Search results for query: *

you capture a lot of the points but you are missing a few. the lack of release of sufficient land supply which is largely due to a lack of willingness to invest in infrastructure (power/water/sewage). A lack of willingness to unwind regulation regarding housing due to legal fears which has...

Interest rates dont just impact mortgages. business investment and therefore jobs is just as influenced by interest rates as mortages. likewise car loans and credit card debt is also influenced by rates. interest rates havent impacted the economy as much as we thought because of the...

Um interest rates can still go up. The rba came very close to lifting them last month. and there is a real risk of an external debt crisis in australia. Interest rates will sky rocket much further under such a scenario. Policymakers will have no choice.

What has job keeper payments got to do with globalisation? absolutely nothing. globalisation is what will help bring world peace and has helped drive dramtically higher standard of living ffs.

Monetary policy isnt the main cause. If it was the inflation would be uniform across the economy. But its primarily been in commodities. that suggests its primary cause is supply constraints. This has been due to covid restrictions, ukraine/russia war, underinvestment in the energy sector and...

that article is garbage. profits are deflationary because they either get saved or spent on luxury houses and goods (which dont contribute to the inflation rate as they are insignificant in the cpi basket) or they get spent on further capital investment which adds to the capital stock which...

Its the housing market costs that will force the rate differential to occur is my point. You are right its the rate differential that will cause the exchange rate devaluation. At least initially. although if our housing market has a lot of defaults then foreign borrowers will become nervous...

I don't think the rba can even remotely keep up with the Fed on interest rates. Our housing market won't be able to handle it. It's the rising differential in rates that will drive our currency down. The rates markets are currently expecting for Australia simply will not happen here.

All the forecasts im seeing suggest the supply side issues will be mostly gone by early next year. Some will linger but inflation should be significantly lower in 12 months time compared to now. interest rates are going to get worse though. And in australia a sharp exchange rate depreciation is...

Yes its more then just the low rates. A terrible lack of use of macroprudential policy on the behalf of the rba to reign in excessive and risky lending in the housing market. History will look very unfavourably on this. government housing policy also an obvious disaster with poor housing tax...

Here we go. should of happened years ago.

if the rate doesnt go up tomorrow the aud will crash by about 3 percent or more tomorrow.

Nope. Population growth fell further again during the pandemic years. Its been falling for a while too and nearly half of what it was 14 years ago. plus a number of those returning aussies are just temporary and were moving back in with their parents or relatives until they left again rather...

My prediction. If the USA carries through with its interest rate rises as planned then the developed world will enter recession next year. The aud will fall below 50 us cents per domestic dollar. And it may stay their for a decade as we sort out our housing and debt issues. Australia is on...

Whats the invention? promise we wont steal it. it would just help us find the best solution for you. :devil::devil::devil:

Its only one part. Core inlflation is really high too and that excludes fuels.

See it hasnt been happening for millenia. Thats not correct. Its only happened for 20-25 years. in the twentieth century there was no property boom. Real House price rises over the entire century were quite modest And for the first 40 years completely flat. See chart in link below...

Security and comfort cant drive prices up forever. and its falling interest Rates and the opening up of global capital markets to both foreign investors and access to foreign savings that has driven this twenty to twenty five year property boom. Interest rates will soon go up. Foreign investors...

To be fail something should of been done about runaway house prices back in tge mid 2000s And every year since. the head of the rba isnt alone in wanting to exclude levelised property capital costs from the cpi measure that influences interest rate prices. All central banks exclude it. I used...

At some point the house price party is going to stop and even if it doesnt fall dramatically there is going to be all these young people who bought in at the end stuck with high mortgage repayments for 30 years in tiny townhouses and undesirsble locations with no ability to upgrade. And if...

agree. The only way this reform happens now is after a devastating housing driven fianncial crash. I.e. ironically only when its no longer a pressing issue. While still unlikely the probability of this occuring in the next 4 years has risen dramatically in the past 18 months. Interest rates...

investors dont create housing stock. Housing stock is created by government land releases. As such property investors dont create properties for rent that help prevent people from being homeless, they simply bid up prices (of either land released by government or existing housing stock) forcing...

Proactive how? i dont want anyone, including myself, investing in property as a means to earning income. Income should be earned through actual work or investment in productive assets. These contribute to society and make everyones life a little bit better by lowering prices. Earning income from...

everything wrong with our modern society is represented by this post. boy do we need the housing market to crash to stop this madness.

1. Greater regulations have made houses and land releases more expensive reducing the availability of cheap and poorer quality housing options that were available in the past. You could build poorer quality houses in the past for people with low incomes to live in and have large land plots...

Good point on health care. Young people have to pay high private insurance premiums from an early age to support the boomers health costs. Boomers didnt. Many boomers joined up to private health insurance quite late because it wasnt mandatory. and yes housing costs more then offsets the savings...

cars are super cheap now compared to the past. As is clothes and furniture. All thanks to globlisation and accessing cheap labour in asia (and improved automation). and yet it was the boomers who embraced materialism and the younger age groups are rejecting it despite it being cheaper for the...

Agree with the sentiment but dont understand the reasoning behind your last point. young people are rejecting the concept of keeping up with the jonses and dont feel the need to have new cars and large houses as the boomers did. The whole reference of keeping up with the joneses is about having...

Considering the effort they put in they had a lavish lifestyle. They just didnt put in aynywhere near the same effort as kids of today do. And yes im generalising. Maybe your specific parents were different from the average boomer. But its the average that im referring to.

Holly sh*t how is your grandad? He must be like 110 years old. My grandad went to uni in the 50s-60s. Ps. most of your post was about boomers. And a lot of their jobs dont even exist anymore they were so simple and pointless. Not sure standing on an assembley line and doing the same action all...