The Kouk's top 40 hits and misses

more Over the summer break, while fiddling through data bases, reading and just being interested in things, I unearthed a few quirky bits and pieces about the Australian economy, people, sport

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Gerard Henderson’s innumeracy shines through … again

Fri, 28 Nov 2014

The Sydney Institute's Chief galoot, Gerard Henderson, really does have trouble with numbers.

In another humiliating example of his poor grasp of the most basic of basic mathematic concepts, Hendo made the following statement in his Media Watchdog post on 28 November.

"The 2014 ABC Annual Report (page 108) states that the top 140 officers and employees earning over $200k per annum are in aggregate paid $39.66 million. A 25 per cent cut to this group would save $4 million annually."

Um, Gerry, my sharp pencil, clean paper and Year 8 long division skills calculate that 25 per cent of $39.66 million is $9.915 million. Where did Hendo and his solar pocket calculator get that $4 million number?

Only he knows.

This ineptitude on such basic maths reminds me of some shocking errors make by Hendo a couple of years ago. I took him to task but after one attempt to try to defend his 'surplus is a deficit' and '4.2 is more than 5' type errors, he ran away to hide.

Those errors are reproduced below for your entertainment.

Low oil prices hurt more than they help

Fri, 28 Nov 2014

Falling oil prices are poison for the Australian economy.

That hasn't stopped the perpetual optimists noting that at current levels, the oil price fall will translate to falling petrol prices and a saving of around $20 a month in the average household's petrol spending. Happy days!

What they fail to mention is that the oil price fall coincides directly with collapsing prices for other energy – notably coal and gas. So while the average motorist will save $20 a month on their petrol purchases, their superannuation fund will have been smashed as the share price of stocks in this space react to the increasingly dismal profit outlook.