June 12, 2010

GFC not done yet?

Australia dodged the GFC bullet, albeit, not especially because of anything the federal government did or didn't do. The builder's Bloody Early Retirement fund wasn't even necessary. The country would have fared just as well - was already in full blown recovery - without it.

But what if it's not over?

What if there's a stage two GFC, far worse than the first?

We've got nothing left in the kitty for such an event, and goodness knows the ALP were amateurs the first time around, tossing billions of dollars to the wind with no particular purpose.

Billionaire investor George Soro, known to have correctly predicted a number of economic events, is adamant that the fiscal problems in Europe will take us all down - again.

'Act two' of crisis begins


  1. Anonymous4:02 PM

    No not by a long shot - the main course is due anytime.

    Recently the market has been behaving just as it did prior the crash in 2008.

    It's sort of funny watching them keeping it all afloat; but smething that can't go on forever won't.

    Assets will have to find a true value, people will get hurt, carpetbaggers clean up - and so it goes.

    Read the following for a bit of "fun:

    Australia: The Land Down Under(water in mortgage debt), pt. Deux: Which Banks to Short?

    Zero Hedge


  2. I still keep wondering about the cold hard cash that the government stuffed into peoples pockets, calling it economic stimulation. I wondered how much of it went to China in return for widescreen tv sets. I wonder how much of it was taken overseas by people on their holidays. I wonder if maybe it would have been better spending it on infrastructure here that we could use for years to come.

    Thank god for the miners. Their super-profits will save the day for us..... apparently.

  3. I wonder if maybe it would have been better spending it on infrastructure here that we could use for years to come.

    Dan - you mean like all of that wonderful BER infrastructure?

    All those unneeded assembly halls, canteens that are too small, and expensive new libraries for which schools don't have even a spare few dollars to stock with books?


    The ALP has done an excellent job of the whole infrastructure thing.

    Almost as well as they've done with tossing out a laptop to every school child. Ha!

    Don't both sides of politics still roll out the old: "we can't depend on natural resources forever" mantra, as a way of critiquing the other side?

    Well, apparently, we can, and will, rely on natural resources forever and ever, because our politicians are too stupid to come up with anything that adds value. Raw resources. That's it. That's all we know how to do. Apparently.