Australia falls into per-capita recession

For who?

Federal Treasury scolds Coalition for exaggerating impact of Labor's negative gearing overhaul

https://www.rba.gov.au/publications...17/pdf/rba-workshop-2017-simon-cho-may-li.pdf

 

For the people that work and pay for this country

Remember only 25% of the population pay tax the net are net receivers of tax through entitlements and other kick backs.
So yes 75% will be better off.
They never paid NET tax so yes better of they will be.

 

56%, but hey why let facts get in the way of a good opinion
http://csrm.cass.anu.edu.au/sites/default/files/rsss/Net taxpayers.pdf

Remember only 25% of posters use facts. The other 75%, well...

 

So why ask:? Good googling skills.


50% of the country pays no tax

This varies from media you listen to.
the next 25% pay sweet **** all.

The last 25% and cooperation's pay most of the tax.



So under Labor the people that pay the least or not at all will benefit. Always the case

 

Oh...like another Bretton Woods agreement? That worked out awesome.

 

Well it just happens that nominal GDP is the convention (but not a very good one) for measuring a countries economic growth. As most developed countries have relatively stable populations it's not too misleading but in our case we have 1.6% a year population growth which is twice the OECD average and which artificially boosts GDP. Ie it is like an accounting trick.

PS: you have to be living under a rock to know the average person is not getter ahead, so GDP per capita is more in line with our lived experience.

 

^ Very well said.. the "real" GDP print last quarter was 0.2% which is very much bordering on recessionary type conditions anyway.

Another article: Australia just entered recession on a per capita basis

Also, from the above, much of the growth was purely due to public spending (which obviously the government can tinker with). I expect if Labor gets in they will reveal many "big ticket" public spending initiatives to try and head off a "real" recession under their watch.

This current quarter may be saved due to Iron Ore royalties have been high due to Vale disasters which may keep GDP running a little higher too -> Bloomberg - Are you a robot?

 

There does seem to be a lot of alarms going off at the moment.... This GDP recession thing, the Syd/Melbourne housing bust is bigger than most people were expecting...and China is revising down its growth.

I am no economist but the bad news seems to outweigh the good right now.

 

Its called market sentiment which is negative, in particular property. When this happens fear sets in and investors sit on their hands

Thats why I say...... don’t buy property in 2019

 

Why do you object to the term "per-capita" recession? It is just another indicator, and others have mentioned, would reflect the median situation better than the conventional recession definition. I would say it is reflecting the increasing disparity of wealth.

Cheers,
Inertia.