PRIME MINISTER: How exciting is that? All of that enthusiasm and innovation, a reminder, a demonstration, that our commitment to innovation, our science and innovation agenda is driving jobs and growth.
That is what it's all about. We are not trying to win an economics prize or a technology prize, our Government is focussed on ensuring that our children and our grandchildren have great jobs today and tomorrow and in years to come and that we have the strong economic growth that underpins our security, our prosperity as a first world nation with high wages and a generous social welfare safety net.
This is very inspiring today. You can see enthusiasm.
I should make one other observation before you ask us some questions. I want to say how pleased I am that Joe Hockey's appointment as Ambassador to the United States has been announced. Joe is a great Australian. He is one of the most engaging, persuasive people I've known in public life. He's held very high office. He has great contacts in the United States. He is a passionate patriot with a good understanding of how Washington works already. So he will be a very worthy successor to Kim Beazley.
And I want to also on behalf of the Government thank Kim Beazley for his great service as our Ambassador in Washington for so many years.
JOURNALIST: Do you know when Joe Hockey is going start next year?
PRIME MINISTER: Joe will take up his position in January. But the precise date will be no doubt a matter sorted out with Kim and with Julie Bishop.
JOURNALIST: How important is this role given our relationship with the US?
PRIME MINISTER: It's vitally important. Our relationship with the United States is a very deep one. It is not just between a Prime Minister and a President or an Ambassador and a President. It is a people to people relationship. It is very, very complex and intimate and at every level strategic, economic, cultural, social, family, but the Ambassador, the Australian Ambassador in Washington is our representative in the United States.
Joe will be, as Kim has been, the face of Australia to Washington, to the most powerful Government in the world, the face of Australia will be Joe Hockey. So it's a very important role.
JOURNALIST: Can I ask you about the innovation plan quickly? What Budget savings are you prepared to make to pay for it?
PRIME MINISTER: All those matters will be dealt with in MYEFO, so you don't have long to wait.
JOURNALIST: If that is the case then isn't the real road test of the popularity of this plan, shouldn't it wait until then?
PRIME MINISTER: I am not quite sure what you mean by that. The plan will be measured on its success, on the extent to which it inspires greater commitment to innovation. And I have to say that a lot of what we are doing is seeking cultural change. It's not just a question of a tax change here and a tax change there and tweaking the arrangements for granting of research support, research grants. All of those things are important.
It's very complex statement, over 20 measures. One of the most important things is to ensure we develop a culture of innovation so that people are enthusiastic about the future, they see it as filled with opportunities, not threats. They embrace the future rather than being fearful of it. Treat volatility as their friend, as a place of opportunities and you can see that in the room.
People have said for years, it's very hard to get Australian institutions to invest in innovation. Well, here is one of the most venerable superannuation funds, First State Super. They’ve got the message, they have the zeitgeist, they understand that the tenor of the times for success is to back Australian innovation and they're doing it with some very big dollars.
JOURNALIST: Would company tax cuts encourage more companies to make these sort of investments?
PRIME MINISTER: If you cut company tax, you lower cost of capital for companies. So company tax cuts will have a positive economic effect. But they come with a cost. And my esteemed friends here, you know well, the Assistant Treasurer and the Treasurer have got to make sure the Budget adds up.
All taxes, or almost all taxes, have some degree of brake on economic activity. That is why we are looking at the redesign of the tax system so that we raise the money we need with the least brake on economic activity.
JOURNALIST: I just wanted to know if you're bothered by the most recent Newspoll shows a light dip in your popularity?
PRIME MINISTER: I am unruffled. Thank you very much.