Australian economy heading for meltdown!

[noirua]

We're heading for meltdown because Rudd is copying the US. The US gave a $31b stimulus, didn't work. Rudd blew $10b on stimulus, didn't work.

The UK have gone out on a limb and put about AU$750 billion on the line to save their banking system.
$10 billion (the US have put AU$1.1 trillion as a first installment) is not much and I think it needs a two year $200 billion plan of action to get Australia out of this mess.

 

[Aussiejeff]

The UK have gone out on a limb and put about AU$750 billion on the line to save their banking system.
$10 billion is not much and I think it needs a two year $200 billion plan of action.

However, there MUST be a huge future downside to the UK loading up the population with a mountain of debt of Everestian proportions. I wouldn't think the economy / treasury rating agencies are going to be too kind to the UK for many, many years to come.

Not unless the UK economy *booms* in the short to medium term and manages to repay its creditors without any sign of default. Any chance of an economic *boom* in the UK or Europe in the next year or two or three or....??

They need the Luck of The Irish.

Oh wait.

The Little People's Luck has not been too good of late either?

 

[noirua]

However, there MUST be a huge future downside to the UK loading up the population with a mountain of debt of Everestian proportions. I wouldn't think the economy / treasury rating agencies are going to be too kind to the UK for many, many years to come.

Not unless the UK economy *booms* in the short to medium term and manages to repay its creditors without any sign of default. Any chance of an economic *boom* in the UK or Europe in the next year or two or three or....??

They need the Luck of The Irish.

Oh wait.

The Little People's Luck has not been too good of late either?

Fair comment there, what can I say. Only that visitors will find it cheap in Aus, NZ and UK. The drought has ended in some areas and the sun is shining in Australia. A bit drafty in NZ and b..... cold in the UK, raining, windy, damp, dank and horrible.

 

[Aussiejeff]

Fair comment there, what can I say. Only that visitors will find it cheap in Aus, NZ and UK. The drought has ended in some areas and the sun is shining in Australia.

Hehe. The way things are going, all the world's economies will be "flat-lining" soon with 0% interest all-round, Mega-mountains of debt, C- credit ratings at best, currencies worth Jack $hyte and millions of unemployed to boot.

Should be fun...

 

[shaunQ]

AUSTRALIA'S economy will "unwind scarily fast" this year with Wayne Swan forced to choose between middle-class welfare and industry bailouts, a report claims.

No way - Wayne would need to choose between being elected again, or losing. They will never dare do too much Family Tax Benefits and other middle welfare. It would be the end of Labor. They might tweak the upper limits.. for ,you know, those rich people earning over $100K but thats it.

 

[Aussiejeff]

OK KRudd & Co.

Here is leadership from the top management of Valad - a struggling Property Funds Manager. If THEY can take pay cuts, WHAT ABOUT THE GUMMINT, HUH?

In light of the difficult operating environment, Valad has commenced a series of cost management initiatives across Europe and Asia Pacific. The initiatives have included a reduction in headcount, tighter expense management and senior staff have volunteered to take pay cuts.

Valad’s c.25% headcount reduction is focused primarily on its asset sourcing and development teams and non-core business lines. In addition, a management restructure has been undertaken. Members of Valad’s Group Executive Team, Asia Pacific Chief Executive Officer, Jeff Locke, and Group Head of Corporate Affairs, Rebecca Thompson, will be leaving the Group. Mr Locke has agreed to remain with the Group over the coming months.

In addition to the voluntary remuneration reductions announced at Valad’s AGM in October 2008, a number of senior executives have volunteered base salary reductions of up to 20%.

:angry:

 

[joeyr46]

OK KRudd & Co.

Here is leadership from the top management of Valad - a struggling Property Funds Manager. If THEY can take pay cuts, WHAT ABOUT THE GUMMINT, HUH?




:angry:

The way these guys stuffed up taking any pay at all is downright wrong IMO
good to see not just shareholders getting screwed

 

[Aussiejeff]

The way these guys stuffed up taking any pay at all is downright wrong IMO
good to see not just shareholders getting screwed

The good citizens of Oz are effectively shareholders of the Oz Economy. Are we getting screwed by mis-management too?

 

[Julia]

The good citizens of Oz are effectively shareholders of the Oz Economy. Are we getting screwed by mis-management too?

Yes. And we will be paying for the privilege of same for at least the next decade or two.

 

[MrBurns]

Yes. And we will be paying for the privilege of same for at least the next decade or two.

Agree so I'll be campaigning for PM at the next election, with all seriousness I couldn't do any worse.
Any nominations for my cabinet ?

 

[wayneL]

Yes. And we will be paying for the privilege of same for at least the next generation or two... or three

 

[theasxgorilla]

The good citizens of Oz are effectively shareholders of the Oz Economy. Are we getting screwed by mis-management too?

Hence I chose to dis-invest, for the time being. We shouldn't put our blinkers on though...as Julia has mentioned its a generational issue and it's more wide spread than just our little island.

 

[numbercruncher]

Seem to be recruiting alot more Bears as news unfolds ?

 

[numbercruncher]

More wise words from your esteemed leader sure to warm the cockles of your heart .....

The rest of the year is not going to be much fun. Think jobs evaporating, businesses closing, share dividends disappearing, superannuation shrinking, housing prices falling, the market plumbing the depths again. China, so recently our reliable economic driver, is now reversing us back down the hill at full tilt.

No wonder Kevin Rudd has been preparing the national psyche for its big day with a series of increasingly sombre speeches around the country.

He is now warning that 2009 "will test the very fabric of who we are as a people and as a nation".

http://www.theaustralian.news.com.au/story/0,25197,24954526-28737,00.html

The PMs words would have your average over leveraged permabull rattling in their boots wouldnt they ??

 

[knocker]

Agree so I'll be campaigning for PM at the next election, with all seriousness I couldn't do any worse.
Any nominations for my cabinet ?

I'll be minister for environment and any other bogous portfolio this government has pulled out of its behind lol. While at i may as well stand for finance, what little of it that is left. lol

 

[marklar]

Agree so I'll be campaigning for PM at the next election, with all seriousness I couldn't do any worse.
Any nominations for my cabinet ?

Well I campaigned for the Senate last election, so at least I have some experience! Tell you what, make me minister for communications and I'll get this damn National Broadband Network kicking along and kill off the "great firewall of censorship" that Conroy is pushing.

m.

 

[moXJO]

This contagion does seem to be affecting all in a sector eventually, as you infer moXJO. Only the biggest and the strongest seem to survive. Many companies move to a no profit mode as they price contracts and cut pay - only way to survive for some.

In America and Europe the largest stores see that they can only increase turnover, by selling some items at such low prices that they drive others out of business as they've no chance of competing.
Every few days a big store picks on a few items and crashes the price by up to 66% and then piles them high.

Survival of the fittest, as they see this recession going on to 2012 and beyond.

That’s another important point. Just how long will this turmoil go on and how long can people hold out. Considering massive amounts of cash have been decimated in housing and shares a lot of people are already stretched. And this is just at the start, so let’s hope it doesn't last to long.

 

[knocker]

That’s another important point. Just how long will this turmoil go on and how long can people hold out. Considering massive amounts of cash have been decimated in housing and shares a lot of people are already stretched. And this is just at the start, so let’s hope it doesn't last to long.

Wishful thinking. Quite a few more years for this one to play out yet.

 

[Smurf1976]

Agree so I'll be campaigning for PM at the next election, with all seriousness I couldn't do any worse.
Any nominations for my cabinet ?

Smurf puts hand up for everything that's measured in megawatts, petajoules, gigalitres or megatonnes. I'll make sure we have a lot more of these things.

Need to find another person who knows about things which fly, float or have wheels and an engine. We'll be making these things get loaded, unloaded and moved faster and cheaper.

And someone else able to look after a few vaults full of shiny yellow stuff without selling or giving it away. They also need to be able to run machines, specifically printing presses, at a slow pace without trying to speed them up. This will end the funny money business.

Also need someone who's good with computers especially Broadband. This will bring us into the 21st Century, financed by getting the 20th Century things as above sorted out also.

Smurf promises to fix the Current Account deficit and return prosperity to Australia by means of the above.

 

[knocker]

Smurf puts hand up for everything that's measured in megawatts, petajoules, gigalitres or megatonnes. I'll make sure we have a lot more of these things.

Need to find another person who knows about things which fly, float or have wheels and an engine. We'll be making these things get loaded, unloaded and moved faster and cheaper.

And someone else able to look after a few vaults full of shiny yellow stuff without selling or giving it away. They also need to be able to run machines, specifically printing presses, at a slow pace without trying to speed them up. This will end the funny money business.

Also need someone who's good with computers especially Broadband. This will bring us into the 21st Century, financed by getting the 20th Century things as above sorted out also.

Smurf promises to fix the Current Account deficit and return prosperity to Australia by means of the above.

Good stuff smurf.As finance minister I will buy a lottery ticket each week to bolster the coffers!!!