That raises another question (US), if these tarrifs spike inflation which requires quick rate hikes, could that be the trigger for the recession. I've thought rates need to go up over the long term, but the US economy can hardly handle rates at this level. If inflation forces their hand too soon that might just be the trigger.
Aussie land is just one giant property bubble, which will burst. There's only so long you can go on at with house prices at 10x income, and in a rising rate environment. Don't forget that housing is priced at the margin, as soon as that first mortgage can't be serviced and the property is liquidated below market value, the whole street is now priced lower, making loans harder to get etc. etc.
A correction (40-50% IMO is needed) in turn will hopefully have a dramatic effect on our "politicians", and steer us back toward some commonsense policies.
As of late I've been focusing on freeing up cashflow, which I think will be needed to service mortgage rate rises in the next few years. It is a shame that we can't get long term fixed rate debt here.
