
Originally Posted by
DiscoMick
I'll have a go. Our export prices for raw materials have halved, and we've moved much of our manufacturing plants to cheaper overseas countries such as China and Thailand, but we're still importing as many flat screen TVs, vehicles, computers and everything else, so how do we fund that? By borrowing money. Hence our private debt has hit record levels, so we need two fulltime incomes to pay our bills, but now there aren't enough jobs to employ everyone who needs a job to pay those bills. So, the economy is stagnating and our governments don't know what to do. The Reserve Bank just keeps cutting interest rates hoping we'll start spending again, but you can't spend money you don't have to spare, so all that's happening is that property prices in crowded Sydney keep soaring while the rest of the country is stagnant. Or, to put it another way, free market capitalism is failing.
Incidentally, I just emailed to cancel my mudflap order. Next week I'll trawl ebay for a cheaper alternative.
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