CHECK AGAINST DELIVERY EMBARGOED UNTIL DELIVERY
SPEECH BY THE PRIME MINISTER
ALP DINNER SYDNEY
3 DECEMBER 1986
MR PRESIDENT, THE PREMIERS OF NEW SOUTH WALES AND WESTERN AUSTRALIA,
DISTINGUISHED GUESTS, LADIES AND GENTLEMEN.
THIS IS THE LAST OF THIS YEAR'S ROUND OF DINNERS UNDER THE AUSPICES OF
THE NEW SOUTH WALES LABOR PARTY. SOMETIMES, IT SEEMS ALMOST AS IF WE
HAVE BEEN EATING OUR WAY THROUGH THE CALENDAR TOGETHER.
BUT BEFORE YOU GET TOO RELAXED ABOUT THIS BEING THE FINALE, I HAVE TO WARN
YOU THAT YOU MAY BE ASKED TO MEET A GREATER CHALLENGE NEXT YEAR.
BECAUSE. AS PREMIER UNSWORTH HAS POINTED OUT. 1987 IS THE LAST FULL
YEAR BEFORE THE CRUCIAL YEAR OF 1988.
BOTH OUR GOVERNMENTS WILL BE FACING CRUCIAL ELECTIONS.
AND THE PARTY. AT ALL LEVELS, WILL BE MOUNTING A MASSJIVE EFFORT.
AND THAT MEANS WAR WAR TO THE LAST KNIFE AND FORK.
BUT I DO THANK YOU ALL FOR THE SUPPORT YOU HAVE GIVEN BY YOUR PRESENCE AT
T" ESS rUNCTIONSi AND THANK YOU IN ANTICIPATION FOR YOUR CONTINUED
SUPPORT AND PARTICIPATION IN THE VITA. YEAR AHEAD.
THERE CAN BE NO DOUBT THAT THE YEAR NOW DRAWING TO ITS CLOSE HAS BEEN,
FOR AUSTRALIA, ONE OF THE MDST DIFF1 1Itfin rvr % TNEF TUr WAR
I SHALL DEAL LATER WITH OUR ECONOMIC PERFORMANCE AND OUR ECONOMIC
PROSPECTS, BUT FIRST I WANT TO DEAL BRIEFLY WITH SOME OF THE POLITICAL
ASPECTS OF OUR PRESENT SITUATION.
I WANT TO EXAMINE THE CENTRAL FACT OF AUSTRALIAN POLITICALLIFE, AS IT
HAS EMERGED AT THE END OF 1986.
AND IT IS THIS:
AT THE END OF A PERIOD OF ALMOST UNPRECEDENTED ECONOMIC
DIFFICULTY, IN THE AFTERMATH OF A BUDGET OF UNAVOIDABLE BUT
UNPALATABLE RIGOUR AND STRINGENCY, THE GOVERNMENT'S SUPPORT
REMAINS FUNDAMENTALLY SOLID AND STRONG.
THIS WOULD BE REMARKABLE FOR ANY GOVERNMENT IN MID-TERM.
IT IS DOUBLY REMARKABLE FOR A GOVERNMENT SUCH AS OURS, IN TIMES SUCH
AS THESE.
WE HAD THE CHOICE BETWEEN TEMPORARY POPULARITY OR THE TOUGH MEASURES
AND TOUGH DECISIONS NEEDED TO PLACE THE AUSTRALIAN ECONOMY ON FIRM
FOUNDATIONS FOR THE FUTURE.
FOR US IN THIS GOVEINMENr THAT MS REIALY NO CHOICE AT ALL. WE HOSE THE
CORRECT CXJOFsE, THE CXAGEOUS COURSE, THE TOUGH COURSE. WE COUID DO NO OTHER IF
WE WERE 70 FULFILL OUR COBLIGATIONS AND IESPONSIBILITIrES To THE AUSTRALIAN
PEOPIE THE WHOE QI44ITt AND CARR OU THE TASK WI WHICH THEY HAVE
ENTRIED US.
NEVERTHELESS, IT REMAINS A REMARKABLE FACT THAT AFTER ALL THIS. DESPITE
ALL THIS. OUR SUPPORT STILL STANDS SO HIGH SOLID IN ITSELF. AND
EXTREMELY REASSURING IN RELATION TO THAT OF OUR POLITICAL OPPONENTS.
AND I SUGGEST, LADIES AND GENTLEMEN, THAT THE REASONS FOR THIS CAN BE
EASILY IDENTIFIED.
AND THAT IS SCTING BEYCD THE ETAILS OF COUR GOVEMET'S PERFOMNCE
AND THE SPECIFIC POLICIES ME AE EFFECrING.
IT CAN BE SUMMED UP IN ONE WORD STABILITY.
AND THE ALTERNATIVE OFFERED BY OUR OPPONENTS CAN EQUALLY BE SUMMED UP
IN ONE WORD THE EXACT OPPOSITE. INSTABILITY NOT ONLY THE GROSS
INSTABILITY OF ITS LEADERSHIP, BUT THE EVEN GROSSER INSTABILITY, THE
DISRUPTION AND DISHARMONY WHICH IS ALL THAT IS OFFERED B' WWT
THEY ARE PEDDLING AROUND THE COUNTRY.
I WANT TO DRAW YOUR ATTENTION TO A QUITE REMARKABLE TRUTH ABOUT OUR
GOVERNMENT SOMETHING THAT HAS NEVER BEEN EQUALLED IN THE HISTORY OF
THE FEDERATION.
WE ARE NEARING THE END OF OUR FOURTH YEAR IN OFFICE.
YET THE MINISTRY REMAINS INTACT. ITS PERSONNEL REMAINS UNCHANGED.
IT HAS BEEN A REMARKABLE PERFORMANCE AND AS I SAY, ONE WITHOUT
PARALLEL IN FEDERAL HISTORY.
BY CONTRAST, THE FRASER GOVERNMENT IN ITS FIRST FOUR YEARS SUFFERED
NO LESS THAN NINE MINISTERIAL SACKINGS, RESIGNATIONS AND DEFECTIONS.
AND THAT INSTABILITY IN GOVERNMENT HAS CARRIED THROUGH. INTO THEIR YEARS
IN OPPOSITION.
LOOK AT THE PICTURE OF THE LIBERAL PARTY AROUND AUSTRALIA.
IN WESTERN AUSTRALIA, THEY HAVE JUST BRUTALLY DUMPED THEIR LEADER.
IN VICTORIA, SCARCELY A MONTH PASSES WITHOUT: ANOTHER LEADERSHIP CHALLENGE
OR MOVE FOR A CHALLENGE. AND MY INFM1TION IS THAT THERE WILL BE ANOTHER
ICHALLENGjE BEFORE THIS MO~ NTH IS OUT.
IN QUEENSLAND THEY ARE PAYING A BITTER PRICE FOR THEIR YEARS OF WEAKNESS,
INCOMPETENCE AND LACK OF PRINCIPLE.
IN NEW SOUTH WALES, AN OPPOSITION DEEPLY DIVIDED, DEVOID OF TRUE LEADERSHIP,
THE MOST NEGATIVE OPPOSITION IN LIVING MEMORY.
IN SOUTH AUSTRAL[ A, THEY SEEM TO HAVE SUNK WITHOUT TRACE.
BUT ABOVE AL, IN THE FEDERAL SPHERE, THE OPPOSITION PRESENTS A PICTURE
OF DIVISION AND DISUNITY AND DISARRAY, NOT EQUALLED AMONG THE CONSERVATIVE
RANKS SINCE THE COLLAPSE OF THE U. A. P. IN THE EARLY 1940s.
AND THEN, THE TERM " UNITED AUSTRALIA PARTY" WAS JUST AS GREAT A MISNOMER
AS THE TERM " LIBERAL" IS FOR THIS LOT TODAY. o WHEN THE NEW RIGHT AND THE
OLD REACTION IS EVERYWHERE IN THE ASCENDANT. AND THAT IS THE REALLY
IMPORTANT POINT.
BECAUSE THE OPPOSITION'S DISUNITY IS NOT JUST A MATTER OF THEIR LEADERSHIPOR
LACK OF IT.
WHEN THEY CHANGE THEIR LEADERSHIP YET AGAIN -AND I SAY WHEN, NOT IFNOTHING
BASIC WILL BE SOLVED.
THE PROBLEM IS NOT JUST ONE OF PERSONNEL. ' IT GOES FAR DEEPER. THEIR
LACK OF REAL LEADERSHIP AT BOTH THE STATE, AND FEDERAL LEVELS ONLY REFLECTS
A DEEPER MALAISE. THEIR NEGATIVISM REFLECTS THEIR LACK OF DIRECTION.
THEIR TOTAL LACK OF DIRECTION.
THEY HAVE NO IDEA WHERE THEY WANT TO 60 AS A PARTY AND THEY CERTAINLY HAVE
NO IDEA OF WHERE THEY WANT TO GO FOR THE NATION.
THEY HAVE SUCCUMBED TO THE SIREN SONGS OF THE SO-CALLED NEW RIGHT.
AS BARRIE
SAME SORT
AND GREED UNSWORTH HAS SAID, THE NEW RIGHT IS JUST THE OLD REACTION THE
OF IDEAS THAT PRODUCED IN AUSTRALIA THE FREE OR-ALL OF AVARICE
IN THE 1920soAND IN THE END, THE CATASTROPHE OF THE 1930s.
I
AND THIS IS BECOMING CLEARER BY THE DAY TO THE PEOPLE OF AUSTRALIA. I AM
GLAD TO SAY THAT THE TRUTH IS BEING REALISED BY THE TRADITIONAL SUPPORTERS
OF THE OPPOSITION IN THE BUSINESS COMM'UNITY.
ONLY LAST MONTH, THE DIRECTOR OF THE INDUSTRIAL COUNCIL OF THE CONFEDERATION
OF AUSTRALIAN INDUSTRY, MR DAVID NOLAN, PRODUCED A REPORT ON THE OPPOSITION'S
INDUSTRIAL RELATIONS PROPOSALS. HE ENTITLES HIS PAPER " ESCAPIST FANTASIES".
AND MR NOLAN WROTE:
" ITHEY ADVOCATE MASSIVE CHANGE WITH ITS COMMENSURATE RISK OF
MASSIVE DISLOCATION, WITHOUT PROVIDING ANY CLEAR IDEA AS TO HOW
THIS CHANGE WILL BE BROUGHT ABOUT NOR ANY EVIDENCE THAT IT WILL
IN THE END BE BETTER FOR EMPLOYERS"
" THE LIKELIHOOD" t THE CAI SAYS, " IS THAT TO ATTEMPT THE CHANGES
OUR WOULD-BE REFORMERS URGE WUDPLUNGE EMPLOYERS INTO AN INDUSTRIAL
MORASS OF UNKNOWN DEPTH."
AS THE MONTHS GO BY. THE NEGATIVISM AND DESTRUCTIVENESS OF THE OPPOSITION
WILL BECOME MORE AND MORE MANIFEST.
BUTl LET ME MAKE THIS VERY CLEAR.
CONFIDENT AS I AM OF OUR VINDICATION AND OUR VICTORY, WE DO NOT
SEEK-VICTORY BY DEFAULT THROUGH THE FAILINGS AND WEAKNESSES OF OUR
OPPONENTS. THAT WAS NOT HOW WE WON IN 1983.
THAT IS NOT HOW WE WON AGAIN IN 1984.-
AND THE VICTORY WHICH IS TO COME WILL BE BASED ON OUR POSITIVENESS AND
OUR POSITIVE VISION FOR THE FUTURE OF AUSTRALIA.
THE IMPORTANT THING IS NOT TO DWELL UPON OR WHIINGE ABOUIT THE UNPRECEDENTED
DIFFICULTIES OF THE TASK WE FACE THIS YEAR AND WILL CONTINUE TO FACE IN
THE YEAR TO COME.
THE REALLY IMPORTANT THING IS THE WAY IN WHICH WE, AS A COMMUNITY*
AS A NATION, AS A PEOPLE AND AS A GOVEIRNMENT ARE ABLE TO MEASURE UP
TO THOSE DIFFICULTIES.
IT IS PRECISELY BECAUSE 1986 WAS SUCH A TREMENDOUSLY DIFFICULT YEAR THAT
IT ALSO DESERVES Tb GO DOW AS OUR BEST AND FINEST YEAR.
I AM CERTAINLY PROUD OF OUR ECONOMIC ACHIEVEMENTS IN THE FIRST THREE
YEARS, NOT JUST THE CREATION OF 670oO00 NEW JOBS BUT THE IMPLEMENTATION
OF THE VAST NATIONAL TASK OF ECONOMIC RECONSTRUCTION AND REGENERATION.
BUT THE TASK IN THOSE YEARS. GREAT AS IT WAS, WAS NOT AS DIFFICUIT AS
THIS HAS BEEN.
AND THAT IS WHY I DESCRIBE 1986 AS OUR PROUDEST YEAR, OUR BEST YEAR
SO FAR.
1986 WAS THE YEAR IN WHICH THE TRANS-ATLANTIC AGRICULTURAL TRADE WAR
TURNED WHITE-HOT AT THE EXPENSE OF AUSTRALIAN FARMERS.
IT WAS THE YEAR IN WHICH OPEC'S DISCIPLINE FINALLY CRACKED AND
OIL PRICES PLUMMETED TO THEIR LOWEST LEVELS IN 13 YEARS -BRINGING
PRICES OF RELATED COMMODITIES IMPORTANT TO AUSTRALIA DOWN WITH THEM.
IT WAS THE YEAR IN WHICH THE GREAT INTERNATIONAL CURRENCY BATTLE BEING
WAGED BETWEEN THE UNITED STATES AND JAPAN MOVED SHARPLY FURTHER
AGAINST JAPANESE PRODUCERS TURNING THE SCREWS STILL TIGHTER ON OUR
EXPORTERS OF COAL AND IRON ORE.
THESE, AND OTHER INTERNATIONAL FORCES TOGETHER PRODUCED A SHARP FALL
IN AUSTRALIA'S TERMS OF TRADE, AFTER AN ALREADY BAD YEAR IN 1985. THE LOSS
To ouR iNP w~ Ls $ 6 BiLLON.
NO ECONOMY COULD EMERGE UNSCATHED FROM SUCH A BATTERING.
AND NO RESPONSIBLE GOVERNMENT COULD STEP ASIDE AND AVOID THE NEED FOR
TOUGH DECISIONS IMPOSED UPON A COUNTRY AND AN ECONOMY SUCH AS OURS BY
SO MASSIVE A LOSS OF NATIONAL INCOME.
AS A GOVERNMENT WE ACCEPTED THE UNPALATABLE BUT NECESSARY DISCIPLINES
IN WAGE FIXING, MONETARY POLICY AND IN THE BUDGET.
MOST IMPORTANTLY OF ALL, WITH A DETERMINATION UNMATCHED IN AUSTRALIA'S
PEACE-TIME HISTORY, WE SET ABOUT THE TASK OF REORIENTING THE NATION'S
ECONOMIC INSTITUTIONS AND FOSTERING THE GROWTH OF DYNAMIC, OUTWARD-LOOKING
INDUSTRIES WHICH CAN TAKE ON THE WORLD'$ BEST AND WIN.
BUT LET ME EMPHASISE THAT THIS HAS NOT BEEN A TASK WE SET ABOUT, ONLY IN
1986.
FROM DAY ONE FROM MARCH 1983 WE RECOGNISED THAT THE ONLY PATH WHICH
COULD GUARANTEE THE FUTURE PROSPERITY, STABILITY AND-COMPETITIVENESS OF
THE AUSTRALIAN ECONOMY WAS TO OPEN OURSELVES TO THE OPPORTUNITIES AND THE
PRESSURES OF A DEREGULATED TRADING AND FINANCIAL ENVIRONMENT.
SO OVER THE PAST THREE AND A HALF YEARS WE HAVE SET OURSELVES THE TASK
OF REFORMING AND RESTRUCTURING AUSTRALIA'S ECONOMIC INSTITUTIONS AND
THE FRAMEWORK WITHIN WHICH THEY OPERATE.
AS WE DRAW NEAR TO THE CLOSE OF 1986, WE HAVE REAL CAUSE FOR PRIDE THAT
THESE GREAT TASKS OF REFORM WE SET OUTSELVES HAVE BEGUN TO BEAR FRUIT.
AND THE BEST CAUSE FOR OPTIMISM CERTAINLY AT THIS STAGE A CAUTIOUS,
CAREFUL OPTIMISM LIES WITH THE PEOPLE THEMSELVESTHE
NEW DETERMINATION TO LOOK CRITICALLY AT THE WAY WE HAVE DONE
THINGS IN THE PAST, SO AS TO FIND WAYS OF DOING THEM BETTER;
THE NEW WILLINGNESS TO SEIZE OPPORTUNITIES AND MAKE THE MOST
OF THEM FOR AUSTRALIA; AND
THE NEW RECOGNITION THAT ALL OF US BUSINESS, GOVERNMENTS, WXGE
EARNERS HAVE TO DO WITH LESS, FOR A TIME, IN ORDER TO SPREAD
FAIRLY THE BURDEN OF ADJUSTM4ENT NOW AND TO SET THE BEST BASIS FOR
SECURE ECONOMIC GROWTH.
AND THAT IS WHY I SAY TONIGHT AS I HAVE BEEN SAYING AROUND AUSTRALIA IN
THE LAST MONTHs THAT WE CAN ENTER 1987 WITH CAUTIOUS OPTIMISM.
I rHE FOUNDATIONS HAVE BEEN LAID OVER THE PAST THREE AND A HALF YEARS.
NOW WITH THE SHARP REALIGNMENT OF THE CURRENCY, WE ARE ABLE TO EMERGE
FROM A PERIOD OF TURBULENCE INTO A PERIOD OF RENEWED COMPETITIVENESS.
BARRING UNFORESEEN EXTERNAL FACTORS6 AND, I MUST STRESS. GIVEN CONTINUED
RESTRAINT, AUSTRALIA CAN RESTORE ITS LONG TERM ECONOMIC STABILITY AND
PROSPERITY.
THERE* IS ONE LAST POINT I MOST EMPHASISE.
IT IS CRUCIAL TO OUR PROSPECTS AT THE NEXT' ELECTIONS BOTH NATIONALLY
AND HERE IN NEW SOUTH WALES.
I HEAR IT ASSERTED. FROM TIME TO TIME, THAT, IN OUR PREOCCUPATION WITH
THE GREAT PROBLEMS OF ECONOMIC MANAGEMENT, THE GOVERNMENT HAS NEGLECTED
ITS TRADITIONAL BASE OF LABOR. SUPPORT.
I REJECT THAT ASSERTION IN ITS ENTIR. ETY.
IT IS TRUE-THAT OUR CENTRAL PRIORITY, THIS YEAR AND NEXT YEAR WILL BE TO
GET THE ECONOMIC SOLUTIONS RIGHT. IT IS TRUE THAT IN SETTING ABOUT THIS
TASK) WE GIVE THE HIGHEST PRIORITY TO MAINTAINING THE HEALTH AND BUILDING
ANEW THE STRENGTH OF THE PRIVATE SECTOR.
.11.
AND THIS IS THE WHOLE POINT.
THEY ARE COMPLEMENTARY. OUR PRtURITIESIARE NOT CONTRADICTORY.
BECAUSE, WITHOUT AN EXPANDING PRIVATE SECTOR, THE TWO MOST FUNDAMENTAL OF
ALL LABOR OBJECTIVES WILL BE SIMPLY UNACHIEVABLE.
AND WHAT ARE THOSE TWO FUNDAMENTAL OBJECTIVES
THE CREATION OF JOBS AND THE PROVISION OF THE COMMUNITY SERVICES
EDUCATION. HEALTH. WELFARE AND THE REST WHICH CAN ONLY BE AS GOOD AND
FAIR AS THE COMMUNITY ITSELF IS WILLING AND ABLE TO PAY FOR.
AND TO IMAGINE THAT THESE TWO BASIC LABOR OBJECTIVES CAN BE ACHIEVED WITHOUT
THE NECESSARY FRAMEWORK OF A STRONG AND GROWING ECONOMY AND IN PARTICULAR
A STRONG AND GROWING PRIVATE SECTOR-IS, TO ADAPT DAVID NOLAN'S WORDS
IN ANOTHER CONTEXT, JUST " ESCAPIST FANTASY".
LADIES AND GENTLEMEN
I HAVE SAID THAT WE CAN APPROACH THE COMING YEAR WITH CAUTIOUS OPTIMISM,
AS FAR AS THE ECONOMY IS CONCERNED.
THERE ARE STILL TREMENDOUS DIFFICULTIES AHEAD -INDEED FOR A LONG TIME
AHEAD. THERE WILL STILL BE THE NEED FOR TOUGH DECISIONS.
THERE WILL SI ILL BiE A NEED FOR RESTRAINT.
' S .5.
.12.
THERE WILL STILL BE CALLS UPON THE STEADINESS AND STEADFASTNESS ON THE
PART OF THE PEOPLE OF AUSTRALIA NOT LEAST. THOSE OF US WH. O COMPRISE THE
GREAT LABOR MOVEMENT OF AUSTRALIA.
BUT THERE ARE TWO THINGS IN WHICH MY CONFIDENCE IS NOT BOUNDED BY THE
SORT OF CAUTIOUS OPTIMISM I SOUND, IN RESPECT OF PREDICTIONS ABOUT THE
ECONOMY. I HAVE NO INHIBITIONS. NO RESERVATIONS ABOUT THE CAPACITY OF THE. AUSTRALIAN
PEOPLE TO HAKE A SOUND,. COImON SLNSE JUDCEMENT ADOUT TIIEIR GOVERNMENT,
ABOUT THE ALTERNATIVE AND ABOUT THE FUTURE THEY WANT FOR THEMSELVES AND
THEIR FAMILIES.
AND FROM THAT AUTOMATICALLY FLOWS MY SECOND GROUND FOR CONFIDENCE.
THEY ARE REALLY ONE AND THE SAME THING.
BECAUSE MY CONFIDENCE IN THE JUDGEMENT AND COMMON SENSE OF THE PEOPLE IS
EXACTLY THE SAME AS MY CONFIDENCE IN WHAT THEIR JUDGEMENT AND THEIR VERDICT
WILL BE, WHEN THEY COME TO EXERCISE THEIR CHOICE IN THE ELECTIONS.
1988 IS THE BICENTENARY YEAR.
THAT MAKES IT BY ANY STANDARD, A GREAT YEAR FOR AUSTRALIA.
BUT I AM ABSOLUTELY CONFIDENT THAT IT WILL BE MADE AN EVEN GREATER YEAR
BY VIRTURE OF THE JUDGEMENT THAT THE PEOPLE OF NEW SOUTH WALES AND THE
PEOPLE OF AUSTRALIA WILL MAKE AT THE NEXT ELECTIONS.
I ,. f .13.
THE YEAR WE CELEBRATE THE PAST WILL BE THE YEAR WE WIN FOR THE FUTUREFOR
THIS GREAT STATE* FOR THIS GREAT NATION, FOR THIS GREAT PEOPLE'.