Parley Posted May 31, 2015 Share Posted May 31, 2015 Since when do you raise rates to combat a recession ?? Normally you would cut rates. Quote Link to comment Share on other sites More sharing options...
newjez Posted May 31, 2015 Share Posted May 31, 2015 Since when do you raise rates to combat a recession ??Normally you would cut rates. Yes, but you raise rates to combat inflation. They let inflation run above target for years. It hurt a lot of fixed income people. Quote Link to comment Share on other sites More sharing options...
Parley Posted May 31, 2015 Share Posted May 31, 2015 That is not a recession though. You raise rates to dampen demand in an overly expansionary economy. Quote Link to comment Share on other sites More sharing options...
HelensvaleHoward Posted May 31, 2015 Share Posted May 31, 2015 Quote Link to comment Share on other sites More sharing options...
Jacaranda Posted May 31, 2015 Share Posted May 31, 2015 Yep and I seem to recall when the UK was in recession,thats all people were posting....."We're doomed"..."The UK is finished"Fwiw,I expect it'll be the same in Oz.Some people will obviously suffer more than others.Where I live,you wouldn't of even known a recession was on.Lets hope its the same for those in Australia. Quote Link to comment Share on other sites More sharing options...
newjez Posted May 31, 2015 Share Posted May 31, 2015 That is not a recession though. You raise rates to dampen demand in an overly expansionary economy. Which is why they didn't raise rates, but it didn't make the inflation any more palatable. Australia is fortunate that the world is in a deflationary period. Should oil prices rise sharply, as could easily happen if conflict threatens supply, then things may start to get much more unpleasant. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2015 Share Posted May 31, 2015 Let's hope we aren't daft enough to put a Labor government in until things improve. And an inept Liberal government done better? Forget the ideological slant. Neither party can be separated by much if the truth be known. Just how do you imagine things will improve under Liberals? Both spent up big in bribes but ALP did get us through the GFC. Still hardly a fan. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted May 31, 2015 Share Posted May 31, 2015 Which is why they didn't raise rates, but it didn't make the inflation any more palatable. Australia is fortunate that the world is in a deflationary period. Should oil prices rise sharply, as could easily happen if conflict threatens supply, then things may start to get much more unpleasant. Not sure if fortunate would be a word used about Australia. Talk about eggs in one basket and alone in an alien part of the world. Oil prices are rising and will not be an on going cheap commodity as the big players reign in production. Quote Link to comment Share on other sites More sharing options...
starlight7 Posted May 31, 2015 Share Posted May 31, 2015 Bad finance, good ideas is typical Labor. They have fine ideas but always send us down the gurgler trying to realise them. Then we have to cope with austerity and Liberal parsimony.Need a happy medium. Just now we certainly don't need the daft Labour party in charge because it will be worse for us all. Let the Libs sort it out first and give a bit of stimulus to business and the economy. Labour never does, they just hand out the lollies. Quote Link to comment Share on other sites More sharing options...
bristolman Posted May 31, 2015 Share Posted May 31, 2015 We have lived through various recessions over the years in both countries, we have never personally been affected by them BUT lots of people do suffer. If Australia goes into recession which looks more likely some will be affected badly, most won't miss a beat and carry on regardless. Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted May 31, 2015 Share Posted May 31, 2015 I didn't read that in his post. To some extent a govt can decide who bears most of the recessionary burden. Possibly he was inquiring whether the burden is carried differently in Australia, with it being a more equal society? Perhaps, but that's another argument - that 'Australia is a more equal society!?' (Is it?) Quote Link to comment Share on other sites More sharing options...
Johndoe Posted May 31, 2015 Share Posted May 31, 2015 <yawn> Constant bleating of how blind we are to not see what is coming...............those bleatings have been going on ever since I joined PIO............what? 7 yrs ago?..................same old sad sacks that I thought would have baled out of Oz by now considering how they thought doomsday was coming?............same old sadsacks that consider anyone who disagrees with them as being "lightweight intellectuals" or even more likely "morons"? It's capitalism..............peaks, troughs, currency and all that shlt..............what those on the left (on PIO) refuse to acknowledge, or at the least avoid the issue of, is that it's all symptomatic of capitalism, and the argument of the left (socialsm) has been rejected by the masses so let's get real eh?............stop blaming/denigrating OZ/UK/ EEC.............and either lay down and die (figuratively) and stop the petty denigration of individual states/countries/policies and...............push for a revolution......................oh?...............wait a minute?...............haven't we all tried via revolution before and now we're back to square one?..................Come on Arhtur Scargill!............you mistimed your opportunity last time...........the world is yours for the taking..............that is..............if your hair weren't so bad! Jeeeeeeeeez............lets all just forget our differences and let those who need a good argument sort it out via the Da Vinci Code...............probably no winners there either :-) Quote Link to comment Share on other sites More sharing options...
bristolman Posted May 31, 2015 Share Posted May 31, 2015 Perhaps, but that's another argument - that 'Australia is a more equal society!?' (Is it?) No, I have seen no evidence of it, no more or no less equal. The rich get richer and the poor get poorer. Unfortunately that is how how western democracies work. Quote Link to comment Share on other sites More sharing options...
Jacaranda Posted May 31, 2015 Share Posted May 31, 2015 Just reminded me of a song Bristolman.......... Quote Link to comment Share on other sites More sharing options...
TheBrammies Posted May 31, 2015 Share Posted May 31, 2015 And an inept Liberal government done better? Forget the ideological slant. Neither party can be separated by much if the truth be known. Just how do you imagine things will improve under Liberals? Both spent up big in bribes but ALP did get us through the GFC. Still hardly a fan. and what a pile of debt they left us with if the truth be known Quote Link to comment Share on other sites More sharing options...
newjez Posted May 31, 2015 Share Posted May 31, 2015 and what a pile of debt they left us with if the truth be known Really? I thought the debt was being racked up by the libs? Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted June 1, 2015 Share Posted June 1, 2015 and what a pile of debt they left us with if the truth be known And the Howard lot were not spending up big and attempting to bribe the voters. Both sides score failure at economic management and most everything else. Look no further than your adopted state WA Lib's to check out debt. Quote Link to comment Share on other sites More sharing options...
flag of convenience Posted June 1, 2015 Share Posted June 1, 2015 Really? I thought the debt was being racked up by the libs? It is at a Federal and a State level. Amazing how many can't get away from the Lib's as being the best at economic management. Quote Link to comment Share on other sites More sharing options...
newjez Posted June 1, 2015 Share Posted June 1, 2015 It is at a Federal and a State level. Amazing how many can't get away from the Lib's as being the best at economic management. Maybe they can't differentiate between UK labour and aust labour. Quote Link to comment Share on other sites More sharing options...
Bobj Posted June 1, 2015 Share Posted June 1, 2015 [h=1]Are you feeling the pinch in oz[/h] No! I'm a hap, hap, happy chappie. No job for the past 16 years, no debts...No problems. Geez, Australia's a great country to live in...:tongue: Cheers, Bobj. Quote Link to comment Share on other sites More sharing options...
Paul1Perth Posted June 2, 2015 Share Posted June 2, 2015 I find Perthbums first post a bit dodgy. After posting numerous times about a job in his local Tescos having hundreds of applicants and him not being able to get a job in his trade and having to work behind a bar, then saying he doesn't know anyone that the recession affected is a bit far fetched. Not noticed anything changing much in Perth yet. Know a couple of guys who are tradies that work for themselves who say work has been a bit quite. All they've done though is spend more time exercising and do cashies. One guy I know is a geo and he lost his job with Atlas a few months back. He's got another job helping a surveyor out though. Don't suppose the money is anything like his geo FIFO work but he says he's quite enjoying the break as he has a young family. Quote Link to comment Share on other sites More sharing options...
Paul1Perth Posted June 2, 2015 Share Posted June 2, 2015 Which is why they didn't raise rates, but it didn't make the inflation any more palatable. Australia is fortunate that the world is in a deflationary period. Should oil prices rise sharply, as could easily happen if conflict threatens supply, then things may start to get much more unpleasant. That would affect everyone newjez too, not just Aus. Quote Link to comment Share on other sites More sharing options...
newjez Posted June 2, 2015 Share Posted June 2, 2015 That would affect everyone newjez too, not just Aus. True, it would affect everyone, and it will effect everyone differently depending on where they are in an economic cycle, and how dependant they are on fuel. There are obvious benefits for wa. But there are obvious dangers as well. Possibly more so to sydney than Perth. The UK and US are looking to raise rates anyway, so it would just bring this forward. The full repercussions are unknown, at least to me, but it will be a period of upheaval. Quote Link to comment Share on other sites More sharing options...
HelensvaleHoward Posted June 2, 2015 Share Posted June 2, 2015 Back on topic Am I feeling the pinch in Australia Well everyone seems to think that tradies are nothing but a big rip off here in Australia Last time I filled up with petrol it overflowed under my car I rang my usual mechanic fearing the worse He came today to have a look and the part will cost $60 and $200 labour to fit He was here over an hour stripping it down then ordered part which won't be here for a couple of days so had to refit all then do all again when he fits new part Can't complain about that Quote Link to comment Share on other sites More sharing options...
toOZ2012 Posted June 2, 2015 Share Posted June 2, 2015 When I find honest tradies, I try to latch on to them. You want $200 to do a basic 1hr job? You got it. A honest tradie is worth every penny even if over priced. Too bad, it's getting harder and harder to find honest tradies. Not feeling the pinch yet but scared as to how quickly I can run through all my savings if I am out of work for more than 6 months. Quote Link to comment Share on other sites More sharing options...
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