With respect, UT, your suggestion that a 40% drop would turn the Aus economy into 'a basket case' is just as unsubstantiated as the 40% claim itself. I am yet to be convinced that that would be the case. As I've mentioned previously, I have not seen examples of an extraordinarily healthy economy after the 20% increases claimed to have been achieved over the last year alone, yet we are expected to believe that somehow an arbitrary figure (40% in this case) would somehow wipe out the economy? I tend to believe the opposite. More reasonable housing would free up cash for spending, which is what the economy really needs. Surely you don't see the historically high percentage of income current being taken up by mortgage payments as a positive?
