Is australia economy in turmoil as US? Is there any economic slowdown?

Question

Is australia economy in turmoil as US? Is there any economic slowdown?

Answer 1

Australia is going pretty well for now. Our dollar is worth something like 97 cents US.

Answer 2

The Austalian economy is being kept afloat by the minerals that we are exporting to China. Our banks have taken a belting in the last couple of days on the ASX due to exposure to the US meltdown caused by bad home loans.

The ANZ (Australian and New Zealand Bank) and the National Bank were trading debt on the US market and a lot the home loans went bad and they had to write them off. Their share prices have been halved.

The Australian Stock exchange has gone down from the high 6000 like 6800's to the high 4000's like 4900. This is a big fall in the value of the economy. The housing market has also slowed. Rental housing has become difficult to get and consumption has slowed.

There is definitely a world wide economic slowdown to the extent the we could be headed for a depression. Some commentators have suggested that it could even be as bad as the Great Depression of the 1930's. I hope not.

I have seen on TV that in some places in the US houses have been bulldozed becuase no one will buy them and they have become delapidated from no one living in them. The towns where thewe unsold houses are are deserted manufacturing towns from what I can ascertain.

There is too much industry leaving our western countries and going to China, India and other low wage paying countries. This means that China, India and other low paying counties are getting all the manufacturing work and our factory workers are out of work. I think that our governments are wrong to allow this to happen. They are selling us out to foreign investors and large entrepreneurs in these countries. This is why we are having an economic slow down.

Well the result is that big banks in America like Freddy Mac and f***y Mae which specialise in home loans need government help to keep afloat. This is because people can't pay their home loans. They don't have the jobs and income necessary to pay thier home loans. This is a tragedy.

This is all food for thought. I don't think that it is fair that the Western economy should suffer while polluting economies in the third world underpay their employees and get rich. This effects Australia because we depend on foreign investment from the USA and other large economies.  

Enough from me. Regards!!! Bella Rose.

Answer 3

Australia's economy is still ok.  US's is struggling...

Answer 4

Yes, but we are being sidetracked with sport, the olympics etc. When it hits the fan we will wake up, it will be too late, unfortunately.

History is beginning to repeat itself.