Interest rates etc - they are going to be driven by America - particularly if Australia can clean up the dirty money being laundered in Oz residential real estate ------ it's going to be all about America - boom or break wide open
The boom is visible on the ground. On a recent trip to Georgia in the south of the US, I saw fields and forests being turned into factories with extraordinary speed. In 20 years of reporting around the world, what I have seen in the US over the past year can only compare to what I saw in China in the mid-2000s.US President Joe Biden's economic policies are changing the country’s landscape. The numbers show the scale: Since February 2021 - just after his inauguration - monthly investment in factory construction has more than trebled, to almost $20bn (£16bn).The China comparison is not a coincidence. Mr Biden is spending huge amounts of money to bring the manufacturing of green industries and microchips back to the US from China.Where the global green economic transition once looked like it was destined to be "made in China", now the US is now staking its claim. The US is borrowing hundreds of billions of dollars to pay for it. There are concerns that this could push US inflation higher again just as price rises are beginning to slow. And there are fears the country is building up too much debt. The US annual deficit is around 6% of the size of the economy, well above the historical average of 3.7%.There are positives. Unemployment in the US is at its lowest rate for 50 years and hundreds of thousands of new workers are joining the US workforce every month, defying all expectations. The US says it is on course to build a fifth of the world’s advanced microchips.
