[cobran20]

I suspect we're on the same path as Brazil. Labor was all too happy to get involved is the falling house prices (and created the subsequent mess) and would not surprise me to do something about the rising currency. Perhaps they will lean on the RBA to crank up the printing press!

Quote

Brazilian stocks became the first among the largest emerging economies to fall into a bear market this year as the government adopted new measures to stem currency gains and inflation quickened.

[sydney3000]

cobran20, on 30 July 2011 - 03:38 AM, said:

I would not surprise me to do something about the rising currency. Perhaps they will lean on the RBA to crank up the printing press!

If they wanted a lower currency they wouldn't need the RBA to do so. They could stop allowing foreigners to buy Australian land/property.

[cobran20]

sydney3000, on 30 July 2011 - 06:22 AM, said:

If they wanted a lower currency they wouldn't need the RBA to do so. They could stop allowing foreigners to buy Australian land/property.

I'm not sure if too many foreigners would be interested in buying Oz property now with the high $A. If I was in their shoes, I'd be selling probably close to the top of the market and also profit from the exchange as cream on top of the cake!

[cobran20]

cobran20, on 30 July 2011 - 07:19 AM, said:

I'm not sure if too many foreigners would be interested in buying Oz property now with the high $A. If I was in their shoes, I'd be selling probably close to the top of the market and also profit from the exchange as cream on top of the cake!

Also meant to say that the best way to drop the $A would be either:

• massive increase of the money supply and/or
• disallow foreign investment, especially in our natural resources sector

Martin Armstrong's view on Australia is so far playing out and capital is flowing into our economy.

[sydney3000]

cobran20, on 30 July 2011 - 07:19 AM, said:

I'm not sure if too many foreigners would be interested in buying Oz property now with the high $A. If I was in their shoes, I'd be selling probably close to the top of the market and also profit from the exchange as cream on top of the cake!

I wasn't talking about the ability to profit from land per se. I was talking about the ability to profit of land by holding its potential future utility hostage. It doesn't matter what the exchange rate is when you are the only supplier of food or shelter or transport corridors. The reason human society is regressing is our focus on the near small payout instead of the far large risk.

The point of a nation is to retain ownership over your own land. Many nations fail to do so and by doing so risk their survival.

This post has been edited by sydney3000: 30 July 2011 - 07:35 AM

[Ruffian]

sydney3000, on 30 July 2011 - 07:34 AM, said:

It doesn't matter what the exchange rate is when you are the only supplier of food or shelter or transport corridors.

Yes.

Quote

The reason human society is regressing is our focus on the near small payout instead of the far large risk.

Yes.

Quote

The point of a nation is to retain ownership over your own land.

And indisputably yes.

If only the powers that be had such a sound grasp on the basic principles.

[tor]

Ruffian, on 30 July 2011 - 08:03 AM, said:

If only the powers that be had such a sound grasp on the basic principles.

I am only hoping he is not running for office

[cobran20]

Whilst on the subject of land, I think that at the end of this mining boom, states like NSW will end of paying a lot more for their food as a result of farmland being sold to the miners. The coal companies have been buying a lot of it in QLD & NSW.

SMH: Coal barons sowing the seeds of unrest

Quote

For top farming land only a few road hours from Sydney, the Bylong Valley came late to settlement. Its remoteness imposed by the surrounding sandstone curtain and the national parkland that separates it from the Hunter Valley, this canyon riverbed is as productive and as versatile as it gets when seasons are good. But rain has been poor this year.

Peter Grieve, whose grandfather and father took up the 1300 hectare Talooby in 1937, has been cursing the dry only half as loudly, however, as that other intruder he considers the valley's greater affliction.

"I've nothing against coalmining," says Grieve, who is helping to spearhead the Bylong Valley Protection Alliance, one of dozens of landholder groups springing up around the bush in a spirited but mostly futile resistance to the Great Coal Rush. "On principle, I don't believe country like this, or the Liverpool Plains or the Darling Downs, should be turned over to mining. This country was made for food production."

[Solomon]

I can't find a BRIC thread.
Not sure if we have one or not.
But some recent noises coming out of Russia, suggest all is not well in Siberia.link
I haven't heard anything related to India thus far.
But with Brazil, China and Russia faltering, is the BRIC starting to crumble as well.
A lot was said at the start of this event, that these nations - the emerging nations would provide the engine for a recovery.
Is that in jeopardy now?

[boz]

Solomon, on 07 December 2011 - 10:41 PM, said:

I can't find a BRIC thread.
Not sure if we have one or not.
But some recent noises coming out of Russia, suggest all is not well in Siberia.link
I haven't heard anything related to India thus far.
But with Brazil, China and Russia faltering, is the BRIC starting to crumble as well.
A lot was said at the start of this event, that these nations - the emerging nations would provide the engine for a recovery.
Is that in jeopardy now?

The BRIC acronym is a bit like the PIGS one and doesn't mean that those economies are all similar.
For example Brazil and Russia are taking great benefit from mining and high energy prices, while India and China are the opposite. Also India is the one of the 4 that has trade problems as it imports far more then export. India in last few months have big problems with inflation due from a dropping currency (from trade imbalances). While Russia political problems are cousing big share market drops. For the way I see between the 4 BRIC India is the one with most troubles

[Mr Medved]

Anecdote from the UK. I met a guy from Brazil who regularly travels to Europe for business. He said that the economy in Brazil is great and terrible in Europe. People are spending in Brazil but not so much in Europe. I get the feeling that Brazil is somewhat similar to Australia in its dynamics.

[cobran20]

Mr Medved, on 08 December 2011 - 11:16 AM, said:

Anecdote from the UK. I met a guy from Brazil who regularly travels to Europe for business. He said that the economy in Brazil is great and terrible in Europe. People are spending in Brazil but not so much in Europe. I get the feeling that Brazil is somewhat similar to Australia in its dynamics.

Brazil is a major commodity exporter like Australia & Canada. We have a common saviour - China!