many cases this results in both domestic violence and their dependents living in poverty.
The results from trials of this system are promising. The statistics show that in rural test areas where the cashless card applied there was a sharp decrease in alcohol sales and police responded to fewer callouts of a domestic violence nature. These trial were carried out in Bundaberg and Hervey Bay in Queensland, Ceduna in South Australia and Western Australia's Kimberley region. Significantly, all had a significant indigenous population.
The operational function is fairly simple. This cashless card can only be used in nominated stores where it will not be accepted for the purchase of alcohol, tobacco or for any form of gambling. It can be used for domestic outgoings such as rent, electricity and gas, but the balance in the account can not be converted into a cash withdrawal.
This outcome has the government thinking of applying the system to all forms of welfare and obviously it would be resented by the vast majority of recipients who handle their benefits wisely. Its application would also distort the integrity of the market place because many shops would be excluded from the supply chain and only selected big stores with scanning equipment in place would be nominated as supply points.
This type of goods policing is specially applicable to both Coles and Woolworths. All their merchandise passes through a scanner at point of sale and the computer can be programmed to reject a wide variety of items that fail this welfare test. Exclusion of welfare spending from cafes and the general shopping diaspora would seriously disadvantage retail shopping centres.
This cashless card idea might be better suited for application on a more limited basis. An alcoholic or a person addicted to drugs might request that card as a way of curbing their spending habits, but applying it to all forms of welfare would be a slap in the face for the vast number of people who manage their money well.
It also opens the door to a sharper approach to lifestyle management. We are constantly urged to avoid sugary soda drinks that expand waistlines. It would be tempting to exclude such fare from purchase with cashless welfare cards on a public health basis but that is just the type of intrusion that once started can be endless.
The government might be wise to avoid applying the cashless welfare card to all forms of welfare. It might be better selectively applied where spending is out of control, resulting in repeat police attention to respond to domestic violence and child protection.
What is really at issue here is " ownership " of money distributed by act of parliament. At this point spending it is at the discretion of the recipient. The cashless welfare card brings those decisions back under government control !
We seem to be on the cusp of seeing a cashless welfare card displacing the practices of putting money in people's bank accounts. The government despairs that too many people simply waste the largesse the government provides on alcohol, tobacco and gambling and in many cases this results in both domestic violence and their dependents living in poverty.
The results from trials of this system are promising. The statistics show that in rural test areas where the cashless card applied there was a sharp decrease in alcohol sales and police responded to fewer callouts of a domestic violence nature. These trial were carried out in Bundaberg and Hervey Bay in Queensland, Ceduna in South Australia and Western Australia's Kimberley region. Significantly, all had a significant indigenous population.
The operational function is fairly simple. This cashless card can only be used in nominated stores where it will not be accepted for the purchase of alcohol, tobacco or for any form of gambling. It can be used for domestic outgoings such as rent, electricity and gas, but the balance in the account can not be converted into a cash withdrawal.
This outcome has the government thinking of applying the system to all forms of welfare and obviously it would be resented by the vast majority of recipients who handle their benefits wisely. Its application would also distort the integrity of the market place because many shops would be excluded from the supply chain and only selected big stores with scanning equipment in place would be nominated as supply points.
This type of goods policing is specially applicable to both Coles and Woolworths. All their merchandise passes through a scanner at point of sale and the computer can be programmed to reject a wide variety of items that fail this welfare test. Exclusion of welfare spending from cafes and the general shopping diaspora would seriously disadvantage retail shopping centres.
This cashless card idea might be better suited for application on a more limited basis. An alcoholic or a person addicted to drugs might request that card as a way of curbing their spending habits, but applying it to all forms of welfare would be a slap in the face for the vast number of people who manage their money well.
It also opens the door to a sharper approach to lifestyle management. We are constantly urged to avoid sugary soda drinks that expand waistlines. It would be tempting to exclude such fare from purchase with cashless welfare cards on a public health basis but that is just the type of intrusion that once started can be endless.
The government might be wise to avoid applying the cashless welfare card to all forms of welfare. It might be better selectively applied where spending is out of control, resulting in repeat police attention to respond to domestic violence and child protection.
What is really at issue here is " ownership " of money distributed by act of parliament. At this point spending it is at the discretion of the recipient. The cashless welfare card brings those decisions back under government control !
Sunday, 2 February 2020
Wiring the World !
That old adage that a " chain is only as strong as its weakest link " applies to the 5G communications network which will become reality across the world later this year. It is the inevitable advance of personal communication systems linked to the internet that arrived scores of years ago with a handset about the size of a brick. 5G promises an interconnected world which will deliver marvels way beyond the realm of human imagination.
Britain's prime minister, Boris Johnston has just caved in to pressure from China and announced that he will allow Huawei to supply component parts for Britain's 5G network. This breaks a world consensus aimed at keeping this Chinese technology giant from slipping backdoor entry points into the system that will allow China's homeland security services to eavesdrop on personal conversations and steal sensitive trade secrets from commercial traffic.
Johnston dismisses this concern when he claims that Huawei will only be allowed to supply perimeter equipment which is separated from the core. Across the world the leading operators of 5G services are implacable that the core and radio services are so integrated that they can not be separated. This British decision is putting 5G at risk of being rejected as the communication channel between the " Five Eyes " intelligence network shared between the United States, Britain, Australia, Canada and New Zealand. These countries would not transmit information that might be intercepted by China.
The Communist system of government in China is closely linked to industry and it is known that Huawei is integrated with Chinese state security. Inviting Huawei into supplying 5G components would be similar to allowing the KGB to run the world telephone network back in the days of the cold war.
There is the expectation that when 5G goes into full operation the relentless advance of computers running essential services will achieve even more power and disruption as a war weapon would be completely devastating. Even now, a communication break shuts down the banking system, brings the supply of electric power to a standstill with the trains and trams no longer moving people and the petrol stations unable to provide petrol for car transport. Australia - and the world - would grind to a halt if the computer network stopped working.
The ability of the computer will be further advanced by the 5G system and it is inevitable that human minds will apply it to more functions in the interests of efficiency and cost saving. Our biggest fear has been a nuclear war that takes civilization back to the stone age. Perhaps our growing reliance on the computer and the system that links them to our everyday living world is capable of delivering a similar event if it is open to sabotage.
Perhaps we are just too far along the way to a wired world to turn back. Just like that nuclear bomb ensuring the inability to wage war, perhaps the ability of the west to close down the entire 5G system might be sufficient to convince the Chinese to play by the rules. In an interconnected world there can be no winners. Perhaps the computer has replaced the atom bomb as the primary threat to the human species !
Britain's prime minister, Boris Johnston has just caved in to pressure from China and announced that he will allow Huawei to supply component parts for Britain's 5G network. This breaks a world consensus aimed at keeping this Chinese technology giant from slipping backdoor entry points into the system that will allow China's homeland security services to eavesdrop on personal conversations and steal sensitive trade secrets from commercial traffic.
Johnston dismisses this concern when he claims that Huawei will only be allowed to supply perimeter equipment which is separated from the core. Across the world the leading operators of 5G services are implacable that the core and radio services are so integrated that they can not be separated. This British decision is putting 5G at risk of being rejected as the communication channel between the " Five Eyes " intelligence network shared between the United States, Britain, Australia, Canada and New Zealand. These countries would not transmit information that might be intercepted by China.
The Communist system of government in China is closely linked to industry and it is known that Huawei is integrated with Chinese state security. Inviting Huawei into supplying 5G components would be similar to allowing the KGB to run the world telephone network back in the days of the cold war.
There is the expectation that when 5G goes into full operation the relentless advance of computers running essential services will achieve even more power and disruption as a war weapon would be completely devastating. Even now, a communication break shuts down the banking system, brings the supply of electric power to a standstill with the trains and trams no longer moving people and the petrol stations unable to provide petrol for car transport. Australia - and the world - would grind to a halt if the computer network stopped working.
The ability of the computer will be further advanced by the 5G system and it is inevitable that human minds will apply it to more functions in the interests of efficiency and cost saving. Our biggest fear has been a nuclear war that takes civilization back to the stone age. Perhaps our growing reliance on the computer and the system that links them to our everyday living world is capable of delivering a similar event if it is open to sabotage.
Perhaps we are just too far along the way to a wired world to turn back. Just like that nuclear bomb ensuring the inability to wage war, perhaps the ability of the west to close down the entire 5G system might be sufficient to convince the Chinese to play by the rules. In an interconnected world there can be no winners. Perhaps the computer has replaced the atom bomb as the primary threat to the human species !
Saturday, 1 February 2020
A Peace " Hoax " !
What an absolute joke ! Donald Trump, the president of the United States called a press conference and with Israeli prime minister Benjamin Netanyahu standing at his side, announced their joint plan to solve the problem of finding a home for the displaced Palestinians now existing within the borders of the Israeli state.
Trump just happens to be only the third United States president ever facing impeachment for abuse of office and Netanyahu has been indicted for corruption and is fighting moves to make him face a judge and jury. His hold on office is under threat.
What is so ludicrous about this plan is the absolute lack of a single Arab joining their press conference to give it support. Two men who badly needed a distraction to take media attention away from their travails cobbled together a plan that gave the Israeli state what it wanted and melded the scraps left over into a disjointed framework they had the effrontery to describe as a Palestinian state.
To add insult to injury. The Palestinians stated wish to have their capital in East Jerusalem has been granted, but Jerusalem will be the Israeli capital and the small area allocated to Palestinian control will be the less salubrious neighbourhood with boundary limits.
The Arabs have had a raw deal from the west over a very long time. They fought with the victors in the first world war on the promise of an Arab state which was denied when the Middle East was carved up after the war by the victorious powers. Then the second world war delivered the Nazi Holocaust and many European nations faced the shame of how complicit their citizens had been during the occupation in sending Jews to the concentration camps. The survivors were unwanted in Europe and imposing a homeland in Palestine seemed an act of contrition which got universal support.
Israel has fought - and won - several wars against surrounding Arab armies and regards the Palestinians living within its borders as a " Fifth Column " that requires strict suppression. A peace deal has seemed close to agreement on several occasions but old enmities run deep and the Palestinians find themselves an oppressed people in what is now a Jewish state. It seems to be the hope of the Israelis that this oppression will eventually cause them to migrate out of Israel and find a new home in the surrounding Arab countries.
This Trump and Netanyahu peace plan is going nowhere. The Israeli war machine is fed and supplied by the United States and consequently it has an " edge " over surrounding armies. As long as that continues it will survive in the Middle East and be close to perpetual war with its neighbours. The only hope of a settlement rests on some change of world power in the future which is less supportive of Israel and demands the contested land be divided into two states.
While the world chess board holds its present power pattern real change in the Middle East is highly unlikely !
Trump just happens to be only the third United States president ever facing impeachment for abuse of office and Netanyahu has been indicted for corruption and is fighting moves to make him face a judge and jury. His hold on office is under threat.
What is so ludicrous about this plan is the absolute lack of a single Arab joining their press conference to give it support. Two men who badly needed a distraction to take media attention away from their travails cobbled together a plan that gave the Israeli state what it wanted and melded the scraps left over into a disjointed framework they had the effrontery to describe as a Palestinian state.
To add insult to injury. The Palestinians stated wish to have their capital in East Jerusalem has been granted, but Jerusalem will be the Israeli capital and the small area allocated to Palestinian control will be the less salubrious neighbourhood with boundary limits.
The Arabs have had a raw deal from the west over a very long time. They fought with the victors in the first world war on the promise of an Arab state which was denied when the Middle East was carved up after the war by the victorious powers. Then the second world war delivered the Nazi Holocaust and many European nations faced the shame of how complicit their citizens had been during the occupation in sending Jews to the concentration camps. The survivors were unwanted in Europe and imposing a homeland in Palestine seemed an act of contrition which got universal support.
Israel has fought - and won - several wars against surrounding Arab armies and regards the Palestinians living within its borders as a " Fifth Column " that requires strict suppression. A peace deal has seemed close to agreement on several occasions but old enmities run deep and the Palestinians find themselves an oppressed people in what is now a Jewish state. It seems to be the hope of the Israelis that this oppression will eventually cause them to migrate out of Israel and find a new home in the surrounding Arab countries.
This Trump and Netanyahu peace plan is going nowhere. The Israeli war machine is fed and supplied by the United States and consequently it has an " edge " over surrounding armies. As long as that continues it will survive in the Middle East and be close to perpetual war with its neighbours. The only hope of a settlement rests on some change of world power in the future which is less supportive of Israel and demands the contested land be divided into two states.
While the world chess board holds its present power pattern real change in the Middle East is highly unlikely !
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