Senator CAMPBELL (Parliamentary Secretary to the Minister for the Environment and Parliamentary Secretary to the Minister for Sport, Territories and Local Government)(3.08 p.m.) —If the Senate is to believe Senator Sherry when he says that this policy of fiscal responsibility to balance Australia's deficit situation and to bring it back into the black is some sort of ideological obsession, then perhaps it might be a good idea.

That idea is similar to the concept of environmentally sustainable development, the concept of trying to hand on to the next generation an environment that is better than the one we inherited to ensure that it is sustainable. It is equally important for this generation to hand on to the next generation an economy that is sustainable. The absolute worst thing you can do for young people in Australia and for the next generation broadly is to hand on the sort of economic mess that previous government bequeathed to this nation.

I wanted to respond to Senator Sherry's motion to take note of the answer by quoting a few statistics, which he and Senator Cook will choose to ignore. I ask Senator Cook when he gets the call next—if, indeed, he does—to challenge any of these figures. Back in 1992-93, when Mr Keating became Prime Minister, Australia's taxes and charges—the income to the federal government—amounted to $95 billion. At the end of 1995-96 the income was $124 billion—a 30 per cent increase in the taxes and charges on Australia's—

Senator Bob Collins —The economy grew, you dill.

Senator CAMPBELL —Let Senator Cook respond in a minute, Senator Collins. Could we also look at the net debt of the Commonwealth—a very important measure.

Senator Bob Collins —Lies, damn lies and statistics!

Senator CAMPBELL —This isn't a statistic; it is a raw figure. So there was a 30 per cent increase. On 30 June 1991, the net debt of the Commonwealth was $32 billion. By now it has risen to $100 billion. You raised an extra 30 per cent in taxes and spent all of it. You increased the debt—

Senator Cook —That is not government debt; that is private sector debt.

Senator CAMPBELL —No, this is net Commonwealth debt, Senator Cook—$100 billion. It went up $68 billion while Mr Keating was Prime Minister and while you and that joke of a former minister sitting next to you were in cabinet. These are the figures. You come back in here and correct me if any of them are wrong.

All of the extra $68 billion borrowed by the Commonwealth was also spent. So all the taxes were spent and all the borrowings were spent. What about the assets? In the meantime, while you were sitting around the cabinet table, Senator Cook and Senator Collins—as part of that disgraceful cabinet that put this country into the debt situation that we now find ourselves in—the then government sold $8.7 billion worth of assets. You did not offset that $8.7 billion of asset sales against debt to reduce the debt; you took the proceeds of those sales and paid the butler. You sold the silver to pay the butler. All of that has gone as well.

So you did not repatriate that $8.7 billion—about the range that we will receive when we sell Telstra—against debt to reduce the Commonwealth's interest burden and to reduce the burden on the Australian taxpayers by way of interest; you just spent it. You did not do what we propose to do with the Telstra sale: invest $1.15 billion in another capital asset—that is, the environment—and use the rest of the money to repatriate debt. You took the $8.7 billion and spent the whole lot.

You always spend it before you get it. That is what you have done. You have spent over $30 billion in new taxes. You have spent $68 billion in increased debt. The money from $8.7 billion worth of asset sales is gone too, and the place is still in significant deficit. What you and the Democrats want to say is, `Let us keep those deficits going.'

We have had four years of growth. Most other nations around the world run deficits in times of recession and run surpluses in times of recovery. What did Australia do under Labor? Run deficits in times of recession and deficits in times of recovery. What do you hand to our next generation and what do we say to our young people? You will pay higher taxes, you will pay higher interest, you won't have a chance to go and buy your own home, you won't have a chance to set up your own business because we are paying the highest interest rates in the world. That is the premium that you guys have put on the young people of Australia. Whenever you go to borrow money in this country, you pay a premium over every other country in the land. You stand in disgrace. (Time expired)