Welcome Guest [Log In] [Register]


Reply
  • Pages:
  • 1
  • 5
  • 7
Real Wages Now Falling; Is this how it ends?
Topic Started: 19 Feb 2014, 05:48 PM (7,691 Views)
Pig Iron
Member Avatar
Bogan scum

Drgonzo
23 Feb 2014, 06:17 AM
No but if I'm renting then I just move to accommodation more within my means until I get back on my feet hypothetically speaking.

On the other hand, if I have a mortgage, the bank forecloses and I face a slew of other related problems.

with a house you can sell it or rent it to avoid foreclosure, plus it takes a long time to get to the stage they can forclose.

if you are renting, you are fucked. you have signed a lease and you have to keep paying it until they get another person in. plus you'll KEEP paying rent your whole life, where as people who buy will atleast be free of the cost of housing in their life time.
I am the love child of Tony Abbott and Pauline Hanson
Profile "REPLY WITH QUOTE" Go to top
 
Admin
Member Avatar
Administrator

Quote:
 
Wage rise paranoia by bosses

March 12, 2014
Clancy Yeates

Posted Image

The way some politicians and business lobbyists have been carrying on lately, you could be forgiven for thinking Australia was facing some kind of wage explosion. Nothing could be further from the truth.

Once inflation is taken into account, average wages are barely rising, if at all. This very slow growth looks set to continue.

The wage price index, produced by the Australian Bureau of Statistics, shows that wages rose by just 2.6 per cent last year - lower than the inflation rate of 2.7 per cent.

That means many workers are actually suffering wage declines when you take into account the rising cost of living. It's a far cry from the 3.5 per cent annual wage growth Australians have received during the past decade or so.

The reason pay is increasing so slowly is the weak state of the economy, which is expanding at a pace below that of its long-term average.

Employers are reluctant to give their staff big pay rises when they are under pressure to contain costs, while workers are also nervous about leaving their jobs.

This week's graphic tells the story clearly. As the unemployment rate rises - and it's now at a 10-year high of 6 per cent - wage growth slows.

Read more: http://www.smh.com.au/money/planning/wage-rise-paranoia-by-bosses-20140311-34ieu.html
Follow OzPropertyForum on Twitter | Like APF on Facebook | Circle APF on Google+
Profile "REPLY WITH QUOTE" Go to top
 
Foxy
Member Avatar
Zero is coming...

This has supply and demand written all over it.

Peter
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
Profile "REPLY WITH QUOTE" Go to top
 
Billy Jack
Member Avatar
The Duke of Brisbane Town

Perthite
19 Feb 2014, 05:48 PM
Friend, I did see this one coming.

House Prices as Multiple of Earnings - the Future
http://www.youtube.com/watch?v=IERsiw30qOQ

Them houses are just priced too damn high!
Edited by Billy Jack, 17 Mar 2014, 01:58 AM.
Tell Billy Jack the Truth
Profile "REPLY WITH QUOTE" Go to top
 
Steve99
Default APF Avatar


Gossamer
19 Feb 2014, 05:53 PM
Deflation is beginning to kick in. Governments have been fighting this since 2008 but are slowly losing the battle.
OUr governments fight against wage rises at the bottom/middle for political dogmatic reasons however they need wage rises down there in order to keep the pyramid scheme that is our monetary system stable. Less unions, more immigration etc means no balance. Follow USA then UK to see outcome.
Profile "REPLY WITH QUOTE" Go to top
 
doubleview
Member Avatar


Steve99
17 Mar 2014, 05:06 AM
they need wage rises down there in order to keep the pyramid scheme that is our monetary system stable. Less unions, more immigration etc means no balance. Follow USA then UK to see outcome.
Posted Image
Profile "REPLY WITH QUOTE" Go to top
 
Foxy
Member Avatar
Zero is coming...

Billy Jack
17 Mar 2014, 01:57 AM
Friend, I did see this one coming.

House Prices as Multiple of Earnings - the Future
http://www.youtube.com/watch?v=IERsiw30qOQ

Them houses are just priced too damn high!
Billy there is an eye surgeon in our street, he earns $2m per month,
A couple at the end of the street, one is a lawyer and the other a surgeon, they would be one $4m per year.
Not sure if the house prices are to expensive for them, that's not to mention the other business people in the street.
Peter
:pop:




Billy Jack
17 Mar 2014, 01:57 AM
Friend, I did see this one coming.

House Prices as Multiple of Earnings - the Future
http://www.youtube.com/watch?v=IERsiw30qOQ

Them houses are just priced too damn high!
Hi Billy Jack, that is the truth plain and simple, i listened to your youtube clip and yes that is what is happening.
Flexible work force.
Also it means if you get some under performing halfwit you can fuck them off.
Supply and demand coupled with a feed back loop.
You got it in one.
Peter
Edited by Foxy, 17 Mar 2014, 10:32 AM.
http://www.afr.com/content/dam/images/g/n/2/1/u/8/image.imgtype.afrArticleInline.620x0.png/1456285515560.png
Profile "REPLY WITH QUOTE" Go to top
 
Thatguy
Member Avatar


Perthite
19 Feb 2014, 05:48 PM
No-one? Really?

I don't see very low wage increases as a problem, more a solution. We can't have high wage growth in Australia and remain competitive.
Edited by Thatguy, 17 Mar 2014, 12:48 PM.
Profile "REPLY WITH QUOTE" Go to top
 
Perthite
Member Avatar


That is my way of saying I called it.

:)

I would say it would have to reverse around 20% for us to be remotely competitive.
Edited by Perthite, 17 Mar 2014, 03:09 PM.
Profile "REPLY WITH QUOTE" Go to top
 
miw
Member Avatar


Dr Watson
20 Feb 2014, 02:02 PM
If one were a housing bull, it could be seen as good news in the sense that it puts downward pressure on the cash rate. if the RBA decides to resume cutting because of this (and other) bad news house prices will trend higher. People will borrow as much as the RBA allows them to.
Depends where you see your money coming from, I guess. Over the long term rents on a given property follow average weekly earnings with an added (or subtracted) term for whether the location/property is becoming relatively more or less attractive. Over the long term, prices follow nett rental income.

So I would see strong wages growth that pushed up interest rates as something that gave me short-term pain but long-term gain.
The truth will set you free. But first, it will piss you off.
--Gloria Steinem
AREPS™
Profile "REPLY WITH QUOTE" Go to top
 
1 user reading this topic (1 Guest and 0 Anonymous)
ZetaBoards - Free Forum Hosting
Free Forums with no limits on posts or members.
Learn More · Register for Free
Go to Next Page
« Previous Topic · Australian Property Forum · Next Topic »
Reply
  • Pages:
  • 1
  • 5
  • 7



Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.

Forum Rules: The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.

Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.

Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.

This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.

For more information go to Limitations on Exclusive Rights: Fair Use

Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ

Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy