People in many countries face a double whammy; high inflation and high relative interest rates. There needs to be more
competency in many areas of government operations. Covid showed us that. Again, no one seems to be accountable for the decisions made.
People in many countries are facing a double whammy; high inflation and high relative interest rates. There needs to be more incompetency in many areas of government operations. Covid showed us that. Again, no one seems to be accountable for the decisions made.
In Australia, interest rates have increased for 10 successive months. The cash rate is at 3.6%. That is the rate the government charges banks, who transfer the increases to their consumers through higher personal loans and the big ones––mortgages. In Australia, interest rates have increased for 10 successive months. The cash rate is at 3.6%. That is the rate that the government charges banks, which transfer the increases to their consumers through higher personal loans and the big ones––mortgages.
So in April 2022, the cash rate was 0.10%, which means the current rate is a 3,600% increase! Let that sink in for a minute. Rates were so low, but the reality is that on a $604,000 mortgage, the amount in 10 months has increased mortgage repayments by $1190! Million-dollar mortgages are now quite common.
Home prices in Perth, West Australia, continue to rise unabated despite the enormous increases. They are currently at a median home price of $880,000.
Forty-three years ago, when I came to Perth, the average home price was $45,000. Compare that to today. A million-dollar home in Perth is fairly commonplace. Four-bedroom, two-bathroom homes with a family room are selling for that price, depending on the suburb. Again, the management of the economy i
The Reserve Bank governor Philip Lowe stated the following in 2022:
"Borrowers need to be aware that rates will rise again – not quickly, and not next year; the most likely case is 2024, but it's possible it's 2023".
Most likely in 2024? He was wrong. People warned about the folly of keeping interest rates so low for so long. It suckered people into artificially low rates. So people bought and borrowed. The result is increasing home prices. In conjunction with that, rents have gone up. There is both a need for more rentals and housing in general. The same scenario is playing out in other western nations.
Why are interest rates rising so dramatically? Well, that's due to the second part of the double whammy; inflation. The effect of inflation–currently at 7.6%––is a wage decrease. So paying more and earning less is what faces the average Australian.
The same scenario is happening in America with high-interest rates and inflation. Ultimately, the central bank of the USA–The Fed, is responsible for the high-interest rates regime. Still, they are the middle man because the apriori cause is the Biden administration and even those before who have recklessly spent money. In addition, Biden's green policies have been devastating for energy prices. This has filtered through to many countries.
The superimposition of the Ukraine War with America's financial commitment indefinitely shows the irresponsibility of the people holding the purse strings. So many people with no business running economies are in positions of power and must be held accountable.
Remember, Janet Yellen stated the following in 2021:
U.S. Treasury's Yellen tells G7 to keep spending, says inflation will pass
The mantra repeated by all government officials was that inflation was transitory. They were all wrong. All these people who failed miserably to preempt inflationary pressures and squandered money need to be fired. I wouldn't hire them to run my household finances, let alone a nation's.
But you see, they play a game. The U.S. Treasury prints money. The Fed borrows that money and distributes it through the economy. Can you print money and help to pay off your debts? Who controls how and when the agencies print and borrow money? They are self-controlling. It's a great gig if you can get it.
The net effect of this financial mismanagement is that the average person is going backwards. Those on the lower end of the economic spectrum will have difficulty finding shelter, let alone paying for it. The situation in Australia is dire, with rentals limited and very high. The high home prices make purchasing houses less affordable, except for those earning well into six-figure incomes.
Those seeking rentals often attend open houses competing against others in the same boat. The troubling thing is that this didn't need to happen. Similar issues are occurring in the U.S. In Australia, we're told we live in the "lucky country". While for many Australians, it's still a truism, sacrificing basic needs is becoming all too common for those on the bottom rung.
I am not sure anyone is listening Ely but thanks for expressing the truth. We can but keep trying and praying
"Again, no one seems to be accountable for the decisions made."
Exactly. That is the plan. And it has been working. Tyranny works that way.
Tucker Carlson releases exclusive Jan. 6 footage, says politicians, media lied about Sicknick and QAnon Shaman. Tucker Carlson Tonight was the first to look at over 40,000 hours of surveillance footage from the Capitol Building on Jan 6.
J6 was Mind War to support Tyranny and the New World Order. It is part of “Unrestricted Warfare,” which has been working.
“Congratulations to Tucker Carlson on one of the biggest “scoops” as a reporter in U.S. history. The New Surveillance Footage of the January 6th Events sheds an entirely different light on what actually happened. The Unselect Committee was a giant SCAM, and has now unequivocally been stamped as CRIMINAL FABRICATORS OF THIS MOST IMPORTANT DAY. Pelosi & McConnell failed on security. The Police story is sad and difficult to watch. “Trump” and most others are totally innocent, LET THEM GO FREE, NOW!”
Donald J. Trump
https://jtrudel.substack.com/p/operation-jericho-2023