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HIST2227 Chap.10 Reinventing Australia, 1983 to 2025

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Chapter 10 of 11 · HIST2227

Reinventing Australia, 1983 to 2025

A revolution from above

Week 11 examines the reforms that began in 1983: the Accord, the float of the dollar, tariff cuts and privatisation.

Frank Bongiorno calls them a revolution from above, driven by an elite rather than popular demand.

Stories about the reform era

James Walter and Carolyn Holbrook test the golden age story against outcomes, and Claire Wright and Hannah Forsyth show social mobility into the corporate elite falling from the 1980s.

A link to the Final Paper

Several Final Paper options draw on this topic.

The Robodebt question asks for the history of politics, policy, bureaucracy and media from the 1980s to the 2010s, and the campaign comparison asks about elections between 1972 and 2007. Walter and Holbrook’s account of the shift of risk from the collective to individuals gives both essays a long view.

Dates to anchor an answer

Bongiorno’s chapter gives the sequence: the Accord before the March 1983 election, the float in December 1983, tariff cuts in 1988 and 1991, privatisation from 1990, Mabo in June 1992 and the Native Title Act of 1993, Howard’s win in 1996, and the defeat of the republic referendum in November 1999.

In this chapter

What this chapter covers

  • 01

    The Accord and the float of the dollar

  • 02

    Tariff cuts and privatisation

  • 03

    Economic rationalism and the protective state

  • 04

    The golden age of reform as a policy narrative

  • 05

    Higher education and the job market

  • 06

    Social mobility into the corporate elite

Worked example · free

Reading the fall in corporate mobility

Q [3 marks]. Wright and Forsyth's table puts upward mobility into the corporate elite at 44% of directors whose fathers' occupations are known in 1910, and 25% in 1986. By how many percentage points did it fall, what is that as a share of the 1910 level, and how do they explain the 1980s? The practice weighting is assigned by AskSia and is not an official assessment.
Upward mobility into Australia's corporate elite at each benchmark year, as a percentage of board members whose fathers' occupations are known: from 44% in 1910Upward mobility into Australia's corporate elite at each benchmark year, as a percentage of board members whose fathers' occupations are known: from 44% in 1910 it trends down, and after 1983, marked by the dashed line, it stays between 25% and 34%.20%30%40%50%19831910195219862018
Upward mobility into Australia's corporate elite at each benchmark year, as a percentage of board members whose fathers' occupations are known: from 44% in 1910 it trends down, and after 1983, marked by the dashed line, it stays between 25% and 34%.
  • 144 minus 25 = 19 percentage points.
  • 119 divided by 44 = 0.43, so mobility in 1986 was about 43% lower than in 1910.
  • 1They argue that from the 1980s pathways into management became enclosed by credentials and, from the 1990s, board membership became a profession of its own.
A fall of 19 points, or about 43% of the 1910 level, which the authors tie to the enclosure of management and boardroom pathways. The chart shows the change as a lasting shift, not a single bad year.
Sia tip — Keep percentage points and percentage change apart: the gap in points and the relative fall answer different questions, so label each one.
Glossary

Key terms

Revolution From Above
Bongiorno's term for reform driven by an elite rather than by popular demand.
Great Risk Shift
The transfer of economic risk from governments and the collective to families and individuals.
Professional Enclosure
Barriers to entering a profession, raised through credentials and accreditation.
Prices and Incomes Accord
The agreement between Labor and the unions trading policies such as Medicare for wage restraint.
Float of the Dollar
The December 1983 decision to let the Australian dollar's value be set by markets rather than fixed by government.
FAQ

Reinventing Australia, 1983 to 2025 FAQ

Why does Bongiorno call the 1980s reforms a revolution from above?

Because they were the project of an elite in government, unions, the bureaucracy, think tanks and universities, not a response to popular demand. Unlike earlier recalibrations of Australian policy, voters never welcomed the shrinking of the protective state.

Was the reform era really a golden age?

Walter and Holbrook accept that reforms often met their stated aims, but argue the golden age story ignores unintended consequences and the reservations people felt at the time. They note that even Paul Keating said in 2017 that the philosophy he championed had run into a dead end.

What happened to social mobility from the 1980s?

Wright and Forsyth find that mobility into the boards of Australia's largest companies fell, from 35 to 45 per cent of directors in the cohorts up to 1964 to 25 to 30 per cent from 1985, as pathways into management and boardrooms became enclosed.

What was the Prices and Incomes Accord?

Before the 1983 election, Labor and the ACTU agreed a Prices and Incomes Accord under which unions accepted wage restraint in exchange for policies they favoured, Medicare among them. Bongiorno treats it as one foundation of the Hawke government's approach.

What happened at the 1999 republic referendum?

Bongiorno records that the referendum of November 1999 rejected a republic, with 55 per cent voting against and 45 per cent in favour. He places it at the close of a decade he describes as narrowing the scope of politics under the pressure of global markets.

What do Walter and Holbrook mean by the great risk shift?

They borrow Jacob Hacker's phrase for the transfer of economic risk from governments and the collective to families and individuals. Their example is the move from the Commonwealth Employment Service to privatised job agencies, which recast unemployed people as responsible for their own deficits.

Study strategy

Assessment move

Learn five dated reforms and practise the three layers of a policy story: intentions, outcomes and the story told afterwards. Then rehearse one paragraph that weighs the golden age story against the evidence of casual work and unemployment. For a quiz, be ready to define economic rationalism in Bongiorno’s terms and give one example of a reform that voters disliked.

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