#AUStriches should consider these 3 graphics:

1) the proportion of income to service a mortgage in 2023

2) the demographics of current and future tax payers vs recipients (play these bands forward in 5 year increments)

3) the wealth measured in savings by current demographics

This is a recipe for disaster.

Gov have already turned to immigration to offset 2, but 1 ain’t getting fixed until the real estate bubble pops and 3 won’t see meaningful change for 10-20 years until the Boomers die off.

Quality of life goes backwards from here. Doesn’t matter who is in government, these are structural issues caused by the last 40 years of gov policy that can’t be unwound or undone.

People should be having genuine conversations about whether they or their children have a future in Australia.

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Discussion

The graphics

At least some of this is an increase in living standards - which all else equal would produce these results

This is a global issue.

Western civilization issue anyway.

High mortgage servicing + bad demographics + low savings is common in the West but structurally most countries are different. Canada and Aus share a lot of similarities, throw in NZ too.

The US might look like similar but they’ve got global reserve status and 10X the population and 30-year fixed mortgages so they play out very differently.

European nations are totally different again with population density and trade and energy - they’re already worse than Aus/Canada and will plumb lower lows IMHO.

Canadians are in for reckoning. They’ve been high on the housing hog for over a decade.

Things starting to dry up as the infusion of cash from China slows

Yep, the music is about to stop and there’s not many chairs left. It was good while it lasted I suppose