The internal debate among the Liberals over it's leadership and IR position of whether or not to support the Government's proposed WorkChoices repeal is overshadowing 'real' issues such as Rudd's difficulty to gather the Senate crossbenchers to do so.
The Turnbull-Costello agenda showdown the media is currently delighting in may not be as fierce as is being portrayed (any relatively new opposition struggles with whether to rebrand itself or revert to 'core' principles, see GOP, US). In relation to the leadership, Costello has so far been able to avoid any public or party room confrontation with Turnbull with his LNP backers and rabble rousing journalists currently doing all his heavy lifting. As well as delighting in the spectacle of the self-destruction of their opposition, Rudd, Gillard and Swan are able to continue to press the opposition publicly to support the Fair Work Bill and clarify their positions whilst privately scrambling to gather the support of the Browns, Fielding and Xenophon.
For his entire political career, Turnbull has had to walk or rather zig-zag a fine line to prove to the party that he is a true social and environmental as well as the confirmed economic conservative. This is reminiscent of the Utopian 'Land of a Thousand Liebermans' dilemma where Turnbull must remain committed to the base in order to retain the leadership, while simultaneously trying to gather support among the more public moderates or Howard Battlers to pressure next election. His chances would improve dramatically if it wasn't for the ex-treasurer quietly looking over his shoulder. After he united the party for an instant in opposition to the so-called Cash Splash where the coalition message suddenly broke into the media cycle things looked like they might have improved. But instead of driving home the 'Rudd Recession' and the impact of the Government's agenda on the economy he has to spend countless hours fighting alone against a former treasurer who is pledging his support.
Turnbull does have policy platforms to appeal to moderates through his more progressive views on same-sex couples rights, the stimulus package, an openness to other environmental solutions instead of/in addition to an ETS. As the Minister for Environment and Water Resources he increased his margin of victory in his electorate in a change election swinging against him (albeit through leaked emails detailing his personal environmental position) which shows a capacity for broad appeal .
The simple reality is that he is up against a very popular PM in a time of crisis when the public wants to rally behind a leader and the right is deserting him in favour of Costello. He is fortunate that Costello has an aversion to challenging for the leadership and being in opposition, which may see him through to the next election as the leader for almost certain defeat as the shitstorm he is facing shows no signs of weakening.
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