Government Overspending on Unprofitable Sectors Could Destroy Australia’s Wealth: Expert Warns

Prime Minister Anthony Albanese said that his government has launched several measures to tackle cost of living, but an expert warns that government spending can only help if directed at projects that can generate a positive return. Graham Young, executive director of the Australian Institute for Progress and pollster, has pulled the government up for overspending as reflected in the latest GDP numbers released by Australian Bureau of Statistics. “Unfortunately, the current government’s record shows that even when it spends money on assets, it is most likely to direct increased expenditure into activities that destroy wealth rather than creating it, like the Capacity Investment Scheme where the government undertakes to subsidise renewable generation because it is unprofitable without a subsidy,” he told The Epoch Times....