Australian economy heading for 'scarily fast' fall: analysts

[w¡n9Nµ7 §£@¥€r 123]

SYDNEY (AFP) — Australia is heading for the sharpest economic slowdown in its history and recent prosperity will fall "scarily fast".

...

"This is not just a recession. This is the sharpest deceleration Australia's economy has ever seen," the Access Economics think-tank said in its quarterly business outlook.

...

Access Economics ... predicts two quarters of negative growth -- the second and third -- will drive Australia officially into recession.

http://www.google.com/hostednews/afp/artic...aE9jMYKhwxR0TLQ

[Trumplestiltskin 5,791]

Amazing how easy that was to find.

[w¡n9Nµ7 §£@¥€r 123]

Australian Consumer Pessimism Deepens as Companies Fire Workers

Australian consumer confidence falls

Thousands Lose Jobs as Australia's Once-Mighty Mining Sector Suffers

Australia's PM warns 2009 'toughest in decades'

[Ban Hammer 13,346]

poor booyah.

[Heracles 417]

Guys come on, you realize that someone indefinitely receiving unemployment welfare in Australia earns more than an Individual on minimum wage in the US. Australia like Canada also has a budget surplus. Which means they don't even need to borrow to stimulate the economy.

[Heracles 417]

My ING savings account there still gives me 4.75% rate.

[w¡n9Nµ7 §£@¥€r 123]

Prime Minister Kevin Rudd vows to back banks

January 21, 2009 12:00am

KEVIN Rudd has vowed to pump billions into Australia's credit markets to lend to businesses as part of the Government's response to the economic crisis.

[SAT 9,609]

Guys come on, you realize that someone indefinitely receiving unemployment welfare in Australia earns more than an Individual on minimum wage in the US. Australia like Canada also has a budget surplus. Which means they don't even need to borrow to stimulate the economy.

I would hope they don't have to borrow. A net-borrower would make them a third world country.

If they're anything like Canada, they'd be OK. Canda's external debt to GDP ratio is pretty good I think........

I hope we get thru it.

[Heracles 417]

Prime Minister Kevin Rudd vows to back banks

January 21, 2009 12:00am

KEVIN Rudd has vowed to pump billions into Australia's credit markets to lend to businesses as part of the Government's response to the economic crisis.

All of the Australian Banks are still delivering profits. Commonwealth Bank delivered $4.8 billion last year.

[mawilson 2,133]

Guys come on, you realize that someone indefinitely receiving unemployment welfare in Australia earns more than an Individual on minimum wage in the US. Australia like Canada also has a budget surplus. Which means they don't even need to borrow to stimulate the economy.

True, but is it enough?

[w¡n9Nµ7 §£@¥€r 123]

Prime Minister Kevin Rudd vows to back banks

January 21, 2009 12:00am

KEVIN Rudd has vowed to pump billions into Australia's credit markets to lend to businesses as part of the Government's response to the economic crisis.

All of the Australian Banks are still delivering profits. Commonwealth Bank delivered $4.8 billion last year.

Why the bailout then?

[Heracles 417]

True, but is it enough?

I am guessing that if this global financial situation holds on for another year Australia will go into recession. They have been lucky though as Asia / China has been their biggest customer for years now.

[Heracles 417]

Why the bailout then?

The banks have stopped lending out of fear. Not because people are defaulting on loans. The property prices are still holding up in cities like Sydney and Melbourne. There is a housing shortage there.

The government is also providing people with a $21,000 grant for their first home.

Edited January 21, 2009 by Aficionado

[Trumplestiltskin 5,791]

It actually says in that first article that China's manufacturing economy is in a slowdown (and if you follow the news about China they've had *a lot* of factory closures recently) which is one reason for the low gas prices we're currently seeing.

Anyone that relies on China - for things like mining and raw materials is obviously going to find themselves with a product that they can't shift.

[mawilson 2,133]

If they're anything like Canada, they'd be OK. Canda's external debt to GDP ratio is pretty good I think........

Public debt: 64.2% of GDP (2007 est.)

Source: https://www.cia.gov/library/publications/th...k/print/ca.html

The numbers for the US:

Public debt: 60.8% of GDP (2007 est.)

Source: https://www.cia.gov/library/publications/th...k/print/us.html

Of course, soon it's going to be close to 80%.

Edited January 21, 2009 by mawilson