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The price of land is hurting Australia; Business Spectator
Topic Started: 16 Dec 2013, 03:37 AM (1,295 Views)
Timo
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More evidence pointing to a property Bull lead destruction of Australia.....


http://www.businessspectator.com.au/article/2013/12/11/property/price-land-hurting-australia?utm_source=exact&utm_medium=email&utm_content=543877&utm_campaign=kgb&modapt=
After a bubble has burst, no one denies that it existed. But before it does, the popular refrain is that though bubbles existed elsewhere in the world, “there’s no bubble here”. So housing bubbles are admitted to have existed in Japan, the USA, Spain and Ireland – because they’ve already burst.
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Drgonzo
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Well said, it's a wage-price spiral. The same can be said for mining mega projects.
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Foxy
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Zero is coming...

Drgonzo
16 Dec 2013, 05:30 AM
Well said, it's a wage-price spiral. The same can be said for mining mega projects.
Hi Timo,
It's just supply and demand.
Land can not be to expensive.
If it was it would not sell.
Peter
:pop:
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
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Pig Iron
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Bogan scum

the price of land is partly inflated due to all the government revenue taking.

which schools and hospitals do you want to close?
I am the love child of Tony Abbott and Pauline Hanson
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Drgonzo
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foxbat101
16 Dec 2013, 10:54 AM
Hi Timo,
It's just supply and demand.
Land can not be to expensive.
If it was it would not sell.
Peter
:pop:
Good old supply and demand, the most simple of economic theories and completely oversimplifies the argument.

The issue was that the cost of housing feeds a wage spiral which in turns increases the cost of production, making Australia uncompetitive. :bye:
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Foxy
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Zero is coming...

Drgonzo
16 Dec 2013, 08:17 PM
Good old supply and demand, the most simple of economic theories and completely oversimplifies the argument.

The issue was that the cost of housing feeds a wage spiral which in turns increases the cost of production, making Australia uncompetitive. :bye:
No it does not.
Peter
:pop:
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
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peter fraser
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Drgonzo
16 Dec 2013, 08:17 PM
Good old supply and demand, the most simple of economic theories and completely oversimplifies the argument.

The issue was that the cost of housing feeds a wage spiral which in turns increases the cost of production, making Australia uncompetitive. :bye:
I see it the other way. The wage increases drive house prices higher.

If we do have a downturn and wage growth slows then I think that price growth will then come under pressure, if it isn't already slowing by then.

Any expressed market opinion is my own and is not to be taken as financial advice
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themoops
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Drgonzo
16 Dec 2013, 08:17 PM
Good old supply and demand, the most simple of economic theories and completely oversimplifies the argument.

The issue was that the cost of housing feeds a wage spiral which in turns increases the cost of production, making Australia uncompetitive. :bye:
That's right, wages become paramount to workers.
stinkbug omosessuale


Frank Castle is a liar and a criminal. He will often deliberately take people out of context and use straw man arguments.
Frank finally and unintentionally gives it up and admits he got where he is, primarily via dumb luck!
See here
Property will be 50-70% off by 2016.
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Foxy
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Zero is coming...

peter fraser
16 Dec 2013, 08:40 PM
I see it the other way. The wage increases drive house prices higher.

If we do have a downturn and wage growth slows then I think that price growth will then come under pressure, if it isn't already slowing by then.
Supply and demand.
Spot on.
Peter
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
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Timo
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foxbat101
16 Dec 2013, 10:54 AM
Drgonzo
16 Dec 2013, 05:30 AM
Well said, it's a wage-price spiral. The same can be said for mining mega projects.
Hi Timo,
It's just supply and demand.
Land can not be to expensive.
If it was it would not sell.
Peter
:pop:
In a market not tampered with by a class welfare driven and fraudulent government perhaps.

After a bubble has burst, no one denies that it existed. But before it does, the popular refrain is that though bubbles existed elsewhere in the world, “there’s no bubble here”. So housing bubbles are admitted to have existed in Japan, the USA, Spain and Ireland – because they’ve already burst.
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