The Abbott government now knows that, more often than not, a carrot is better than a stick.
The problem is too many carrots aren't good for the budget bottom line.
After making an election promise to get the budget back under control, a series of recent decisions has left the coffers at least $16.5 billion worse off.
The account includes $1.2 billion in schools funding, an $8.8 billion handout to the Reserve Bank, the delay of $5.2 billion in public spending cuts and the ditching of tax increases worth $1.3 billion in revenue.
The schools funding backflip, in particular, was aimed at neutralising what had become a very damaging political issue for the government, which was under attack from state coalition colleagues as well as the Labor opposition.
However, it's left Abbott potentially exposed to concerted lobbying efforts should future issues require a hefty payout to get out of political hot water.
Treasurer Joe Hockey has also learned an election "mandate" isn't enough and accepted compromise and negotiation are the necessities of government.
This week he secured a deal with the Australian Greens - previously labelled by coalition MPs as "economic fringe-dwellers" and "watermelons" (environmental-green on the outside and communist-red on the inside) - to pass legislation dealing with the debt ceiling.
But rather than the coalition's preferred option of lifting the ceiling to $500 billion, the government will now abolish it altogether.
Hockey, who is proving to be one of the government's best performers on the floor of parliament and beyond, is adamant there were no carrots offered in the deal.
"There are no side deals, there are no winks and nods about any other issues and the agreement comes down to greater transparency about the debt and how it is used by the government," he says.
But the Greens, who want more public spending, believe otherwise.
"It's time Australia had a much more mature debate about how to fund the long-term infrastructure that the nation needs like high-speed rail and better public transport," leader Christine Milne says.
"The coalition now has no excuse for deeper budget cuts. The threats must end now."
Interestingly, the government has its own champion for more infrastructure spending - Deputy Prime Minister and Nationals leader Warren Truss.
Truss announced this week he'd be honouring not only coalition election pledges but many of Labor's spending promises, especially in regional areas.
Breaking the debt ceiling bill deadlock is the first major legislative victory for the coalition government and fulfils one of Abbott's priorities for in his first 100 days in office.
Labor has seized on it as another demonstration - in the wake of the initial breaching of the schools funding "unity ticket" promise - of the government saying one thing before the election and doing another after.
"A lot of Liberal voters around the country will be waking up ... saying `this is not how they told us they would govern'," shadow treasurer Chris Bowen says.
The problem for Bowen is six year of Labor - and its arguably worthy massive borrowing to save jobs during the global financial crisis - returned the commonwealth to high domestic debt position.
Hockey has also emphasised Labor decision has taken the extraordinary position of voting in parliament against budget cuts it proposed when in government.
There are signs the coalition may start to wield the fiscal stick in a bid to deliver more of its election agenda before Christmas.
The prime minister told the coalition party room this week he could make parliament sit beyond next week to put pressure on Labor and the Greens to pass legislation repealing the carbon and mining taxes.
But he can't force the Senate - where the bills are being opposed - to sit longer.
In any case, such threats are unlikely to change the opposition's position to support an emissions trading scheme or taxing the profits of big miners.
If Abbott is to succeed he will need to do more to generate support for the abolition of the two taxes, or simply wait and try his hand after the Senate numbers change in July 2014.
Harnessing public support for tough measures to turn around the budget is Hockey's challenge, as he prepares to release the mid-year economic and fiscal outlook (MYEFO) on December 17.
There are some areas in where the government refuses to offer any carrots and prefers the big stick approach - such as asylum seekers.
With the Greens and Labor combining to disallow the use of temporary protection visas (TPVs), Immigration Minister Scott Morrison has gone for the nuclear option - making an executive decision to stop approving permanent protection visas until July 2014, when the Senate changes.
Morrison's decision to use executive powers, rather than seek parliament's nod, could signal a new approach by the government to other issues such as the carbon tax.
In other words, more sticks and fewer carrots.
