More global warming gloom … Labor R&D promise … Economy steady

More global warming gloom

The impact of climate change on Australia will be greater than previously expected, according to the draft Inter-governmental Panel on Climate Change report, obtained by The Age.

Environmental icons such as the Great Barrier Reef could be destroyed and billions of dollars drained from the economy as climate change bites, the report predicts.

Business sectors exposed to environmental risk such as tourism and agriculture will be most affected.

The lesson? Global warming is real, and it will change the economy here and around the world. Read more

Research and development on the election agenda

Labor may go to this year’s federal election promising extra tax concessions for R&D, The Australian Financial Review reports today.

Industry, Innovation, Science & Research shadow minister Kim Carr says Labor is looking at changes to beneficial ownership rules that would allow companies to claim concessions for R&D performed in Australia, even if the intellectual property developed is held by an overseas parent company.

A more generous R&D tax concession is also being considered.

Labor’s shadow cabinet will make a decision on the research and development policy blueprint in the next few months.

Economy round-up

The Australian economy will continue to grow at a steady pace throughout 2007, according to a quarterly survey released by Access Economics today.

Interest rates should also stay put, Access reports, unless federal and state governments in election mode implement tax cuts the economy can’t handle.

Selling on bank shares led the ASX 200 lower yesterday, while the Aussie dollar was cheap as weight moved behind the greenback on the back of the strengthening US economy.

News continues to be good for the other global economic behemoth. Chinese Government figures reporting 10.7% growth in 2006.