the US problems really only surfaced when house prices began to correct and in turn forced the sub prime issue to the top.
in australia we have not had the housing correction as yet which occured in the US and that shoe is yet to drop here and is the one to watch out for,when this happens coupled with unemployment we are in a big hole.
to date we have been pretty much immune and have had the luxury of full employment,budget surpluses etc but they will all end abruptly if things cool quickly and we will not be immune to the housing crisis then.
Question of timing and Australia might avoid a full blown housing correction but i would say not at the moment if this plays out much longer in the US and Europe.
