Weekly betting market update

Bryan · Monday 17 April 2006 · 5:27 am

There is little movement to report; and what movement there was, favoured the Coalition. This suggests the AWB scandal and the implementation of the ‘WorkChoices’ industrial relations laws are having little impact on the electoral chances of John Howard come 2007.

The average of the four bookmakers suggests a 57.2 per cent probability of a Coalition government following the 2007 Federal election. It was 56.9 per cent last Monday.

  • For a Coalition win Centrebet would pay $1.60 and for a Labor win it would pay $2.20. The implied probability of a Coalition win at the next election is 57.9 per cent
  • For a Coalition win IASBet would pay $1.70 and for a Labor win it would pay $2.10. The implied probability of a Coalition win at the next election is 55.3 per cent
  • SportingBet is paying $1.62 for a Coalition win and $2.20 for a Labor win. It was $1.65 and $2.15 last Monday. The implied probability of a Coalition win at the next election is 57.6 per cent
  • SportsBet is paying $1.60 for a Coalition win and $2.20 for a Labor win. The implied probability of a Coalition win at the next election is 57.9 per cent

The usual graphs are here. You may need to hit the refresh or reload button on your browser to see the latest graphs.

Newspoll: 52 to 48 in Labor’s favour

Bryan · Tuesday 11 April 2006 · 6:35 am

Today’s Newspoll, predicted a national two-party preferred vote of 52 per cent for Labor and 48 per cent for the Coalition, were a Federal election held last weekend.

The predicted primary votes were less definitive, with Labor on 39 per cent and the Coalition on 41 per cent. Labor’s primary vote in the last Newspoll was unusually high, and the Green’s primary vote was unusually low. While the Australia did not publish the latest Green vote, it is likely to have returned to its usual level. If so, it would explain the the anomaly of the previous Newspoll. (Update: the Green vote has returned to its usual level [link]);

If I could interpret the recent volatility in the Newspoll series, I suspect the primary voting intention for both Labor and the Coalition has been a flat line since the middle of February 2006.

Notwithstanding Labor’s winning position in the poll, perhaps the biggest news was Beazley’s satisfaction ratings, which have been going south since the middle of February (after a long period of stability, albeit lacklustre stability from Beazley’s perspective). According to the Australian, “Mr Beazley’s voter satisfaction dropped three points to a record low for his seven years as Leader of the Opposition to 26per cent and a personal record dissatisfaction rate of 61 per cent.”

Satisfied with Beazley

Newspoll also looked at the IR laws.

A separate Newspoll survey on industrial relations, taken exclusively for The Australian last weekend, shows an across-the-board fall in support for the Coalition’s industrial relations laws.

When asked if people thought it was good for the economy, only 33 per cent agreed, down from 38per cent four months ago.

On the issue of job creation, 32per cent said it was good, down from 36 per cent four months ago, and 45 per cent said it was bad, up seven points on December last year.

The biggest falls in support for the new laws were among women, Coalition voters, young people and people earning less than $70,000 a year.

Yet when asked about their personal position and whether they would be better or worse off, there was a movement to the middle, with more people saying the laws were not affecting them either way.

This trend included a huge drop from 62 per cent of Labor voters who thought they would be worse off personally in December to 46 per cent.

On the other hand, there was a similar fall in the number of Coalition supporters who thought the new laws would be good for creating jobs, down from 67 to 52 per cent.

So the industrial relations survey suggests there is a growing difference between how people perceive the new laws affecting others and how they see them affecting themselves.

Almost half of voters believe they are not affected, either way, by the new laws in almost every category except among those aged 18 to 34, those earning lessthan $30,000 and Labor supporters.

The usual opinion poll graphs are here. You may need to hit the refresh or reload button on your browser to see the latest graphs.

Dead Beattie?

Bryan · Monday 10 April 2006 · 5:44 am

Glenn Milne has found some research that suggests Beattie may be in a worse position than many thought. The research was from John Black and John Lockwood of Australian Development Strategies (ADS).

If I understand it correctly, ADS undertakes ecological modelling of voting intentions by polling booth. They have developed a multiple regression model for how booths vote based on the demographic characteristics of the surrounding locale. ADS then compares the model’s predictions with the actual vote. Incumbents typically do better than the model predicts, because they have a personal following in the electorate.

In the case of the recent Gaven by-election, the sitting member, Bob Poole, under performed against the model at the last state election. He was not a popular member, and he scored two per cent less than the ADS model predicted. As a consequence, according to Milne, Black and Lockwood argue that the swing in the recent Gaven by-election should be reassessed from 8.4 per cent to 10.4 per cent. This, Milne asserts, is bad news for Beattie.

The best way to measure whether Beattie is on the way back, post-Gaven, or in deeper do-do is to try to adjust the swing against the ALP, taking onto account this personal-vote quotient. Which is what Black and Lockwood have done. They have been benchmarking sitting MPs for 30 years and, using computer modelling, have been able to estimate the personal votes of the sitting MPs in all three seats, Chatsworth, Redcliffe and Gaven. In Chatsworth the personal vote for the retiring MP was 5.7 per cent. In Redcliffe it was 3.9 per cent. And in Gaven the figure for the unpopular Poole was -2 per cent.

In Chatsworth and Redcliffe, the standing of the local candidates was pulling the Labor vote up. In contrast, Poole was suppressing the natural ALP vote in Gaven.

Without taking into account this personal-vote factor, the two-party preferred swing against the ALP in Chatsworth was 13.9 per cent. In Redcliffe it was 8.3 per cent. And in Gaven it was 8.4 per cent. Given the extraordinary circumstances surrounding Poole’s departure, this led to the dominant theory that Beattie was clawing back support after the so-called Dr Death hospitals crisis.

But what happens when you take into account the personal-vote factor? Suddenly the swing against Labor in Chatsworth is reversed to 8.2 per cent, in Redcliffe it’s down to 4.4 per cent, but in Gaven it jumps to a whopping 10.4 per cent. So much for Beattie clawing back.

I have a couple of difficulties with Milne’s argument. While I agree that the personal vote of an incumbent is lost at a by-election, one must also factor the protest vote into any analysis of by-election results. I would express this as follows.

By-election swing = loss of incumbent personal vote + protest against government + other factors.

The critical factor issue with protest votes at by-elections is that they are not repeated at the subsequent general elections. By way of example, the Canberra Liberals’ Brendan Smyth won the 1995 Canberra by-election, but lost the seat in the 1996 general election that saw Keating decisively deposed by Howard.

If the typical by-election swing were five per cent, I would typically allocate two per cent (in must electorates) to the incumbent and three per cent to a protest vote against the government. In a seat with an unpopular local member, retiring in unusual circumstances, the protest vote may well be higher. Without examining the scale of the protest vote, Milne’s argument is incomplete.

My second issue with the analysis is that it does not appear to have comprehended the changing demography of the seat. In the 2004 election there were 29,040 electors enrolled. In the 2006 by-election that number had increased to 32,223. I suspect the demographic modelling was based on data from the 2001 Census, when the enrolment in the seat was 24,357. Since 2001, it is highly likely that there have been significant changes in the population characteristics of the Gaven electorate that were not factored into the most recent analysis. Those changes may have explained the deviation between the model and the vote at the 2004 election.

In summary, while I can see the logic of Milne’s argument, I am not convinced about the reliability of the underlying analysis. The cited analysis has not independently assessed the by-election protest vote effect, nor has it considered the changing demography in Gaven.

Betting market update

Bryan · 3:37 am

It has been a few weeks since I provided a betting market update. My forgetfulness aside, there is not much movement to report. The average of the four bookmakers suggests a 56.9 per cent probability of a Coalition government following the 2007 Federal election. It was 56.8 per cent last time I checked.

  • For a Coalition win Centrebet would pay $1.60 and for a Labor win it would pay $2.20. The implied probability of a Coalition win at the next election is 57.9 per cent
  • For a Coalition win IASBet would pay $1.70 and for a Labor win it would pay $2.10. The implied probability of a Coalition win at the next election is 55.3 per cent
  • SportingBet is paying $1.65 for a Coalition win and $2.15 for a Labor win. It was $1.65 and $2.12 last time I checked. The implied probability of a Coalition win at the next election is 56.6 per cent
  • SportsBet is paying $1.60 for a Coalition win and $2.20 for a Labor win. The implied probability of a Coalition win at the next election is 57.9 per cent

The usual graphs are here. You may need to hit the refresh or reload button on your browser to see the latest graphs.

Morgan: it is just a step to the left

Bryan · Friday 7 April 2006 · 7:47 am

Morgan has released its latest poll results, which predict a landslide election win for Labor. If an election was held over the past fortnight, Labor would have got 54 per cent of the national, two-party preferred vote, to the Coalition’s 46 per cent.

A fortnight ago I speculated that Newspoll might have misread the tealeaves when it lurched to the left. Now with Morgan following, I am less sure. Perhaps there has been a seismic shift in national voting intentions.

If so, you would have to pin it on industrial relations, the implementation of workchoices, and the Cowra abattoir workers who were sacked and then offered their jobs on a lower salary. My father once told me that there is nothing as sensitive as the hip pocket nerve when it comes to voting intention.

Two-party-preferred

Morgan has been polling on the performance of Howard and Beazley.

More than twice as many Australian voters think John Howard (61%) would make a better Prime Minister than Kim Beazley (26%) a special Roy Morgan telephone survey finds. Yet, only 49% of voters approved of the way Mr Howard is handling his job as Prime Minister, 44% of voters disapproved of the way My Howard was handling his job and 7% couldn’t say. This is the lowest approval rating and the highest disapproval rating for Mr Howard since August 2004 —before the last Federal election.

My Beazley’s approval rating of 29% is the lowest approval rating of an Opposition Leader since Simon Crean was Leader of the Opposition - 26% in May and June 2003 and only the second lowest of any Labor Opposition Leader. More than twice as many voters disapprove (62%) of Mr Beazley’s performance as Opposition Leader than approve of it (29%) while 9% couldn’t say.

It has been polling on the preferred leaders for Liberal and Labor.

Labor front-bencher Julia Gillard is preferred to lead the Labor Party by 31% of voters, more than the 20% of voters who prefer current leader Kim Beazley while front-bencher Kevin Rudd has the same level of support amongst voters (20%) as the embattled leader, a special Roy Morgan telephone survey finds. When Mr Beazley is removed as a candidate for the leadership support for Ms Gillard rises 4% to 35% of all voters, 11% more than support for Mr Rudd 24% (also up 4%).

Of particular importance are the views of Labor voters: 29% prefer Julia Gillard to lead Labor followed by Kevin Rudd on 24% and Kim Beazley third on 20%. When Kim Beazley is not considered as a candidate Julia Gillard’s support increases 5% to 34% while Support for Kevin Rudd also increases 5% to 29%.

Prime Minister John Howard is the preferred Coalition Leader for 36% of voters, followed by Treasurer Peter Costello (17%), Parliamentary Secretary Malcolm Turnbull (10%) and Foreign Minister Alexander Downer (9%). When Mr Howard is removed from consideration as Coalition Leader Peter Costello’s support increases 12% to 29%, Alexander Downer’s support increases 6% to 15% and Malcolm Turnbull’s support increases 2% to 12%.

Importantly 59% of Coalition voters prefer John Howard as Prime Minister, 17% prefer Costello, 8% Downer and 6% Tony Abbott. When John Howard is not considered as a candidate, support for Peter Costello rises 20% to 37%, support for Alexander Downer increases 12% to 20% and support for Tony Abbott increases 7% to 13%.

Update: And on IR reforms.

A majority of Australians (57%) disagree with the Federal Government’s Industrial Relations reforms introduced last week, 20% agree and 23% couldn’t say a special Roy Morgan telephone survey finds. This is an increase of 8% from the 49% of Australians who disagreed in October 2005 when the reforms were proposed. Those who agree with the reforms are up 3% to 20% and those who couldn’t say or hadn’t heard of the reforms in October 2005 are down 11% from 34%.

A similar majority (52%) think the reforms will be a bad thing for Australia up 2% on October 2005 (50%), 27% think they will be a good thing down 2% (from 27%) and 21% (unchanged) couldn’t say. Only 13% of Australians think they will be better off under the reforms, this is up 3% on October 2005 (10%), a substantial 49% think they will not be better off (up 10 % from 39%) and 38% couldn’t say (up 7% from 31%).

Importantly women are more concerned about the reforms than men: more women than men think the reforms will be a bad thing for Australia (57% cf. 47%) and disagree with the reforms (59% cf. 56%). Men are more likely to think the reforms will be a good thing for Australia (33% cf 21%), to agree with the reforms (22% cf. 17%) and to think they will be better off (14% cf 11%).

The usual opinion poll graphs are here. You may need to hit the refresh or reload button on your browser to see the latest graphs.