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UQ VC paid to sell out Australia

Unbelievable. Via Domain: Liberal senator James Paterson has taken aim at universities’ reliance on international students, using a speech in Parliament to reveal confidential details about the University of Queensland vice-chancellor’s pay incentives to deepen ties with China. In a late-night speech on Tuesday, Senator Paterson said a whistleblower from the university had given him


Woke ACTU’s recovery plan fails Australian workers

The Australian Council of Trade Unions (ACTU) has released a briefing, entitled “Rebuilding jobs and our economy beyond the COVID-19 health crisis”, which contains an eight point plan to help the economy recover from COVID-19: Improve the quality and security of jobs by creating 2 million new permanent jobs and halving the number of insecure


Liberal MPs demand early end to JobKeeper

The federal government’s JobKeeper scheme is slated to end on 27 September. However, Liberal MP Jason Falinski believes that it should be phased out sooner. He suggests that the government should consider starting to phase out out JobKeeper once all students have returned to school. Meanwhile, Liberal MP Craig Kelly contends that businesses that have


Credit Suisse: Economic disaster needs -5% interest rate

Via the excellent Damien Boey at Credit Suisse: Mixed April NAB business survey: The NAB survey for April revealed an even sharper decline in business conditions, with the component sum index falling to -34 from a downwardly revised -22. However, the more forward looking, “pure” confidence measure, improved to -46 from an upwardly revised -65, as companies adjusted to


Developers smother lipstick on Aussie property pig

Several Aussie property developers have joined forces to sooth fears that Australia’s property market is facing a deep correction: Colliers Brisbane director Andrew Scriven: “I like to remind everyone that it is a health crisis that is turning into an economic crisis, but aside from that the fundamentals of property are still solid”… “The GFC


SQM: Australia’s rental market collapses

SQM Research has released its rental vacancy data for April, which recorded a massive increase in vacancies, driven by inner-city areas, alongside crashing rents. As shown in the next table, vacancy rates nationally surged by 0.6% over the month, driven by massive increases in Sydney (+1.0%), Melbourne (+0.9%) and Brisbane (+0.7%): The increase in vacancies


Alan Jones retires

Big news for populists, at the ABC: Alan Jones has announced he will retire from radio at the end of this month. The long-time 2GB breakfast host has towered over Sydney’s media, and Australian politics for decades. During his broadcast this morning Jones told listeners: “We are living in the world of Coronavirus. The most


International student lobbies are treasonous

What other conclusion can you draw from recent behavior. Via SBS: International Education Association of Australia chief executive Phil Honeywell told SBS News allowing international students back into the country could offer more than just economic benefits. “International education is Australia’s fourth-largest export industry which generates nearly 240,000 Australian jobs and is a key revenue


Albotross about to dump negative gearing reform?

Via Domain: Federal Labor’s big spending education and health policies appear set for the chopping block as Opposition Leader Anthony Albanese warns his shadow cabinet that COVID-19 and its legacy will define politics for a generation. The Labor leader has told his shadow cabinet to prepare for a “full reappraisal” of the party’s policies in


Can abolishing stamp duty save house prices?

Via the excellent Damien Boey at Credit Suisse: NSW  government considering abolishing stamp duty. Stamp duty is a transaction, or “Tobin” tax on property paid by buyers. It is the primary source of state government revenue. It is viewed by many commentators to be an inefficient tax, breeding incentives for state governments to prop up property prices to prop up revenues. Recently, NSW Treasurer


China blackmails the world

After spreading the Wuhan Coronavirus to the world, WION’s Palki does a great job exposing the Chinese Communist Party’s (CCP) many diplomatic firestorms. These include attacks against the United States, the United Kingdom, Australia, Sweden, Nepal, India and the Netherlands. We teach our children to stand up to bullies. Now is the time for the


CoreLogic: Lower immigration will smash property market

CoreLogic’s Tim Lawless believes that the collapse in immigration will hit Melbourne’s and Sydney’s housing markets especially hard: “Sydney and Melbourne arguably show a higher risk profile relative to other markets due to their large exposure to overseas migration as a source of housing demand, along with greater exposure to the downturn in foreign students,


Loon pond demands immediate economic reopening

First amongst loons was the IPA, closely followed by Chris Joye. Now they’re pouring forth, IPA alumnus James Paterson: The emergency measures put in place to control the spread of corona­virus are necessary, but history shows that radical econo­mic interventions imposed in times of crisis should be removed as quickly as possible once the crisis


Panic buying could mean Australia avoids recession

Yesterday’s record breaking preliminary retails sales data for March from the ABS, which surged 8.2% on the back of grocery hoarding (see next chart), has lifted hopes that Q1 GDP could record positive growth. That’s the view of David Plank from ANZ , alongside other economists: “A positive March quarter is not out of the question,”


Labor demands bail-outs for all “critical businesses”

Labor clearly has not heard of the term “moral hazard”, which is defined as “a situation in which one party gets involved in a risky event knowing that it is protected against the risk and the other party [Australian taxpayers] will incur the cost”. Labor has already demanded that Australian taxpayers bail-out: industry superannuation funds


Barista economy makes Australia COVID-19 whipping boy

We saw it in the CBA Flash PMI this morning: The latest Commonwealth Bank Flash Composite PMI® pointed to a much stronger contraction of the Australian private sector during April, with the decline particularly severe at service providers. The coronavirus disease 2019 (COVID-19) led new orders to fall at a steep pace, with employment scaled


Investors stampede superannuation exits

Liberal Senator Jane Hume, Assistant Minister for Superannuation, Financial Services and Financial Technology, appeared on Ray Hadley’s Morning Show (audio below) where she disclosed that 743,000 Australians have already registered for early release of their superannuation. This comes after the Morrison Government last month announced that it would permit Australians experiencing financial hardship to access


Storm clouds darken over Australian housing

Anecdotal evidence continues to emerge of the impending downturn in Australian housing, with Terry Portelli tipping that residential land sales are about to crash: “We can safely assume in the growth corridors that sales volumes and enquiry will fall to record low levels over the coming months of uncertainty,” said Terry Portelli, the founder and managing


Everybody’s WHOrebag

El Trumpo just now: President Trump on Tuesday said that he planned to stop United States funding of the World Health Organization while reviewing its role in what he described as “severely mismanaging and covering up the spread of the coronavirus.” The announcement came as Mr. Trump continued to be angered by criticism of his


Consumer sentiment forecasts house price crash

Worth excerpting from the Westpac survey this morning: Sentiment around housing collapsed in April with assessments of both ‘time to buy’ and ‘price expectations’ plunging to the most negative levels since the GFC. The drop was consistent across all major states. The ‘time to buy a dwelling’ index dropped 26.6% – the biggest monthly decline