omg time is running out : rate hike in june !, page-13

Twinturf, the horse has bolted already and it's all downhill... besides mining, which accounts for 5% of the economy, is there another sector that is doing well? No, other than overseas travel.

How can you say higher interest rates now won't make construction worse. It's already stuffed, it'll just mean every second company will go bust. Unemployment is already rising sharply, bankruptcies are soaring, there are more vacant offices and shops everywhere, confidence is crashing, mortgage defaults are growing daily, people can't sell their houses at a price to pay off their debt. Tourism, education, retail, marine, manufacturing are mostly stuffed.

Is the solution higher interest rates? Of course not. Higher rates will send more viable businesses broke, risking a depression as hundreds of thousands or millions lose their jobs and businesses go broke. Yes, we're not far off one. It just takes a serious crack of confidence. Is that what you want?

We've just had the worst depression since the Great Depression. The recovery is extremely fragile. It must be nurtured back to health, not destroyed. Interest rates are not low, as some claim. Because the world thrives on credit, it must be at a reasonable cost, not too cheap nor too costly.

On interest rates, IMO, the solution is to curb housing investment speculation, bringing prices down for investment properties so young or non-owners can buy them, building more cheap housing, thus sending money into savings and investment in more productive enterprises, creating real jobs that pay proper wages and stimulate real growth.

Rates/taxes on investment properties must be raised, those on owner-occupied housing cut, business rates cut, savings rates lifted, wages lifted because executives are stealing the earnings of ordinary workers, who are being ripped off by greedy governments and utilities, who are fuelling inflation beyond average Aussies' control. So we're being punished with higher interest rates for inflation we have mainly not caused. Of course we have to live within our means, everyone does.

Water, power, petrol, food prices, health and basic services must be first slashed and then capped to wage growth. They're far out of whack now. This means people no longer have money to save, invest as they used to. Without that, it's a death spiral for the economy and the country.

Corporate and government executive greed must be ended and the money returned to workers who earn it.

There is no other way, other than depression, poverty, war.