AUD on the skids

Originally posted by happydayz: ↑

there are always so many different beliefs as to why current economic situation exist, politics and personal preference always seems to be an easy thing that most people just generalize about, but it's almost as listen worthy as talking about the weather,, no one really cares.

the housing market is where it is today because of the years between 2007 to about 2014 when Australia's population grew a lot, and interest rates went one way for all sorts of reasons that can be debatable for the above reason. But that means that demand grew for housing and apartments for asset accumulation and investment. Demand and the means to borrow because of low interest rates is an equation the already rich love.

But this cycle is so overdone now that only the wealthy and the rich get richer, because they can afford to get richer because as a result of housing and rental markets that keep their asset base growing. It's alread like the story A Christmas Carol where Ebenezer Scrooge seems to be the only rich Dood and the rest of people are peasants and treated as such, and should consider it a privilege just to be able to breath.

Not to mention the devastating effect the virus has had on the economy and business closures. You will also notice that get rich scheme's and this isn't a joke advertisements flood the media platforms. That's because since 2007 all of society has changed so much that new social classes with totally different idea's and expectations on how to survive have had to basically evolve quickly because of the .fight or flight syndrome which is probably why there is so much depression and a higher suicide rate. The room for error is non existent now.

In 1997 i bought my first house for 175 thousand, today my house is worth 800 thousand, thats almost a 500% increase in 23 years, one of the fastest increases for realeastate values ever. But it's not rocket science or knowlege that no one knows these things, and it isn't a result of who is in power. Money,crypto's and Market sectors and banking or should i say Credit and BNPL comapnies control what is going on.

As one of the the great Lecturer's of economics from the 70s said this is all a result of a fiscal system, and that's what we have to this day, a fiscal system except with crypto's which are here to stay and being used for money generation a whole lot more. That sector is sneaking up on the world fast. Inflation is the real enemy, that no one cares about because just borrow or credit card it and lets live life, move on nothing to see here stuff, keep the line going.

And i think to myself, what a wonderful world.

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Sorry i forgot to say that i think that the birth of crypto's and BNPL is the markets own natural way to resist a recession which i don't think will occur real soon, could though but who knows?