Article by Cameron Spink

The Labor government are facing a significant uphill battle to remain in contention come federal election time in November. Almost certain to be relevant is Kevin Rudd's super-profits tax taken from the mining companies. In an attempt to show the Australian public that our economy would remain financially unhurt and be in surplus in the near future the Labor government decided to tax mining companies $9 billion a year.

This had immediate ramifications for our economy and manifested itself in a drop in the Australian dollar as well as the All Ordinaries taking a hit. Still Kevin Rudd blamed the European markets for Australia's declining market. While Kevin Rudd's explanation leaves much to be desired this could be a plausible (but unlikely) reason for our weakening dollar and economy.

However, shortly after this tax was announced an advertising campaign worth $38 million was deployed by the Labor government in defence of their super-profits tax. This shows the importance of this issue to Labor's chances at the polls this year. If the Australian public do not agree with the radical move to undermine the mining companies that managed to keep the Australian economy afloat during the recession then Labor's queen has been taken and checkmate is in sight. Perhaps the most ironic thing about this whole situation is the fact that the Coalition merely had to watch as Rudd and his cohorts have tied themselves in knots since releasing the federal budget.

There is an interesting contrast between the two party leaders. On the one hand there is Tony Abbott who has admitted that at times he has been known to not give a completely honest answer or promise. On the other hand is Kevin Rudd who attacked former Prime Minister John Howard viciously for his expensive advertising campaigns but when his back is to the wall he has imitated Howard and forked out $38 million in defence of this new mining tax. Furthering this is all the broken promises that the Labor government has not delivered upon since acquiring power. The difference between the two leaders is that Abbott says he is only human and does lie while Rudd shows by his actions that his word is not to be believed.

At this stage in the election race the Australian voters have become disenchanted with both of the Government and the Opposition and this has seen a swelling in support for the Australian Greens Party. What most people don't seem to realise is that a vote for the Greens will invariably be a vote for the Labor party.

As we near the political endgame strategies are being revealed by both party. And one look at the Labor party shows a defensive mindset revolving around a very vulnerable super-profits tax. Blink once Kevin and you just might lose your queen.