Weekend Links: 5-6 October 2019

Global Macro / Markets / Investing:





Unconventional Economist
Latest posts by Unconventional Economist (see all)


  1. I know this is not the FIRST time a replacement afternoon page has been requested.

    So how about it?

    Agree, my MB friends?

    • Agree 100%. The arvo page has been really useful as round up of what is going on in Asia Pacific region and plus for the regular readers to exchange ideas and just general catch up.
      I really hope Harry will not have to, for First Time, raise this issue three times in a row.

    • For the few weeks when Chris B wants to escape the Stay at Homes (and keep his family happy), why not just use the last article of the day as the basis for the free-ranging (feral?) discussions.

      • ErmingtonPlumbingMEMBER

        I’m not a Pokie guy, but the few times that I do throw in 10 or 20 bucks (only when there is no one to talk to at the “table of knowledge) I will Only play Queen of the Nile and yet I haven’t had one of those pyramid features in years!
        I think these machines might be a bit of a rip off.

    • ErmingtonPlumbingMEMBER

      Only reason I watched the end of “The Dirty dozen” on free to air, with a million ads, was to have a crack at weekend links.
      Hit that fken refresh button every 10 seconds from 11.54pm!

      And I Got a bloody dig up to Finnish tomorrow starting at 7am!

      How do you do pull it of each week Harry?

        • And you pulled it off!

          I’m guessing difficult, but not impossible.

          Imagining the country squire asking his wife (by telephone) “Gardeners Inn, dear?“.
          “Oof! Yes, most definitely, dear”.

      • But that is not the bad thing.

        The missus downloaded the Sims on the iPad for the 7yo daughter.

        Who now wants children (in the Sims.)

        And wants me to help her organise that tomorrow.

        Happy Saturday haroldus!

  2. In addition to which, I have a long winded anecdote I’ll save for later, so as not to hog teh early real estate.

  3. Peter Dutton suggests cancelling welfare of climate protesters – ABC

    But not the Medicare card – because that is a universal entitlement just like you be I.

    Thankfully, the opposition to UBI is plummeting in whacky America:

    Voter support for universal basic income grows: poll

    Those who oppose the plan dipped from 57 percent to 51 percent.

    Seventy-two percent of those between the ages of 18 to 34 favor the idea.


    Interesting times. Will inequality continue to soar? Will the pro-UBI 50 year olds oppose UBI when they retire?

    • Peter Dutton suggests cancelling welfare of climate protesters

      just like soviet union in early stalin days – when they figure out you cannot stop people thinking by making them hungry, they’ll start opening gulags

    • “Will the pro-UBI 50 year olds oppose UBI when they retire?”
      Only if all of their friends are also retired, and their children are gainfully employed.

  4. It’s a long weekend and no doubt you are already bored to tears.

    Here is something to keep you from cutting the grass and cleaning up the shed.

    “…..There is a great deal more that might be said here regarding scope and nuance, but this is a matter for the essays that follow. At this stage, we need only note that, within MMT the subsequent issues are:

    • the degree to which the currency is sovereign. (This depends on the currency’s place in the hierarchy of the world’s currencies, and the way exchange rates are set and the way financial assets, notably treasury securities, are produced and traded.)
    • the degree to which the state can be treated as a single organized and institutionally integrated form, and
    • the scope provided for creative state financing for fiscal “policy space”, once (if) citizens, state functionaries and market actors grasp that (as MMT sees it) taxation is not the source of the capacity of government to finance.

    It should become clear as one reads the essays that follow, that interlocutors respond to MMT along several related lines of inquiry:

    • the degree to which MMT can consistently and accurately draw on its inspirations and antecedents;
    • the degree to which MMT offers an adequate description and explanation of the state and its monetary economy;
    • the degree to which MMT accurately explains how things could work, if appropriately configured; and
    • the scope and limit of its application to countries in the world, given that so much hinges on degrees of “sovereignty”.

    This collection of essays from leading economists in the MMT debate offers the reader a range of viewpoints from which to become informed about what is set to be a significant part of economic policy discussion in the coming years. We thank the contributors for their essays and for their epistemological goodwill in, at short notice, taking part in this pluralist project…”


    • Good find 007, that was really good.
      Davidson, Kregel, Lavoie & Palley are all genuine post-Keynsian economists, and their crtiques are spot on. As I’ve said to Skippy before I don’t know how he can claim MMT is in the post-Keynesian camp. It isn’t and the best critiques come from post-Keynesians.
      The attacks are on multiple fronts.
      – inflation/debt dynamics of money financed deficits above full employment (Palley)
      – problem of using tax to manage AD – something Keynes talked about in ‘How to pay for the war’ which is why he ended up advocated forced saving (deferred pay)
      – The political own goal for progressives of demonising taxation and having a theory which doesn’t focus on redistribution. Henwood also made this point.
      You will never get a green new deal without taxing the rich, not just because yes the state does need to redirect resources but also because progressive tax policy always precedes the spending programs. eg. Roosevelts Revenue Act of 1935. The redistribution not only funds , it always shifts the politics/political culture to allow the spending programs to take place. The other side knows that which is why tax cuts always precede spending cuts (‘Starve the Beast Theory’)
      Greenspan – “Let us remember that the basic purpose of any tax cut program in today’s environment is to reduce the momentum of expenditure growth by restraining the amount of revenue available and trust that there is a political limit to deficit spending”.

      • Because PK is a broad group, unlike the Orthodox or Doctrinaire rest, per se I and some others are quite wary of QE Warner, also quite aware of some Austrian types post GFC that split into about 5 groups and in some cases tried to rewarm old PK theory and call it their own.

        But the core is based on state money: http://bilbo.economicoutlook.net/blog/?p=38885

        Various political bolt ons and ad hoc nature has more to do with ideology than function, see monetarists and currant quasi monetarists.

        Commodity theory of money being applied to MMT for various ideological and self dealing – interest [tm].

        • ok but Davidson and Kregel especially are both established post-Keynesian’s. Surely if they are criticising the foundations that should prompt reflection.

          • Just back from work so will need to read it and then confer with others for aspects I might not be aware of Sweeper.

            It’s also a case of some in the PK group focusing on financial aspects like Wray, Mosler, or Éric Tymoigne et al, whilst others focus on national – international Macro. I mean one would not want to be like Krugman, a trade economist and then get high on horse about a field he has little or no knowledge about.

          • Skippy,
            Some of Krugman’s earlier trade stuff was niche but he also did notable work in open economy macro (especially around exchange rates) and this is very hard to do without a strong foundation in closed macro. If you mean his expertise in the monetary field; his 98 paper on Japan was well before its time. He has a brain he just lost it temporarily during the Democratic nomination.

          • Come on Sweeper …. JAPAN’S TRAP Paul Krugman May 1998

            “I and most others have tended to assume that such shortfalls can be cured simply by printing more money.”

            A. he lost me at printing and his Taylor rule bolt on.

            B. Plaza.

            C. He fetishes the “IS-LM ” model [cornerstone to neoclassical] even after Hicks backtracked on it, lest we forget the original authors views on GDP being twisted out of context, but yeah, Milton.

            D. share holder value, anti tax birch society, corporatist agendas, Gresham law, pay to play democracy, etc ….

            E. the market [political] is the The Hitchhiker’s Guide to the Galaxy equivalent of the galactic non human agency numerator all must bow down too … for the unwashed …

            F. still waiting to see you over at Lars to sort him out so I can evaluate the debate ….

    • Davidson & Kregel also note where MMT is lacking as a monetary theory. It doesn’t focus on the money demand/asset side. To MMTers that I’ve seen money seems to be seen in means of exchange terms – not an asset whose price or premium determines all other asset prices which is the Keynesian theory.
      Davidson – “I would suggest that what is missing from MMT’s attempt to provide a modern version of Keynes’s argument is the concept of liquidity as the motive for holding money”
      The money interest rates is = to the liquidity premium of money over bonds. ie. return people are willing to give up or pay by holding money. Keynes had this as the benchmark rate for all other assets as the internal rate of return or what he called the MEC would not fall below the money rate. So a positive money rate of interest implies:
      1. stock of money is = to qty people want to hold at that interest rate
      2. Expected returns of real assets > money rate of interest
      In that environment (ie. 99% of the time) you can’t just fund deficits with money. Because people don’t want it as an *asset* given the level of certainty about the future and the expected returns availaible on real assets.
      Then MMTers say something like, the money financed deficits bid down the money rate by adding bank reserves so people will then hold the money.
      Yes but you’ve done this in the context of strong confidence about future returns, high rates of return available on all other assets. So the economy is now way off equilibrium. And it is the reverse of the post-Keynesian argument that the CB merely responds to an increase in liquidity preference which is caused by a collapse in animinal spirits, uncertainty etc. eg. Davidson “Accordingly, the more uncertainty the decision maker feels about future economic events, the more liquidity he/she will desire to hold to meet such unforeseen contingencies”.

    • Reading Guardian comments is torture. Though Guardian allows cross links and there were about three links to MBs slap down of that article.

      On the bright side at least we know where all the waffling arts/politics majors hang out when we need to round them up to deploy as our secret weapon against godless communism……the commies will surrender before Christmas.

      • LOL.

        MB’s post plucks out a single sentence and uses that to misrepresent the article.

        But it certainly seemed to suck in all the usual d!ckheads, moths to a flame.

        • I will have to take your word for that re the moths to the flame as I don’t frequent the Guardian very often.

          But when I do, your description does seem appropriate.

          Which sentence were you referring to? The one about racial diversity?

          Well that was a pretty big bullseye. It is the sort of thing my inner west friends would say. They never seem very keen on the idea of actual diversity though as very few seem willing to move west to the wonderfully diverse western suburbs of Sydney.

          • I will have to take your word for that re the moths to the flame as I don’t frequent the Guardian very often.

            Neither do I. I was talking about MB.

            Which sentence were you referring to? The one about racial diversity?

            Yes. The ten words out of a thousand that made a mention of anything except good old-fashioned class division.

            This inevitably made the comments mostly about “diversity”, despite that being 1% of the article’s content and completely irrelevant to its point.

            Well that was a pretty big bullseye.

            It’s certainly a big bullseye to a particular type of person, which the MB proprietors – having taken note of the right-wing-fvckw!t influx in the comments over the last couple of years – have clearly decided they want to attract.

            It is the sort of thing my inner west friends would say. They never seem very keen on the idea of actual diversity though as very few seem willing to move west to the wonderfully diverse western suburbs of Sydney.

            Perhaps they understand what a false dilemma is.

          • Aah I misunderstood what you were complaining about.

            The entire article was weak.

            You seem to be applauding it for mouthing a few motherhood sentiments about classism.. Well good on Bridget for expressing a preference for a society that has fewer class divisions. Don’t we all.

            But so what? That “throwaway” line you wish to paper over discloses her fundamental hypocrisy.

            What on earth does she mean by racial diversity? Does she mean skin colour? Does she mean cultural difference, religious difference, caste difference, non Anglo racism?

            I hate to break the news to Bridget that “diversity” in western Sydney lasts about a generation. Within two local born generations just about everyone is an eager Westfield attendee wondering what their next phone upgrade will be. If they understand what Granny says at home it’s a bonus. The only diversity that lingers is if they stay loyal to elders/ religion and DONT mix outside their cultural group.

            Does assimilation bore Bridget?

            Poor Bridget might be puzzled to find out that many of the new lower cost private schools that are being established by immigrant communities are just like the Catholic school she attended. They are specifically set up to maintain ethnic, religious and inherently class divisions. That she is apparently ignorant of the history of catholic education is surprising but the opposition to state funding of a Catholic education was because Catholics wanted to give their kids a catholic education.

            And who funded Catholic schools? Menzies over ALP opposition. No surprise that Catholics switched to the Liberals by the truckload after that.

            Bridget needs to think through her position.

            If she is really keen on diversity she should be applauding lots of private schools working hard to maintain diversity…..keeping Irish Catholics like her……Irish Catholic and all the more recent arrivals locked into to their differences.

            But she might find that the result is more division, more classism and less integration and equality.

          • I’m not making any real comment on the article other than observing that it’s focus was on class issues but you and everyone else seem to want to ignore all that and instead focus on projecting what you think she actually meant into it.

          • Focused on class issues?

            More like focused on the middle class issue that really concerns most Guardian readers.

            That other middle class people have more money than them and/or choose to spend their wealth on private school fees.

            She isn’t even concerned about private schools.

            Just the expensive ones. It seems that cheap private schools are just like state schools.

            Just as well she likes racial diversity or we might think we were simply dealing with another case of middle class v middle class envy.

            “… Last week the Victorian coastal city of Warrnambool was crowned by the Ipsos annual Life in Australia study as the most liveable city in Australia.

            Access to nature, feeling safe, a sense of community and a lack of traffic congestion “helped the area score so highly”, according to reports.

            But I also think inequality – or the perception of it – is important when it comes to liveability.

            Take away elite private schools and ridiculously expensive median house prices, and suddenly you’re living in a much more equal place.

            I grew up in Warrnambool, went to the local Catholic school and many of my friends still live there. I love the place, but it’s not without its problems. This week, for example, the front page of the Warrnambool Standard reported on a shortage of rental accommodation. And when I was growing up, the city lacked racial diversity.

            It was also not without its class structures. Nowhere is. The town’s doctors, for example, lived in nicer houses than the hospital cleaners. But for the most part, children at both ends of the class spectrum were educated in the same schools, by the same teachers and were part of the same friendship networks….”

    • Another Progressive keen to tell ‘other people’ how they should live their lives.

      They never give up.

      • What better way to signal your superior levels of sophistication to other vapid, bored, progressive white women orbiting in your social set, than by elevating other people and cultures above your own:

        Brigid: “…when I was growing up, the city lacked racial diversity.”
        Vapid progressive white woman: “Oh my, Brigid is so noble and enlightened.”

        Yet with those words Brigid reveals herself to be a classist bigot, filled with the same cultural cringe that’s had educated wankers sneering at ordinary Australians since they first stepped off the boat from England.

        Because the issue is far less about having racial diversity, than it is having to tolerate the multiple problems of hostile cultural diversity and behaviours that we have to accept going along with this diversity – things which as a Guardian writer she is unlikely to ever experience herself.

        As IQ is the biggest determinant of an individuals life time success, it also holds that it is the biggest determinant of a population groups overall success and ability to compete in a society, especially in a society as tolerant and lacking in prejudice as our own. It is also the biggest determinant of social issues and problems, such as violence, crime and anti-social behaviour.

        The fact is the median IQs of some population groups we are importing are a whole standard deviation below our native born population. This means Caucasians of median or average IQ’s of around 100, people like Brigid, are still smarter and will always remain ‘smarter’, than 90% of these population groups we import, from now until eternity.

        Bigots like Brigid will generally only ever have to put up with the behaviors of the top 10% elite representatives of those imported population groups, while the existing native born Australian’s of European decent, who sit of the left hand side of the bell curve and represent 50% of our native born population, get stuck with the remaining 90% of the imported population that generally contain all the bad behaviour and socio-economic problems, plus have to compete with these new arrivals for around increasingly stretched social resources.

        Basically Brigid gets to have intellectual conversations, tasty exotic meals and the opportunity to exotically fill the void between her legs, while the remaining 50% of the population get bashings, home invasions, sexual assaults, less access to welfare, and the outcomes of a lower trust society.

        Brigid’s ‘solidarity’ towards diversity is really about is kicking down on the working class, who are the biggest casualties in terms of social blow back from these policies of diversity.

          • Brigid wrote a whole article about why inequality and classism are bad for society, and MB managed to make it about ‘reverse’ racism and immigration based on a single throwaway sentence.

        • Yes, the irony: the very people who don’t want it are the people forced to live cheek by jowl with it, while those who want it live in enclaves largely divorced from it.

          We may live in a democracy – but in name only. The elites always find a way to get their way.

        • As IQ is the biggest determinant of an individuals life time success,


          must be true, definitely, … just look around and see all these intelligent successful people …

          • Yeah its not like studies show the first 5 years in a humans life has more effect on any outcomes down the road, sans IQ.

            Hay Stewie I have an I.Q. of 124 [down from youth], if your is less does that make you my shoe shine boy – ????

          • *As an individual personal attribute as opposed to inherited wealth.
            There is that qualification better for you X?

            Plenty of smart people CHOOSE to do things that maximise their life satisfaction – which does not necessarily correspond with material wealth. IQ simply provides more choice. If your IQ is 150 you can choose to be a brain surgeon or a bum, the choice is yours…. 80…. not so much.

            Skippy – no danger of having to shine your shoes, you though…. I prefer Kiwi; light tan with a little dark brown mixed in for some nice marbling. No spitting.

          • a kid with IQ 150 who grows up in dysfunctional family or poor neighbourhood has as much chance of becoming a brain surgeon as someone with IQ 80 who was lucky to grow up in a nice family and nice suburb

            So if you born into the wealth you can choose to be a brain surgeon or a bum (or almost anything else you want), if you are born in poverty only luck can help you to become something you want

            BTW. most of wealthy people choose to do things that make them less happy because they think it will make them happier and more satisfied. Poor would choose the same if they had as much choice but regardless we all end up less happy and satisfied than we could by not doing things we think will make us happier

          • Even more immortal opening from the same song……

            The guy who slagged the football team
            Those yobs were not for him
            Who turns into a real estate agent
            And believes in discipline……

            They lived in the real world did (and still do) TISM

          • think it is pretty clear that ‘absence of ethics’ has the most bearing on an individuals lifetime success in 2019.

          • Sigh…because you are incredibly slow:

            “Plenty of smart people CHOOSE to do things that maximise their life satisfaction – which does not necessarily correspond with material wealth. IQ simply provides more choice.”

            Yes – the kids of wealthy people are always going to have a head start, but your chances of becoming wealthy are greater the better you are at solving the problems life throws at you and dealing with the dyckheads, like yourself, that you have to negotiate through in life.

            There will always be outliers. Probably one of the most successful, self made guys I went to school with got really average grades, did Math in space, became a plumber and started buying land up on the central coast – made tens of millions. There will be outliers in the other direction too, smart people who constantly fail, which is probably why you are so bitter and adamant that there is no correlation between IQ and life success.

            Haroldus. TISM. Awesome.

            To be sure there’s a lot of randomness in terms of success in life as well, but smarts still give you a head start. Still smarts don’t help you at the end of the day if “Greg the Stop sign!!”

          • Stewie …

            There is a preponderance of evidence that refutes your claims, basic psychology on humans with high I.Q. and upper bound personality disorders makes your blanket proclamation absurd, compounded further if some ethnic dynamic is suggested.

            You don’t even seem to understand that your forwarding some concept of meritocracy and by dint of that some notion of authority, above others, not that the term meritocracy was coined as an ironic oxymoron by its author.

            Coming from someone that thinks atomistic individualism is a progressive agenda and not a core ex ante axiom of orthodox economics begs the question about comprehension and your view on I.Q. – what ever yours might be, undisclosed.

          • Skippyy mine is plenty high enough – people who quote theirs either inevitably do so to claim some fallacy of authority, thereby leading you to suspect Dunning-Kruger rather than a higher IQ is a bigger influence on their life, or they quote it and leave themselves open for other’s to try and tear them down with it.

            Frankly I find people who talk about their own IQ to be among the most boring and tedious people on earth, which why there was little surprise to me when you quoted your own. However, questions of how IQ as is distributed throughout the population and how it impacts societies, is something that I find to be quite fascinating.

            As to your assertions – that there is evidence that refutes my claims. Of course there is – there is also a vast, preponderant amount of evidence to support my claim, and decry your claims as otherwise as pure pseudo-scientific quackery.

            Truth be told, while having a high IQ gives you a natural head start in life, there are downsides too. The “brilliance: is often accompanied by mental illness, as well as loneliness. People tend to associate with people to whom they relate, and that generally means people of similar mental faculties (not always), the simple matter of the fact is that there are fewer people at the higher end of the bell curve, so it is often harder for very bright people to have a large enough pool of acquaintances to form meaningful relationships.

            Would I give up some IQ points to be a little more popular and have a wider and deeper circle of friends – quite possibly. But then the reason for my skinny invite lists might just be because I’m a kunt.

          • “Skippyy mine is plenty high enough – people who quote theirs either inevitably do so to claim some fallacy of authority, thereby leading you to suspect Dunning-Kruger rather than a higher IQ is a bigger influence on their life, or they quote it and leave themselves open for other’s to try and tear them down with it.”

            Before we start remember I – personally – requested you not throw in the towel.

            I quoted mine because you made a case with I.Q. as a cornerstone and how that translates to a great outcome in life or superiority over others. I claim no authority over anyone due to it nor would I want such a metric used by someone else to do so considering all the factors.

            “Frankly I find people who talk about their own IQ to be among the most boring and tedious people on earth, which why there was little surprise to me when you quoted your own. However, questions of how IQ as is distributed throughout the population and how it impacts societies, is something that I find to be quite fascinating.”

            For someone that instigated the whole I.Q. angle and how it relates to human outcomes I find it curious that you take exception to any discovery of peoples actual I.Q., especial when its face to face. How can you argue I.Q. and then take exception to its discovery as it relates to you or the greater population, have you been tested, when, and how you do think its relative to your concept of success in your life. Per se do you think or have evidence that shows people with higher I.Q. are correlated to wealth accumulation, and by dint of that should be granted authority over others from a Homo economicus perspective.

            “Would I give up some IQ points to be a little more popular and have a wider and deeper circle of friends – quite possibly. But then the reason for my skinny invite lists might just be because I’m a kunt.”

            Hay Stewie …. don’t know your background and how that relates to your world views, but, if pressed I would think the whole elbows out is a self fulfilling prophecy, something that might require deeper introspection. Look at the bright side … you probably have not seen half of what I have … take solace in that.

          • “I quoted mine because you made a case with I.Q. as a cornerstone and how that translates to a great outcome in life or superiority over others.”

            No you Dunning-Kruger victim, I said IQ is the greatest natural born privilege an individual can be born with, what they then do with it is their CHOICE, which is what they’ll generally have get a lot more of – CHOICE and opportunity.

            “have you been tested, when, and how you do think its relative to your concept of success in your life.”

            Of course I’ve been tested. If you’ve ever been on a journey to know and understand yourself, your capabilities and limitations, then it is only natural. But then I’ve also done that in the past through lifting, sport and physical exertion. The great thing about smarts though, is that as you age your ability to use them generally remains undiminished and the food it feast upon, information and understanding, remains potentially limitless.

            “For someone that instigated the whole I.Q. angle and how it relates to human outcomes I find it curious that you take exception to any discovery of peoples actual I.Q., especial when its face to face. How can you argue I.Q. and then take exception to its discovery as it relates to you or the greater population”

            I thought I made myself clear earlier, because it lends itself to be taken as a classic fallacy of appealing to authority. I prefer the appeal of the argument and reason.

            Personally, I find talking about your own IQ as being vulgar at a personal level, it really is the least interesting thing about someone. You’re discussing a trait that through no benefit or hard work of your own gives you a leg up in life. It is like talking about how much you inherited or how much you like to have white skin or black for that matter. A person’s worth is measured by what they contribute, not the talents they were born with.

            But interesting and important are two different things. IQ gives you an advantage. That is why it remains important for individuals and important for societies… it is also the reason why a lot of people of high intelligence, like to say that IQ isn’t important – because it robs them of their achievement.

          • “I said IQ is the greatest natural born privilege an individual can be born with”

            Stewie I got the part about – you said – it was as a proclamation of fact – in your book. Still that does not change all the data from social psychology or social sciences. Seems heaps of so called high I.Q. people get sucked in cults all the time.

            “what they then do with it is their CHOICE”

            See here is a perfect example of wonky methodology used to arrive at some predetermined result E.g. Choice is not what you think it is and I.Q. does nothing to increase its effect, seems your promoting free will by proxy and all its attendant moralization’s. It has tones of prax IMO.

            “I thought I made myself clear earlier, because it lends itself to be taken as a classic fallacy of appealing to authority. I prefer the appeal of the argument and reason.”

            Please highlight any suggestion of authority, I only utilized your framework in setting up a situation derived from it. Don’t know what to make of your notion of appeal, too many bias tripwires, argument and reason is a sea of shifting sand and goal posts. Per se an argument can have internal validity but still be completely false when applied to reality E.g. too many things are counter intuitive, belief is not a fact, etc.

            The whole thing is dripping with notions of Survival of the Fittest and Social Darwinism with a side of heraldic Lamarckism to support some ideological perspective post hoc.

            When you can factor in the advanced psychology used to brand kids as young as 2 or 3 years old via media and then still bang on about I.Q. and choice, without the underlining knowledge applicable to it, and other behavioral conditioning, then and only then might you have an argument based on informed reason and not ignorance.

            Case in point, do you think some with OCD and high I.Q. have a willful choice in everything they do.

          • Case in point, do you think some with OCD and high I.Q. have a willful choice in everything they do.

            FFS you mangy piece of road kill, I don’t know if I can make myself any clearer to you.

            I am talking about the general outcome for INDIVIDUALS across an entire population – IQ is probably one of the most important factors that provides them with choice. There will ALWAYS be individual exceptions.

            You may have once had an IQ of 128, but FMD it is plummeting as you age. Listening to you ignorantly rabbit on and try and trap me with you idiotic reasoning is really frigging depressing me, because holding onto my mental faculties as I age was something I took for granted, although with you all I can see is the senility that lies ahead.

            “studies show the first 5 years in a humans life has more effect on any outcomes down the road, sans IQ”

            “sans IQ” meaning “without IQ” So you are basically agreeing with me. “IQ is the biggest influence, but if you exclude it from the analysis other things become important too” well duuuuuuuuuuurrrrrrrrrrr.

            How much of those first 5 years are causational and how many are simply correlations?

            One of the least surprising facts is that bright parents generally try and provide more stimulating environments for their kids. There are generally fewer social problems among brighter people (they are never entirely absent). Higher incomes which generally follows IQs helps to ensure that bright peoples kids get a better start to life in terms to access to resources they will need, education, stimulation, etc.

            But correlation is not the same as causation. Are the kids bright because of their parents investment or is it the genes i.e. bright parents will generally have bright kids?

            If only there was a way to know if it was the investment in the kids first 5 years of life or their genes that influenced their IQ? Like if you had two kids of equal intelligence and placed them in different environments?

            Fortunately there is a way to test this, and it has been done. Twins studies have also shown that the importance of those first 5 years has also faded significantly by the time they leave school, and have pretty much vanish by mid life:

            “The heritability of general cognitive ability increases significantly and linearly from 41% in childhood (9 years) to 55% in adolescence (12 years) and to 66% in young adulthood (17 years) in a sample of 11 000 pairs of twins”


            The whole thing is dripping with notions of Survival of the Fittest and Social Darwinism with a side of heraldic Lamarckism to support some ideological perspective post hoc.

            Maybe if you weren’t so impressed with your IQ you’d continue to challenge your beliefs instead of thinking you know everything. Evolutionary psychology is fascinating – and a useful tool to try and understand the world around us and the reason why societies are they way that they are.

            I don’t deny that society and it’s expressions through power structures plays an important role in determining a persons life outcomes, I would be a zealot if I argued otherwise. I coincide that culture and environment matter…. what do I always say – culture matters.

            But unlike yourself I don’t pretend that intelligence is of no importance in explaining life outcomes. Your willful disbelief marks you out as a zealot. I believe genes, culture and environment work on each other in a perpetual feedback loop.

            To argue otherwise is pure ideological blank slate zealotry.

          • “I am talking about the general outcome for INDIVIDUALS across an entire population – IQ is probably one of the most important factors that provides them with choice. There will ALWAYS be individual exceptions.”

            You keep promoting I.Q. as something its not and then use it to support some claim about individual choice, per se a person with above average I.Q. can be quite ignorant of a great many things, especially if its myopic in scope – narrow focus with out depth.

            I mean considering the U.S. growing issues which would correlate to those with high I.Q. in positions of power and there results would call your theory into question.

            Would you think my blood pressure or chemistry be vulgar too – ????

          • re. the ruling class – some are intelligent some are dummies. Some consume too much of the culture they sell to the masses. Some parts even believe the ideology which gets sold – eg. meritocracy + freedom + intelligence = wealth/power. Others don’t.

          • “You keep promoting I.Q. as something its not and then use it to support some claim about individual choice, per se a person with above average I.Q. can be quite ignorant of a great many things, especially if its myopic in scope – narrow focus with out depth.

            Uggh – talking to you is making me dumber.

            You are trying to refute my position by saying my position is dumb, without actually explaining what about it you disagree with, and peppering your replies with irrelevant individual exceptions, as though outliers disprove the rule.

            I readily coincide outliers exist within a PHUCKING population – do you know absolutely anything about basic statistics, probabilities, means and distributions?!?

            Because you are a simpleton let me repeat it for you one last time:

            I am talking about the general outcome for INDIVIDUALS across an entire population – IQ is probably one of the most important factors that provides them with choice. There will ALWAYS be individual exceptions.

            “Would you think my blood pressure or chemistry be vulgar too – ????

            Only if your blood pressure and its chemistry gave you some natural, unearned privilege over other people.

            Now please stop. I’ll do anything and concede everything, from this point on to end this suffering.

          • Seems your not knowledgeable about how much luck and randomness is a factor of so called success.

            Have a nice end to the long weekend.

    • Mining BoganMEMBER

      That diversity bit. Am I less of a person because I grew up in a mostly white community with a couple of blackfella families thrown in?

      I think the author is judgemental, assumptive and somewhat racialist to boot. I’m offended. Nay, triggeredly offended. I want her sacked.

        • Mining BoganMEMBER

          Worse. I’m going to post on Reddit! That’s the place to be triggered.

          *posts about woman on reddit and waits to be downvoted and banned*

        • Professor DemographyMEMBER

          You could have 5 million signatures on an anti-immigration petition at GetUp and what do you reckon would happen?

          • Mining BoganMEMBER

            They’ll rename ‘immigrants’ to ‘nation-builders’ and start importing 400k nation-builders a year?

          • They will create a petition about banning any discussion on anti-immigration or lowering immigration and send out a massive SMS campaign to get everyone to vote for it. 🙂

    • In addition to this, Australia four decades ago effectively had a UBI. Anyone could sign up for Unemployment Benefits, and in practice nobody really checked whether you were meeting the official requirements or not.

      • Good thing it doesn’t exist anymore — the vibrants would be all over it like a rash. Who doesn’t love free stuff?!

      • but in attempt to reach CES office (or whatever was the name of the centrelink predecessor in early 80s) one would most likely score a job (without even looking for one) that pays enough to repay a median house.

  5. And for those that like to……watch.

    The Q&A after Scoff Miniscum’s speech was much more interesting than the speech. From the 40 minute mark watch closely all the stuff about China. He looks very uncomfortable. Sounds like Canberra is putting on the brown trousers.

    His comments amounted to “Well what did we think was going to happen when we let a bunch of totalitarian commies play in world trade?”


    At least now he is trying to channel Trump he is likely to be much more entertaining. Stock up on eye rolls.

    • He lies like Trump, says dumb sh1t like Trump and has a head you’d hate to stop kicking like Trump’s. So yeh, Donald Morrison’s well on the way to being Trump of the South Pacific.

    • Communist totalitarian Capitalists v.s. the Free Market [for USA] with a side of spectator democracy Worlds Police Force ….

      Godzilla vs Mothra – ???? – so which one is Rome and which one the Carthaginians, more interested in endless wars, lowering standards for citizens, and higher esoteric agenda …. IQMWLTK …..

  6. ‘The wrong project in the wrong place’: Malcolm Turnbull’s Snowy 2.0 vision comes at a huge cost

    so one sides and incorrect
    even at $10b the project looks so cheap when compared to alternative storage options (batteries would cost $50b for 250GWh). And why batteries last couple of thousand charges pump storage will probably last 50 years without major maintenance (original snow is almost in its original condition) and 200 years in total, so it would outlive dozens of batteries.

    Most of transmission system required is already around but it’s 70 years old and it needs to be refurbished anyway

    and when it comes to 20km2 of park being destroyed: that’s less than 0.3% of the national park and maybe those fake greenies are not aware but the only purpose of Snowy 2 is to try to save the whole park and other parks totaling in millions of sqkms

    We spent $17b dollars on a single tunnel road in sydney (that doesn’t improve traffic) and everyone seems to be OK but spending $10b on the largest “battery” in the world is a spending problem? And we are already seeing electricity prices going negative during sunny windy days so the actual calculations done in the article will need to be revised because Snovy 2 will not be “charged” by .coal base-load but rather intermittent solar and wind.

    In a normal and less corrupt country something like this would cost less but we live in Australia so even building 2GW coal power plant would probably blow up o close to $10b in Australia.

    • Does one really big battery make sense? I saw somewhere that there are about 5000 suitable sites for pumped hydro down the east coast.

      A bunch of smaller installations might save on transmission network costs?

      • There is few reasons why having Snowy 2 is better than bunch of smaller ones:
        – there are dams and lakes already build at Snowy (Snowy 2 will not require any dams or lakes to be built) all other options would require dams and new reservoirs (that means cost, environmental impact, water usage, …)
        – when it comes to efficiency of pumped storage size is extremely important: Snowy 2 is likely to have 80% cycle efficiency while smaller pumped storage facilities would struggle with 60%, and very small ones (4500 of those 5000 sites) would have less than 50%

        on the other side there is nothing wrong of having a large generating facility. Most of coal power plants we used in past are larger than 2GW so from a single point of failure perspective things are not going to get any worse (actually better because Snowy 2 will have 6 units of 350MW while we already have plants with larger 700MW units so single machine failure will have lesser impact). Also original Snowy already has capacity of around 4.5GW so having that much generation in that location is not an issue from a system operation point of view.

    • Good Information but just to be clear there are also very good reasons for developing a distributed power storage system.
      Very high on the list is the inherent ability of distributed systems to withstand single point (or even multi point) failure mechanisms without the whole state’s electricity grid going down ( as in South Australia).
      With Modern Renewable electricity systems distributed generation is an unavoidable problem and with this problem comes the need to transport this electricity from the locations of generation to the usage locations (in NSW that means NewcastleSydneyWollongong). Traditionally we had 90% of the states electricity consumed withing this region with coal fired generators located at the periphery (primarily LakeMac / Hunter / Lithgo). In tomorrows renewables environment the wind farms at Glen Innes will be more important sources of power than the Coal fired generators of the Hunter. This means we need to extend the 100 odd Km’s of major Electricity Transmission line infrastructure (which connects Sydney to the Hunter ) to be be 600kms long and connect these wind farms, and while were at it lets extend again to take in Solar electricity farms planned for the Moree region and the Natural Gas fired generators that might locate in the Narrabrai region….hmmm that sounds like a LOT of KM’s of very expensive High voltage transmission lines and btw did I mention that these generation locations are north of the Snowy suggesting that their excess power might not be able to travel south because of the direct use loads created by Sydney.
      In the end I suspect the main problem for tomorrows grid is not to “efficiently” store electricity (as in the 80% round-trip which one might achieve with Snowy2) but rather to be able to store excess power local to both generation and use. which reduces the peak loads on this Interconnecting Transmission lines.
      With this in mind Compressed air storage has a round-trip efficiency of about 30% but there are a lot of suitable locations (especially if you include offshore underwater storage)
      Pumped Microhydro has a round-trip efficiency of about 50%
      Conversion of Electricity into Hydrogen is about 75% efficient and further conversion into Methane is about 60% …burning the Methane for Electricity can be as high as 45% efficiency …round-trip efficiency of about 25%
      In the end there are lots of energy storage possibilities if you’re not fixated on achieving 80% round-trip efficiency..
      The thing to remember is that it’s really a total cost optimization problem rather than an efficiency optimization problem.
      If a 100MW wind farm costs $100M to construct than it is probably a reasonable investment but not if the Transmission line infrastructure to fully connect this wind Farm will cost $500M. Maybe a better option is the $100M for the wind farm plus $50M for local Compressed Air Storage and a minimalist upgrade of the Transmission Infrastructure (Say also $50M).

      • Stability of system will not be reduced by building Snowy 2.0
        We already have many many larger units in service that act as bigger source of instability than a failure of a unit in Snowy 2 would. 350MW units are large but smaller than 660MW units in Bayswater or 720MW units in Eraring coal power plants. Also, Snowy 1 has around 4.5GW of installed capacity so immunity to failures of transmission system between Snowy and Syd and Mel has been well tested in last 7 decades

        Your other concern could be an issue but it’s not really valid when you look at new solar/wind developments
        There are quite a few wind farms in operation and under construction relatively close to snowy (e.g. around Canberra) and quite a few solar farms in regions near Snowy or places where Snowy acts as a spot on the way to Sydney (few large in service like Coleambally, just connected like Darlington Point and Finley and some under construction).
        Due to 4.5GW of installed capacity in Snowy transmission system around is quite strong (and old but cost of fixing is nothing compared to building new) https://www.aemo.com.au/aemo/apps/visualisations/map.html

        Solar and wind on the north and the west can power Sydney/Newcastle during sunny/windy days and excess from Southern areas can easily go to Snowy 2 to pump water up without need for new transmission – transmission is problem further away from the area to solar farms in the west but having distributed storage in those locations will not help much because new lines need to be built anyway and the cost difference between small line a big line is not that great.
        We’ll need much more storage than Snowy 2 so all that other storage can be distributed if no good locations found for large pump. Not using existing reservoirs to built the largest battery in the world would be dumb

        • Don’t get me wrong I’m in favor of Snowy2 but we need to realize that this is just a biggish single part of a much larger layered Grid power storage system that needs to be developed over the next 30 years. Seeing Snowy2 as “the Solution” could leave the rest of the system somewhat underfunded and that’d could be disastrous.
          As you know I favor distributed storage not simply because it is possible but also because it will get communities thinking about solutions to the overall Residential / Small Business power problem. One of the easiest parts of this puzzle is to include thermal storage systems in all new builds these systems would heat or cool water (or some other medium) and return the heat / cold on demand.
          One would hope that the storage systems offering the best round-trip efficiency would be maximally utilized however many wind farms now operate at a fraction of their label-capacity because they can’t transport the Electricity as there are no buyers . The easiest solution to this problem is for the wind farms to generate exactly as much Electricity as they’ve committed to deliver to the Grid, not one Watt more of less. Now imagine they had some on site storage that’s cheap to construct but offers a relatively low return (round trip efficiency wise) If they have storage capacity than they’re still better off accepting 30% return than simply stopping the turbines from spinning. If this storage is designed to be fast response storage than they can also commit to sell say 98% of their maximum capacity and know full well that they can make up for any shortfalls in wind capacity with a combination of Battery and CAS storage. This is about maximizing the profit from a Wind farm (and the same applies for Solar farm) because with integrated onsite storage it is possible to deliver power with a much higher certainty (this translates into higher prices and better profits)

    • desmodromicMEMBER

      Eventually a time will come that farmers want more water released and the government needs to produce electricity for residential users. Who wins that argument? At least we won’t need to worry about the ecology downstream–it’s already stuffed. Actually that is a good argument for Snowy 2.0 over new developments.

      • Snowy 2 will not use much if any extra water because all the lakes are already built and it will pump the same water up and down. Evaporation is already there from existing lakes, …

      • dams, lakes and water are already there – Snowy 2 will just pump the same water up and down

        • Just pointing out precipitation is a long term unknown, except longer dry periods with short extreme rain falls. How that averages out in comparison to the historical record and making plans on it is dicey.

          For that matter I question the methodology behind energy creation without a hard look at its most vulnerable aspect – transmission.

  7. … HONG KONG …

    Hong Kong’s Property Tycoons Face a Political Typhoon … Mike Bird … Wall Street Journal
    … google search title if blocked …


    Hong Kong’s real-estate developers are being boxed into a corner by the city’s incendiary politics. Whatever way the protests end, the lucrative sector is emerging as a likely loser.

    Hong Kong’s economy is being hammered by violent clashes between protesters and police on the city’s streets. Chronic problems with housing affordability, pegged by Beijing as a convenient cause of the distress, make developers an easy target.

    The Hong Kong purchasing manager’s index, compiled by IHS Markit , came in at 41.5 for September, barely above the 40.8 recorded for August. Any figure below 50 indicates that activity is contracting, and a fourth-quarter average figure of 42 would be consistent with a 3% drop in output. That is in line with data earlier this week that showed plunging retail sales in August, down 23% year on year, the worst reading on record.

    None of that is good news for a city with by far the most expensive housing market in the world. The average home in Hong Kong costs more than 20 times the median income, five times the U.S. average, according to the Demographia International Housing Affordability Survey. … read more via hyperlink above …
    Violent protests erupt as Hong Kong sets to ban masks … Television New Zealand

    … Earlier report …

    Hong Kong property tycoons in Beijing’s crosshairs … Asia Times


    • Offering to build a load of low cost housing might be a smart move by Beijing.

      Free university and a few other socialist goodies might help as well.

      • but china is not a socialist country, there is no free education in mainland China and apartments are super expensive relative to what they earn.
        what China can offer to Hong Kong is just a more brutal version of tyrannical capitalism with less workers protection.
        e.g. labour unionism is way more freer in HK than in china where it’s literally absent

        • The situation with regards to both university tuition and housing appears to be much better in China.

          That does not mean everything is perfect but when I talk to staff about growing up in China, from a range of provinces, they certainly don’t sound like they escaped from a gulag.

          The point I am making is that Beijing would be wise to try to deal with genuine gripes of young people in Hong Kong as they may find that economics and living standards are a major factor. As we know a lot of people will settle for comfort and if they have that then they are not that interested in politics.


          “.. Compared with commonwealth countries’ tuition, tuition of China’s higher education is relatively inexpensive. Nevertheless, the Chinese per capita income is much lower than western countries, so there are still some students from rural and mountainous areas facing funding problems. Chinese government has taken some measures to ensure the smooth enrollment of this group, like students loans, part-time jobs within campus, etc. It seldom has the news that some college students discontinue studies because of lacking of tuition or living cost..”


          “.. Higher education remains exclusive in Hong Kong. Fewer than 20,000 students are offered places funded by the government every year, although this number has more than doubled over the last three decades.

          As a result, many continue their studies abroad, as can be seen in the following table.[7]..”


          “.. Taken at face value, the case for further significant policy-driven increases in housing supply in China is not obvious. Home ownership rates in China are relatively high by international standards. Academic estimates suggest that 80–90 per cent of the population in China already own a residential property (Yang and Chen 2014, Deng et al 2014).[9] In other countries, home ownership rates vary significantly, although many lie in the 60–80 per cent range (RBA ..”


          Bloody communists.

          • yeah poor germans and swiss with 40% home ownership rates – must be a hell to live there
            and it must be really good in ex eastern European countries because home ownership is so high 95% or even more in some, also in south Europe where home ownership is high

            affordability has nothing to do with home ownership rates
            we had comparatively low homeownership rates when homes were very affordable in Australia
            Buying a unit in most of chinese big cities requires two average people devoting life to it, not much different than in HK

            China is not a socialist country by almost any measure and it’s more similar to fascist Italy or Spain than to any communist or socialist country

            Also, compare higher education system cost to any of the capitalist European countries, or even south American countries

          • DoctorX,

            “… we had comparatively low homeownership rates when homes were very affordable in Australia…”


            When were homes very affordable and we had low home ownership rates?

            Home ownership rates went up in Australia when the post war governments made cranking out new housing (fibro) a key policy and regulated credit to restrict bubble blowing in residential housing.

            Just like what the Chinese government has been doing. China has a lot of housing outside Tier 1 cities and people seem to own them.

            That RBA paper above is interesting and worth a read.

            For evil horrible commie / fascists they seem to trying a lot harder than our asset price bubble blowing RBA and our liberal democracy loving politicians.

            “.. Moreover, simple metrics such as price-to-income ratios suggest that housing affordability in China has improved over the past decade, as rapid property price inflation has been outpaced by even stronger growth in household incomes (Graph 7). Nonetheless, Chinese policymakers have been deeply concerned about the affordability of, and access to, housing that is of a reasonable quality. This reflects concerns that a lot of housing is dilapidated or does not meet basic safety standards. It also reflects concerns about the income distribution, particularly in some of China’s largest cities, where affordability has plateaued; these issues are especially acute in some of the cities that have been designated as ‘rental pilot cities’ (discussed in detail below)…”

          • we never had home ownership rates above 70% and that’s comparatively low (Eastern Europe >90%, south Europe >80% and China 80%)

        • In terms of Union organized labor. You may well be correct. However, there are other organic and historical. Labor Arrangements, whereby factories are held to account including a large number of work forces for particular factories come from Villages or regions, and there’s a lot of family interconnection. So if Then if the workers are not happy with the arrangements, they will pull their labor en masse. I was told this by a factory manager in China that this is the normal way they operate this is when they Supply accommodation and child care food Etc in dormitory Styles at the factory location

        • Um – China absolutely has free education and it has free health care – not entirely sure if you are joking with that.

          Apartments are ONLY expensive in the tier one cities. Remember there are tier 2 and tier 3 cities.

          China also has almost zero homelessness.

          Its a communist country.

      • ErmingtonPlumbingMEMBER

        Would it be smart for the CCP to appear to “give in” to messy Chinese Democracy with another 1300 million plebs to keep under controll.

        • I am not suggesting they give in.

          They should blame the unhappiness on the ruthless capitalism that Hong Kong is known for and explain that the solution is some socialism.

          The mainlanders will readily believe that and it is true anyway. Crikey it is what we are whining about every day of the week.

          Promise to deliver lots of low cost housing asap and expanded low cost university places……cut our grass in that department as lots of HK kids study in Australia.

          • As I understand it, the problems in HK are the fault of a few oligarchs who have driven house prices through the roof. Isn’t that what communism is for, to sort out problems like this? LSWCHP, can you do the calculus for us?

          • Problem is the U.K. signed away its property rights to H.K. due to the North Atlantic Treaty, hence it was always going back to China proper regardless of political ideological fig leaf.

            As JohnR noted HK has a rather dubious past, all things considered, by being an oligarchical play ground between old and new China, and the rest of the anglophone market. Yet back in the day hay was made on the Bernaysian PR of freedom loving capitalism and ev’bal dawgless freedomless commies …

      • “Free university and a few other socialist goodies might help as well.”

        Are you saying pre neoliberalism, say in America, that it was a commie socialist state.

        BTW did not know that having the State provide basic common goods such as education, health and administrate natural resources so the market could focus on other stuff was a socialist thingy …. thought it was just good governance.

        • Except China does supply free education, free university, free health care, and outside of the half dozen tier one cities apartments are cheap as hell.

          There are 160 cities over a million people and almost a thousand over 50k – if Woolongong is a city.

          • Just pointing out previously to neoliberalism ascendancy that all those things were not considered socialist, not even to mainstream conservatives, until the well funded far right loon pond [OT sorts] made inroads.

            Not much different to funds and networks enabling the anti-vaxxers.

  8. Mining BoganMEMBER

    Life in Straya.


    Maybe non-life in Straya. Barely existing in Straya. Slavery in Straya. Kids in agistment in Straya.

    Anyhow, lifters. What sort of lifters haven’t got their elderly oldies over to suck on the welfare teat? These people are failures as parents and children. Others look after their kids and their parents haven’t been liberated. Leaners.

      • As Peachy will point out, still better than ship breaking in Calcutta. So still a golden opportunity for vibrants to come here… We shouldn’t aim to be like Scandinavia, we should aim to be more like the US in terms of low wage workers who work multiple jobs just to get ahead or stay afloat .

    • reusachtigeMEMBER

      I like those people and they look like far better IT types than the Aussie ones I’ve Unfortunately come across who can’t even string a normal sentence together without mumbling some sh1t about “it’s the Soquel database problems issues I didn’t do it and stuff so reboot”.

      • What did the grape say when someone trod on it?

        Nothing, it just gave out a little whine.

        • reusachtigeMEMBER

          That’s what I’m talking about right there! Do I care? No, just fix it and fix it now IT help! Stop with all these excuses and get the job done!! And did I reboot? No, I refuse to because I don’t want to!!!

          • The Traveling Wilbur

            What you’ve got there Reusa is an interface issue.

            A keyboard-chair interface issue.

          • You’ll get that when your MBA’s are lashed for executive bonuses and they then buy off the shelf, for a quick balance sheet buff, then hire subpar debugging coders to fix all the conflicts off the shelf wrought after demands to tweak it experienced the true meaning of scientific fail rate inversion …. and then … spend squillions on top shelf debuggers to sort it …. chortle …

            Mate made a fortune back in the day as a top shelf engineer [not to be confused with coder], alas the coke got him … shuffled off too sillyconvalley … crys of small fish in a big pond of sharks, piranhas, other carnivores …

    • I wonder if these vibrants had their own agenda when posing for this ABC Politburo propaganda piece on how Indian migrants are so much better than locals? Did they want to show their elderly relatives back in India that although they are hard working etc, the budget is really tight?

      I have a few work colleagues from both India and Africa. Apparently the delusions that the relatives back home have about every fresh off the plane vibrant becoming a millionaire within a week of hitting ‘Straya are off the scale.

      The constant text messages (in the small hours of the morning our time) of ‘how much money are you sending this fortnight?’ and/or announcing every little ill / body ache / misfortune that they are suffering back home have to be seen to be believed.

      • Article says they are lifters not leaners, yet they are funneling umpteen dollars back to India. So that money is not being spent in our local economy and supporting jobs in Australia… Sounds like a win all around.

        • And they both stole IT jobs from Aussies instead of picking fruit in a rural area.

          Edit: The article literally says he sends money back to his parents in the third world!

          What fantastic vibrancy!

  9. An interesting tidbit from Scummo’s ‘negative globalism’ speech:

    “The world works best when the character and distinctiveness of independent nations is preserved …”

    And he’s doing a fine job of it, importing millions of vibrants and, in the process, ‘preserving the character and distinctiveness’ of this nation.

    • Yes, the ScoMo army in the comments section at the Australian didn’t notice that.

      The Quiet Australians were raucous in their expressions of love for Aussie Donald.


      Wayne gets it!

      20 HOURS AGO
      I love our prime minister. We are so lucky to have the daggy dad with the pulse of his constituents and the intellectual measure of his counterparts. He may end up being the best we have ever had.

      • chunder

        ps I enjoyed this little exchange 🙂
        18 HOURS AGO
        Read the comments and judge for yourself.
        17 HOURS AGO

        Good point.

        I doubt there is a canyon on the planet with a better Coooo-eeeee.

      • Unless I’m mistaken, UN agreements are voluntary. When we sign up for sh1t, we do so on our own accord. Even organisations like the WTO while legally binding, most nations will accept a positive decision and ignore a negative one.

    • I think the full quote was:
      “The world works best when the character and distinctiveness of independent nations is preserved, within an inner ring of exclusive rich-people neighborhoods.”

    • Applying ScumMo’s smoke screen logic, the LNP will suspend all Free Trade Agreement negotiations and review existing treaties as the PBO has shown they deliver fvckall and invariably cost us in jobs and industry segment destruction in return for cheap crappy consumer items yet all these tards are livid their “rights” are being violated by the UN but don’t give a toss about their jobs.

  10. Nick Hanauer: The dirty secret of capitalism – and a new way forward.

    Nick Hanauer is the cheeky 0.01%er who wants to keep capitalism while also reducing inequality and increasing opportunity. He also likes to tell his fellow plutocrats that if they keep rigging the rules in their favour it will lead to pitchforks. Here’s the original article that gave him his infamy amongst his cohorts.


      • http://www.pitchforkeconomics.com/episode/what-is-modern-monetary-theory-with-stephanie-kelton/

        David G.: The stories we tell about the economy will change the economy itself.

        Stephanie K.: We have the order of operations backwards.

        Nick Hanauer: Orthodox economic thinking has predicted the collapse of the economy, as a consequence of taking on this debt, and it has never happened.

        David G.: When the federal government writes a check, it literally spends that money into existence.

        Stephanie K.: As long as the government owes US dollars, it can always [00:00:30] meet its obligation to pay US dollars.

        Speaker 1: From the offices of Civic Ventures in downtown Seattle. This is Pitchfork Economics with Nick Hanauer, where we explore everything you wished you’d learn in Econ 101.

        Nick Hanauer: I’m Nick Hanauer, founder of Civic Ventures.

        David G.: I’m David Goldstein, [00:01:00] Senior Fellow at Civic Ventures.

        Nick Hanauer: Goldy, in this episode of Pitchfork Economics, we’re going to talk about an idea that you grabbed onto way before me, MMT or Modern Monetary Theory. I’m reflecting on the fact that you’ve been needling me about this for three years now saying, “You should look at this, you should look at this.”

        Nick Hanauer: I was like, “I don’t want to look at it. Sounds nuts to me,” but it [00:01:30] has emerged, I think as a very interesting and important way to think about the economy. You should reflect a little bit about what grabbed you.

        David G.: Yeah. Well, first of all, the big lesson here is always listen to Goldie. I understand your reluctance to really get into it, because it’s a complicated thing that we’re not really expert about. To borrow one of your favorite words, it’s a little orthogonal to the theoretical work that we do.

        David G.: What grabbed me, and this [00:02:00] does tie into our work in the office and this entire podcast series, is we focus a lot on the power of narrative. That humans are a storytelling animal, and stories are how we make sense of the world. We’ve talked about this before. The stories we tell about the economy, will change the economy itself.

        David G.: It will change the options that we see available to us, and [00:02:30] will open or close doors. What struck me about MMT when I first heard about it, was what a brilliant and compelling paradigm flip that represented it. It was a narrative that really flipped my understanding of money and government spending, and debt and deficits completely on its head.

        David G.: Essentially what a toll this is, is that our usual way of thinking about these things is that, “Oh, [00:03:00] the government raises taxes, or it borrows money so that it can spend it on services or infrastructure, et cetera, so that this is our big limit in terms of what we can do with government.” How much money can we raise in taxes without hurting the economy?

        David G.: How much money can we borrow before the deficits are too big? Then we get to spend that. MMT says, “No, actually you’ve got that backwards.” That for the federal government at least, which [00:03:30] actually creates currency. When the federal government writes a cheque, it literally spends that money into existence.

        David G.: That if you get a government check, you can always cash it. It is always good. You deposit in a hundred-dollar check in your bank account, there’s $100 in your bank account. The bank thing goes to the Federal Reserve, and the Fed gives it 100 bucks. Where did that money come from?

        David G.: The Federal Reserve created it out of thin air. Suddenly [00:04:00] there’s $100 more in the economy. Then when you pay your taxes, the reverse happens. You write a check, it gets pulled out of your bank account. The bank then takes that back to the Federal Reserve. It gets $100 taken out-

        Nick Hanauer: You’re giving the government the money back essentially.

        David G.: Right, but it now doesn’t exist anymore. The Fed just… now there’s $100 less in the economy. What happens is, the government spends first and then [00:04:30] it taxes or it borrows money.

        David G.: It does that according to MMT. The primary purpose of taxes is not to pay for the things we want and need, but rather to constrain the money supply to keep inflation under control. – snip

        So were right back to basics, does a government borrow money from the financial elitists or does it own [tm] it as a means to fund itself and like the big bang start the whole economy rolling E.g. issued as a tax credit and a debt to ones self is not the same as a debt [foreign] to others and is it a claim on natural resources.

    • Seen him before, he understands the problem and knows where this goes if it doesn’t get fixed.

  11. Interminable anecdote as promised.
    So in the ongoing saga of harry versus Canterbury BMW (I had vowed never to go back when they basically said don’t bother to get us to repair after they charged me $150 to check the traction control unit), I was forced to go back because of continuing Takata kaka. The alternative was going in to Rushcutter’s Bay BMW and I didn’t want to chance running into reus.

    Last time they did the airbag, they cracked the plastic fascia in front of the passenger’s side airbag, didn’t tell me, and I didn’t discover it until later.

    Anyway, I took it in last Thursday, and went to find a spot to park. This guy follows me and starts taking pictures as I’m backing in. A new development!

    “What’s going on?” says harry.

    “Taking pictures of the cars before”, says d!ckhead. “You’re supposed to stop at the concierge.”

    Another new development!

    “Pity you didn’t take pictures of the interior last time” quips Harry.

    “Why’s that?”

    “You cracked the fascia last time I came here for the airbags”

    “We don’t photo interiors”.

    “Pity. Anyway, be that as it may” says harry forcefully, (hoping the “fvckwit” he added was indeed silent) striding towards the concierge and waiting in line.

    After a couple of minutes standing there, d!ckhead comes up and says, just go in to the desks.

    Now, I used to clean and wash the car before I took it to BMW, to give them the impression it is a loved car, now they can fvck off.

    And, I have a sneaking suspicion the “sir” used by BMW sales staff does not denote fawning respect.

    Anyway waiting in line to get to the desk, blah blah blah you can wait in the cafe upstairs blah blah blah I walk down to Mary MacKillop park to wait for the three hours to do the airbag. Communing with the ibis and the pigeon. Contemplating the many varieties of napalm cladding.

    “Hi Sir haroldus your car is ready blah blah”

    Get the car back etc etc nothing seems to be wrong but in my lunchtime the next day I have a little drive to check the aircon – and it’s blowing warm!

    “Oh you cvnts what have you done” I raged silently. “Fvck you BMW cvnts you have fvcked me over again”, I mouthed, looking at the “I hope our service was exceptional, reply Y if yes” text from the fvckers.

    But to complicate things I have just had the evaporator replaced at a well known Homebush auto electrician, so it might have been a busted pipe.

    So, I emailed the electricians and bought it in the next week.

    They tested it, and called me back and said they couldn’t find anything wrong with it (they weighed the gas). An “intermittent fault.”

    So I pick it up and pay, and I said, “So I just keep an eye on it?”

    “Yeah, let us know straight away if it happens again”.

    “OK” says harry, walking away dubiously.

    So harry gets to the car parked around the block, folds up the Birdy and puts it in the boot.

    Gets in and turns the auto A/C temp down to 16 degrees and ups the fan to max. Cool!

    So then harry notices something. There are 2 buttons to make the A/C go. The first is the Auto button, sweet as, but there is another button behind the shift lever. It is the “turn the A/C on” button! With the other “Turn the front defrost on” and “Turn the rear defrost on” buttons.

    With a sinking feeling of mounting idiocy, harry, turned off the A/C button, then hit the “Auto” button.

    Yes, the “Auto” button does not turn the A/C on.

    I’ve had the car since 2011 and did not realise.

    So the moral to the story is, BMW is not the cause of ALL evil, and if your mechanic says it’s an intermittent fault, it is likely to be user error.


    • The true moral of the story is don’t buy a BMW when a Japanese or Korean car will do a better job, be cheaper to repair and save you from having to deal with pompous folk and all at a better price.

        • from German to Indian car. but then again I am seriously considering Mahindra over Toyata Hilux especially after the particle filter debacle that Toyata tried/tires to push under the carpet.

          • I have a new Toyata that’s in the DPF zone.

            I feel a recall coming on …

            Meanwhile, I had a Golf GT many years ago that was subject to a recall 4yrs after the original was sold — the engine would just die at random times. Then bought a new GTD — which has also been subject to a recall because of the emissions scandal. Four cars in the last 10yrs, 2 have been recalled and the 3rd looks a cert to be recalled.

    • The difference between a porcupine and a BMW? The pricks are on the inside of the Beemer…
      By the way your user error explains why BMW drivers never use turn signals. Probably keep hitting the auto button instead. FARKIN 🙂

      • The main reason that I don’t use indicators when driving my BMW is that the indicators are on the wrong side.
        If you’re used to driving a Japanese car and hop into a BMW only occasionally than you’ll indicate for most of the day by turning the windsceen wipers on.
        Of course there’s that whole series of BMW’s 2007 through 2013/14 where the blinkers were completely F’ed up

        • I particularly like the way, when someone pulls out from a side street in front of me, I angrily wash the windscreen at them.

      • It’ll come as a shock to a few out there but I actually know some decent people who drive Beemers. Problem is, for every decent one there’s four utter c#nt$. If it isn’t a stuck-up trophy wife in a white X5 it’s some alpha pr1ck menacing the rear bumper.

      • Yeah but I still love the old bemmers for there day, had a 2002 tti in the 80s, epic.

        Had a crazy mate that owned a M1, sold it because he felt like the grim reaper was copilot, saying a lot for that bloke.

  12. The Traveling Wilbur

    Positions, as of yesterday:
    – Bonds 0% (not temporary).
    – Cash 100% (temporary).

    • So you’re long cash? Interesting, here I am thinking I should go long bonds…? I’ve said I’d stay out of the market (stocks/bonds) for the next 6 months or so to see what direction things are going in, after last Octobers stock market wobble I sold out of $USD equities mostly and sat on the sides after a short recovery. I’ve missed out on some gains (even comparing stock prices today with when I sold) but I am not trying to be greedy and holding $USDs have worked to my advantage anyway.

    • Wilbs and Gav.
      I took profits on about 80% of my AU Gov bonds a couple of weeks ago. Holding on to some because there will probably be a final kick in the tail of profits. But when they turn, bonds can turn really, really quickly. Don’t be caught holding lots when they go out of favor.
      Am now in mostly cash. Acutely aware that I have to do something in the near future before QE strips the value from AU cash. But I think it will be OK until after xmas.
      I have opened an account with Perth Mint, ready to buy gold when there is an opportunity. Have an account with Charles Schwab ready to buy US Treasuries. But I think I missed the boat, should have done both those when the Aussie was at .70 cents US.
      Buying two regional investment properties around $300k each is another idea. I wouldn’t need a loan for that, and rental returns are about $320 per week on each house, which works out quite well, even with only 2% capital gains. Of course, transaction costs are murder with houses (stamp duty, fees etc).

      • Thanks Arthur, I’ve actually thought about a similar strategy. Not so much to rent a regional place but as a storage / get away home. I’m actually currently looking at a warehouse conversion place in Melbourne. Don’t think it will go under $1M and $1.1M is over paying so don’t think I’ll get it. But may have a go as ScoMo says. 🙂 I can get it paid off within 6 years of paying what I pay in rent in Sydney, then I’d look at buying regional as a second home. I’m not planning to hold cash for long. Don’t trust Governments.

        I may buy a little bit of BTC and Gold.. as a hedge though.

        • Gav. I think the idea of buying the smallest possible bed-sit right close to work in the city for 4 nights, and a proper house out in the regions for your real home for the other 3 is a good solution to the madness

          • @Gav. I love that area. It’s wonderful. Always need to consider bushfire risk around there. The house is nice, but quite small (one bedroom) nevertheless, you could build on as you need. Lots of room for THE SHED.
            A few years ago, I would have been competing with you for that one. However, I’m out of the Melbourne market now. I can’t stand the insanity. One million dollars is enough money to do anything you want in life, travel, buy expensive cars, buy a yacht, anything at all EXCEPT buy a house in Australia. Call it a buyer strike…I’m out

          • Arthur I agree and if somehow they can keep pushing house prices higher. I’ll be done with the idea also. Yes that house is small 1 bed (which is kind of odd) but I guess extending is an option and building the warehouse/shed should be easy enough. A few other options in that area.

            I’m going on the Eltham yearly Mudbrick tour later this month, so hoping to get some more insight into how hard ti is to build with mudbrick etc..

    • Wilbs – I sold a lot of my Aus govt bonds yesterday too. Was waiting for the ten year to get back into the 0.8s. Nice. HGAB etc. Made slightly more still on the 15 years. Still have some of each though. A few US 30 years still too.

      Very heavy cash now. Devoid of ideas though. Not at all sure about gold.

      • Devoid of ideas? No worries. Here is an idea…
        $200k AUD might seem like a lot (it is), but in a few years time these cars will turn 25 years of age. Lots of other vintage JDM cars have gone nuts when the 25 year rule hits, because that’s when North American’s can import these cars.. Already buyers in the US are snapping them up ahead of the rule change. There was only 11,000 or so R34 GTRs made, in this Millennium Jade colour and Vspec II Nur spec they are even rarer…

        This was written a few years ago, prices continue to go up despite the craziness (like AU housing costs).

        If the $AUD crashes, US buyers will be paying with a view to $USD prices…I should have bought an R34 GTR a few years back when you could get a V-spec II for around $50-$60k…

        Instead I stuck with my FD RX-7… which has also gone up, but not at the same rate. To be honest I still think the RX-7 is a better car, but the R34 is by far the better investment.

        • Great colour! 😁

          Wow… I’d be nervous with that much $$$ value sitting around in an easily transportable package though…,

          Great work blurring out the licence plate in only some of the pics, what is with that? Why would hiding the licence plate help you? Can someone really track down the location (and steal it) from the plate?

          • The Traveling Wilbur

            Legally and/or if TPTB are doing their jobs right? No.
            Unfortunately… Well… say no more.
            Therefore, if you’re worried about people knowing the address you told the government it/you is at, blurring don’t hurt.

            Of course 95% of the people doing that also posted images of their ‘loved one’ with geocode info still embedded… but you can’t edumacate all of the people all of the time. Baby steps.

          • Yeah I thought about the geocoding! And I figured when you’re that serious you probably show your car to would-be buyers at a local garage or car show or some safe and neutral location. Gav would know!

          • Blurring plate is a good idea, because thugs will steal a similar car and put fake plates on it (using your plate) which could give you grief. Thieves look on CarSales for similar cars head to Bunnings and get some fake numbers and create fake plates .

    • Mining BoganMEMBER

      HA! Was only telling someone about this the other day. She was all blackfellas just sat around and drank beer until white man came and saved them. Gave her a do yourself a favour and triggered her.

      Stupid old bat.

      • My tactic will be to use the stubborn as the go through. There are a few people I know who would be interested so I’ll get the stubborn to pass on the message about it. That way when they end up shooting the breeze in the future if it comes up it doesn’t come from me. It’s a trick that the old Lady footsore and myself used to use on each other all the time. Get someone else to talk about something we’d dismiss if it we tried to bring it up with each other.

        • I like that tactic, sometimes you shut down an idea if it comes from someone you generally don’t agree with so it’s not a bad tactic. 🙂

        • I listen carefully whenever my wife is talking to her friends, she’s much more honest about what she thinks and sometimes she even surprises me by adopting one of my shut-in type opinions…!

        • Hang on you mean the old lady footsore (so there is a new lady footsore) or the “Old lady” footsore, daddio.

          If the former, did she run off with the Primitive technology guy?

          I wish there was a primitive technology girl.

          • She would have if she could have.
            Watching the videos I figured out that he was in FNQ.
            The next time we went up there to visit my parents she wanted to meet him.
            It was an amicable parting.
            Just two people who get along yet grew apart.
            Unfortunately this means that I am attempting dating again.
            And I am to dating as Dr. John Winston Howard it to bowling.
            At least my friends get a giggle out of the stories I bring back.

          • Danke.
            A very great deal of editing goes into attempting to give that impression. I haven’t figured out how to edit speaking without sitting there completely mute like an imbecile. Here’s hoping that there’s an anesthetist out there who is looking for a fool to call her own.

      • Many years ago I argued with people like her. Now I just smile politely and go on my way. Life’s too short …

    • I can kind of recommend The Biggest Estate on Earth by Bill Gammage, very strongly argues the point that the traditional custodians had the whole continent burning pretty much continuously as a way of farming. Very convincingly and densely argued…you get the point quite quickly but the book is very Long.
      We can never rid ourselves of the Noble Savage ideal,brought into focus by this wombat murdering episode on EP. I once went to a talk by lady from the APY lands who is both a TC and a park ranger with degree. She was showing slides and yakking away and the bourgeois audience were oohing and ahhing at the scenery (me included), and she stopped and said, “you know. The aboriginals never look at a landscape and think it is beautiful. They look and say – I can find water over here, yams over there, and bash wombats over there”.

      • That didn’t apply to just Aborigines.
        I recall going to a friend farm that had its ‘back’ to the most fabulous view imaginable ( the kitchen, toilet and laundry faced the view) and said such to the owner. The reply was ‘When this place was built in the late 1800’s they wanted it to face the most important part of the farm – their fields, and so it looks inwards, towards those. The view didn’t matter to them”

        • Something akin to Maslow’s Hierarchy of Needs: once you have all you need and your heart desires you can start to enjoy the view.

        • It’s an extraordinary piece of work in its depth of scholarship, but not a light read. Not that he doesn’t write well, but i got the impression that he was anticipating attacks from his learned peers and so made everything as rigorous as possible.

    • David Unaipon on the $50 note. Apparently visited my great grandfather on the farm and they had lunch. There was a drilling rigger present who disgusted GG because he wouldn’t eat with a black. Unaipon was a genius who invented the shearing handpiece and many other inventions as well, check his wiki page. But I imagine he was not formally educated and his parents and many generations previous lived on the land.

  13. why do ppl claim adelaide is boring

    whats the differrence between it and melbourne and sydney minus 4 million less indians and chinese

    is every city without an arbitrary number of ppl in it now “boring”

    • I visited Adelaide for my sisters wedding a couple of years ago. It felt like Melbourne in the 80s, smaller, less traffic, laid back. I really liked it to be honest. I wanted to move there… I was looking at Warehouses in the Port Adelaide part. For the same price as a box in Sydney or Melbourne you could get an awesome conversion.

      I actually was the under bidder on this place in Semaphore…
      The missus was egging me on bidding on it, but we got outbid by a Sydney investor lol..

      Next door however sold for less than half that.

      This warehouse had caught my eye also.

      I personally would try and find a place in Glenelg since it’s near the beach and has a lovely feel and compared to Sydney and Melbourne is much more affordable.

      • Sorry Gav but … I’ve said zillions of times I’ve seen the same stuff in America since I was a kid in Arizona from the late 60s, go look at a map of Maricopa county from then to now, not to mention what happened to my old family holiday spot at Sedona, AZ. Then what I witnessed in South Bay, L.A. Calif, only to watch it arrive at the Greater Denver, CO. area whilst living in Boulder.

        Only to witness the same here in Brisbane and Oz from the mid 90s ….

        Don’t think it had anything to do with commie socialists, progressives, gender identity, China, or immigrants, its structural and investor driven.

        • or just, Too Many Humans. But don’t worry, this can change more or less overnight, eg cod on the Grand Banks, or pigs in East Asia.

    • Good link, thanks for posting.

      During the week someone here on MB expressed the opinion that Chinese businesses are like businesses everywhere: it’s all about business, nothing to do with politics. Seeing that pretty much every major Chinese business has a CCP cell embedded in its HR department I beg to differ: if Chinese executives want to keep their current jobs or be considered for promotion they know to toe the CCP line.

    • I know someone who worked there. They rejected the s*xual advances of an official and were locked up for months and repeatedly beaten and r*ped. Charming place.

  14. is any cvnt using Saxo platform to trade? Any thoughts?

    also, hi nyleta – have you used Saxo in the past?

    • Nikola, I am retired and like to sleep nights……..I have been in only cash, long bonds and gold since 2003 when the FED first took interest rates to 1%……I did hold on to some bank shares until November 2006. This is ahead of anything except the FANG’s

      If I ever decide to buy shares again it would be the old-fashioned way with Burrell’s……….I must confess on my stepdaughters recommendation I did take part in the initial raising for Amex Resources where we were bought out like everyone else, I would call that good luck rather than good management, but the point is that if you deal in explorers make sure they have more than one prospect in their portfolio……you never know which one will pay off.

    • Nyleta.
      make sure they have more than one prospect in their portfolio……you never know which one will pay off
      Thank you for that reminder. Applies to everything. The best advice is often the simplest advice

    • CanuckDownUnder

      Ghosteen isn’t really a Bad Seeds record, is it? Did they all just sit around in the studio while Nick Cave spoke over Warren Ellis noodling on a keyboard?

    • I once worked with a guy (he was my uncle’s apprentice) who had gone to Caulfield Grammar and was a bit of a naughty kid. He said he once stole Nick Caves school record and it was full of messed up stuff… He never did elaborate on what though..

      I still remember 30 years ago at Elsternwick station graffiti scrawled on the wall of the cross over bridge. “I love Nick Cave” I remember thinking, I wonder who Nick Cave is?

      Funny it’s the 2 things I always think about when it comes to Nick Cave, that and how privileged kids are at Caulfield Grammar, I grew up around the corner, but my parents couldn’t afford to send me to a private school.

  15. Hey footsie had devonshire tea at the Carrington Hotel in Katoomba.

    They had postmodern jukebox on the stereo!

    • Well I’m not a shadow of Reus’s shadow, but I know about that Dutch Reach thing. One of those BIG DUMB RULES™ that we need , seriously.

      I can’t work out why you directed it to Reus? What did I miss?

      • Reus’ name is a Dutch word, and what’s more he isn’t averse to reaching around from time to time…

    • Mining BoganMEMBER

      Yeah, I tell folk about it.

      It comes in especially handy when I call in at the Watsonia shops. I’m fairly sure Watsonia is aboriginal for entitled double parking f#ckwit.

      • The Traveling Wilbur

        Oh. rudder. Though I would also have accepted the first answer I thought you gave.

  16. The Traveling Wilbur

    You’se lot are going to have (well, most of you) multi-conniption-fit-infarctions when you’se see the new Lotto ad.

    I only mention this so that you can have all your ‘pre’ and ‘post’ medications to hand before you start googling. Wouldn’t want to reduce the shut-in count to critical subscriber levels otherwise we’ll lose Weekend Links too. There’s me being all ‘public service announcey’… nice, eh?

  17. TailorTrashMEMBER

    On a long weekend …to compete with Strayan advertorial TV……………(I’m sure Ermo watches this at least once a week)……..but for me it should be mandatory viewing for all of the pretend LABOUR representatives in said house …..even Albo ……in fact …..especially Albo …This is what a LABOUR politician should look like ……..warts and all …….https://youtu.be/M_o2tsp-E2I

    Love the depiction of Neil Kinnock ……….who now sits in the House of Lords ……….a club indeed ………

    might get a few pointers

    • Think I’m going to write to the RBA to tell them exactly what I think about these rate cuts. My “high interest” saving account was already at something ridiculously low like 0.2%, so I will have to save more and there will be no increases to my discretionary spending. It’s their fault the economy is fcvked and no diversion to global events is going to absolve them of the responsibility.

      Thinking about it further, will have to CC in the local MP, as the RBA isn’t accountable to joe public.

    • Recycle it. Like a Laptop I suppose…there is a guy in the US who takes old Tesla’s and guts them for parts to restore other Tesla’s because Tesla won’t supply parts to cars that are recorded as insurance write offs. They behave like Apple, don’t want you to repair at home. Only via their dealers etc..


    … If you get the land prices wrong … everything else is wrong …

    The tide of Chinese visitors has turned – should the tourism industry be worried? … Amanda Cropp … Stuff New Zealand


    … extract …

    … There is concern New Zealand may be pricing itself off the market with some three star accommodation demanding five star prices.

    Li warns that middle to high income Chinese expect value for money,”they’re getting more and more picky on the quality,” and some are hotels falling down on service standards.

    Skyline Gondola commercial manager Craig Douglas says that in the context of how quickly the Chinese market grew, a correction was expected, but pricing is an issue.

    “We’re a small operator in the global tourism space, we’re an expensive offering, and we need to ensure we deliver up the value that goes with those costs.” … read more via hyperlink above …
    … May report … Kiwis increasingly see cruising as better value …

    Kiwis cruising in record numbers according Cruise Lines International Association … Grant Bradley … New Zealand Herald


    … extract …

    … New Zealanders are taking to ocean cruising faster than any other country, breaking through the 100,000 barrier for the first time – reaching a total of 112,000 passengers a year in a spurt of world-leading growth.

    The record result in 2018 was a 14.6 per cent increase on the previous year, well ahead of the growth rate of the world’s largest and more established cruise markets, including the United States (9.4 per cent) and Europe (3.3 per cent).

    While just a fraction of the global market, figures released today by CLIA showed a strong momentum in the Kiwi market, with passenger growth averaging 13.5 per cent each year over the past decade. … read more via hyperlink above …
    … If the land pricing is wrong … everything else ( including housing … the most expensive in the Anglosphere at 6.5 times household earnings … Demographia Housing Affordability Survey ) is wrong …

    … When is the coalition government starting on the path of restoring normal property markets in New Zealand ? … access information via Performance Urban Planning http://www.PerformanceUrbanPlanning.org .

  19. AFR.. Rumblings of global recession get louder

    It’s all Trump’s fault, not 1 word about how Eurozone will be in crisis if another recession hits because of Globalism itself. It means all the recent economic growth has not benefitted them, so why should we continue to support globalism if it’s not working for the majority?

  20. boomengineeringMEMBER

    First post of WE.
    The wife reckons that they should give each immigrant a bucket and conga line them passing the full of water ones to the drought from the high water area.

  21. boomengineeringMEMBER

    Sitting here at the Manly jazz festival, uneventful lone ride this morn and once a week coffee. Oh well no excitement. At least the Indian Seven Hills machine shop client paid straight away unlike the Prestons and Blacktown clients ( have to send reminders)Emma Birdsall now, Rodney Whitaker after.

      • boomengineeringMEMBER

        Getting quite entertaining with the oldies from audience dancing in front of the stage if I could see as a tall young sheila standing has her bum in my nose, hope she doesn’t far t.

        • reusachtigeMEMBER

          Yeah hate when they do that especially when there’s follow through! Those sort of antics are a bit too bent even for me.

  22. Tina(eg:there’s is no alternative) you must buy in to this madness safe as houses 1 trick pony economy

    • Or we’re confiscating your cash because you’re not a good compliant consumer who does what is told…

  23. Welp… the weekend so far: dropped $800 on hay today. Then filled up, there’s another $140 there (good thing I only fill up every 4-5weeks) … my hay man is really good, put another 50 bales of barley aside for me. I’m lucky where I am that the grass isn’t really dead at all, so she can still pick a good feed out of the paddock. Compared to the disaster I saw past Ipswich, Marburg way… I’d say we’re in heaven.

    On the way back, drop at Sprengers Produce to grab a 20kg bag of carrots… what the fire-truck? Now they’re all cut for your convenience… like small pieces. Good luck trying to store them in the fridge. Arrrrgggghhhhh! I see cheap onion, so I grab a bag of red and a bag of white. Vibrant at the til weighs it for me (was already packed! 1kg bags, no need to weigh), goes “$29 dolla’…”. I look, and say “no, you’ve put 10kg of red onion on the bill” … without watching to check, he goes, “no I didn’t… $29 dolla’ “… I look at him and say slowly “the til says 10kg.. that bag is not 10 kg… ” … light comes on, he looks half-assedly apologizes in Vibrindi and charges me right: ‘$14,48…’… he then proceeds to type in the amount on the card doohickey … he types “$14.50″… I look at him again… “the bill is $14.48… I will pay 14.48, thank you.” He hesitates, and I say slowly and on an even quieter voice “that will be $14.48, sir…” … he looks at me again, then proceeds to type in the correct amount.

    Aššhat… he thought he found the right moment to be having a go.

      • Well, it’s about 140km round trip. I know it’s a lot, but this man has never had bad hay, and has always been reliable, even in times of scarcity.

    • Sir Leon Ainsworth, what would you do with your last 100K? (pay attention Stago)
      Q2. I would save my last $100,000 in case I lived longer than expected. I’m 95 and you never know when you’re going to fall off the perch. All my doctors tell me I should last until I’m the full century so it would be very foolish to throw any money around if I survive longer than I expect. Spending money is against my grain. If you’ve been mean all your life, how do you learn to be a spender? I suppose I could take a trip away here or there, but you’ve got to find the time to do it and I’m still flat out in the business and have a lot of property. My wife’s got a very nice property at Bowral and I’ve got some fancy goats. I like that they will eat straight from your hand; they’re especially fond of carrots. I stockpile carrots – you get them for the right price that way.

      • Carrots: certainly substandard appearance-wise (cannot be used as legume-dildos, unless you’re into some weird kinks) but very sweet, crunchy and tasty: $12 for 20kg, $15 for 40kg, $17 for 60kg… I’d get 40kg if I had where to store them.

    • proofreadersMEMBER

      +1 Gold. Perish the thought that a farmer ever ends up on Newstart and the tags that the LNP gives to such recipients?

      Excess franking credit “refunds” to zero taxpayers (costing billions of dollars a year) is not welfare. No, it’s the
      ultimate gift that keeps on giving and that’s fine.

    • @Proof. Well, I’m not entirely onboard with that. I suppose what I enjoyed most was not any particular politico-economic argument you could infer from his words; more just Jericho’s concise ironic skewering of the logical hypocrisy at the centre of the coalition’s position. I thought it was worthy of H&H in one of his more outraged and cynical rants. Australian politics (esp. the coalition) is an institution mostly devoid of reason or integrity

    • I’m sure none of our bogan patriots who travel to Bali, Phuket or wherever drinking cheap grog and shagging even cheaper hooker’s have ever done anything to compromise our biosecurity.

  24. in Queensland during April May period, private treaty house sales were running at approx. 700 per week. That figure is now up to 900 per week for the last 3 weeks. FOMO is catching.

    • Prices still slowly dropping in the parts of Qld I have seen lately…….nothing like dropping prices to get people to buy

  25. The Traveling Wilbur

    International shares seem to be turning tutrtle. Variety of countries, and reasons.

    Australian shares seem to be getting their (relative to international) ‘lucky country’ and Xi, this is a geat place boost. Especially if the housing boomlet continues.

    Can’t think of one reason why that’ll end anytime soon. Not one.

    As I said… Devoid of ideas.

    • Various US short ETFs could catch the attention of the more speculative minded.

      I prefer “sure things” … lol … but there have been one or two relatively clear calls in the last few years … no more that I can see though.