Weekend Links 25-26 March, 2017

Cocking an Ear John Brack 1948

Cocking an ear, John Brack, 1948, National Gallery of Victoria

 

China

Asia

Europe

United Kingdom

United States

Americas

Terra Ponzinomicus

Commodities

Capital Markets

Global Macro

…and furthermore…

 

Comments

    • boomengineeringMEMBER

      Personally I think property will crash (eastern states) this year, beginning of next at the latest. All the hallmarks are there, bank tightening, scare mongering media, poor ROI,extreme un affordability, etc. The only few things left holding it up at the moment is employment, immigration and foreign investment.
      Was talking to a RE agent couple of weeks ago, my induced commenting on the last crash , he said he was just starting out things were going great, then someone just turned out the lights and no sales. He just went to (work?) like normal but no sales. This happened within days not months.

      • An agent told you “no sales”?

        Unless they were standing on bridge with a bottle of pills in one hand and a Glock in the other, yeah, nah.

      • Not 2013? One of the worst years in living memory. Almost no equity portfolio growth that year.

      • boomengineeringMEMBER

        Depends when you were born ( living memory), remember 1929, remember 1987, or 2013 seems progressively lighter but the next will be bad and 2065 will be worse than 1929.

      • Mining BoganMEMBER

        Those in the second link don’t seem to be very good looking. Have they not bought yet? Very proud of the VIP cards around their necks though.

        Savvy too. ” I don’t really know much about Toronto’s real estate, but I think it’s growing.”

      • TailorTrashMEMBER

        “Don’t take advice from non-doers and keep only positive people around you.”……………wonder if Reusa has been to Canada lately ……

    • Comments are a gold mine.
      “All good…then the market crashed and they separated and he ended up mowing lawns and she is selling Amway….”

    • boomengineeringMEMBER

      At least that couple will have memories of affluence, some bad ones (poverty) coming up but still memories all the same.

    • The data CS obtained is from pre-Jan 31st, 2017. Chinese will always buy, there are still avenues to get money and as much the Chinese government will applaud CS for including Taiwan as part of its Chinese buying figures, Taiwan does not have the same capital constraints as the mainland, same is true for HK and Macau.

      • Let me clarify this a bit:

        Chinese buying is herd and momentum based – no one likes to be the first, but no one wants to miss out if someone else is doing it. The problem is, it works in reverse. As stories on WeChat and in friends groups have spread about loss of deposit, unable to get bank loans, the herd is unnerved. As new avenues are discovered there is a rush to them, but at smaller numbers as the herd is culled. On Wednesday my friend and partner in the abattoir in Jiangsu settled on a property in Epping (new with FIRB approval). Before he would even contemplate putting down the deposit, he insisted that the FIRB approval come first so as not to put the deposit at risk of a rejection. Settlement price was $220K less than the highest bid pre-auction and $20K below the top bid at auction where it was passed in. Vendor made a mistake rejecting an earlier offer and was forced to sell because of a cash flow crisis.

        With the premier of CHina visiting, we have been inundated with requests for projects and properties in Australia, but 90% of the requests can not demonstrate approval to invest and move funds through business channels or can not show how they can satisfy the final payment for personal projects. They are doing this to say look at what we got from this official visit to Australia. I keep highlighting that there is a big difference between buying and settling when it comes to Chinese property sales. Anyway, the main point is this is not something that will drop to zero, Chinese are not the most aware of political and international law changes, and from first hand experience, spend more time lying to each to make themselves look big they often miss the police car in the rear view mirror about to pull them over for breaking the law…..

      • ErmingtonPlumbingMEMBER

        Love your contributions here OJ, always interesting and informative.
        Keep up the good work Brother.

  1. What happened to MacroBusiness podcast?

    I am sure William Bourke would agree to talk.

    On the 4 Corners episode about political “donations”, it was suggested that sausage sizzles can be used to raise money for political parties. Is that a viable option for SAP?

    We really need the party to grow. Maybe the Christian churches and Buddhist temples will agree to support this party given that it is probably against offshore detention gulags.

    • We just need to help William fund a billboard on the M1 of packed congested traffic and all it needs to say is “You Voted For This”

      • M4 heading east near the old toll area at Granville is a large bill board where it’s constantly jammed with morning traffic. I’ll contribute to such a bill board if others help too . Any slogan needs to be written in a way where it’s in you’re face – maybe a contest for an approprate slogan needs to be undertaken? How much to hire a large billboard?????

      • TailorTrashMEMBER

        ..a couple of the newly installed huge bill boards on the revamped M4 are already gone to ….DOMAIN …”How much is your house worth ?”………..I kid you not …..

      • The Wikipedia page is ridiculous. It has no photo of Mr Bourke.

        SAP should take a nice photo of Mr Bourke and make it copyright free and put it on the Wikipedia page. And this website may as well put a nice photo of Mr Bourke in some articles that are about immigration – MacroBusiness is mentioned by Andrew Bolt and some people on Whirlpool, etc.

        As for the billboard – the billboard should have a nice photo of Mr Bourke so that people know who they are voting for. And yeah take a photo of the billboard so that people can put said photo on Wikipedia.

    • Seen it before – photographers are replaced with “send us your photos”, while you start seeing content from nearby regions filling space in your local paper.

      • And they don’t pay for photos submitted by the public, indeed their ‘terms’ extract a perpetual world wide license to use whatever gets sent in. The only thing they will be receiving from me on that basis is a d%ck pic.

    • No one pays the advertised rate. The rate they’re talking about is on one product, check the banks websites there’s plenty of options for home loans with rates starting with a 4.

    • Blame the computahs… them stupid algos running amok! What with Youtube advertising brand names on terrrist videos… and now this… I tells ya – Skynet doesn’t need to fire a single shot – all it needs to do is fuck with advertising and create financial panic and it’s all over! we’re back to stone age!

      Speaking of which: for sale – rock-on-a-stick business – be your own boss, work as long or as little as you want. This new technology is called “hammer” and will take the new world by storm!

  2. http://www.scmp.com/news/china/economy/article/2081785/china-mortgage-rules-tightened-curb-people-divorcing-qualify-buy
    Took them long enough to act on this. Clever people in Shanghai have been doing this for years.

    And if you want to see a provincial Chinese government do an ‘oh hey look over there we are doing something about this existentially threatening problem, not’ then read this link:
    https://www.nytimes.com/2017/03/23/world/asia/china-to-plant-green-necklace-of-trees-around-beijing-to-fight-smog.html?ref=business&_r=0
    Trees! Wow, really??? That’ll fix it, plant some nice green things. As it says in the article, shut the effing steel factories down. It’s it not too hard (as everyone in China thinks as mentioned), it just means enough people growing some balls and taking away a few peoples ability to make money. It means ending state sanctioned murder which is what the current extreme levels of pollution in China are. It means getting the people to LOVE LOVE LOVE you (what all government want, right?): reduce the extreme air pollution back to something approaching reasonable which would be the the majority of time with an AQI of unhealthy (PM2.5 of 150-200) with it only spiking into ‘very unhealthy’ (PM 2.5 of 200-300), the level just below hazardous. This would satisfy everyone, enough economic growth (which the gov, business and the people want), enough breathable air and those levels aren’t so depressing to live in and look at.

    • Popcod….

      Its just the historical norm in uplift from a agrarian – artisan – burgeoning industrial state to a late stage industrial state.

      Then you have….

      DATE: December 12, 1991
      TO: Distribution
      FR: Lawrence H. Summers
      Subject: GEP

      ‘Dirty’ Industries: Just between you and me, shouldn’t the World Bank be encouraging MORE migration of the dirty industries to the LDCs [Least Developed Countries]? I can think of three reasons:

      1) The measurements of the costs of health impairing pollution depends on the foregone earnings from increased morbidity and mortality. From this point of view a given amount of health impairing pollution should be done in the country with the lowest cost, which will be the country with the lowest wages. I think the economic logic behind dumping a load of toxic waste in the lowest wage country is impeccable and we should face up to that.

      2) The costs of pollution are likely to be non-linear as the initial increments of pollution probably have very low cost. I’ve always thought that under-populated countries in Africa are vastly UNDER-polluted, their air quality is probably vastly inefficiently low compared to Los Angeles or Mexico City. Only the lamentable facts that so much pollution is generated by non-tradable industries (transport, electrical generation) and that the unit transport costs of solid waste are so high prevent world welfare enhancing trade in air pollution and waste.

      3) The demand for a clean environment for aesthetic and health reasons is likely to have very high income elasticity. The concern over an agent that causes a one in a million change in the odds of prostrate[sic] cancer is obviously going to be much higher in a country where people survive to get prostrate[sic] cancer than in a country where under 5 mortality is 200 per thousand. Also, much of the concern over industrial atmosphere discharge is about visibility impairing particulates. These discharges may have very little direct health impact. Clearly trade in goods that embody aesthetic pollution concerns could be welfare enhancing. While production is mobile the consumption of pretty air is a non-tradable.

      The problem with the arguments against all of these proposals for more pollution in LDCs (intrinsic rights to certain goods, moral reasons, social concerns, lack of adequate markets, etc.) could be turned around and used more or less effectively against every Bank proposal for liberalization.
      — Lawrence Summers, [6][7]

      disheveled…. the drama is the back ground toxicity is global now, yet distribution is concentrated in some areas and dispersed in others…

      • ErmingtonPlumbingMEMBER

        Well for the sake of Chinese air quality and we taking our “fair share” of Global pollution distribution, I’d be all for legislation requiring all steel sold in Australia, to be manafactured here!

        All Government cars, taxi and uber fleets requiring govie liciencing should require Aussie made vehicles too, same for trains ( why are we buying these Korean ones with our tax dollars!)
        These steps would help in alleviating this unfair pollution burden, worn by the Chinese people.
        ?

        https://goo.gl/images/GStttY

      • lol actual heading of that article is: Beijing shuts down its last coal-fired power plant as part of bid to clear air. But capital still relies on polluting energy sources in other provinces for part of its energy needs

        yeah china is so green and clean the chinese don’t even eat the crap that grows there ffs get on a plane and go for holiday to ningbo or shenzhen and eat the cadmium laced rice might help ya out

      • I do keep up Mark. I lived in Beijing for 17 years. Just left mid Feb. Last year the pollution was pretty good up until about September when it went horrific again, and that was due in the main part to increased to steel manufacturing. So yeah, I’m pretty clear about what people can deal with and what they can’t wrt pollution levels. I’m also aware of the fact that it is a complicated issue and yes closing down the coal fired power plants in Beijing is part of the solution but a lot of the air pollution that Beijing suffers from doesn’t come from Beijing, it comes from the surrounding provinces including as far away as inner Mongolia. And sometimes it blows in very, very quickly.

    • TailorTrashMEMBER

      Syd and Melb will still be over 75% ……..because regardless of the number sold they will be Cooked to fit the story …….never been a better time to buy
      ………I can see the headline ………..” Intrest rate rises fail to dampen savvy investors enthusiasm to snap up hot bargains at red hot auction action ”
      Go Reusa ……….go Straya !

    • Melbourne to hit 81%

      As TrailorTrash says headlines on Monday will say interest rate rises don’t deter investors from snapping up a bargain.

    • My guess is 68% for Sydney, made up of mainly preauction sales. I think the worm turned this week in Sydney.

      • TailorTrashMEMBER

        Interesting …….how close are you to the worms …..sorry, I mean real estate agents ?

    • Looking at clearance rates this weekend, it’s clear that increases in Interest Rates have done nothing! Prices are bat shit insane and going upwards again, all sponsored by negative gearing + half cap. gains tax etc.. I’m utterly perplexed how this show can keep going.

      I’ll bet house price growth for this quarter in Sydney and Melbourne will be 5-7% alone.

  3. GunnamattaMEMBER

    this is sickening……..

    Blackmail, extortion and slavery at a restaurant near you

    http://www.theage.com.au/business/workplace-relations/blackmail-extortion-and-slavery-at-a-restaurant-near-you-20170324-gv5usu.html

    It took six weeks before things started to unravel, when her boss started to lay down the law.

    “He told me I can’t pay you because I sponsor you so you have to work for free,” she said. “He then asked for money and said ‘I will cancel your sponsorship and you will be deported’ if you don’t pay.”

    In August 2013 he demanded $30,000 for the visa. “We were very scared so we paid him what he wanted,” she said. “I was working for free.”

    For the next two and a half years Heir worked long hours, six days a week for no pay. Months later he started using the so-called cash back scam, which involves the company paying her wages then her husband withdraws a similar amount and gives it back in cash.

    She then had to find another $20,000 or face deportation. “He would say: ‘You go to immigration, nothing is going to be happen to me as I am citizen of this country, but they will definitely deport you back to India’.”

    One of Heir’s darkest hours was in August 2015 when her appendix burst at work. Doubled over in pain, she wasn’t allowed to go to hospital until she finished her shift. It would be a decision that cost her dearly, with multiple health complications, leaving her hospitalised for weeks. “He would tell me I had to go back to work,” she said.

    Extortion, blackmail, cash back scams and slavery are happening every day under our noses. They happen in the most unsuspecting places such as suburban restaurants and nail bars. Most suffer in silence.

    Personally I think that if the ‘boss’ is a former foreign national who has gained Australian citizenship then it should be taken off that person and given to the person who has been abused.

    • As others have pointed out to me, Indian’s lose their citizenship once they become Australian citizens. Stripping citizenship would leave them stateless so it won’t be done.

      I’m thinking $50k (extorted money) + $52.5k (unpaid wages) = $102.5k. Double it plus prison time for extortion.

      • GunnamattaMEMBER

        welll maybe we should send the fucker to Manus Island or Nauru for a while and allow them to re-apply for their Australian citizenship.

        As far as I am concerned people doing this are the definition of ‘illegal immigrants’

      • “Personally I think that if the ‘boss’ is a former foreign national who has gained Australian citizenship then it should be taken off that person and given to the person who has been abused.”

        “As far as I am concerned people doing this are the definition of ‘illegal immigrants’”

        Why isolate only recent immigrant bosses.
        What about those that are descendant of former foreign nationals?

    • Sadly, the instances of abuse are all too common. And, we all turn a blind eye to it. We don’t see these people and understand their dire circumstances.
      Worse, by not enforcing visas and minimum wage laws, indeed by allowing tourists working visas in the first place, we have pushed wages everywhere to minimum or below, and every non-Australian working here is displacing an Australian who would do the job if the wages were right and/or supporting a non-viable business.

    • DarkMatterMEMBER

      The simple answer to this is that it could not have happened. It must be a fantasy. All the things mention are very obviously against the law – against lots of laws – and as we all know, Australia is full to the brim with laws governing every little thing we do. What is more, we have armies of government employees and lawyers to drag people through the courts if they do the tiniest thing wrong. Try it out – don’t pay your Red Light ticket and see how you go. They will hunt you to the end of time.

      So, the idea that we could have restaurant owners exploiting their fellow human beings and treating them like pieces of filth while the authorities look the other way – well quite frankly it is absurd. That is why we have laws. That is why there is no Money Laundering in Australia. No illegal property transactions. No financial crimes. Our legal system is a well oiled machine that lets no injustice slip through the cracks.

    • A friend is part of the very small team of people who are trying to police and prosecute this type of thing in Melbourne. It is rife and across all cultures. She’s developed a pretty low opinion of humanity based on dealing with this abuse that is fuelled by nothing but greed. Most of the time the employers are clearing enough money to pay the correct wage, they just don’t want to and really couldn’t care about the well-being of those they are exploiting.

      Australia really is a Dorian Gray of a country. One day we will be forced to confront our society as it is, but I wonder if we have the maturity to accept it and change.

    • “The pay seemed fair, $52,500 a year for a three-year contract at an Indian restaurant in the northern suburbs of Adelaide.”

      There are millions of people in AUS/NZ who can work in a restaurant.

      Is not the minimum salary supposed to be $54k on a 457 visa?

      I have no sympathy for her. She was willing to break the law to get an Aussie passport. There are billions of people in the 3rd world. We cannot let everyone in. How many Bangladeshis does India let in? How many Indians does China let in? How many people does Japan/South Korea/Russia let in?

      • gotta get your facts straight and remove personal bias gibberish

        1a. 457 visa is created by Canberra, not India or any other country
        1b. If you do not like migrants, focus your anger on those that create migration schemes (e.g. .gov.au)
        1c. If you hate 3rd world immigrants but love those from other countries, well, that’s one of the -isms and -phobia (take a pick, all fit well)
        2. Sponsored visa does not come with “be my own personal bitch” period
        3. Migrants cannot abuse sponsored migration scheme on their own (without employer’s cooperation)
        4. Law should have clear provision for position abuse by Australian employer

      • Spot on, everyone talks about how Qatar treats foreign workers when the same thing is happening under our noses!

  4. TailorTrashMEMBER

    “Australian prime minister won’t choose between China and US”………………events might force him to one day …..

    • I don’t dislike Waleed but I do think being an aplogist for any ideaology with stupid ideas is hard work.

      Like bear porn watchers?
      I mean property bear porn watchers? Can you still find that stuff these days?

      • GunnamattaMEMBER

        I have a story for you about ‘Bear Porn’

        Last week I saw (I think it was Gavin or Stomper) make reference to ‘Bear Porn’ in one of their comments. In a moments whimsy i thought I would find a picture of said bear porn and had in my mind maybe a grizzly with a playboy magazine, or possibly a polar bear in a bikini.

        I searched up ‘Bear Porn’ on google, and flipped across to pics without even stopping for a moment to contemplate what i may find there. The next minute I was looking at lots of photographs of large, bearded, nude men, some who would come under the heading ‘well hung’.

        As fate would have it no sooner had I realised what I had done than my wife and son walked into the room – ‘I was looking for ‘bear porn’ I explained and then explained the reference of Bears in the homosexual mens world (as much as i knew). The Mrs stood and stared at the screen and absorbed the contents of my search, but she bought what I was saying and understood it was a mistake. To my son I explained that there are photos of nude men on the internet. But I had made that search in a moments foolishness while I was on my wifes desktop computer.

        It has only been after wiping the history of her computer and removing all cookies that I have been able to end the advertising which was coming up – simply from that one search for ‘Bear Porn’

      • Lol @ Gunna and bear porn.. certain image searches return interesting results and my all time favourite is urban dictionary where even the most benign phrase has some sexual connotation in a different place.

      • No worries Gunna. I’m sure you’re not the only one to fall foul of a unfiltered internet search result set. She’ll understand.

        If not, there’s always “greased politicians” and “furry otters” to keep you company.

    • Waleed is probably afraid that he will not be invited to parties (hosted by Muslims) if he rants against Wahhabism.

      But Waleed lost a lot of credibility when he cheered on the ponzi and Dick Smith said “you do not understand basic economics”.

  5. I recall similar things happening in Ireland around 2007 right before the bust. I had to queue up for the worst grungy apartments the first had a coin meter for electricity haha. What a slum lord, my partner and I literally ran from that place. We didn’t realise how bad the rental market was when we decided to move to Europe. It certainly left an impression on me, what a property bubble and the mania around it is like. The difference this time is that I’m waiting for a bust. Last time I didn’t care, as I had no plans to stay in Ireland.

    https://www.domain.com.au/news/rental-demand-for-collingwood-apartments-spark-bidding-war-with-160-applications-in-less-than-an-hour-20170323-gv4vv4/

    • Yes, fucking crazy times. But this – Gurner, the developer, who retains 9 of the 26 units said
      “A lot of the young couples have just decided they’re price out of the market, so they’re not worrying about trying to buy and purchase anymore,” he said, adding that they instead looked for a rental they were happy to live in for a longer time.

      “I think they’re just willing to spend that extra $100 to $200 a week to make sure they get one they absolutely love and they can make it their own home.

      “The market is starting to realise that not everybody will own their own home and that’s probably OK.”

      OK for him that is. What a grub

    • TailorTrashMEMBER

      Lived in London some time in the sixties ….real cool if you were in (I wasn’t ) ……..but nonetheless it was a great pit stop on the journey of life ….I had a shilling meter for electricitity to run the black and white telly and the one bar heater on a cold (and I mean fu$$$ing cold ) February night .
      Solution ……key from a Tom Piper can of corned beef ( that’s all we had to eat …..aye …you were lucky ….we never adddd Tom Piper !! ) ………slip the lock …put the shilling through 5 times and all the heating and telly you ever needed …………the poor land lady asked me one day if I ever use the heater and I showed her my anorak and artic socks ….I feel guilty to this day but I have no doubt that the tenants of Sydmelb have developed similar techniques and to a more finer art form …………and good luck to them.

    • “3. Migrants cannot abuse sponsored migration scheme on their own”.

      Ah yes, that is what they say about drugs in AUS – “it is not ok to sell drugs but it is ok to take drugs”.

      How is that working out?

      You may have heard of “dr” Shyam Acharya and “dr” Jayant Patel – either killing patients or putting their lives at risk.

      Djenka, the Canberra Times editorial said that many immigrants are willing to break as many laws as possible in order to get an Aussie passport.

      Are you saying 3rd world qualifications are better than Scandinavian qualifications?

      I think that experiment has failed and we should absoloutely value Kiwi/British/Scandinavian qualifications over 3rd world ones.

      • Yep, are correct.

        It is *the law abiding Australianas* that are being coerced and abused by thise filthy uneducated darkies from non-Aryan races whom come here, force Canberra into making this stupid 457 visas and then after 3 years of being well paid by their sponsor they just leave these businesses on their own once they get citizenship. Above example Gunnamatta posted is typical confirmation of this
        They should be shot on the spot and replaced with supreme Scandinavians, Kiwis and selected* western Europeans whom would *never* abuse the system. (* = yep, selected, fcuk those lazy Mediterranians that are skilled only to pick olives and rent holiday apparments)
        /sarc

    • ErmingtonPlumbingMEMBER

      Your eairler retort to Jacob further up was very good and on the money 100%.
      This one seems to tar all whities with the same brush.

      • Not sure if you missed the “/sarc” signature or is it my poor performance at sarcasm.
        It meant to be just a way out of the quagmire that a proper response would drag into.

  6. TailorTrashMEMBER

    Good work Gunna …….that list of headlines alone is enough to keep a chap reasonably informed of whats going on in the world ( fake news notwithstanding ) ……
    ……worth the subscription

    • GunnamattaMEMBER

      Why thank you, Sir. The honour is mine

      When I assemble these I do so with the general view that anyone looking at the list on a Saturday should be able to gain an informed view of what is happening in the business economic and global macro world.

      • Afternoon Gunna,
        +1 for the links.
        The art is always appreciated as well. John Brack keeps surprising me. At first glance I thought it was a Tucker.

        In regard to your bear porn anecdote, here’s a very funny onion film review for Disney’s animated ‘Beauty and the Beast’.
        https://youtu.be/ZNHgfVzj7Tc

      • Hey dude, I am not a subscriber (mainly because I dont have much need for Australian orientated economic news) but I would like to say thanks for the links you do, and the art. There is nothing else like it on the web – just one place where we can go (I get this on a Friday afternoon) and get the drift of whatever has happened for the week – and loads of interesting comments as well. It was an Indian guy (who I think is also an Aussie) who put us onto this. But thanks from Sacramento CA.

        And the Australian art man (we are designers) truly rocks.

      • The Penske FileMEMBER

        Gary, perhaps you will reconsider your subscription when the AUD sorts itself out. It won’t be much for someone with USD then to help out.

  7. For those without the keys to the AFR cupboard
    “So it turns out the crazy, multi-week debate we had last year on the accuracy of Australia’s house price data was—as we argued—a furphy designed to rationalise, or distract attention from, the otherwise irrational rate cuts bequeathed on borrowers in May and August that simply blew a bigger bubble. On Tuesday the Australian Bureau of Statistics reported that house price growth across the eight capital cities surged 4 per cent in the final quarter of 2016 with calendar year appreciation running at 7.7 per cent, some 4 times faster than wages growth and 5 times Australia’s core inflation rate.
    As expected the ABS’s quarterly index results have started converging back in-line with the 10 per cent dwelling price inflation recorded by the daily hedonic CoreLogic index (after adjusting for an upward revision due to a sample enhancement in April).
    The 2016 house price growth is especially sprightly considering home values had already leapt 28 per cent between January 2013 and December 2015 (according to both the ABS and CoreLogic).
    The ABS house prices have started converging back in-line with the 10 per cent dwelling price inflation recorded by the daily hedonic CoreLogic index. Rewind back to mid 2016 and the Reserve Bank of Australia was advising any journalist who would listen to ignore the rapid rise in the timelier CoreLogic index, which had for a decade been its favoured gauge, because an expansion in the sample of sales included in this index—the largest of any proxy published—created a one-off 0.8 per cent revision in April that upgraded the preceding 5 years of growth.
    Over the 12 months to September 2016 the ABS’s index implied house prices were inflating at a benign 4.1 per cent clip compared to CoreLogic’s friskier 7.1 per cent (netting out the revision). Yet as Goldman Sachs highlighted this week, the December jump in the ABS numbers to around 8 per cent annualised is “consistent with our preferred measure of house prices from CoreLogic [with] the higher frequency data from the latter suggest[ing] house prices have continued to reaccelerate into 2017”. CBA’s economists concurred, commenting “today’s [ABS] data shows that both measures are headed higher, just at slightly different rates”. “We expect to see continued national dwelling price growth until there are some changes to the policy settings driving the spectrum of demand factors,” CBA said.
    The RBA now hopes that the bubble blown by its cheap money policies can be cauterised by APRA. Louie Douvis
    NAB likewise characterised the ABS’s findings, which have “a nearly three month lag behind CoreLogic’s”, as “consistent with CoreLogic’s in showing there was a very strong pick-up in Sydney and Melbourne house price growth rates towards the back end of last year”. Of course it no longer suits our cherry-picking central bank to focus on the more precise CoreLogic numbers—as it did for years—in descriptions of housing conditions.
    The once market-orientated RBA now hopes that the bubble blown by its cheap money policies can be cauterised by getting the Australian Prudential Regulation Authority to re-regulate lending via “macroprudential” constraints on credit creation.
    The risk is that non-banks and other foreign lenders beyond APRA’s purview step into the competitive holes created by its attempts to stifle banks. Setting aside the fact that the RBA years ago warned that such controls may be ineffective when interest rates are too low, they also have no impact on non-bank lenders that are not regulated by APRA (after the Banksia scandal in 2012 I argued they should be, but Sleepy Hollow was not listening). As we foretold last year, non-banks are bouncing back as liquidity in the market for portfolios of “securitised” residential mortgages improves. In 2017 droves of banks and non-banks have sourced billions of dollars of capital by selling bundles of home loans to investors prepared to hold them to maturity.Pepper, Liberty, and LaTrobe have all closed big securitisation sales, as have Bank of Queensland, Suncorp and Bendigo & Adelaide Bank.The risk is that non-banks and other foreign lenders beyond APRA’s purview step into the competitive holes created by its attempts to stifle banks.This is why the RBA needs to consider a prudent “financial stability” hike, which money markets will impose on all banks and non-banks through the yield curve, before too long.
    The duration lovers’ logic that the RBA cannot normalise rates back to their neutral level at least 100 per cent above current marks because of excessive household debt is like a doctor telling a drug addict to keep dosing because sobriety is too painful.
    Here it’s germane to cite some excellent new research by CBA’s Jarrod Kerr, who managed to track-down a time-series of Australian home loan and savings rates going back to 1804 in a long-forgotten RBA paper dated 1971. (The RBA lost this work, which Kerr found buried in the bowels of the NSW State Library.) The data illustrates that even though Australia’s economy is expanding at a normal pace, long-term interest rates—as represented by government bond yields—have of late been lower than any time over the last 200 years.
    A similar observation applies to home loan rates, which are among the cheapest seen in centuries.
    So although inflation is below the RBA’s official target, the unprecedented distortions its policies have induced into the price of money are perpetuating deleterious consequences elsewhere.”

    • TailorTrashMEMBER

      According to a Westpac spokesperson, the bank is encouraging customers making interest-only repayments to move to a principal and interest loan with a lower interest rate. “We believe that while interest rates remain low it is a good time for homeowners to reduce their mortgage,” the spokesperson said.
      ……………….and a good time for banks to claw back some of that pile of principal risk secured by over “valued ” crumbling houses they are sitting on……..

  8. haroldusMEMBER

    Kohli is out of the test. Maybe he can sledge from the boundary?

    Dalai Lama ordering a pizza: Make me one with everything.

    Oldie but a goodie.

    • A more suspicious person than myself would suspect that Kohli wishes to prevent being tarnished by a series loss more so than further injuring his shoulder.

      However, as villainous as he is, he’s still​ more popular than Michael Clarke at the moment.

    • Mining BoganMEMBER

      Betcha the Aussie team would have liked to win the series with Kohli in the team. If we do win the Indians will forever use it as an excuse.

      • TailorTrashMEMBER

        Reminds me of being at a regional business conference in Singapore in the 90’s ………the country manager for India fronts up at hotel reception with 7 suits for dry cleaning on his company expense account ……..the company rewrote the expense manual a few months later …..5 pages for Australia …….52 pages for India ………nice to see cultural sensitivity being employed ….I’m all for that …………..

  9. The One Percent Solution – How corporations are remaking America, one state at a time

    Date: April 4, 2017
    Time: 10:30 am

    The Economic Policy Institute is pleased to host Gordon Lafer as he presents his new book, The One Percent Solution: How Corporations Are Remaking America, One State at a Time.

    In the aftermath of the 2010 Citizens United decision, it’s become commonplace to note the growing political dominance of a small segment of the economic elite. But what exactly are those members of the elite doing with their newfound influence? The One Percent Solution provides an answer to this question for the first time. Gordon Lafer’s book is a comprehensive account of legislation promoted by the nation’s biggest corporate lobbies across all fifty state legislatures and encompassing a wide range of labor and economic policies.

    In an era of growing economic insecurity, it turns out that one of the main reasons life is becoming harder for American workers is a relentless―and concerted―offensive by the country’s best-funded and most powerful political forces: corporate lobbies empowered by the Supreme Court to influence legislative outcomes with an endless supply of cash. These actors have successfully championed hundreds of new laws that lower wages, eliminate paid sick leave, undo the right to sue over job discrimination, and cut essential public services.

    Lafer shows how corporate strategies have been shaped by twenty-first-century conditions―including globalization, economic decline, and the populism reflected in both the Trump and Sanders campaigns of 2016. Perhaps most important, Lafer shows that the corporate legislative agenda has come to endanger the scope of democracy itself.

    For anyone who wants to know what to expect from corporate-backed Republican leadership in Washington, D.C., there is no better guide than this record of what the same set of actors has been doing in the state legislatures under its control.

    http://www.epi.org/event/the-one-percent-solution-how-corporations-are-remaking-america-one-state-at-a-time/

    disheveled…. might have something to do with RE prices and crapification of jobs thingy…..

    • SIGH……

      Per usual you post something that gets at the root of the problem and every ideologue gets amnesia…..

    • ErmingtonPlumbingMEMBER

      “Lafer shows that the corporate legislative agenda has come to endanger the scope of democracy itself.”

      Well Chomsky and others have been calling this stuff out for Decades,…Fuck, FDR was onto it in the 20s and 30s!

      Identifying and calling it out is the first step,sure,… but what is to be done Now, to Rip this corporate influence out of the legislative and Democratic Process?

      Any Suggestions?

      Anybody?

      • drsmithyMEMBER

        Try and convince people that “political correctness” and “social justice” are not bigger threats to them than disenfranchisement and corporate influence over Government ?

        Might have to convince yourself first. 😉

      • Smithy in the last US election that would have been a vote for the establishment candidate and the KSA.

      • EP,

        Any suggestions?

        The first step is accepting that explanations that try to explain everything as the result of a conspiracy or brainwashing are wrong. If you accept that type of analysis you may as well give up now as essentially your starting point is that people are just drones to be controlled. Extreme lefties (and righties) often use that approach or analysis as it allows them dismiss everything they dont like as being illegitimate. It is also why they sound like authoritarians because at core they just want to swap out who is running the joint from baddies to goodies. Paternalism in other words. Telling people how to suck eggs and making choices for them is a past time of both the far left and far right.

        If you start with the idea that what we are seeing is nothing more than some quite reasonable ideas taken to extreme (by self interested parties) you will start getting somewhere as you can argue against extremism.

        Instead of fighting the idea of market based economics or ideas about supply and demand – and sounding unhinged to the general public who like having choice and abundant supply – you start talking about ensuring markets are competitive and removing impediments to supply or artificial manipulations of demand. You start talking about specific solutions to specific failures rather than howling at the moon about secret powers that can never be overcome.

        And specific solutions includes talking about inappropriate and badly regulated privatisations of public power. It might mean you talk about what specific regulation reforms might make the privatisation functional or it might mean you conclude that the privatisation itself is flawed.

      • ErmingtonPlumbingMEMBER

        No Smithy, I “feel” we are on the same page in recognising the greater threat.

        Truth is, I’m not versed in the details of 18c, like you obviously are,… going by my following of your exchanges with Walshie and others.
        I have been disappointed with your disrespect for one and other though, in the same way Skips and 007s behaviour towards each other disappoints me, in their esoteric disagreements. I like all you Guys/Gals/Whatevers!

        I never have, nor will I ever be, a fan the absolute Dickhead, Andrew Bolt, a truly forked tongued, two faced creature of the conservative “Right”.
        But I dont believe that the way to defeat arseholes like him, should be through punitive Laws that do limit free speech.
        In terms of Outlawing speech that directly advocates the use of violence against fellow citizens (true hate speech), I’m on the same page as you Smithy.
        But the subjective terms of Insult and offend, should not be in any piece of legislation or law concerning speech, IMHO.
        I share all the outcomes you desire for a more tolerant and accepting society Smithy, but not through the imposition of a thought policing big brother, with the power to arbitrarily Punish.
        History has way too many examples, of that shit getting out of hand.

        Having said all the above,… I also agree that way too much oxygen has been given to this topic of discussion,… but conservative spin doctors know,.. through their “secret Polling”,…that large sections of the electorate “feel” unfairly judged and criticised by our more Progressively inclined citizenry (PC police,SJWs,…you know), to the point of “Feeling” “Insulted” and Offended” themselves!,….Jesus Christ!,..Talk about Narcissistic Victimhood!. The whole thing is like a fucking mind virus!,…how’s that for a full Circle!, everybody is fucking infected!.
        Plant the seed and reap the whirlwind I suppose.

        Out of curiosity, as to exactly where you actually stand on freedom of speech in general ,Smithy, what are your thoughts on the defence, Christopher Hitchens makes for Holocaust denier David Irving,…4.00 to 6.15mins.
        Do you believe the Austrian law that jailed Irving,…Just?

        https://youtu.be/jyoOfRog1EM

        Either way,

        Solidarity Brother/Sister/Whatever.

        😉

      • ErmingtonPlumbingMEMBER

        “It might mean you talk about what specific regulation reforms might make the privatisation functional or it might mean you conclude that the privatisation itself is flawed.”

        But no conclusions that contradict the Philosophy of “Free Markets”?

      • EP,

        You asked for suggestions as to how we might reform the present state of affairs. I assume you meant practical ideas that might attract sufficient support to win elections and mandates for change in an environment where some well resourced individuals and groups may resist proposed change.

        What ideas are being tossed around the branch meetings (at Brush farm?) at the moment?


        “It might mean you talk about what specific regulation reforms might make the privatisation functional or it might mean you conclude that the privatisation itself is flawed.”

        “…But no conclusions that contradict the Philosophy of “Free Markets”?..”

        I dont follow. That is exactly what I am saying, stop accepting tyat the choice is between markets and no markets. Start talking about competitive markets as being the reasonable alternative to free markets. If you are simply saying you are opposed to free markets you will lose. Politically that is like saying you are opposed to motherhood. You have to say you are in favour of excellent motherhood.

        When you think “free markets” you have a head full of politics but the general public just hear the word ‘free’ and assume if you are opposed to that you want to control markets. In other words saying you are opposed to free markets is a trap. You gotta say that you support competitive markets that offer choice and lower cost.

      • drsmithyMEMBER

        Ermo,
        Truth is, I’m not versed in the details of 18c, like you obviously are,… going by my following of your exchanges with Walshie and others.

        The obsession with 18C is just a symptom of the overall problem. Climate change denial is another. It is the “post truth” refusal to accept, or even consider, factual information that conflicts with the worldview they’ve been told they must have, underpinned by paranoia that they are being targeted and persecuted.

        I have been disappointed with your disrespect for one and other though, in the same way Skips and 007s behaviour towards each other disappoints me, in their esoteric disagreements.

        I give people the respect they deserve. Thoughtless repetition of Murdoch propaganda deserves little, and doubling down on it even less.

        But I dont believe that the way to defeat arseholes like him, should be through punitive Laws that do limit free speech.

        The laws aren’t there to “defeat” him. They’re there to provide paths for restitution for those he attacks.

        You have nothing to worry about from 18C, which hasn’t produced the supposed catastrophic outcomes in the last twenty years, and isn’t going to start now. Notably, there’s no reason to believe either of the two “flagship” cases (Bolt & QUT) supposed to be showing why 18C is a disaster would have progressed any differently were “insult” and “offend” not in the legislation. The former hung on his factually incorrect assertions and the latter on procedural failings. Despite the hysterics and lies bursting forth from your local Rupertarian and frequently parroted by its followers, the creators, maintainers and enforcers of laws like the Racial Discrimination Act are not trying to suppress free speech, they are trying very, very hard to facilitate it while balancing the rights of individuals to be protected from harm, or be able to take action against those who have harmed them. Which is why the protections within 18D are very broad and failing to satisfy them requires some serious effort. Note that if Bolt had done nothing more than express an opinion about ‘convenient Aborigines’, he would have been protected by 18D.

        Ultimately, the reason why these sorts of topics suck so much oxygen out of the debate by generating attention, is precisely because of – and I’ll be generous and give them the benefit of the doubt – useful idiots in positions of authority, going around scaremongering about how using the wrong pronouns, or calling someone a name they don’t like down at the pub, or simply making them feel “offended”, is going to get you thrown in gaol. It simply bears no resemblance to the reality or intent of the law, yet these lies are repeated as truth all day, every day, even after they have been demonstrated to be factually incorrect.

        Out of curiosity, as to exactly where you actually stand on freedom of speech in general ,Smithy, what are your thoughts on the defence, Christopher Hitchens makes for Holocaust denier David Irving,…4.00 to 6.15mins.
        Do you believe the Austrian law that jailed Irving,…Just?

        Well, I think his opening ‘fire in a theatre’ is utterly disingenuous, even given the origins of the phrase, and it reflects poorly on him. But that’s by the by.

        In general I don’t have a problem with speech until it is be used specifically and deliberately to maliciously attack others, particularly when it has no other value at all (eg: isn’t even factually correct). To give an example, making the point that the Catholic Church has had horrendous systemic, and asserting the opinion possibly deliberate, failings around child abuse is not an attack IMHO. Picking out a bunch of random Catholics walking out of a church and harassing them about supporting paedophilia, is.

        It’s not really fair to compare Holocaust Denial laws in countries like Austria to 18C. They have had very specific problems in the past and have constructed very specific laws because of it. We have a certain luxury of not having had such problems. I am not familiar with them, so I have no idea if they have similar “escape clauses” to 18D allowing fair and reasonable comment, nor whether Irving’s comments could be considered to fall into such a category. A quick google search suggests Hitchens’ claims are wrong in at least one point, however, as he was convicted based on speeches he gave in Austria, whereas Hitchens claims he was convicted for something he said outside of Austria. I don’t know enough about what he said (and/or continues to say) to know whether he tips over my personal line.

      • ” You gotta say that you support competitive markets that offer choice and lower cost.” – like the voters are gonna buy that after they get screwed over…

        Enter rant:

        Of course, of course yes like VET: destroy tafe, divert funds to private providers, cost of training skyrockets, hairdressing course cost goes from 3k a pop at tafe to 30k a pop at private provider. Graduates unemployable ( https://www.macrobusiness.com.au/2017/01/never-ending-private-vet-swindle/). Or privatisation of gas, electricity, we know how that lowered cost amiright? Or..what about job network swindles (https://www.macrobusiness.com.au/2016/08/why-people-have-lost-faith-in-privatisation/#comment-2687223), yes go after unemployed with these bogus debts, fuck the fact 80% of jobs australia claims are FRAUDULENT, instead of going after the providers, just push aussies who have not done anything wrong to suicide, mate. https://www.thesaturdaypaper.com.au/2017/02/18/centrelinks-debt-collection-pushed-him-over-the-edge/14873364004249, wait no, why would they go after their donors? https://www.reddit.com/r/australia/comments/3tmbpn/abc_four_corners_the_jobs_game_exposing/

        http://www.abc.net.au/news/2016-04-14/manning-rorts-and-blowouts-the-folly-of-public-subsidies/7325462

        Childcare, yes ABC Learning didn’t teach us anything about “choice” lowering costs. No, not at all. And now folks, the privatisation of disability and aged care. https://www.choice.com.au/health-and-body/healthy-ageing/ageing-and-retirement/articles/home-care-packages-and-consumer-directed-care (i believe they can charge up to 17% admin fee per day, nice)

        a friend of a friend told me In October 2016 alone 1300 aged care providers came into the market. Does that have a VET feel about it? Well, Does it, punk?

        1) we fuck over unemployed people by privatising employment in an era of de-industrialisation and balance sheet depression
        2) we fuck over families and children by privatising childcare
        2) we fuck over vulnerable teenagers by privatising higher education
        3) we’ll fuck over disabled persons with the NDIS
        4) we fuck over vulnerable old people – remember they have to apply via the my aged care website to be eligible for help, too bad if you are 80 and demented. How are you going to use a computer? Alternatively, you have to call the helpline and answer questions for 45 minutes (how is a person with early onset dementia gonna do that?, then wait 5 months for a package as you will be on a national waiting list. it is like they are deliberately making it hard to get help, oh wait.
        5) we fuck over sick and dying people – see private health care

        This is the australian way. neoliberalism me want fuck you reality. corrupt every institution we have. privatise loot, privatise loot baby yeahhhh, fuck the lot of them vulnerable fuckers. that is the spirit. pushem to failure and suicide less people to feed…./sarc

        And before you start bullshitting about regulation, all these industries ARE regulated by the departments (http://www.abc.net.au/news/2015-11-27/asqa-defends-not-investigating-sage-institute/6982568) asic like wet lettuce leaf regulation, yeah baby!. Jobs australia providers are audited once a year. Still the rorting goes on. Refer to the MB link above, and the references to STRUCTURING systems in a way that fraud is not allowed to happen in the first place.

        Dont you effing tell me there is no other way of providing services other than market forces, after multiple systems collapse under the weight of mr fat arse market, no one will buy it.

        This is what our young people deserve. /sarc I dont care if it makes them suicidal. we must preserve the neolilb agenda market forces choicy mcchoice face market mc market face faaaaaaaarrrrkkkk! /sarc
        http://www.smh.com.au/national/sage-institute-confirms-it-will-close-victorian-campuses-20170315-guyyeo.html
        http://www.smh.com.au/business/sage-rage-tearful-students-told-to-pay-up-before-they-can-make-their-next-move-20170307-gut4ca.html

        Ermie – keep preaching the chomsky stuff, keep identifying and calling out corrupt economic power structures, and don’t let anyone else tell you to do otherwise.

        “Wage slavery is intolerable….People should not be forced to rent themselves in order to survive…..Economic institutions ought to be run democratically by the participants, by the communities in which they exist, through various kinds of free associations” – chomsky

        Definition of “elite” or “economic elite: (ask yourself) “Who is in a position to determine the way a society functions?” – chomsky

      • Econofart,

        Excellent rant but you are making my point for me perfectly.

        Everything you say is true yet still no politician is prepared to say they are opposed to “free” markets much less actually offer an alternative that embodies less “free” markets.

        Why is that the case??

        That is what you have to address. If you want to just say it is a big Bernays conspiracy and the rich now control the media and the world and nothing can ever change, go ahead but Ermo was asking for suggestions on what we MIGHT do other than lie down and bitch about the way things turned out.

        If you have some excellent lines that a party can run with AND get elected let us know what they are as I am sure that Ermo will run them up the pole at the next branch meeting.

        Whether you like it or not the electorate DO NOT want to vote for someone who says they are going to make markets less “free” and the reason is pretty obvious – who wants less freedom. They may not like the mutant system that we have but they sure are not going to believe the promise land lies in the direction of LESS freedom.

        You, Ermo and I know that “free markets” means highly selective deregulation that benefits existing players and assorted rent seekers and plenty of competition for labour but not much for capital. But that doesn’t mean you can go out and campaign for LESS free markets unless you happen to really love the status quo.

        As I set out above the only way you are going to have any success politically is by making the case that “free markets” is a scam and what we need are competitive markets because they are work and produce superior results. In simple terms that make people better off.

        If you have a problem with people competing, working hard, being successful and reckon you can win elections running that line I wish you the very best of luck but I suspect you will be spending a lot of frustrated nights reading the collected works of Chomsky.

      • oo7….

        Time and Time again the histrionics has been put under your nose that the “free markets’ meme is a Bernays meme…

      • Skippy,

        What is your point?

        We all know that ‘free markets’ is a bit of political rhetoric that means in practice very selective deregulation and results that are not in the general interest. Banking being just one of the clearest examples of deregulation producing suboptimal results for the general interest.

        The challenge is how to address those issues without making the mistake of walking into the trap of dismissing out of hand the idea of markets, supply and demand as ‘free market’ stuff and by implication endorsing centralised state directed alternatives.

        Unless you support centralised state planned economics, and I know you dont, you are supporting a market based economy with lots and lots of resource allocation decisions determined by supply, demand and consumer choice.

        How do you explain the difference between a market economy that is fair and productive and a ‘free market’ economy is the problem that Ermo is referring to.

        Appropriating the good bits by calling for competitive markets rather than ‘free markets’ is one way of doing it as that avoids arguing against a motherhood concept like ‘freedom’. People are likely to accept regulation if it produces competitive markets in the same way they accept that rules and enforcement of rules permits competitive sport.

        If you have a better way of describing an alternative to a ‘free market’ economy that will resonate with the public and be successful on election day let us know.

      • ErmingtonPlumbingMEMBER

        Thank you 007 for your practical and tactical suggestions. I understand and agree with much of what you say.

        The poorly defined propaganda term “Free market” is problematic when attempting to generate a discussion around developing a more inclusive, egalitarian Political/Economic narrative.

        I believe your a fan of Michael Hudson, he speaks at length about the courrption of Economic theory and how this is creating a global systemic problem of gargantuan proportions.
        Is he a pervayor of “Conspiracy theories”?
        Now thats a term that gets under my skin. An an analysis of the instutional process is not a Conspiracy theory!

        Your,

        “howling at the moon about secret powers that can never be overcome.”

        Also gave me the shits.

        But either way,…when are we gona have that coffee, Brother?

        @ Econo fart

        Thanks for the moral support my wonderfully articulate fellow traveler, a trully splendid rant!
        Wake up ya fools,…Chomsky rules!

  10. Ronin8317MEMBER

    My neighbour’s property is due to be auctioned today. Due to lack of interest, the auction is cancelled. That is one more way to beef up the auction clearance statistics?

    • Hence the volumes comparison.
      Either way, both are hardly conclusive on their own or paired.

    • Went an auction today. Passed in on only bid – vendor bid. From what I could see, no one was even registered, probably the reason the auctioneer was so emphatic that people could register at any stage of the auction.

      I’ve also checked online & both auctions that I attended last weekend (with only one registered bidder in each case that supposedly prevented the auction from going ahead) & both are still for sale.

    • Shouldn’t it get reported as withdrawn? I know there is some dodgy practices around this but I think it is meant to be captured this way.

    • I had a property inspect by my soon to be sister in law in Melbourne Footscray area. Apparently nobody else showed up for the viewing. Place needs lots of work has been clipped a few times in last 10-15 years. Asking about 100g more than last sale in 2015.

      Hoping it might pass in and then can try low ball on it.

    • Pretty simple really, it is a house on a block of land and there is a housing shortage in Australia because of the high immigration rates therefore, with interest rates so low, this is a guaranteed winner

      • With at least three more hikes coming according to the US fed the low interest rate malarky doesn’t stack up.

        With mass unemployment in Melbourne coming in 2017, again – argument doesn’t stack up.

        Its not a guaranteed winner, it is a more than likely sentence of financial ruin.

        10% deposit – this is a $72,500 / year or $1500 / week repayment.

        Renovation ?

        That is a truly shocking investment.

      • OJ…

        There is not housing shortage in – Oz – per say…. there is a demand in localized areas that is facilitated by poor risk lending due to incentive dynamics by credit issuers and all sundry….

        disheveled…. your better than this mate….

      • Christ, I am going to have to break out the sarc indicators again, you are better than that Skip,

      • Sorry OJ….

        I did not grasp the retort…..

        disheveled…. meaning substantiation and not inferred post facto…

      • skippy: You’re* better than this, high immigration does increase demand for inner-city suburbs, per se*.

      • Andrew I thought I said it was a regional or localized issue and not national hence the shortage in Oz is a bit of a misnomer…..

      • Localised to just about every population centre over 50,000 people, maybe.

        You have to search long and hard to find any affordable housing in Australia, let alone cheap housing.

        Cheapest 4-bed house in the greater Brisbane area is $300k, and it rises pretty quickly over the next half dozen or so cheapest to $400k. You’re only about 100 houses in (out of approx 3,200 advertised) before prices are over $500k.

      • drsmithy….

        Still not relevant to the point imo e.g.. you cant take a decadal span of events and reduce it to a simplistic supply and demand curve i.e. financialization has more demand driven enabled factors than supply of land alone, not to mention how wages and job factors play in.

        Disheveled…. I have submitted two links which are more fundamental to the problem set than supply and demand curves, avail yourself.

      • hey OJ – is there any noise on WeChat or in your circles of Chinese starting to put their empty apartments for Rent down under? As Chinese economy slows down I am sure there will be few 000s Chinese that will end up unemployed while still owning couple apartments in Oz which can provide them with revenue.
        Also, is anyone trying to explain to the broader community that value of an empty apartment is same with the one that is rented if both apartments are identical and on same floor with same views. From what I hear Chinese way of thinking is if the apartment is kept empty its value is grater than same apartment..

    • TailorTrashMEMBER

      What’s money ? (when you can borrow all you want ) ……and just think of the hipster in the vibe life style that you will enjoy from that little workers cottage from a bygone age …….and besides if you find it hard to pay the big dosh on the mortgage you can stay at home and watch MKR or Married at first sight …..Maaaaaate ……this is modern cool Straya ……as the young folk like to say ….”grab yourself some of it “……..yeh !

    • “Can someone explain to me how that’s going to end well for the ‘winning’ bidder?”

      It’s an insane price for a little shack that needs yet more money spent on it, but it will end well as long as the government keeps up all the policies (and introduces some) to keep the housing ponzi going.

      On the other hand, assuming the buyers have a mortgage, it could end in stress and buyer’s remorse if interest rates shoot up, but then again, all they need is a greater fool to pay even more and they’re sitting pretty. Full blocks close to the city, even tiny blocks like this are becoming more and more of a rarity.

    • Place I rent in Sydney is about 10z uglier and worse inside than that place. Yet it’s probably worth 1.6M in this market. I’d rather live in that place in Hawthorn than my current place in Sydney. Hawthorn has good schools and colleges just what a Chinaman is looking for, for his kids.

      • This is would not be of interest to the large majority of Chinese buyers I am aware of principally because of the lot shape. School is nice, but even with a tear-down rebuild application, very little you could do to this property

      • @OJ is there some no no Feng shui going on with an allotment like that? I didn’t realise it was that important? Like the #4 I thought it was just superstition?

    • I love the way they say “generous allotment” but don’t actually specify the land area – which always looks suspicious. From the pictures, I would guess it’s about 6×40 = 240 square metres. I live on approximately that much land myself, and I find it quite comfortable, but I certainly wouldn’t call it “generous”.

    • Come on Brad.
      Any smart developer would put 10 units on there – bargain at 160k per
      /s
      Shit that is depressing

  11. Can someone tell me what I am missing here?

    https://www.domain.com.au/news/desperate-firsthome-buyers-queue-for-mirvac-apartments-in-sydney-olympic-park-20170325-gv6b92/

    This article explains that Mirvac (vendor) has agreed to sell some OTP apartments to FHBs with a requirement of only 5% deposit. Now the standard is 10% but if the vendor chooses to ask for less then that is fine. So we have 60 happy vegemites signed up for their to be built units, but without any guarantee that anyone is going to lend the 95% when it comes time to settle on these things???? Strictly speaking, the deposit is what you pay the vendor when you sign, but it is also that part of the price the bank won’t lend you, isn’t it? If so I fear that these punters are going to find that one doesn’t equal the other??? I can’t make sense of this at all, and I have only been drinking since 400pm.

    • Yes, who knows what’s going to happen in 3 years? If our stupid governments (either party) have their way, those “affordable” $600K one bedders that these FHBs are so excited about might double in price. Or, with all the overdevelopment of poorly built dogboxes they could crash.

      But I did a double take when I read the name of the Mirvac spokeswoman – ‘“People are pretty excited, saying this has really helped them to buy,” said Mirvac spokeswoman Diana Sarcasmo.’

      Perhaps there’s a message there.

  12. http://www.scmp.com/week-asia/geopolitics/article/2080869/why-are-chinese-moving-malaysia-thousands

    “It was the temperate weather, cleaner air and mix of Asian values and Western infrastructure. “It’s easy to join in the culture here, and not feel like a total outsider. The different races get on well, and it’s quite near China – much nearer than Australia. The education is good, and the country maintains its traditional face while also experiencing development. Back home the seasons are very dramatic with extremely hot summers and very cold winters. Malaysians are very friendly. I feel this is a good place for my next generation.”

    “Paul, who gained his residency through the Malaysia My Second Home (MM2H) programme, is one of thousands who have settled under the scheme. He has been here since 2009, and his two children, aged one and three, were born in Malaysia.”

    So, I would watch here – current prices for the program are intentionally higher than the local purchase price, but as word spreads (and it is thanks to a major Chinese developer who is struggling atm, but only temporary setback) Chinese may abandon the unwelcoming Australia for the welcome mat in Malaysia…..

    • TailorTrashMEMBER

      The welcome mat In Malaysia will also remember The Federatiion of Malaysia……..and the exit of Singapore ………they will take the money to a point …..but they will also be mindful of their sovereignty…….like Straya should ,……..

      • Geez take the hint and support this idea with enthusiasm!!!! I can then post it on WeChat to show them the way and help the SAP!

      • TailorTrashMEMBER

        OJ ….believe me I do support it ……just observing the deliciciy of the situation in Malaysia …………and how that might play out ……..as eventually it will in Straya ……no confilict here bro ……..

      • I think you need to separate what the analysts like CS are reporting as Chinese sales (which includes Taiwanese, Hong Kong residents and Macau residents who do not have any restrictions over the movement of capital out of their respective countries) and the actions affecting the Chinese mainland citizens who are under a lot stronger scrutiny of funds movement. In my work, I am very familiar with most of the legal and many of the grey channels of moving funds out of China to avoid the current restrictions. With the current round of changes which actually started in October and peaked on Jan 31, the costs for the grey channel has rocketed. But companies like the one developing in Malaysia actually have a significant reserve of foreign capital both in China and outside. So while they are currently stymied, it won’t be long before they are able to work an avenue to accept Yuan to settle the purchases for apartments in their Malaysian development. Indeed, this was proposed to me at dinner on Thursday night as I receive company income in China and it can be a pain to repatriate so why not take it as payment against a property in Bangkok.

        I should also note that I am not talking about mainland funds through TWE, HK or Macau, but residents of these to align with the data collected on Chinese and presented by CS….

        China’s love affair with Australian real estate has a use by date unless the local banks relax the lending restrictions and the rules on buying existing property are completely abolished (I know first hand that a prominent Sydney Chinese real estate agent, her lawyers and accountants are the subject of an ongoing criminal investigation which is expected to take a couple of years to conclude and when this breaks, the Australian market for upper end properties sold to Chinese will disappear).

      • TailorTrashMEMBER

        Could that possibly be a certain company that a year or so ago was boasting how their business was booming and how many more employees they were hiring to handle demand (mandarin speaking I’m sure ) ………..Black something ? ……….if not they should be next ……..they do have appeared to go a bit quiet ….we look forward to hearing of this development in the slow enforcement of the laws of Australia ……….if this is so then perhaps I won’t be so angry when they use those same laws to take my tax money ……

      • Original John.
        So who’s the RE agent under investigation?
        And why have feral elements of the media have not picked up the story?
        If factual you should send your story to [email protected]

    • Hi OJ,

      My father in law and mother in law are native Malaysian Chinese based out of KL. They constantly complain about the systemic racism directed toward Chinese in Malaysia. How it’s perfectly acceptable for Malays to rip off Chinese, and the level of graft and corruption directed towards maligning or stealing Chinese interests. The large inflow of mainlanders hasn’t helped, exacerbating latent racism (both ways) and reinforcing stereotypes. Given the level of control the Malays have over the state bureaucracy, I would think that if it becomes politically acceptable to block immigration from mainland china, that door will close.

      • Totally agree and the article also highlights the mistreatment of local Chinese-Malay community. Once an idea such as this takes hold in the Chinese community though, it can spread exponentially. My wives uncle and aunt are Shanghai based developers who have permits to build in Kota Kabluh (I never get the spelling right sorry) and they were some of the first wave going back 20 years. In this time, a whole community has sprung up. But like you say, once the resentment builds, and no one knows how long, the doors will slam shut, and will there be repatriation of the foreign purchased properties????

    • I understand Taiwan, but I have been following the Chinese action on grey, shadow etc extremely closely and Hong Kong has absolutely been smashed. I also know that they have had two major rounds (spanning almost 12 months) and have only just set up the single largest department in all of China outside military etc to deal with this specifically.

      Further major Chinese SOE were having a very hard time getting money out and required top level approval for their government projects – so I strongly dispute your position on this.

      They have been targeting Hong Kong and Macau specifically – because they can, while Taiwan agreed.

      The figures I was seeing were $280 Billion in a single month – with an 80% drop in January reported by Reuters.

      I also think you are miscalculating the impact of low level buyers (citizens) on the Malaysian enterprise.

      I understand you are close to this and have considerable contact with those involved, however I also feel this may be clouding the severity, size, scope and above all determination of the CCP in cracking down on this – i think the funds have stopped on a massive scale and major players are yet to fully realise the flow through impacts of the Yangtze of money which has suddenly been dammed.

      I understand you are trying to say that there are alternative methods for developments to receive funds – but not so if they simply can not get the money out of China to begin with. It doesn’t matter what fancy deals they put in place for alternative avenues of payment – if its stuck in China.

      At first it was a case of whack a mole and it seemed like nothing could be done – but they are literally shutting down billion dollar state owned enterprises.

      The government and unionpay are targeting Chinese developers specifically.

      http://www.straitstimes.com/asia/se-asia/capital-curbs-hit-forest-citys-chinese-buyers

      • I think you are missing my point Mark – my comments on HK, Taiwan and Macau relate to the Credit Suisse report on Chinese buying properties in Australia. The underlying data they are using does not differentiate between citizens of these 4 “Chinese” areas and lump them all together as Chinese buyers. Residents of the non-mainland Chinese areas included in this report are not subject to Chinese capital restrictions on cash flow. I am fully aware of the crack downs on funds flow through HK, it has affected my family and I this year. As for the Chinese developers, many of these companies do have significant cash and asset holdings outside China. Mostly in USD, not always liquid, but it is there and available for use if they wish to continue with their offshore developments…..

        But please also be aware that while there is an intent to crack down on foolish capital outflows by businesses, the aim is not to stop it completely. I have an SOE who has approval to invest $400 million in the agricultural sector outside of China as it aligns with their core business in China. Most of this funding is destined for South America and to develop assets down there. And as I say, we routinely transact 2-100 million AUD/USD flows out of China through the grey channel and legal channels (grey channel can actually be legal too, just use it because it is quicker sometimes). The businesses we work with generate cash in Australia and the US but need RMB to buy supplies in China so this is perfectly legal for them to do a private exchange with other companies needing foreign currency.

        Now the real impacts of the recent change will affect the individuals not companies harder and it will have a large impact on trying to settle property and other large non-approved purchases outside China. This I have warned about since October last year when I first heard about the changes and even 1 night before it was officially released (I posted it all on MB so there is a record of what we were being told prior to the official release and subsequent english report by BBG).

  13. That is interesting OJ. What about Thailand? Popular with retiring westerners plus a reputation for quality food manufacturing, but are mainlanders moving there too?

    • You actually have piqued my curiosity on this – I will check on this – I know a small group exists that invest in Bangkok and I have an option over a new apartment in the consulate district there from a Chinese developer…..

      • TailorTrashMEMBER

        OJ ….. you appear to be very well connected to Mother China …….hope what you have to trade is as good as strayan real estate ?……….new beef deal must be good ?

      • We have a very good network built up over a lot of years…. Beef is tough game as nothing ever goes to plan in China when you are building from scratch….

  14. https://www.youtube.com/watch?v=6jJkdRaa04g
    o ya

    https://www.youtube.com/watch?v=RmG3w2jT1p0

    If you have some spare time
    https://www.youtube.com/watch?v=rysfIxnpC5Q

    https://www.youtube.com/watch?v=DmxZMR98pBY&index=2&list=PL6D27C3CC08973E7A

    google chikan

    https://www.youtube.com/watch?v=nabkROIh1lQ&index=14&list=PL6D27C3CC08973E7A

    https://www.youtube.com/watch?v=McXT2J3Sb9E&list=PL6D27C3CC08973E7A&index=15

    https://www.youtube.com/watch?v=nabkROIh1lQ&list=PL6D27C3CC08973E7A&index=14

    What is going to stop this:
    https://www.youtube.com/watch?v=rXuvdeEC5y8
    is higher interest rates, HaH think that he is dealing with a rational people.He is the patriot, but the situation here is beyond so-called patriotism. The price of land is going down or we are going down.

    https://www.youtube.com/watch?v=SOJSM46nWwo

    https://www.youtube.com/watch?v=uMUQMSXLlHM
    live with that

    https://www.youtube.com/watch?v=HRSOlj5LVoc

    https://www.youtube.com/watch?v=o_-8uLeELSM

    https://www.youtube.com/watch?v=um6DhjyF5q8&list=RDo_-8uLeELSM

    https://www.youtube.com/watch?v=wcUx0ATtY1E&index=6&list=RDo_-8uLeELSM

    https://www.youtube.com/watch?v=88StUIDsvJs&list=RDo_-8uLeELSM&index=14

    a bit of something different

    https://www.youtube.com/watch?v=7twh5KVq7Bo
    this was the first so from the east on radio Luxemburg 1975 or.

    The Berlin wall was so good for everyone.

    more songs strange language:
    https://www.youtube.com/watch?v=dcwyWP2tqDs

    https://www.youtube.com/watch?v=B3EkmS-SX5E

    https://www.youtube.com/watch?v=OmalLf3RbnI&index=17&list=RDo_-8uLeELSM
    This song was the first song on BBC 1975 from east blok

    more songs strange language:
    https://www.youtube.com/watch?v=dcwyWP2tqDs

    https://www.youtube.com/watch?v=N-aK6JnyFmk#t=8.333111

    Good night

    https://www.youtube.com/watch?v=SbyAZQ45uww

    https://www.youtube.com/watch?v=UIVe-rZBcm4

    https://www.youtube.com/watch?v=UIVe-rZBcm4

    https://www.youtube.com/watch?v=o3Z8NU5ImK0

    https://www.youtube.com/watch?v=ayd-V3n9b8A
    What about this

    https://www.youtube.com/watch?v=UIVe-rZBcm4

  15. haroldusMEMBER

    don’t suddenly try and pretend you’re cool with 80’s synth pop

    I also prefer to denounce the constant voyeur/surveillance culture by watching hot chicks dance under sprinklers

    anyway time I ride on
    (https://www.youtube.com/watch?v=AEX2u5q7J7o)

    back to chicago
    (https://www.youtube.com/watch?v=vMjqgIZ1_YM)

    I hope someone has checked their cellars

    what the fuck is wrong with you?

    yeah – drummers singing! punters love it.

    17 minutes – dear god.

    i’m off for a ham sandwich

    much easier to wank to

    that is unremitted shite. Neil Young is better.

  16. haroldusMEMBER

    don’t suddenly try and pretend you’re cool with 80’s synth pop

    I also prefer to denounce the constant voyeur/surveillance culture by watching hot chicks dance under sprinklers

    anyway time I ride on
    (https://www.youtube.com/watch?v=AEX2u5q7J7o)

    back to chicago
    (https://www.youtube.com/watch?v=vMjqgIZ1_YM)

    I hope someone has checked their cellars

    what the fuck is wrong with you?

    yeah – drummers singing! punters love it.

    17 minutes – dear god.

    i’m off for a ham sandwich

    much easier to wank to

    that is unremitted shite. Neil Young is better.

    • DarkMatterMEMBER

      “NF3 is mainly used as a cleaning agent to clear away excess silicone.”

      Just as I always suspected! Large breasted women are bad for the environment.

      Not sure what solar panels have to do with this, as they are made from silicon – the metal, not silicone the polymer. Unless, the author is a moron who doesn’t know the difference.

      • drsmithyMEMBER

        Not sure what solar panels have to do with this, as they are made from silicon – the metal, not silicone the polymer. Unless, the author is a moron who doesn’t know the difference.

        Probably too young to remember that silicone parts are made for toys.

  17. The Job Guarantee, Wage-Price Inflation And Alternative Solutions: Part 1

    http://econintersect.com/a/blogs/blog1.php/the-job-guarantee-wage-price

    I have always thought of the economics of the JG program as being similar to the economics of unemployment benefits. Indeed, the JG should really just be seen as a superior version of the dole that replaces handouts with an opportunity to work, grow and develop rather than being forced to sit idle when factors outside of one’s own control force you out of the labour market.

    Most of the objections to the JG program (it increases worker bargaining power; it adds aggregate demand to the economy that is not backed by production; it redistributes income via price changes etc) could equally be leveled at unemployment benefits – indeed, they are by extreme right-wingers – and when I hear many of them coming out of the mouths of self-styled progressives it makes me a little queasy. Often I can only attribute these objections to fear in the face of a new idea.

  18. http://www.smh.com.au/nsw/prominent-uts-professor-chongyi-feng-prevented-from-leaving-china-20170325-gv6jxy.html

    Further to what we have been posting regarding the outward migration of Chinese from China, another example which should send shivers down the spines of every single one of them. China does not recognize PR as anything other than a citizen temporarily living abroad, same with Chinese who hold other citizenship. It is no protection and as China continues to exert its power throughout the region, these people need to be aware that other countries will be less inclined to offer assistance, especially if the local populace is feeling “swamped” by the influx of hot Chinese money or even legit money.

    • Similar with being an American ? Offers no protection to being droned from the sky.

      I understand the angle is that this guy is being detained for his involvement in campaigning against Chinese media influence in Australia, however would be kind of stupid just heading off to China if it were the case.

      I would not be at all surprised if this was about funds – just like my next door neighbour – who owns several properties in Melbourne and regularly heads back to several properties in China – told him to be careful, because they may want their money back.

      The Australian government signed an agreement with the Ministry of State Security (MSS) over this very issue three years ago.

      .

      • I have also known people to receive requests to return to China and end up having an “extended” stay with no notice. Many have a very different attitude when they return to Oz and it is not polite to ask what was suggested to them….

    • I expect to see a media post/statement from the UTS Australia-China Relations Institute condemning China’s move in detaining Professor Chongyi Feng.
      Should be signed supported 100% by Bob Carr and/or Professor James Laurenceson. Preferably BOTH.
      http://www.australiachinarelations.org/about-us
      If no statement is forthcoming, the Institute should be promptly kicked off campus.
      Last time the UTS alumni rang me asking for donations I declined. Citing the Institute being on campus and they seem to be rolling in cash with a large capital works program for the reasons not too.

      • GunnamattaMEMBER

        I couldnt speak for Bob, but after a quiet period (when I did have it suggested to me that Jimbo had been advised to keep his head down) Jim has returned to full spruik mode in the last week when, (lets face it, if you are a Chinese Australian upside spruiker then a Chinese leaders visit to Australia is the time to make sure your spruiking is full throated) Professor Laurenceson has been back in form.

        in the China Daily…..

        China, Australia embrace cooperation, free trade in face of rising (yes that is their headline)

        http://www.chinadaily.com.cn/business/2017-03/26/content_28681116.htm

        “This is a bilateral relationship that has been overwhelmingly good for both countries,” said James Laurenceson, deputy director of the Australia-China Relations Institute at the University of Technology Sydney.

        “You don’t trade because one person wins and one person loses. That’s the beauty of economics; whether it’s trade or investment, it’s a positive sum game,” said Laurenceson.

        ECNS.CN – Australia-China economic partnership a win-win

        http://www.ecns.cn/voices/2017/03-24/250513.shtml

        “The reality is Australia is a small economy. We are never going to be a hub for global value chains,” Laurenceson said.

        “China already is, and will only become more so, so that is yet another good reason for Australia to be trading with China,” the expert added.

        Win-win outcomes are the cornerstone for the trading partnership between Australia and China, and the professor believes that in a time of growing concern about protectionism and the prospect of interruptions to trade, clarification of what trade essentially is is crucial.

        “Trade only happens because two countries want it to, it is by definition, win-win. So more trade with China only happens because Chinese consumers and businesses, along with Australian consumers and businesses, want it to happen,” Laurenceson said.

        CCTV.com

        Australia trying to balance its need for Chinese investment

        http://english.cctv.com/2017/03/24/VIDEd6ZaT5ub1qd1ceVmesPm170324.shtml

        “Foreign investment often follows trade and supports more trade,” James Laurenceson, deputy director of Australia China Relations Institute at University of Technology in Sydeny, said.

        But when it comes to Chinese investors, the Australian government has sent mixed signals. In 2016, it denied the sale of the country’s largest cattle property – citing national interest concerns. It also knocked back the sale of Ausgrid at the last minute to Chinese investors last year on the same grounds. And the 2015, the leasing of the Port of Darwin to Chinese-owned Landbridge Corporation generated a great deal of controversy – but was eventually approved.

        “A country like Australia is simply trying to make decisions that are in its national interests,” Laurenceson said.

        and an interview in Xinhua

        Interview: China’s growth, job creation impressive, Australia will benefit: expert

        http://news.xinhuanet.com/english/2017-03/16/c_136134498.htm

        “The truth is, China is buying more of our minerals and energy exports than ever before, and at the same time, now the middle-class Chinese, the rise of the middle-class in China, they are also demanding our agricultural goods and our services,” Laurenceson said.

        “We have actually seen a strengthening and a broadening of the Australia-China relationship over the past few years, rather than any lessening of importance.”

        The reform on consumption-driven growth in China led to 13.14 million new urban jobs, along with 12.4 million people across the country being lifted out of poverty. With this year’s target set at 11 million new jobs, Laurenceson is hopeful this can be achieved, but admits it is a significant challenge.

        The strong relationship between China and Australia can be reflected on the same attitude toward globalization and free trade despite the growing threat of protectionism in some countries, the economist said.

        “Australia is absolutely delighted that China is continuing this narrative that it will remain open to free trade and investment. An open global economy,” Laurenceson said.

        “Australia and China are leading in this area, while some other areas of the world are probably slipping behind.”

        Laurenceson was hopeful that the Belt and Road Initiative will not only lead to better global economic outcomes, but also have a direct positive impact on the economic partnership of Australia and China.

        Good to see all those state media assets really slipping into the party line, and good to see them pulling in their ‘go to’ man time in time out.

        I wouldnt hold my breath for Professor Laurenceson to sign anything relating to people being released in China. My guess is his own mum could be held in china and he would try and see the upside of that.

    • I’m also thinking that there is a faction within the Chinese Communist Party that does NOT want to have the Australia China extradition treaty in place. They want to protect their mates and cronies who have successfully socked away cash in Australia.

      And what would be the best way for them to trash the extradition treaty while its in the news here?

      Come to think of it, if I were Professor Laurenceson I’d be selling this theory to the media whilst covering ones backside for Beijing funding.

    • Your not a cocaine capital until you cant taste the sushi a la L.A. in the 80s…. because you would get gummys just from the glass counter tops….

      Grandmaster Flash – White Lines

      https://www.youtube.com/watch?v=HsTJaP2tC0A

      disheveled…. for a good time research the refinement of this humble plants beneficial qualities to its indigenous population and how it became a plague in anglophone countries…. coke a cola… mirth…

    • “You may have an opportunity to use your equity for other investments, or for lifestyle items such as a new car or boat, renovations or an overseas trip.”

      That’s where.
      They left out “wealth creating assets”. Appalling.

      • LOL

        They had not yet fully forgotten the last time debt driven asset price speculation was confused with ‘wealth’.

    • ErmingtonPlumbingMEMBER

      My dad married a Chinese sheila in 1952 when he was just 19yrs old (it didn’t last long).
      Dad told me he meet her at a dance at the Petersham town hall,… her grandparents were “Full blood Chinese” and Australian born,…. and yet in that little clip of yours, d672c804897d,…I didn’t see one Asian face!

      A case of 2 wongs not making a White?

      “Calwell and racism
      Calwell’s remark in Parliament in 1947 that “Two Wongs don’t make a White” is widely quoted. The remark was intended as a joke, being a reference to a Chinese resident called Wong who was wrongly threatened with deportation, and a Liberal MP, Sir Thomas White.
      Calwell later wrote:
      It is important to me, at least, to set out the facts about a remark I made in the House of Representatives on December 2, 1947, which has been so often misrepresented it has become tiresome. On that day I was asked a question by Rupert Ryan, brother-in-law of Lord Casey, on the deportation of Malayan seamen, Chinese and other people who had contravened our immigration laws. I said, amongst other things, that an error may have been made in the case of two men named Wong. The Department had served a deportation notice on one of them, but it was the wrong Wong. I then said, and I quote from Hansard: “there are many Wongs in the Chinese community, but I have to say — and I am sure that the honorable Member for Balaclava will not mind doing so — that ‘two Wongs do not make a White'”.
      It was a jocose remark, made partly at the expense of the member for Balaclava, who was at the time the Hon T W (later Sir Thomas) White. I expected that I would have been correctly reported, as I was in Hansard and that the initial letter “W” on both the names “Wong” and “White” would have been written in capitals. But when the message got to Singapore, either because of some anti-Australian Asian journalist or perhaps because some Australian pressman with a chip on his shoulder, a Labor Party hater, the name of White was deliberately altered into a definition of colour, so as to read “two Wongs don’t make a white.” The story has lasted to this day. I have often answered questions about it from young Chinese students at universities in Melbourne and Sydney. I notice whenever reference is made to it in newspapers or periodicals, or whenever the quotation is used anywhere, the Singapore abomination is generally repeated. Latterly the true version is being printed.
      There was never any intention in my mind to raise any question of colour. I have repudiated the whole story so often that I suppose there is nothing more I can do about it. But I put the facts on record in this book.[10]:109
      In fact, Calwell did not refer in Parliament to two men called Wong. The full quotation is:
      The [deportation] policy which I have just mentioned relates to evacuees who came to Australia during the war. This Chinese is said to have been here for twenty years, and obviously, therefore, is not a wartime evacuee. Speaking generally, I think there is some claim for him to be regarded as a resident of Australia, and I have no doubt his certificate can be extended from time to time as it has been extended in the past. An error may have been made in his case. The gentleman’s name is Wong. There are many Wongs in the Chinese community, but I have to say — and I am sure that the Honourable Member for Balaclava will not mind me doing so — that “two Wongs do not make a White”.[11]
      In his 1978 biography of Calwell, Colm Kiernan wrote:
      Was Calwell a racist? All Australians who upheld the White Australia policy were racist in the sense that they upheld a policy which discriminated against coloured migrants… Calwell never denied the discriminatory reality of the laws: “It is true that a measure of discrimination on racial grounds is exercised in the administration of our immigration policy.” But he did not consider himself to be superior to any Asian.[12]
      Calwell also said in Parliament: “I have no racial animosity.”[13] Kiernan further says:
      Calwell had many friends among the Chinese community in Melbourne. This would have been impossible if he had been prejudiced against them. Anthony Wang, the first Chinese councillor of the City of Melbourne, has acknowledged Calwell’s support and friendship. He liked the Chinese people so much that he learnt Mandarin in which language he could converse.[14]
      Kiernan is correct to observe that until the 1950s virtually all Australians supported the White Australian policy, that Calwell’s views were entirely within the political mainstream at that time, and Calwell believed himself to be free of personal prejudice against people of other races. This is reflected by Calwell’s comments in his 1972 memoirs, Be Just and Fear Not, in which he made it clear that he maintained his view that non-European people should not be allowed to settle in Australia. He wrote:
      I am proud of my white skin, just as a Chinese is proud of his yellow skin, a Japanese of his brown skin, and the Indians of their various hues from black to coffee-coloured. Anybody who is not proud of his race is not a man at all. And any man who tries to stigmatize the Australian community as racist because they want to preserve this country for the white race is doing our nation great harm… I reject, in conscience, the idea that Australia should or ever can become a multi-racial society and survive.[15]
      Calwell’s attitude to Indigenous Australians should also be considered. In his memoirs he wrote: “If any people are homeless in Australia today, it is the Aboriginals, They are the only non-European descended people to whom we owe any debt. Some day, I hope, we will do justice to them.”[16]”

      https://en.wikipedia.org/wiki/Arthur_Calwell

      • You are right, that was an incredibly white clip.

        But I was more despairing at the fact that once we were able to manage immigration to the betterment of the existing residents (well, unless you were Aboriginal) and the new arrivals and now we have exploitation, overcrowding, shit conditions all round and it is just generally f#cked up. Also, whenever I watch anything showing life in Australia prior to 1970 I am staggered at how fat / tattooed and generally unhealthy the nation has become.

        I guess the solution is to stop watching this shit…

      • @d672c804897d – agree it seems immigration back then was to everyone’s benefit. Now immigration is about importing wealthy individuals that squeeze existing residents out. It’s all about capital, not about a fair go and creating a harmonious society.

        I showed my Greek partner the same clips (1960’s Australia) and pointed out that nobody was FAT! Life was a lot simpler and dare I say looked less stressful to me. Progress is a subjective thing I suppose. I wouldn’t want to work in a steel mill myself but the fact that a young family could aspire to a humble home with a veggie patch. Seems so foreign to me, the idea of owning your own home to me is not something I can even comprehend because it’s just seemed so out of reach for so long.

    • TailorTrashMEMBER

      Memories from the whitefella dreamtime ….before Australia privatised immigration…………what a success that was too ……very disappointing to see how it was fcuked …….loved the reference to dog men too …worked close to them in another life …..uber cool guys …no safety belts …..just sheer confidence and bravado riding that hook ! …….a never to be seen again occupation ….

    • the Yanks protect all of their industries and only pretend to believe in free trade but they do appear to have fairly independent anti money laundering agency that does its job.
      One would have thought US will allow dirty money in and only pretend to be doing something about the issue, something like like NZ or even be outright ignorant like Oz and pretend there is no issue at all..

    • As I mentioned earlier in the week, Australian confidence in property at record lows. The current prices only makes sense in the context of the US$700 billion which fled from China in 2016 and suspected to mainly have been invested in property. Also Australia’s official stats on foreign purchases do not factor properties being purchases by proxy using laundered money.

      • we know someone at work that is Level 1 (call centre worker) and his wife holds similar role in another company and they have about 9 properties. Word is (from a Chinese that works on my team and I trust him 100%) they act as Proxy for others from mainland.
        I am wondering how he has not registered on anyone’s radar? But to be fair even though I trust my source I still can’t workout how can others trust this couple with so much money so I still have some doubts to be frank.

      • Nikola, a while back a group of Chinese workmates lectured me for a good half hour on my naivety regarding the levels of money laundering. They were giving specific examples of how multiple people (not necessarily friends) receiving the transfer limits for a commission, money then pooled together and property purchased by proxy (perm residents or trust). They also mentioned many other ways of getting money into the country including complicated shelf company structures. I was blown away.

        Also the scam of international student -> perm residency -> launder mum/dad’s money -> buy property -> pay $40k each for mum/dad to come into the country -> mum/dad eventually eligible for lifetime welfare + healthcare

    • Mate that housing almost looks better than the dump I rent in Sydney. It saddens me when members of society are given housing and trash it. Even though I hate my rental, I still spent 5 hours tidying the yard this weekend. Cutting grass and doing the edges (it’s a huge yard) and the rainfall in Sydney + sun coupled with 3 weeks away meant the lawn was out of control.

      I guess I just take pride in the place I live and making sure it’s tidy, it’s a shame the land lord doesn’t reciprocate that.

      My father is a mess, he’s spent his life a drinker and he is now in social housing after blowing all his super etc.. He’s only in his mid 50’s can’t walk properly (has had a stroke due to drinking etc..) I’ve visited his place. It’s not actually that bad, apart from the neighbours though, which you get a mix of good and bad. But for someone with nothing social housing is actually quite good.

      It’s the ungrateful types that shit me, the ones that get given housing and ruin it.

    • Technically Bill keeps Mal in the job. Still, I would expect Tones nice and early on a friendly radio station staking his case for the top job. The show goes on..

    • TailorTrashMEMBER

      Hope Bill grows a spine and comes out with some real policies that helps the people …..as he is heading for The Lodge by default..
      ……..sad as it is …..we will get little change ………so my vote is not going to either of LibLab ….the more insecure they both feel after the next election the better

  19. Damn-it-Janet I love you
    https://www.youtube.com/watch?v=ZbpJb7hjb7M
    https://www.youtube.com/watch?v=Dyuo5PlcPoI
    There I’ve said it, where’s Janet? I know she’s a Kiwi but that’s Ok, if she needs to than she can live in Bondi but I need to know:where’s Janet?
    So much MB talent seems to be simply disappearing, it doesn’t get flushed or banned, it just seems to sublimate into the ether..or maybe the ethernet! There one day gone the next, I’m done accepting it, I need to know …where is Janet?

    Where’s 3D1K? love the guy! yeah he’s a sleaze bag for taking the Miners dime but talk about thinking on your feet….Where’s DeepT? F-me sideways the guy’s forgotten more about banking than I’ll ever know. Where’s China-Bob? I haven’t got a clue what rock he crawled out from under, but again Farkme sideways…the guy was not short on intellect, if I only understood 1/10th of what he said. again gone! like a fart in the breeze.
    I know this is getting a bit repetitive but where’s are all the real estate bulls, who was it Peter Someone….lets be honest the guy was right 100% right, Where’s Lord Dudley? ha ha ha, it’s hard to find this kind of honesty and accuracy anywhere…but it was all here at MB.

    I want its back! I want the sarcasm, I want the pithy one liners (that had me reaching for a dictionary to even understand) I want the bigger than life personalities, sure you needed a well developed BS filter but damn-it that’s what made MB weekends so entertaining.

    • TailorTrashMEMBER

      Agree ….question I have asked a few times ….where is Janet ?…….and the others you mentioned …………strange indeed ?……

    • ErmingtonPlumbingMEMBER

      Yes, where is Janet,…I lament the loss of any of our regulars.

      Going by some of ChinaBobs past posts, I think he might go “off grid” when in China, getting up to whatever he does there.
      He’s sounds quite paranoid about his IT security when in China, probably for good Reasons.

      Maybe he’s an ASIO spy!
      ?

      • “Maybe he’s an ASIO spy!”
        must admit I’ve had similar thoughts but I’d guess he’s ex HVA, external arm of Stasi. They had lots of sleepers just like KGB Directorate 8 (the illegals). When the DDR ceased to exist most HVA agents just carried on with their assumed identities. These guys all spoke at least 3 languages fluently and accent free, in a way that’s what was wrong with them, that and a really twisted screwed up moral compass.