Discover and read the best of Twitter Threads about #ausbiz
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We need to stop the 'RBA Governor is out of touch' rubbish
Sustained high inflation is much worse than temporarily high(er) interest rates
You want his head on a pike for looking after the country?
Yet you're not taking the pollies to task for fiscal policy?
#ausbiz #auspol
Sustained high inflation is much worse than temporarily high(er) interest rates
You want his head on a pike for looking after the country?
Yet you're not taking the pollies to task for fiscal policy?
#ausbiz #auspol
What would you have Lowe do?
Let inflation run rampant?
It's not like there is a good choice and a bad choice.
There are two bad choices. One is slightly less bad.
That's where we are.
Let inflation run rampant?
It's not like there is a good choice and a bad choice.
There are two bad choices. One is slightly less bad.
That's where we are.
*Any* RBA Governor would (and, by the way, *every* central bank head, globally is) putting up rates to curb inflation.
It's the only option, unless you want to make the country even poorer.
Now, let's turn to the pollies.
It's the only option, unless you want to make the country even poorer.
Now, let's turn to the pollies.
Look, the tabloid responses are easy. And no-one likes the pain caused by rate rises. But here's the thing:
1. Inflation, left to spiral, will destroy our standard of living.
2. Higher rates, temporarily, beat higher prices, permanently
3. Of course it's painful.
1/n
1. Inflation, left to spiral, will destroy our standard of living.
2. Higher rates, temporarily, beat higher prices, permanently
3. Of course it's painful.
1/n
4. It's also unfair that the burden falls where it does
5. The RBA has few other options: either high inflation or high rates
6. The choice is easy (see 1. and 2. above)
2/n
5. The RBA has few other options: either high inflation or high rates
6. The choice is easy (see 1. and 2. above)
2/n
7. 'Avoiding pain' for households is a seductive idea, but it's a non-starter -- the pain is either higher prices or higher rates. There's no Door #3.
8. Parliaments can do more. They should do more. But in the meantime, the RBA has no other options.
3/n
8. Parliaments can do more. They should do more. But in the meantime, the RBA has no other options.
3/n
Truly dystopian.
A 35 year mortgage.
Let that sink in.
When I bought my first unit, the max length was 25 years.
A 40% increase in duration in a couple of decades.
And a huge additional interest burden.
Exhibit #3522 in 'Housing policy in Australia is broken'
#ausbiz
A 35 year mortgage.
Let that sink in.
When I bought my first unit, the max length was 25 years.
A 40% increase in duration in a couple of decades.
And a huge additional interest burden.
Exhibit #3522 in 'Housing policy in Australia is broken'
#ausbiz
Making housing *more affordable* by adding 5 years and $115k in repayments would do Orwell proud.
So you can:
- Raid Super
- Extend your mortgage
- Get money from the government (which pushes prices up)
- Let the government own some of your house
That, apparently, is 'policy'.
So you can:
- Raid Super
- Extend your mortgage
- Get money from the government (which pushes prices up)
- Let the government own some of your house
That, apparently, is 'policy'.
The rates conversation is - should be - complex.
Some thoughts, in an interest rate 🧵
#ausbiz #rates #RBA
1/n
Some thoughts, in an interest rate 🧵
#ausbiz #rates #RBA
1/n
There's a decent 'chart crime' - or at least a meaningful misdemeanour - on the AFR's homepage this morning:
2/n
2/n
It's rectified in the article:
BUT... that's not even close to the full picture:
(source: afr.com/policy/economy…)
3/n
BUT... that's not even close to the full picture:
(source: afr.com/policy/economy…)
3/n
Today, Australia’s largest domestic climate polluter @AGLAustralia abandoned plans to ‘demerge’, to keep burning coal until the 2040s.
Combined with last weekend’s election result, this is a watershed for climate action in Australia.
Let’s unpack what it means 🧵: #ausbiz #auspol
Combined with last weekend’s election result, this is a watershed for climate action in Australia.
Let’s unpack what it means 🧵: #ausbiz #auspol
@AGLAustralia is our country’s biggest climate polluter responsible for 10% of our annual domestic greenhouse gas emissions.
What happened today is totally unprecedented.
The restructure of a massive iconic corporation collapsed because of a failure to act on climate change.
What happened today is totally unprecedented.
The restructure of a massive iconic corporation collapsed because of a failure to act on climate change.
To quote my colleague @Glenn_Walker_ AGL’s leadership has presided over the “most bungled and misguided attempt at a corporate restructure in Australian history”.
But it is a fiasco that was a long time in the making…
investordaily.com.au/markets/51424-…
But it is a fiasco that was a long time in the making…
investordaily.com.au/markets/51424-…
Today's editorials in the @smh and @FinancialReview come to different conclusions, but with the same frustration that neither party has any stated policy ambition.
This, from the SMH, captures it nicely.
#auspol #ausbiz
1/n
This, from the SMH, captures it nicely.
#auspol #ausbiz
1/n
@smh @FinancialReview We have the toughest economic outlook in decades (COVID was a surprise), and neither party has a serious plan to lift productivity or to drive economic growth.
Neither party has a serious plan that goes far enough on climate.
2/n
Neither party has a serious plan that goes far enough on climate.
2/n
Neither party has anything like a plan to repair the government balance sheet, or address the structural imbalance in our national budget.
Neither party has made a strong case for why they should be in power, relying on our dislike or mistrust of the other.
3/n
Neither party has made a strong case for why they should be in power, relying on our dislike or mistrust of the other.
3/n
For all of the problems of democratic capitalism - and there are plenty -- don't miss the forest for the trees.
Don't get sucked into the false binary choice between neoliberalism or socialism.
Capitalism works.
It needs to be well (better!) regulated but it works.
#ausbiz
Don't get sucked into the false binary choice between neoliberalism or socialism.
Capitalism works.
It needs to be well (better!) regulated but it works.
#ausbiz
The for-and-against arguments centre on extreme views:
"It's better than socialism"
Or
"It's not working properly"
Newsflash: Both are true.
But throwing out the baby with the bathwater would be a crazy outcome.
Argue for a better system. Improve the system.
"It's better than socialism"
Or
"It's not working properly"
Newsflash: Both are true.
But throwing out the baby with the bathwater would be a crazy outcome.
Argue for a better system. Improve the system.
But don't fall for the idea that it's not a very, very good system for distributing resources and improving our standard of living.
Not even close to perfect.
Needs lots of work.
But don't be sucked into the either/or conversation.
Not even close to perfect.
Needs lots of work.
But don't be sucked into the either/or conversation.
Turmoil at @AGLAustralia reached new levels this week, with major and costly power outages, and @mcannonbrookes buying a major shareholder stake and opposing demerger plans.
How has $AGL - a company with such an incredible history - reached this crisis point? 🧵: #ausbiz
How has $AGL - a company with such an incredible history - reached this crisis point? 🧵: #ausbiz
To start, a reminder - @AGLAustralia is our country’s biggest climate polluter. $AGL alone is responsible for almost a tenth (over 8%) of our annual domestic greenhouse gas emissions. To protect our climate it is imperative AGL shifts its business model.
There has been ample opportunity for $AGL to transition its business model away from the destruction of our planet. Instead, AGL has resisted change and ignored the clear shift in the global energy market, consumer expectations - and the scientific warnings.
For #Adelaide psychic reading client: Guided suspicious digital behavior is calculated and deliberate by foreign intelligence. Ask how it is possible that so many Australian digital companies have not been taken over and the @acccgovau haven't protected Aussie businesses? #ausbiz
cont. for #Adelaide psychic reading client: I was being shown a vision of a plan to buy up all digital companies in Australia to force them into foreign country ownership. This means Australian businesses have no protections. There's suspicious behavior being revealed. #ausbiz
cont. for #Adelaide psychic reading client: Something reeks of corruption and deliberate sabotage of Australian businesses. Guided look into who is buying up all the infrastructure and what connections they have. This appears to be connected to intelligence. I'll find link.
Meanwhile, #US #e-commerce sales, per Mastercard SpendingPulse, were up 92.7 percent in May, underscoring the broader shift to #digital in how we work, live and shop.
webwire.com/ViewPressRel.a…
webwire.com/ViewPressRel.a…
#ecommerce #digital
According to Mastercard SpendingPulse, more money was spent online in the #US between April and May than the last 12 Cyber Mondays combined.
According to Mastercard SpendingPulse, more money was spent online in the #US between April and May than the last 12 Cyber Mondays combined.
#ecommerce #digital #ausbiz #ausecon
Of those aged between 22 and 35, only 36 per cent have a credit card, down from 59 per cent in 2002, and only 14 per cent pay in cash.
afr.com/companies/fina…
Of those aged between 22 and 35, only 36 per cent have a credit card, down from 59 per cent in 2002, and only 14 per cent pay in cash.
afr.com/companies/fina…
EPIC THREAD: Remember the eviction ban that would 'fix' #COVID19 rental problems? It prevented a surge of tenants being booted, but started a debt-bomb set to explode in September. "The world is going to collapse," a housing expert told me. Here's WHY. #auspol #ausbiz
* A 6-month eviction 'ban'
* Mortgage 'pauses' for landlords
* Income support (#JobKeeper, #JobSeeker) for renters Extraordinary measures by governments and banks to prevent an eviction surge, keep 8 million renters in their homes and help landlords struggling with loans....
* Mortgage 'pauses' for landlords
* Income support (#JobKeeper, #JobSeeker) for renters Extraordinary measures by governments and banks to prevent an eviction surge, keep 8 million renters in their homes and help landlords struggling with loans....
But they're temporary and mask a growing problem: many tenants getting "reductions" to their rent are really just deferrals, accruing huge debts they'l never be able to repay. "I'm $1,600 in arrears, which is a lot of money when you look at it," said 27-year-old Jay.
Got sent this today. Can't vouch for its authenticity. #auspol #ausbiz 1/many
Just got a one hour briefing from a cabinet minister after their full day on Covid-19 with the chief medical officers of aus, uk, USA and Israel and prime minister yesterday. Summary as follows:
Just got a one hour briefing from a cabinet minister after their full day on Covid-19 with the chief medical officers of aus, uk, USA and Israel and prime minister yesterday. Summary as follows:
- 60% of Aussies will be infected
- South Korea is testing 15,000 per day. Mortality rate there is 0.6%. This makes it a bad flu (10X normal flu rate). That’s the expected mortality rate in Australia
- South Korea is testing 15,000 per day. Mortality rate there is 0.6%. This makes it a bad flu (10X normal flu rate). That’s the expected mortality rate in Australia
- mortality rate grows exponentially from age of 70 as per normal flu. Mortality rates there are 10-15%
- so deaths in Australia to be tens of thousands, mainly aged
- mortality is not out and out their main concern, it’s a third of the workforce being sick and economic impact
- so deaths in Australia to be tens of thousands, mainly aged
- mortality is not out and out their main concern, it’s a third of the workforce being sick and economic impact
Via @GeoffHanmer: "The introduction of the Building Code of Australia, now the National Construction Code (NCC) from the mid-1980s was driven by an agenda to increase self-regulation in the building industry... with the aim of reducing construction costs." afr.com/real-estate/re…
"By 2004, the Productivity Commission had given deregulation a big tick. In a 2004 report it theorised billions of dollars would be saved by moving to a more flexible regulatory environment. It did not consider the cost of rectifying buildings." #Auspol
afr.com/real-estate/re…
afr.com/real-estate/re…
For anyone who's interested, the full 2004 Reform of Building Regulation report is still available online. It certainly makes for some... interesting... reading in light of the recent problems with buildings. #Auspol
You can download it here: pc.gov.au/inquiries/comp…
You can download it here: pc.gov.au/inquiries/comp…
Australian Economy Thread #ausbiz #auspol #housing #business
As we have be warning about for a while now house prices are falling at the fastest rate in 35 years. But so far the knock on effects for the economy aren't noticeable. Many regions are still experiencing strong... 1/6
As we have be warning about for a while now house prices are falling at the fastest rate in 35 years. But so far the knock on effects for the economy aren't noticeable. Many regions are still experiencing strong... 1/6
growth such as Tassie as we shared last week. The bank restrictions on interest only & investment lending have been reversed in an attempt to re-inflate markets. Bank lending standards led to a Royal Commission so many are unhappy that regulators are telling banks to lend... 2/6
more again.
Property investment makes up a far larger percentage of our economy than most countries so many expect this weakness to spread as investor portfolios unwind. The only factors that can turn this around are strong immigration & real wage growth. Both of which are... 3/6
Property investment makes up a far larger percentage of our economy than most countries so many expect this weakness to spread as investor portfolios unwind. The only factors that can turn this around are strong immigration & real wage growth. Both of which are... 3/6
#demographics #militaries #economies #currencies
#USA
- Best demographics
- Largest military
- Largest economy
- Most used currency
- Liquid financial markets
- Open capital account
- Rule of law
- Best geography
- Can be self sufficient if required
- Not trade dependent
#USA
- Best demographics
- Largest military
- Largest economy
- Most used currency
- Liquid financial markets
- Open capital account
- Rule of law
- Best geography
- Can be self sufficient if required
- Not trade dependent
#USA
Top trade partners as of 30 June 2018:
- China: 15.2% (strategic competitor)
- Canada: 15.1%
- Mexico: 14.6%
- Japan: 5.1%
- Germany: 4.4%
The next 10 years could result in the below:
- Mexico (25%)
- Canada (20%
- Japan (7%)
- South Korea (5%)
- Great Britain (4%)
Top trade partners as of 30 June 2018:
- China: 15.2% (strategic competitor)
- Canada: 15.1%
- Mexico: 14.6%
- Japan: 5.1%
- Germany: 4.4%
The next 10 years could result in the below:
- Mexico (25%)
- Canada (20%
- Japan (7%)
- South Korea (5%)
- Great Britain (4%)
#USA
Bring the manufacturing (jobs) home while negatively impacting China's economy.
forbes.com/sites/kenrapoz…
cebglobal.com/talentdaily/au…
irishtimes.com/business/econo…
Bring the manufacturing (jobs) home while negatively impacting China's economy.
forbes.com/sites/kenrapoz…
cebglobal.com/talentdaily/au…
irishtimes.com/business/econo…
#HotTip High level interpersonal + problem solving skills are what will make you employable in a digital world.
#Thread #education
theconversation.com/demand-for-peo…
#Thread #education
theconversation.com/demand-for-peo…
In 1986, the largest group of workers was in occupations classified as skill lvl 4 (roughly equivalent to a certificate II or III). Nowadays, the largest group of workers is in the highest (skill level 1) category - occupations requiring a bachelor degree/higher qualification.
Despite all the hype about #STEM skills, occupations requiring communication skills are actually growing fastest.
