The housing bubble is one of the reasons why the Australian economy has been hollowed out. Fuelled by a mountain of debt, it is a house of cards ready to trigger an extended recession that will devastate many.
The government has done nothing to address the problem. In fact, they are squeezing it for every drop of revenue. Bad taxes, bad planning, short-sighted politicians etc. Australia has very poor leadership.
Imagine if just 10% of the investment in property had gone into small businesses? How much stronger would the economy be. Trading stagnant assets at inflated prices helps very few and creates a lot of illusory wealth. The baby boomers did well out of it though, so that's all that matters.
