[Published in Pearls & Irritations today 25 June. My pre-election attempt (the previous post) didn’t make it.]

Stratospheric housing prices are perhaps the most critical domestic issue in Australia. Not only are a collapse of the housing bubble and a recession now threatening, but homelessness and rent stress, unaddressed and exploited, can quickly fester into ugly politics. The elephant in the room is the excessive money created by under-regulated commercial banks.

Housing prices are a prime driver of severe inequality and a serious threat to the stability of the Australian economy. Rises in interest rates threaten to collapse the very high levels of household mortgage debt and bring on a serious recession. The dream of home ownership is disappearing for many.  Continue reading →