The perfect storm is blowing towards the Australian economy

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Australia is in trouble. We described the broad outlines of it late last year in the annual Special Report: The Great Housing Reckoning:

…for the first time, Australia will face the simultaneous pressure of receding Chinese capital from its housing market and receding demand from commodity markets, weakening the two central pillars of the economy – mining and households – simultaneously.

That outlook is playing to script. Let’s start with mining.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.