imf says australia fastest growing economy for 200, page-13

Yes. Good point. Not enough people pay attention to these issues.

However, neither Liberal nor Labor wants to tackle these issues (in the too hard basket).

Australia's current a/c deficit of around $60 billion p.a. requires more borrowings from overseas lenders or sale of assets to foreigners (combo of both have been happening). Cannot go on forever because we eventually run out of assets to sell.

Net foreign debt already reached $430 billion at 30/6/05 and will continue rising provided the kindness of strangers (foreign lenders) continue lending. When the bill hits $500 billion, even the lenders might wonder about repayment capability.

42% of ASX market capitalisation (mainly ASX 150) already owned by foreigners.

The mining boom is keeping the Aussie dollar afloat. If we ever run out of mining resources, the party ends and the sober morning after begins.