Red Book flashes nuclear Aussie consumer warning

Via Westpac’s always superb Red Book. The consumer is dead:

Whodunnit? RBA and Treasury:

After the tax cuts comes…trouble:

More Bad Santa:

Major items meh:

Let them eat house prices:

Any windfall stuffed under matress:

Deleveraging rife:

Worse unemployment and spending ahead:

All states, blokes shocker:

Households hate ZIRP:

Bloody depressed on global scale:

The full report is here with much more. It is a remarkable document. A pure working demonstration Keyenes’s paradox of thrift.

As unemployment rises and wages growth falls through next year, the Morrison Government commits to saving as the private sector does, and the RBA is forced to slash and burn to ZIRP, the Aussie consumer may capitulate completely in 2020.