Banks and governments have certainly been inflating the housing bubble, but a combination of factors has meant that borrowers too are contributing to the problem, writes Ian McAuley. Last week I wrote about the banks’ part in pushing Australia to a debt-fuelled housing bubble. In response to that article Notta Mehere wrote, “I’m all for [...]
The post Optimistic Borrowers: How We Got Into A Housing Bubble (Part 2) appeared first on New Matilda.
From the perspective of a Coalition Government, exploiting public irrationality over house prices is a great idea. We're returning to bone-headed Howard-Costello economics, writes Ian McAuley
Ignore the noise about government debt, it's the borrowing of individuals and households that should have us really worried - especially as the mining boom fades, writes Ian McAuley
Tony Abbott wants to make immigrants take the blame for our housing affordability problems, writes Ian McAuley. Tony Abbott has an eye for complex public policy issues. He misses no opportunity to take a difficult issue – electricit...
If you buy a house in Australia -- where housing prices are out of control, even by global standards -- you can wait a couple months for the house's book value to go up, and then borrow against that "unrealised capital gain" to buy ...