Australia Should Be a Failure. Why Isn't It?

[@EconomicsExplained]

Go to GiveWell.org/EconomicsExplained to donate. First-time donors who say they came from Economics Explained will get their first $100 matched.

[@wisdomhighschool9975]

This guy talked about Brain Drain and said that labour exporting countries remain Poor forever, Which is Obviously Baseless, The Fact is, Today The World's Fastest Growing Major Economies-India and China are Booming, China Boomed now cooling, India's Boom is Currently Underway , Even historically, Germany, England, Ireland, Scotland, France etc have Exported 10s of millions of people to settle in the New World, But haven't they become Rich

[@wisdomhighschool9975]

This guy talked about Brain Drain and said that labour exporting countries remain Poor forever, Which is Obviously Baseless, The Fact is, Today The World's Fastest Growing Major Economies-India and China are Booming, China Boomed now cooling, India's Boom is Currently Underway , Even historically, Germany, England, Ireland, Scotland, France etc have Exported 10s of millions of people to settle in the New World, But haven't they become Rich

[@thepunisher2988]

You might as well admit that you're running a propaganda channel for the Australian government. Not everyone is stupid, and people can see right through your bs

[@carkawalakhatulistiwa]

This is the same question as to why the United Arab Emirates can be rich for no reason

[@michaelimbesi2314]

You made a pretty big error in the housing section: you conflated the supply of land with the supply of houses. Those two are only very loosely linked. The supply of houses in an area is actually strongly limited by local land use restrictions. You could have a vacant hectare of land, but the number of housing units that can be put on that hectare is most likely restricted by the zoning restrictions (and possibly by the ability to meet minimum parking requirements). Thus, the housing supply isn’t limited by land in the urban area, but by *densifiable land* in the urban area (land that can have more density on it than it currently does). Given that these land use restrictions are entirely synthetic and severely restrict the supply of housing, they represent a pretty big market failure.

[@indoman8887]

I am an Australian who has said for years that we have an economy that is a mirage. We have a first world standard of living based on a thrid world economy, because we do two things well, mining and farming. We do very little down stream value adding to our mineral exports, our manufacturing industry has moved overseas and we are way too beholden to China. This along with a gormless / spinless political class, too frightened to tackle problems in the tax system, despite numerous reports highlighting what needs to be done, let alone take on the multinationals, will lead to disaster one day. Selling minerals and farming products to other countries and flicking over priced houses, which our young people can’t afford, to one another is not the basis for long term economic success. China has already shown it can throttle us at will, as shown with the bans various products three years ago, although they did leave our biggest export, iron ore alone for the time being. That will change when the iron ore mines in West Africa, in which they have considerable ownership, come online in the not too distant future. Here we are, bowing and scraping to them to lift the bans on beef, wine and lobsters, it can only be imagined what we will do, if they move away from our major primary product exports. To me, we are living in a fools paradise and if we don’t get the cost of housing under control, our much vaunted political stability could very well go out the window. Australia is just as susceptable to political populism as any where else in the world.

[@jasonhaven7170]

Who's voting for these policies? Australians. Stop blaming your leaders when you chose this.

[@lll32151]

@@jasonhaven7170 indoman solely chooses the government of Australia. What a scandal!

[@jasonhaven7170]

He's a voter.@@lll32151

[@jasonhaven7170]

It's too late. Australia is becoming less and less White and that is okay. @BB-xx3dv

[@turbinegraphics16]

I think the Australian economy is just a mugs eyefull, Australia has some serious rot at its core. I think the resources boom of the last 30 years was one of the worst things to happen to Australia, the main thing it did was allow us to close the auto manufacturing industry and we let the technology sector die. We had a pretty strong up and coming tech sector in the 80's and 90's but when was the last time you heard of any advanced tech or used any software made in Australia. @jasonhaven7170 Sure you can blame the politicians but they are just doing what the people wanted, I've have seen it myself.

[@VARMOT123]

It is a mineral rich country with top exports such as iron ore and coal . They did a good job to not fall into the resource curse trap

[@chrisspencer6502]

I think it’s too early to tell really. Their mineral wealth is quite young when compared to other nations like South Africa and Latin America also they don’t have the colonial legacy issues

[@bayersbluebayoubioweapon8477]

Well, that and they relied on Papua New Guinea for GDP until 1975

[@bayersbluebayoubioweapon8477]

@@tamagodonald7149China is an authoritarian hellscape

[@dazzlebreak4458]

He makes it sound like mining is just digging holes somewhere and magically getting gold. Actually a lot of science and engineering goes into it. Also mines buy a lot of stuff and use a lot of services, some of them pretty expensive (like lab and drilling equipment, vehicles and software). Having a lot of uninhabitable land makes extraction of uranium and cyanide treatment of gold concentrate viable, as opposed to Europe for instance. Another thing that separates Australia from Russia and DRC is that Australian companies are some of the biggest in the world and operate worldwide.

[@RowanJones-lp6iu]

Well done for explaining what he said here’s a medal 🏅

[@TheBeriney]

As a 25 year old Aussie from the bush who's paying 42% of their after tax income for a Sydney Rental, this video has quite the disheartening ending

[@FIREPHEIONXx]

Same here! Grew up in the Blue Mountains currently renting an apartment in Sydney and it's dissapointing to not even imagine being able to afford to live here comfortably much longer. We are such a backwards place at the moment, Sydney feels corrupt.

[@urOSSIM]

it is corrupt.

[@beaujohnson2021]

Same in the US grew up in CO, the economy blew up, and I had to move to a small MT town to get a foothold. Housing prices are a global problem.

[@Tryinglittleleg]

I'm in the same boat as you mate

[@jaiivanoff]

only solution is to buy cheapest unit you can pump as much extra cash to pay it off fast . then use it for deposit on next place or keep it as investment

[@Ratgibbon]

Housing shouldn't have been allowed to become the wealth builder to the degree it is currently. Not just in Australia, but in many developed countries around the world. It's a non-generating asset so it contributes very little to economic growth and because it puts a large financial burden on the younger generation there's less left in their pocket to spend and thus keep the economy spinning. It's a double whammy, really.

[@tigerpjm]

Property is how wealth has been generated since the dawn of time. That's why they call it "property".

[@jamesclarke2789]

@@tigerpjm Yes, but some types of property, such as an industrial plant, have spill over benefits for the broader economy that exist beyond being a valuable asset. While other types of property, such as a house, have less spillover benefits for the broader economy. Instead, in the current market conditions at least, Housing seems to provide an opportunity for unproduction speculation and a misallocation of financial capital away from more economically productive investments or consumption. 'Property' is how wealth has been generated since the dawn of time. Doesn't mean that all types of property have the same benefits, or create benefits for the broader economy under all conditions.

[@jongxina3595]

Having lived in a poor country, I think its due to the fact that Canada and other wealthy countries have strict housing requirements. On one hand, u prevent ghettos and ugly suburbs with unfinished houses, on the other, u get homelessness and expensive housing prices in few key regions. Property and land are finite, but Canada and Australia have a TON of space to build in. But it has high barrier of entry.

[@Jagonath]

@@tigerpjm Except that housing "property" literally produces nothing on by itself, unlike commercial properties, factories etc. Housing simply consumes ever more capital from banks that could instead be invested in companies that actually produce goods or services. Meanwhile the houses are built, take up the whole population's income and savings, then sit there and gradually fall apart. Added to that the younger generation has been locked out and is basically a serf class that works just to live in housing they will never own. We're practically turning back into feudalism with a few rich property owners and everyone else is a borderline slave.

[@tomsmith6513]

@@JagonathBack to feudalism! Wow. It could be that society is slowly shifting back to a family-oriented, multi-generational-home society, away from the individualistic, single-oriented, single-parent-oriented, get-divorced-if-you-don't-get-along-with-your-spouse society, . . . toward a society of matriarchs and patriarchs, of grandmothers and grandfathers watching over their descendants. We might see a shift back to more conservative ideas, less atheism, more religion. Maybe the individualistic paradise is dying because it wasn't sustainable anyway.

[@CameronFussner]

My greatest concern is how to recover from all these economic and global troubles and stay afloat especially with the political power tussle going on in Australia.

[@LucasBenjamin-hv7sk]

Inflation can have a significant impact on individuals and their cost of living. As a result, it can cause negative market sentiment. It is important for individuals and businesses to find ways to navigate and potentially mitigate the effects of inflation on their finances. The current economic climate, including underperformance of financial markets due to fear of inflation, has led to a decrease in the value of my portfolio. I would appreciate any recommendations on how to potentially increase returns during this market downturn.

[@leojack9090]

Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over $250k just in a matter of weeks/couple months, so I think there are a lot of wealth transfer in this downtime if you know where to look.

[@hasede-lg9hj]

You need a Financial Advisor my friend so you don't get ripped off in the market. They provide personalized advice to individuals based on their risk appetite, placing them among the best of the best. There are bad ones, but some with good track records can be very good.

[@hasede-lg9hj]

The advisor that guides me is Sharon Ann Meny, most likely the internet is where to find her basic info, just search her name. She's established.

[@fadhshf]

@@hasede-lg9hj Thank you for this tip. It was easy to find your coach. Did my due diligence on her before scheduling a phone call with her. She seems proficient considering her résumé.

[@keithwagg4112]

I’d say that the housing situation in Australia is a complete failure. People who have worked all their lives facing homelessness in retirement! Most people renting will never be able to buy a home. I remember walking around the cities as a kid and maybe once saw a homeless person, lucky even you don’t see one on every block now. There has been a collapse in opportunities and living standards for the next generation.

[@The13thRonin]

There is going to be literal anarchy in the future and all these megabrains up in this comment section like "Hey I got mine..." Yeah... It's not like we have a blueprint for what disenfranchising an entire generation does to a country. It's not like we can just look at Weimar Germany or pre-Bolshevik Russia and see exactly what is going to happen to this country.

[@dama301]

​@eleleven3694 there's a reason why people move to coastal cities. They have always been, and will always be the economic engines of Australia. Albury Wodonga and Canberra are proof that inner cities won't ever take off

[@keithwagg4112]

@@dama301 Totally agree, I’m from Canberra and there is nothing there except the public service and industries that support it then just services for that population like hospitals and schools.

[@dama301]

@eleleven3694 I definitely do. I've done paid work on this. Never gonna happen barring some huge changes in technology. Even with covid, people are still going to capital and coastal cities. Come back to this comment in 10, 20 years and you'll see I'm right

[@user-fj3gt2rj4e]

​@dama301 cost off housing almost exponentially drops the further you are away from a major city. Retired people need to be okay with settling down for a quite life a couple hours from a major city. There they would easily afford a home.

[@nicksmith534]

As someone who lives in Australia (In Melbourne the second largest city), I think the best way to describe most people on the average wage especially if they're under 40 is: Asset rich but cash flow poor. Housing is extremely unaffordable now but people are still willing to pay $1 million for an Australian house and go well over the 30% recommended mortgage payment out of their salary to get in the market.

[@webapple1]

idk if 'willing' is the right word.... rather do we have any other choice but to.

[@seanocd]

Additionally: Extremely highly leveraged. Because the majority of personal wealth (and potential wealth growth) is tied up in property, Australian's have huge mortgages and rely on leveraging their property for expenses. That is why, as interest rates have started to return to sane levels, suddenly the average Australian is willing to discuss the problems rather than turn a blind eye. No one wants to care about obvious problems until it hurts them. The "got mine" attitude of Australians is in desperate need of change.

[@davieejeffreys8000]

If they can get the loan ! A depressing thought indeed ..

[@dama301]

Below average wage, or minimum wage is not good here. To rent on your own is hard, need to definitely Share, can't save for anything, overseas holiday maybe but a house forget about it

[@leoprg5330]

​@@dama301but isn't this the same everywhere? I am Czech and we also spend more than 30% of income on housing, the unaffordability of housing is growing everywhere in western world. At least you guys can have a barbie on Christmas in here winters are around 0°C, haha

[@ReymerzZ]

As an australian this brings to home the fear that although lucky, we are living on a massive house of cards. I think this feeling is more widespread that I first believed.

[@hesh2892]

The balancing act is to keep house prices rising with intake of migrants 😮

[@davidabulafia7145]

Net zero policies, anti supposed climate change policies and excessive immigration are causing cracks in Australia

[@g0nz0theGreat]

Both of the major parties know this, they just don't want to be behind the wheel when it crashes

[@vulcanraven9701]

​@@hesh2892same thing going on in the USA. Housing and rent keep rising due to demand from immigrants but domestic buyers are losing

[@davieejeffreys8000]

Australian housing has always concerned me , I worked in the industry for 30 years and did very well out of it , but we really have gone too far , Governments addicted to stamp duty , massive subdivision regulation , therefore even pumping prices 40 km from Melbourne CBD and even regional .. Banks also , are basically property plays , Iron Ore makes sense , Australian property does not . Governments say they will address " affordability " but in essence they just DONT . How is a young person going to get a house ? If not born in the top 10 % or via inheritance ?

[@afez2752]

Genuinely, looking at house prices they don't go down until warragul. Million dollars for a house on subdivided land is disheartening.

[@skippy2987]

The problem with housing being affordable is that house prices will come down. Which sucks for those, like politicians and most of their mates, who own land. "Oh no. We tried to help but accidentally made ourselves rich...er... again... Honest mistake. Pls vote for me so I can continue to give tax cuts to big business and rich people"

[@joebloggs24]

I went homeless, voluntarily, and in two years of saving half of everything I earned, now have close on $40K toward a deposit on something... It is do-able!

[@MarktYertd]

"I hold the view that Australia, Norway, and Canada are the only nations that have achieved balanced growth leveraging their natural resources. However, overreliance on raw materials can be detrimental since resources are finite, and sustained growth may diminish, posing the risk of a significant downturn, similar to the experiences of Argentina, Zimbabwe, and Nauru."

[@abl892]

They seem to have navigated it really well though. And they've moved away from those industries partly and are focusing on others. It's looking good for them!

[@abl892]

Of course I understand the issues with other countries. Maybe the countries that failed could use others as role models.

[@CuentaNew-zr2ge]

​@@abl892 Source: believe me bro

[@abl892]

@@CuentaNew-zr2ge I'm confused about what you're telling me.

[@ArawnOfAnnwn]

You put that in quotes, but then didn't mention who said it. Bruh...

[@davidbrayshaw3529]

Any economy that leaves the children of that economy essentially destitute is not a good economy, by any metric. Australia's economy has been so grossly mismanaged from the 90's on that it would seem that there is no turning back. That said, however, I would like to thank the families whose forefathers built the nation, its infrastructure, paid taxes year after year and fought wars to maintain Australia's sovereignty. Your family's efforts and achievements might be forgotten by governments and economists alike, but they are not forgotten by me.

[@MrZoomah]

As a foster carer, I can't agree more. Seeing my foster kids dad get out of jail and then only be able to rent a single room apartment for $650 per week was just appalling. It's like we want people to fail.

[@SurmaSampo]

​@@MrZoomah You can rent an entire house for less than that in Logan. Why is the apartment so expensive?

[@spookavision]

*from 1996 on

[@davidbrayshaw3529]

@@spookavision That was the year. And boy, have the chickens come home to roost.

[@kerrynball2734]

We're living off our grandparents infrastructure. Warragamba Dam was the last bit addition to Sydney water Supply and that was over 50 years ago. We blame our problems on climate change, but in reality it's infrastructure neglect and lack of vision.

[@IKEMENOsakaman]

My tutor once summed up our Economy in the following sentence "we are a first world country with a third world economy and a bunch of rich people on the coast just buying houses off each other to feel richer". Seems like that also summarises your video hahaha Great stuff as always, from a fellow Aussie!

[@FictionHubZA]

The housing bubble is a staple of every English speaking western country.

[@philipen65888]

😂😂 I would add, though, that the country is surprisingly holding firm as a powerhouse in the highly competitive sport of Olympic swimming, thus rejecting the seemingly prevalent trend of drifting towards mediocrity in various domains where Australia used to be among the leading nations. + As evidenced above the sense of humour among Aussies seems to hold a top rating: commonwealth-AAA -with a stable perspective.

[@Sal3600]

"Feel richer" delusional lol

[@chalkandcheese1868]

And world-class whingers it seems

[@sugarnads]

Ahh yes the communksts in our universities... Always good at stealing other peoples hard earned money.

[@harrybuttery2447]

Australia is mainly a consumer economy as well so exports don't really play such a huge part in our economy as compared with most other nations. Australia has an export ratio of 22.1% of GDP ranking us 140th in terms of countries export to GDP ratio. Additionally, Australia imports only 17.8% of our GDP meaning we are ranked 169 for Import to GDP. This also means we are a net exporter rather than importer. So in all the Australian Economy is actually quite insular(which explains why we avoid recessions) and relies mostly on internal consumerism.

[@Sahanawaj_]

Without mineral resources export Australia's consumer led economy will be collapsed because it's strengthen australian dollar. For example when ever australia's mineral export drop australian dollars lose its value against US dollar and you have to import stuff to sustain consumer economy

[@lll32151]

What are you talking about? We export tonnes of our minerals and education, two of our biggest industries. We haven't had a crash because demand for our resources is strong and the government's willingness to do everything in its power to prevent property values dropping. When you have all your eggs in a single basket it's easier to do than if there were more big players in a diverse economy.

[@somethingelse9535]

@@lll32151 Also, the profit margin on minerals is huge. The Germans for example export a lot of motor vehicles, but the margins are much lower. Iron ore is more profitable than Mercedes cars and a lot less complicated.

[@JoanneBurford09]

​@@Sahanawaj_don't comment on something you know little about. There's so many errors in your post, it's not worth answering.

[@Sahanawaj_]

@@JoanneBurford09 errors that you can't point out ! Don't want to answer but still make a comment

[@haweater1555]

6:50 Australia's government has failed to tax the resource wealth because the owners that would be taxed are too influential in government to let it happen.

[@yanakaizzz9335]

As an Aussie I can say that getting through the great bottleneck is the only pursuit left to me. I realised during lock down just how important it is for me to achieve home ownership and I also recognised that the lack of industry here is a serious concern for everyone (not just the folks living more or less week to week like I do...). SO, I have a dream to create jobs. I have a plan too. But I keep getting setbacks which sting allot as rent rose to buffer our landlords from inflation. So when I needed to move house and give up my full time job in place of a casual job which I was then made redundant from I found myself watching the ball roll all the way back down that hill again. For context: I am a single male close to 30 with a high school/college education and some industry experience with some licenses. I'm divorced, I pay rent, I actually pay tax and my situation feels somewhat hopeless. If only the mining magnates we "elected" didn't choose to sell off our country and not build industry, otherwise we could be allot more like Germany or heck even take a play or two from Texas. Advice welcome :l

[@tanjacristina7913]

The lack of manufacturing and horrid infrastructure is going to be our downfall. Its easier to relocate overseas than rebuild industry here tbh, I looked into it. We sell everything and make nearly nothing and you cannot fix that without a top down and across the board in all aspects overhaul. Lot of the under 30s I know are moving to the USA or the EU for a bit to get a feel and have a think.

[@jeffm9788]

be a digger my friend.

[@cairnex4473]

At your age with nothing holding you here I would leave personally. I'm about 15 years older with elderly parents and young children so I'm sort of stuck in this rat trap but I would leave if it were feasible.

[@yanakaizzz9335]

I won't leave. To do so would be to miss the point. And yeah @jeffm9788 I've got my application in already. Wish me luck!

[@RangoYep]

Yep I’m with cair, same situation. If you have the ability to leave that’s what I’d be doing becoz we are on a sinking ship in Aus

[@divjotchahar719]

A lot of Australia's problems sound quite similar to Canada's, absurd housing market which if you can afford to get into is a mistake not to get into, stagnant GDP per capita growth, lots of immigration and study visas

[@ElusiveTy]

That's not unique to Australia and Canada. That's all western countries. The EU, British Isles, AU/NZ, and North America all suffer the same fate.

[@Parsuadhikari]

But Canada’s got diverse economic. They do well on manufacturing as it’s close proximity to usa

[@nitinprasad3842]

​@@Parsuadhikarigood old days now all those are going to mexico.

[@zoomann1508]

All due to government socialist interference , Bureaucracy and agenda 2030 for a Fascist New World Order

[@cairnex4473]

Selling their country to the Chinese is the common problem.

[@darnell2000]

Housing in Au is ridiculous. You have one old man living in a 2-level 4-bedder with a massive backyard and all he'll do is sit on the couch, lay in bed, shower, toilet, and cook on a stovetop. Of course he'll be mowing the lawn and vacuuming too, but he wouldn't have to if he wasn't responsible for all that maintenance. You can walk through a whole suburb and not run into another person, no kids playing in the street, and you'll pass like one 7-11 or something, that's all they got there. And then they wonder why nobody can find a home. I figure I could live in a space 2.5m x 5m, so basically a parking spot. That's a more flexible footprint than someone in a narrow van or small houseboat. But that type of space just doesn't exist. You need to buy half an acre in the middle of nowhere.

[@irwan.hendra]

There are plenty of shoebox apartments in Melbourne CBD, smallest one is 3x5m

[@megaspeeder]

As an Australian who left the country for Spain before the 2007 crisis and is now graduating from university, this video left me with a lot of mixed feelings in regards to going back.

[@Sal3600]

With regards to*

[@steel7468]

​@@Sal3600🤓

[@austinphilip75]

Bro Australia is way better than Spain. Leave. Go back

[@Ivan.alvarez7]

I left argentina, my born country and came to spain, and it's the thing I regret most in my life, I'm 28 now, and, if things goes more or less well, I'll be in Australia next year, Argentina is the window to future if Spain keeps choosing Pedro Sanchez and PSOE to run the country, good luck on that Spain, u will need it.

[@t-bone9239]

@@Ivan.alvarez7but Argentina isn’t doing so well either?

[@mttrashcan-bg1ro]

I'm nearly 24 and still living at my parent's place. It's becoming increasingly uncertain about what the future is looking like in terms of taxes, housing costs and cost of living overall. Living on your own off a single person's average wage is almost impossible and just unrealistic, you either need a second person or need a well above average wage which most people in their early to mid 20s could only dream of. To top it off, the power shortages, constant power outtages, constant internet outtages, terrible phone services and terrible internet services makes Australia on paper the worst country to live in of the western world. There's so many pros and cons of other countries, but I wouldn't say you're gaining much by moving to a country that's future is looking dark.

[@tomasbeblar5639]

Swap the word Australia with Canada and the whole video is still accurate.

[@Miokopsgvr]

Weird how Australia is doing so well but at the same time not

[@Sal3600]

Not?

[@00yiggdrasill00]

Ok? Why and how are we not doing well? Looking internationally we are pretty good, but I'm open to hearing why you think that.

[@AusValue]

Trust me, for the average person life has got way worse since the early 2000s. We have imported far too many people and the roads are stacked in the major cities. Waitlist on the “free” healthcare is massive and alot of the immigrants just create their own society and don’t assimilate + drive Ubers, they are not skilled workers like this video says.

[@rickdaniels1000]

What he’s saying is that the country is in decline. The country has a huge intergenerational wealth problem.

[@t-bone9239]

@@AusValueits impossible to get a visa if you are not on the skilled jobs list

[@michaelhurley3171]

As an American, Australia is one of my favorite countries. The people seem to be friendly, the world's best beaches and beautiful outback. Good luck and love from USA!

[@JoanneBurford09]

Thanks mate 🇦🇺

[@paulfri1569]

Cheers 🥂

[@michaelhurley3171]

@@paulfri1569 thanks, love to visit someday!

[@thomashiggins9320]

I went to Australia for the first time last April. Would recommend, will go again.

[@hagdore]

They hate Americans. Always ridiculing them and thinking they're better than Americans. They're not that friendly.

[@GeorgeMasterclass]

Australia, and Canada have very small populations and occupy continent sized countries. When you have so much land at your disposal, you have increased chances of having alot of everything. Trees, mines, water, oil, natural gas, and so on. The value of resources per capita is immense. Moreover they are quite organized and take advantage of it, as opposed to other asian or african countries. Finally both Canada and Australia are heavily supported by the United States and Europe.

[@jasonhaven7170]

And for both of them, their populations will be majority African and Asian descent in the future.

[@fe9335]

​@@jasonhaven7170 Why do you say that? Because that's who they employ the most in certain fields? Also, do you live there? How is it?

[@jasonhaven7170]

Because of immigration and low birth rates of people of European descent. It's simply demographics. @@fe9335

[@agme8045]

@@jasonhaven7170so what? It wouldn’t be the first time the original inhabitants were ‘replaced’ by foreigners. Europeans already did that

[@jasonhaven7170]

And the Europeans will be replaced, too. Karma.@@agme8045

[@mremington8]

the actual real reason is because a small population of 20 million is very easy to manage. you dont need complex systems to govern a small resource rich country who has the backing of several first world countries.

[@Tiffany98921]

As a young minimum wage worker with parents who are lifelong renters with no property, I feel quite screwed here in Sydney :')

[@historydoesntrepeatitselfb7818]

As an Australian our biggest loss in my beautiful country is and has been weak taxation on this mineral wealth that we have so abundant in our (due to mainly vested interest of mining companies, donating to political parties, and funding campaigns of misinformation to ensure weak taxation on them). This strong taxation would have helped to fund our healthcare system, schools, wealth fare, and disability system (NDIS) fully, with the great revenues left over from this to be allocated to our infrastructure build-up and government-built housing (currently a massive problem here in Australia). I know the Australian Labor Party under two Prime ministers Kevin Rudd attempted this and Gough Whitlam before him and both met similar ends and were removed from power for this by one party and the other the crown. Vested interest is too strong in my country and has destroyed a lot of our potential, stopping this giants of industry from giving funds to our politicians is the best way so it would be good start to ban political donations in our country, outright

[@jasonhaven7170]

And who's voting for these leaders?

[@tacitus6384]

No, just no. If you want the mining companies to 'pay for it', then force them to only hire Australians. Simply stealing their money when it was their economic activity that was keeping you afloat at some points is so short-sighted and greedy.

[@jasonhaven7170]

It's too late, yt boy. Australia is becoming less and less White. Karma. @@tacitus6384

[@Sal3600]

Lol stfu. They provide jobs.

[@00yiggdrasill00]

Unfortunately it's really not that simple. If we tax too much we risk becoming uncompetitive regardless of how much there is to mine. Couple this with mining taxes being one of the biggest contributors in our economy and the situation would be ripe for company departures. I get what your saying I really do but it's just a gamble not worth taking with a real possibility of losing. We really need to consider reworking other parts of our tax system first , which no one seems eager to do in the past 20 years, before looking at that risk.

[@LordandGodofYouTube]

Most of Australia's wealth comes from the Tim Tam mines.

[@oledshwfgk3068]

"No one can predict the future least of all economists." brilliant line and so true.

[@Unknown-jt1jo]

"Least of all economists" is tongue-in-cheek exaggeration. Economists have a better shot of predicting the future than most people, but the world is far too complex and has too many variables for anyone to predict it reliably.

[@GregOughton]

As a resident of Canada, almost everything you said is true of my home, but with slightly different focus on different industries.

[@teamtoken]

Theres an excellent article in the Economist called “Ozanada” about how remarkably similar the countries economies are, it’s freakish.

[@eargh]

Ive lived in UK, Denmark and Australia. Australia is by far the best quality of life. Everything just works and ill never get over the narural beauty and low density of people.

[@jakd2962]

@Person11068Australia is just better. Much better than even Northern Europe. It’s the best country on Earth right now. That won’t be changing anytime soon.

[@griffin1366]

Only if you're rich.

[@tamanousJP]

Low corruption and rule of law matter more than the other things you matter. It makes business confidence high. Also population growth has given an underlying vigor to the economy.

[@5kMagic]

Low corruption? I used to think that too.

[@michaelc9915]

Are you certain? The current housing crisis is in part due to population growth.

[@LoveOfLam]

There is no domestic population growth

[@gitgit1995]

Are you sure look at NSW Icac lol

[@timor64]

@@5kMagic Corruption is of course (and has always been) a problem here. Everything is relative, it is less corrupt than most other countries. If there was no corruption then we wouldn't have ICAC.

[@The_Nomadic_Life_Hacker]

The statement, that the Government Pension Fund of Norway is used to fund social services is wrong. The Petroleum Fund was established in 1990 after a decision by the country's legislature to counter the effects of the forthcoming decline in income and to smooth out the disruptive effects of highly fluctuating oil prices. The fund is solely there to make the time after all the oil has been claimed, i.e. the time after the golden rain, a little more bearable. That means it's not a pension fund for the people but a pension fund for government services when there's no more oil and when the tax income needs to be replaced with something else.

[@ScopeinTGP]

I love how Norway gets totted out as having this wonderful fund that helps all the people yet Norway has the highest taxes and cost of living in the world with living conditions no better than here.

[@schumanhuman]

Imagine how good the Australian economy would be if they properly taxed and shared the uneanred value of its land and resources rather than allowing a smaller number of people to parasitically profit and endanger growth in the coming massive bust (eta 2026/2027)

[@kenoliver8913]

Remember the Rudd government that tried to do exactly that in 2009? It promptly lost office. One of the evils you get with the serious inequality that a resource-based economy tends to generate is that money buys politics and the media (to my pol sci mates I talk about "median dollar theory" rather than "median voter theory"), and the resource industries have all the money. THIS, not Dutch disease directly, is the reason for the "resource curse" - the rents get concentrated in private hands who buy the politicians. Australia has suffered from it and suffers from it still.

[@thedofflin]

Hence, no turning back

[@JoelReid]

Australia has reasonably high tax rates and provides free public healthcare to its residents, irrelevant of income. It also provides small income and support to people who are seeking work, or are disabled. Healthcare is one of the cheapest in the world despite still being one of the highest quality. Australia has one of the highest life expectancies as a result.

[@SuperMegaWoofer3000]

@@JoelReidthe healthcare is pretty good and equitable, people don’t go bankrupt if they get cancer, medication doesn’t cost thousands of dollars per month, etc.

[@schumanhuman]

@@JoelReid Yes my understanding was Australia has good healthcare and reasonable welfare provisions. But it also has spiralling housing costs, largely because it did not correct in the last GFC, nor did it bite the bullet of even fairly modest tax reforms laid out in the Henry review (nor removal of negative gearing subsidies) which amosgst other things suggested land tax was by far the most efficent tax, in fact the only one with negative dead weight loss (ie the only one that improves the economy the more you raise the rate). It's not about overall tax rates, but WHAT you actually tax. Singapore for example get about 50% of government revenues from land and related fees, that allows them low taxes on incomes and sales. Canberra about a century ago only taxed land, sadly it's citizens saw rising house prices elsewehre and wanted in on the ponzi scheme and the sound econmics were dropped. Suggest you read Australian economist/forecaster Phil J Anderson, he utilses the 18.6 year average land price cycle, that suggests a peak in house prices around 2026 which will lead to the next global correction, it is very unlikely Australia will get off so easily this time round as the currecy has already been devalued and pirces are far more elevated, same goes for New Zealand and Canada.

[@janhviljoen]

Housing in Australia is super expensive because the supply of land for houses is tightly controlled through making land available only by very few institutions. E.g. in Canberra, land for private houses can in the primary market only be purchased from the Suburban Land Agency. There is no competition and prices around $1000 per square meter of serviced building blocks are the norm. Regulatory requirements for services to be installed before building can commence are also set very high, pushing up the cost of the land even higher. Money is created when a mortgage for a house is granted by a bank. Thus, houses form the security for the value of AUD. It's artificial bolstering of the value of our currency.

[@Secretlyanothername]

It's literally illegal to build a lot of houses at once in most parts of Australian cities. Because each city is controlled by dozens of small councils, and these don't like apartment buildings, there are less houses being built than are needed. It's something that needs to change

[@catb4516]

Total ignorant BS! Apartments are allowed and it is not illegal to build a lot of houses concurrently but you have to use a registered builder. Planning and building laws (etc) require that buildings meet standards and are approved. Town planner writing.

[@skyfox585]

They just put some fancy new apartments down in my city, but of course they're million plus flats on a canal with a restaurant culture street being built below to boost value even more. The development scope is a joke right now, its just for rich people and foreign investors. Right next to my gym too so it's chockers with cockheads.

[@mysticaltyger2009]

Same problem in lots of the U.S. as well. At some point, we have to realize these policies are actually being pushed from the global level, from the top down.

[@homyce]

10 years ago I chose Canada over Australia to immigrate. The biggest regret in my life, and though I moved to Europe this year, I still feel a bit sad every time I see a video about Australia.

[@jasonhaven7170]

You can still go to Australia.

[@homyce]

@@jasonhaven7170 I am 48 years old. I can visit Australia without the need for a visa with my Canadian passport, but I am not allowed to live or work there. It's not that simple :(

[@danieldelaney1377]

Good the last thing we need is more immigrants

[@jasonhaven7170]

Get a job offer. @@homyce

[@jasonhaven7170]

Lol, it's too late. Australia is becoming less and less White. Melbourne is already a quarter Chinese. Indian is the fastest growing demographic in Melbourne. And you're not Australian. You're European. Remember that.@@danieldelaney1377

[@churblefurbles]

unsustainable internal displacement, ignoring the costs of importing "wealth" is tiresome.

[@jasonhaven7170]

There is no "internal displacement". Australia was Aboriginal, then it became White and in the future it will be Asian. Karma.

[@philippe4106]

Australia is a lucky country run mainly by second rate people who share its luck. It lives on other people's ideas, and, although its ordinary people are adaptable, most of its leaders (in all fields) so lack curiosity about the events that surround them that they are often taken by surprise." Donald Horne 1964

[@CA999]

A "dumping ground" for people and technologies as my old man used to complain to me in the 1980s. I thought he was racist and resentful back then. Nearly half a century later he was dead right and worse: deindustrialized, indebted, more impoverished, less independent, environmentally degraded.....

[@siwi666]

and yet it has a reasonably high level of excellence in the scientific, artistic and sport industries compared to many other nations. It actually excels because of course there is great (unequal) wealth as well as the infrastructure and political stability. Everything the world admires and envies

[@visiblytransparent]

This quote can only be applied to it's time as that is what Donald is talking about. It was 60 years ago and Australia has changed quite a lot.

[@pervertt]

It is an Australian tradition to blame politicians for our ills. But who voted them in? We are fortunately, a democratic society, and we make our choices accordingly. I suspect that if we had the choice to pick a far sighted leader, say an Aussie version of Lee Kuan Yew, we would probably throw him out of office. Look at what happened to Paul Keating.

[@adam872]

Donald Horne turned out to be partly wrong. We’re more prosperous now than we ever could have dreamed in the 60’s. He wasn’t wrong about the political class though.

[@northernandyboy]

Good video! Australia is sadly kept afloat by Immigration and mining.

[@Leithvo]

Yep. kzbin.info/www/bejne/eImnpJ9nlpimeNUsi=OZ1grPBWacmwiPwX

[@hesh2892]

And zoning laws and restriction of subdivision ..that keeps house prices high all over Australia

[@Mlridge]

sadly or gladly

[@Anastasisization]

I moved to Aus from NZ to do a PhD. I left for Germany the second I could. My experience of Australian culture can be explained in three words: Racism, Classism, and Nativism. Australia is heavily dependent on immigration, but treats immigrants like intruders.

[@seanmckelvey6618]

Cool, don't come back. 👍

[@Anastasisization]

@@seanmckelvey6618 I won't 👍

[@_rd_kocaman]

From my experiences DE is more racist than AU and NZ but they don’t actually care to show their hatred

[@lacho2670]

Yeah cause europeans are notoriously not rascist

[@Hendra23155]

Just had this very discussion with neighbours. He reckons reason why we don't value education that much (compared to Asian countries) because we can simply dig dirts and sell inflated property to each other to have a good life. We are migrants ourselves and our kids were born here. We want to Australia to do well into future. We wish 21st century skills like STEM are more valued and encouraged in Australian schools!

[@adam872]

Depends on where your kids go to school, to a degree. The state and private schools my kids went to and the state school I went to pushed STEM pretty hard.

[@Hendra23155]

@@adam872 my kids go to local public school. It seems to prioritise “fun learning”, the teachers are fantastic but it has weird policy to discourage homework. Many parents I know send their kids to tutoring classes because of its lack of academic rigor.

[@emmett3067]

I don't know that rote learning in hot house environments is valuing education. Australia, like many places puts more focus on a broader education environment. Sure STEM results from many places in Asia are higher, but that doesn't tell the whole story about the efficacy of education. It simply means they know the material tested. Not the same thing as valuing education.

[@Hendra23155]

@@emmett3067 Fair call. I remember going to school felt like going to bootcamp. Aus PISA result is declining long term and teachers leaving profession in drove. If this is not a wake up call to fix curriculum or do something then we are stuffed. We might need to look up Finland as model.

[@MsJubjubbird]

You can spend 8-15 years from leaving high school to get a PhD in Australia and work your way up to a mid level academic and eventually be paid 100k a year. Or you can do a four year apprenticeship instead of finishing high school to fix drills and be paid 250k a year.

[@perfecto1701]

Australian universities are nothing more than 'visas processing centers', it's well known that professors are told to pass students as long as keep paying tuition fees. Australia should have a big sign .... "For Sale".

[@mkuc6951]

Chinese students are a cash cow for the university system.

[@thepunisher2988]

What is even worse is that they are full of Chinese spies. If the government doesn't care about upholding the national interests, well why should the citizens?

[@Leithvo]

Nailed it. kzbin.info/www/bejne/eImnpJ9nlpimeNUsi=OZ1grPBWacmwiPwX

[@Freestyle80]

well known for people following conspiracy news like Sky 😂😂

[@Treeman5744]

It was obvious to me while I was studying engineering and running tutorials and guest lectures early into my career. There were a large number of international students in their final year who could barely read or write english and clearly had no idea what was going on. We regularly saw them cheating during exams but not enough were caught. In the end all it does is devalue our degrees. All employers know it and most put no weight behind a bachelor degree.

[@keelangilmour2511]

The comment about the Scandinavian countries being blanketed in snow verse Australian coast line was the best line in the whole video. I might even go to the beach tomorrow before Christmas on Monday. The joys of Australia

[@jgripen969]

Scandinavia isn’t that cold. You’ll get the same experience climate-wise in the rest of the western world apart from a select few hot places like south of Spain, Florida or south California. Despite being on the same latitude as mid- to northern Canada, Scandinavia has a mild climate thanks to the gulf stream. The very north of Scandinavia can be harsh during winter though of course, but generally mild winters and hot summers of 30C+ during peak summer months.

[@jgripen969]

@Person11068 Correct. Sun never sets and is up 24/7 during summer, and the opposite during winter with only a few hours of light. My sleep schedule would be completely ruined if I lived up there😂

[@jgripen969]

@Person11068 Yea absolutely, which is why basically no person lives in the arctic region apart from a few mining towns and ski resorts. You must be a special kind of person to live up there. One of my colleagues have family from Gällivare, he’s always super warm. Everyone in the office can be freezing, while he’s sitting there with a shirt sweating asking if we can turn down the thermostat. I’ve never seen him wear a jacket during winter, a hoodie is apparently enough.

[@arnold3768]

Enjoy the Australian beaches filled with sharks, tiny super-venomous jellyfish and other deadly creatures lurking in those crystal-blue waters!

[@alexeibradley-malcolm2462]

@@arnold3768 Overblown stereotype.

[@blaertes4976]

Maybe things haven’t gotten quite as bad as the UK yet, but we’re heading that way.

[@jlrob85]

My mum always said Australia’s biggest asset and liability is its “she’ll be right” attitude🇦🇺❤️🇦🇺❤️🇦🇺❤️🇦🇺

[@Joel-xp3rm]

It's a liability period.

[@mysticaltyger2009]

The U.S. doesn't have that expression, but a similar mentality.

[@ross.venner]

13:20 - One of the sadest experiences of my career was rejecting scores of job applicants because the covering letter with their CVs demonstrated completely inadequate English. The universities claim they are not responsible for their students' English. This is a waste of human talent for the nation and a tragedy for the individuals concerned. For the universities, it is a moral disgrace.

[@CA999]

The university staff made their money. It's your job now to train and coach.... Or hope for a "skilled migrant"...

[@phunk8607]

yep...

[@bugsygoo]

I don't know why the universities should be blamed for the standard of English of their graduates. Do you really think someone doing a maths degree should also be taught the basics of grammar as well? Surely students should be able to write well after 12 years of schooling.

[@ross.venner]

@bugsygoo - The universities "sell" their students and those students' parents, on the idea that upon graduation, they will be employable in Australia and will obtain permanent residence. If the universities fail to ensure their graduates have competence in business English, they have failed to provide one of the core skills their students have thought was part of the deal. Worse, many graduates from our universities manage to stay in Australia, but in jobs that fail to engage their qualifications and intelligence. They are often exploited. If I was treated so badly, I would be profoundly embittered. Even if those victims are more reasonable than me, their fate would be a terrible waste of talent, or as economists might say, "human capital."

[@trondberge7423]

I emigrated to Australia from Norway 24 years ago. I love Norway, but Australia provides an even higher standard of living

[@george6514]

Really? It's a surprise for me, lol

[@bestyoutubechannelever3206]

Doubtful of that today

[@leaveme3559]

Aus definitely has better beaches the rest I don't know

[@sheezy2526]

Lol, are u sure?

[@darkmater4tm]

24 years ago is the key fact here. Did you happen to buy a house, say, 20 years ago? You are riding the best side of the bubble. New arrivals in Australia will never experience a great standard of living. They could in Norway though.

[@holdforfreedom7784]

I traveled to Australia for nearly 35 days while traveling in a camper van. I am from the United States. It was very interesting to see how developing Australia appeared to be. Especially on the outskirts of the cities and in the small towns. The infrastructure primarily outside of the cities appeared to be lacking. This, of course, is not an insult, because, as you said, many people wish to move to Australia, and I hope one day to retire there because I fell in love with that country. The weather, the coast line, the people it is a amazing country.

[@Dmdc456]

I think this comes down to how young the country is + how dramatically concentrated the population is; 90% of the population lives in 0.25% of the country's land.

[@quackcement]

the landscape is amazing, but people forget that major Australian cities get twice the rainfall as a city like London. also i did find it seemed to be lacking a unique enough cultural identity. (ie the choice in food seemed basic unless you go to Asian restaurants) this is typical of countries with lower populations though. overall i liked the place though, sply queensland.

[@danielzhang1916]

@@quackcement the same with Canada, we went to Vancouver, it felt like another Seattle or SF, if I didn't know where I was, when you've been to other big cities, it kinda pales in comparison

[@tiptoptonic]

The rain is very different than London - which is gloomy, cold and often overcast. In Australia, rain clouds move in fast and are often away within an hour or two, whereas drizzle in the UK can linger for weeks.@@quackcement

[@yootx]

​@@quackcement We Australians tend to cook at home. With some exceptions the kind of restaurants you can get is largely dependent on where the migrant population of that area came from. Also unfortunately many chain restaurants have outcompeted local owner operator businesses.

[@beelle]

Very well explained mate. We have upcoming struggles and potential bubbles…

[@eezaak21]

As an Australian that probably won't be able to afford a house....this video made me really mad. But it speaks the truth.

[@davidc1878]

You cover a really important aspect of the real estate bubble that has grown over the last two decades on a global scale. It is not just property developers, but local/regional governments, local homebuyers, the larger real estate flipping industry, and on and on... all have a vested interest in inflating and maintaining bloated real estate prices. I live in Canada and local tax revenues and school taxes pretty much depend upon home prices remaining at sky-high levels. It is a vicious cycle where an over reliance on budget deficits (more debt) and doing everything to encourage property bubbles virtually guarantees high inflation. Add global instability to all that and it isn't a pretty picture going forward in many developing and developed countries.

[@ramsaymayka9978]

It's how the boomers retirement was funded

[@mysticaltyger2009]

Once you understand it's all deliberate, it all makes sense. Like they said at the World Economic Forum in 2016: "You will own nothing and be happy". Of course, what the global elite meant was THEY will be happy when the rest of us own nothing.

[@darkmater4tm]

Having lived in Europe, US and Australia, I can say that Australia isn't rich in the way that people imagine it. It is on the low end of the developed country range. But the ultra-rich locals and visitors give it sparkle that deceives the eye.

[@JoanneBurford09]

We have the highest median individual net wealth in the world - are they the sparkly people you're referring to 🤦‍♀️

[@darkmater4tm]

@@JoanneBurford09 "We". Most people working advanced jobs in Australia earn a fraction of what their international peers earn, and that's before accounting for cost of living. They live in crappy apartments and they will likely never see better. Your net wealth is really just the paper value of your house, which is not representative of its quality, and which only the ultra rich can take off your hands.

[@MK-lm6hb]

@@JoanneBurford09 Australians are not rich. Their median individual net wealth is high only because property prices are sky high. And our houses can hardly be called houses - they are glorified tents. Wealth should be measured in liquid assets.

[@EveryoneWhoUsesThisTV]

Australia is rich in open spaces.... :) So, we can grow or scavenge our own food, firewood and building materials pretty easily. But younger generations want to live like Americans, which is fine in boom times, but they suffer badly when inflation hits. They don't seem to know how the basic tricks to save money during these crunch parts of the cycle. We also have good hospitals for all, low violent crime and pothole free roads because we have tax money to spend on infrastructure and safety nets, so being poor is pretty chill in Oz....

[@hardto994]

Most people in Australialive in houses , relatively few live in apartments especially compared to Europe.@@darkmater4tm

[@surajRoxfan-kc9lj]

He's so happy about the Recession coming in, like he's super excited to be witnessing it.

[@CA999]

They make money on the transactions on the way up and down.

[@PixelsInMySoup]

Honestly, the weather works against Australia for me; I'd rather have a few months of snow and fresh cold days than the unbearably scorching Aussie summers.

[@alexeibradley-malcolm2462]

You do realise, there isn't one climate for the entirety of Australia?

[@oceaniaimperia1985]

As a Queenslander born and raised I must say that I feel that the average Australian is largely forgotten about, it's not like everyone owns a home but rather it becomes an ever increasing minority in an already pressured economy that is bleeding the life out of its already existing residents that keep this functioning while these "highly skilled" people just take advantage of everything we provide while we are left nothing to show for it. The government is increasingly incompetent at it's job and sinks the nation into greater debt to either sell it to their rich friends or sell it to fund their failing programs. To take away from this I believe Australia is dying like in the sense of a person having cancer but not knowing till it's too late and we must reform and actually create an economy that isn't so hostile to the cultivation of business and enterprise while decreasing our reliance on outlanders to sustain our slowly shattering system.

[@williamcrossan9333]

Amen to this.

[@oceaniaimperia1985]

That is why I propose a solution, we need like minded people of any background to put aside their differences and forge a new political entity within our government, a sort of new dawn society movement a d through effort and time we can gather support to put this country on the right track, a bright future, an Australian future.

[@mkuc6951]

As the kid of migrants from Eastern Europe who grew up in Oz, I can definitely say you need to fix migration. Aussies first, fix the issues so people are able to live well. I feel like if you're an Aussie you can't even say this without someone calling you racist or some BS. It's not about race its about getting the fundamentals in order. With an Australian passport, you cannot go buy land in China. However we've given them an open door to buy whatever they'd like for example.

[@oceaniaimperia1985]

Exactly. Any nation should always focus on it's own before going out and about taking others in, every time this has happened it causes only greater suffering, at the end of the day it is the responsibility of a supposed developed country to help it's own people. They wonder why we hate them

[@ElusiveTy]

​@@oceaniaimperia1985Sounding like a socialist pitch. I'm not one for rampant socialism, personally, but you can rest assured that socialism is on the rise in Australia. We've done well to introduce socialist policies while maintaining capitalism, which is something we'll likely continue to do. Something that people seem to forget is that your idea of a 'bright future' and 'the right track' isn't shared by all. Some people believe that having absolutely zero state-owned entities is a 'bright future' and neither of you are more or less correct. The only way forward is going to be by continuing to compromise on both sides, as normally happens with policies. That's often why everyone disagrees with politics, because the only way one person will 100% agree is if their personal ideology is adopted. Everyone has their own though so that's not how democracy works.

[@ivancota9762]

both Canada and Australia are huge with loads of natural resources that they exploit like crazy, while having a relatively small population (27 and 38 mil.)

[@mamajune3864]

"Slavery, Colonialism and Colonization" are all evil things done by evil doers. By the way, just to let you know that I read the insightful multi-page comment by 'Lonely Alaskan' at, "Complete History Of Indigenous America Before Colonialism" on KZbin. Hugely appreciated.

[@lynxfresh5214]

And their fatherland, the UK is a fraction of the size of both nations yet has a greater population than Australia and Canada combined.

[@mazzdacon2134]

As a wealthy Australian two things have made me rich..... I worked in the mines and invested in property.

[@NicholasCampbell-pe3db]

That sounds about right. Obviously, you also saved the money that you earned and likely worked hard for and did not p#%$ it up a wall, either.

[@herogebrial]

Can you advise if one was interested into getting into the mining sector..

[@megatoby1990]

@@herogebrialeasiest way, move to a mining town, frequent the employment companies such as workpac. its not actually that hard if your persistent. I moved to mt isa and actually liked the place.

[@TheKazragore]

Thanks for admitting to adding to our housing crisis.

[@erictayverystrongimaginati1662]

Superb 😊

[@conwaylai8562]

I feel Australia has followed the US route, let the corporation exploit local resource wealth at the expense of citizens, with generous kickbacks to politicians.

[@fatboyRAY24]

There is nothing inherently American about that.

[@AussieZeKieL]

@@fatboyRAY24yeah it’s a human problem. If anything the successful countries have less corruption.

[@Xalta_Sailor]

Buy shares and participate in the party too! 🎉 🥂

[@aheat3036]

The U.S. way more industrialized with a much more sophisticated & diversified market and mature framework and infrastructure which makes the USA much more stable than Australia.

[@AussieZeKieL]

@@aheat3036 they have a lot of companies that the world use, but they also have spiraling government debt. Hopefully some politicians grow a set before it crashes their economy.

[@jamesmcpherson1590]

I love this channel! Thanks for all the great videos!

[@jimmicrackhead12]

We got lucky- minerals, oil and gas, agricultural land and natural beauty to encourage tourism. We also get a lot of overseas money from education which is primarily due to us being the western democratic country nearest to Asia. Having said that, much of our growth is due to economic migration, we basically import all of our growth

[@smadriel]

You should make a video on Uruguay, the most stable economy in Latin America people never heard about.

[@Goatcha_M]

Regarding Taxes, its vital to recognize that for Low Income Earners, the millions of people on less than 50k a year or so,, the GST is effectively a 10% Income Tax on top of their other Income Taxes. Its been like that since it was introduced, its a millstone around the necks of the poor, while the wealthy don't even notice it.

[@ahmedsalar9016]

Summary: Australia has only iron and coal exports and its real estate market to keep it going. Other than that, there's the neo-imperial perception that allows it to be a haven for skilled migrants, especially students, to boost its economy. (Sounds very unsustainable unless the increased number of migrants help in the organic growth of competitive industry, which I don't think is likely to happen)

[@tigerpjm]

Goods and services dominate the economy, which means it's a largely self-sufficient economy. Which means it's not only sustainable but, largely, insulated from global economic shocks. If it's so unstable, then why hadn't it experienced a recession for 40 years?

[@wesleygordon1645]

As long as the CFMEU have their way, the housing market must get worse. Labour costs in the US are much cheaper than Australia!

[@Tolpuddle581]

@@wesleygordon1645 The US has a vast underclass of low cost labour called immigrants. The Federal minimum wage in the US is $7:25 although some States pay more, that minimum wage has not increased in over a decade. The Construction Union you refer to has zero impact on housing availability in Australia ,one of the causes of housing cost in Australia is overseas investors outbidding locals on residential property causing a price rise flow on particularly in places like Sydney.

[@FunningRast]

Australia has the largest or one of the largest reserves of numerous resources like uranium, gold, aluminum, zinc, etc. As these resources deplete in other countries who do you think will reap the benefit of higher prices?

[@m2heavyindustries378]

"They hate us cos they ain't us!" The jealousy of 3rd worlders shows up way too easy mate lol

[@ac-studio]

Upon returning to Australia after nearly a decade in Hong Kong, I've been taken aback by the exorbitant housing prices and sky-high cost of living compared to my previous city. Keeping a close eye on housing trends, I've observed a substantial increase in prices. For instance, in 2017-2018, the type of houses I'm interested in were commonly listed at 1-1.2 million dollars, whereas today in 2023, they're listed at 1.4-1.5 million dollars. Furthermore, the prices of groceries continue to rise annually. It's disheartening to witness the government's failure to take significant action to tackle inflation amid these mounting expenses.

[@baderlade]

How about Hong Kong property prices? They didn't go up, did they? Inflation is all around the world, how would one particular government tackle it?

[@_zack__2671]

I think EE should have explained the flawed ABS logic in counting international students economic activities as exports especially when many work while studying in Australia

[@carlmaissan4340]

Tourism is always counted as an export. A bit counter-intuitive but it's a source of foreign income... just selling experiences instead of goods. Education is exactly the same

[@Leithvo]

​@@carlmaissan4340Wrong. Tourists bring money earned overseas and spend it in Australia. Foreign students mostly come to Australia with little, work, and then spend the money earned here to pay their tuition and living costs. The ABS wrongly classifies this domestically earned income/spending from international students as an export. International education is mostly an immigration scam. Take away generous work rights and residency and most students wouldn't bother coming to Australia.

[@quackcement]

A vid on the collective economics of Anglo countries would be interesting,

[@D4PPZ456]

I don't know who thought it was acceptable for large chunks of investment capital to simply be parked in housing. If developed economies lean on innovation to remain globally competitive, having all that capital sit idle is akin to economic suicide.

[@guin_kiwi]

When you had a picture of Norway in snow and said "while Australia looks like this" I was actually expecting a bushfire picture.

[@Tinil0]

Big economics question: Is there any realistic way to decouple real estate from investment in countries where it has already been established without completely hosing those who took part in the current system where it was investment? I can't see any way that doesn't alienate basically everyone when your economy is already structured that way. Solutions to it seem to invariably throw current people invested in real estate under the bus and it doesn't matter if you don't care about those people, it means those methods will remain completely politically unviable and thus never implemented.

[@thetrailer5050]

Hey EE, would love it if you could make a video about why no economies in the world are breaking through from the developing to developed status these days/countries not being able to leave the middle income trap unlike the USA, Western Europe, and Japan, South Korea, or Taiwan and/or which country could be the next country to break out of this phase. Example of countries could be Malaysia, Brazil, Turkey, and even China.

[@cordlc]

You'll never get an answer, because the real answer is controversial. Countries don't just move randomly up and down amongst each other, given enough time they'll hit their equilibrium that's more or less correlated with the intelligence of the population.

[@q1mera1]

You really need to make a video on Portugal because a lot of the problems you said about taxation on higher earners and the effect that has on the real estate market also apply to Portugal except with a more extreme effect which has lead to a massive brain drain and to having some of the oldest population in the world

[@leekarssen]

A bit late here in Aussieland to be posting a vid mate. Working hard to feed our hungry brains I see!

[@MatthewTolanNZ]

Much of this is true for New Zealand as well, without the minerals and same tax breaks for housing investment. Otherwise, pretty much the same.

[@ericshang7744]

New Zealand has gone backwards

[@george6514]

But the size of economy not that large, and many NZders move to Australia 🇦🇺

[@stevenlyhne1]

You say that diversity a strength for Australia. It seems more and more evident to me that being homogeneous is more important for long term stability.

[@seanmckelvey6618]

Diversity is a strength only if those people from different backgrounds are willing to assimilate and contribute to the country as a whole. Many people immigrating here now no longer have any desire to do that, instead we are increasingly faced with ethnic groups who only associate with their own people and really have no desire to contribute outside of those communities.

[@mbn9672]

Yea i’m sure Australia can sustain itself without immigration judging by its abysmal birth rate 👍🏼

[@bonghead6621]

When you consider the actual hours worked,time away from friends and family and unlike pre work choices,the vast volume of draconian rules imposed on employees. entire lives 24/7. In my view having worked on mine sites pre and post work choices I consider mining camps N Korea's with better food.

[@nikol596]

A great video as always. When I saw “selling Australia” 12:25 , it feels like almost a Ponzi scheme .. 😂 Correct me if I am wrong.

[@Leithvo]

100% ponzi scheme. kzbin.info/www/bejne/eImnpJ9nlpimeNUsi=OZ1grPBWacmwiPwX

[@daniellarson3068]

I live South of Canada. When the really cold weather hits, it blows down from Canada. When the really cold weather hits, I view You Tube videos. I see Australians with expensive bicycles out in the sun, sailing on the warm ocean, SCUBA diving, surfing or just enjoying a good beer and Barbecue meal in their back yards. I grew up in a town that mined Iron Ore. There were very few rich people. I guess that's all the economics I need to know. Australians are doing something right.

[@daniellarson3068]

@@wolferup So,.......Australia sells a lot of iron ore to China among other resources. A lot of money is made. I take it that this money doesn't "trickle down" to the average Australian.

[@deanfs89]

My main issue with Australia's economy is that our exports aren't more diversified. Given that we're an isolated country, we should be subsidizing industries with little transit costs (i.e. science & technology).

[@CA999]

See the comment about Donald Horne above. The Australian decision makers have given up on their country. Preferring easy real estate speculation knowing they cannot compete long term with East Asia or Russia.

[@SuperMegaWoofer3000]

We’d have to educate our people instead of indoctrinating them. Plus you’re more likely to own a home if you plumb toilets rather than invent things.

[@Xalta_Sailor]

Or we could subsidize our demise by forcing unwanted and unreliable “renewables” on the population rather than using our abundant, reliable and cost effective energy resources. Oh, wait we are doing this. If you take anything from this channel it should be that subsidies are always bad in the long run.

[@chalkandcheese1868]

​@@deanfs89One thing I really hate is Australians saying "dude"

[@deanfs89]

sick input to the conversation, 'dude'.@@chalkandcheese1868

[@christopherbutler6134]

Would love to see a "hypothetical" video utilising the sovereign wealth fund applied to refinement of uranium from yellow cake and to saleable uranium rods for power production....

[@zwerko]

As someone living in the Netherlands, experiencing pretty much the same housing prices insanity and even higher income, and general taxes, but with far crappier weather-I find it hard to have sympathy.

[@brewmeup5827]

Slaving away at a full-time job, I can barely scrape by in a Brisbane studio apartment. Same story for most folks my age. It's infuriating hearing about Australia's booming economy when I'm drowning in bills... Negative gearing for retiree income, anyone? Explains the housing mess, too. I Traveled the world, and lemme tell you, Australia's cost of living is brutal. Found Japan and Korea way cheaper! We dig holes and build houses like crazy you say, so where's the affordable housing? Tons of land, tiny population... why not 3D print houses and slash costs? Maybe the "got-it-made" retirees don't want their property goldmine to tank? Australia's great for the privileged, sure, but for hard workers like me, prosperity is a pipe dream. You try finding a decent place for less than half our $1300 median wage. Australia's rosy reports hide the real struggle. We need a reality check.

[@griffin1366]

We are living the Gilden Age but worse.

[@3141-g8n]

The increasingly controversial topic of extremely high migration you touched on at the end might be interesting enough for its own video and applies to countries outside ours. A lot of economists have recently started flipping to or flirting with 'the dark side' of suggesting lowering migration. Very few entities seem capable of discussing it with honesty though I think EE could do a great job with it.

[@person.X.]

Immigration/diversity etc has become analogous to a cult for many people and they cannot handle any criticism of it as a consequence. Eventually the downsides have become so glaringly obvious that economists and politicians are having to address the issue. I am hoping that we are finally moving towards a more rational appraisal of the pros and cons and away from the weird quasi-religious/moralistic take on it.

[@MsJubjubbird]

Well Albanese announced a few weeks ago he wanted to cut migration. One of the other reason people don't migrate much to northern Europe is they discourage migration and make it very difficult, and their economies do ok

[@Spectacurl]

All Australia need is, like in most places, car independent cities with very dense housing. That’s it. Make Australia even more similar to Scandinavia by making them more free of cars and it will fix their major problem

[@johnryan1386]

Exactly why we should have high speed rail

[@jamesc2810]

I can’t say I feel lucky to be Australian.

[@ian7033-qj9wg]

Then you have never travelled.

[@thomascoorey1340]

Amazing video!!

[@MrFastFarmer]

Your analysis is good. We have become totally reliant on immigration, with the young having no future.

[@gergelyovics]

Camon no future, go to Somalia and say that. Here in stray people got everything.

[@MrFastFarmer]

@@gergelyovics old people have everything, young people have nothing. A demographic that wont change and will only worsen for generations to come.

[@griffin1366]

@@MrFastFarmer I have $200k in the bank. Great it may seem but I cannot afford a home and do not wish to sign up to a 30-40 year loan to buy a basic house. Yes appartments exist but with the state of them, I'd rather not. So there's no point me working anymore, and I will inherit my parents home by the age of 50-60 which is worth over $1M. The economy will hard crash in 25-50 years and it wont be pretty, unless we replace ourselves with millions of migrants and lose our identity.

[@blazer9547]

South Asian immigrants are loyal to their nations almost fiercely. Better if thier numbers are reduced

[@gergelyovics]

@@griffin1366 I am in the same situation I have 200k in my bank account and I am not choosing to buy anything, but it's my own decision!

[@jimmyliu_youtube]

Inequity can erode the prosperity of Australia built on political stability etc. And this issue should never be neglected by any politician in Australia.

[@rustix3]

14:04 "the host country can choose to keep young freshly graduated". - that sounds nice on paper. But in reality what even means "country can keep", it's depends on the companies if they give them jobs, country can't do that much about it. And usually what media writes as a "lack of employees in improved economies" is just need for dirt cheep labor with high standards. I never heard that it's relatively smooth to find a job in a developed economy after graduating. I heard the opposite, let's take Canada, as a foreigner even with several years of experience it's usual that your first job will be bartender etc., because employers are asking for mythical Canadian experience, when you are applying from abroad. So I am very doubtful about any developed country keeping a decent amount of foreign students after graduation, while students having a smooth path and just not accepting any job offer because they are desperate.

[@jasonhaven7170]

You not getting a job is your own fault. How can Indians and Chinese do better than you?

[@daniellarson3068]

I've seen that in the US too. There are very smart people but their qualifications are not accepted. So, they take simpler lower paying jobs. Still,they stay because where they come from really sucks.

[@tsubadaikhan6332]

It really does happen in Australia. In lot of required jobs, while studying say Engineering, Doctors, Nurses, Teachers, Laboratory Techs, etc. do perform job placements as they study their degrees. From there they get employment. I met a guy doing a post grad in Medieval French Woodwind Instruments, and he spent his Vocational Training in Museums and Galleries, and ended up with a job in Australia even with that esoteric Degree. While you're studying here you wait tables and tend bars, but there are plenty of jobs if you become good at what you're studying. Although - I'm pretty sure we have about 50 qualified Marine Biologists for every paying job we have in that field...

[@rajb7653]

@@daniellarson3068 I graduated in the middle of 2020 lockdowns in the US. It took me 2-3 months to get a job. All you need is an in-demand skill in the US.

[@charleszerafa865]

Australia is more than mining and housing. According to the Reserve Bank of Australia, the Australian economy is composed of several sectors, with the service industry being the largest, accounting for over 70% of the GDP (2024). Other major sectors include tourism, healthcare, media and entertainment, finance, manufacturing, and agriculture. Most of these were not even mentioned.

[@marcussver620]

"I believe that Australia, Norway, and Canada are the only countries that have grown in a balanced way with their natural resources, but sometimes it's bad to depend on raw materials because resources are not infinite, and their growth will decrease, risking losing everything at once like Zimbabwe, Nauru, Argentina.

[@MartinNew14]

true

[@mordecai3366]

wow only white countries were able to make a stable economy? interesting

[@davdav8709]

On the topic of the "housing crisis" and young Australians not being able to afford a house, this is pretty much just big cities like the capitals, if their willing to move into a regional or rural town with some industry and employment opportunities houses are affordable, I had to leave Brisbane in 2013 to find an affordable house and safer place to raise my family and never looked back

[@mattyking]

Here's the thing though, work opportunities in regional and rural areas are wildly limited, and you have to be able to afford the move in the first place

[@davdav8709]

@@mattyking that is true, but its not impossible.

[@ironmind258]

I'd say the smaller cities are up and coming on the east coast anyway, like the Gold Coast, place changed pretty rapidly.

[@peepeetrain8755]

@@ironmind258 east coast cities and regional towns are unnafordable now anyway, the locals have been priced out and housing prices skyrocketed

[@darlingtondeathbeam]

I grew up rurally, I'm not moving back. It's like a third world country out there except everyone's fat. The Aussie bush is no place for a working-age person to live in.

[@ihormadych5185]

Could you please talk a little bit about taxes in one of the future videos? For example, how fair a progressive taxation or property taxes are, as it looks like a penalty for being responsible and trying to achieve above average financial results..?

[@BigSunnyMac]

And yet people still strive to earn higher incomes...I never tire of seeing this ridiucous argument. You will never discourage people, particularly wealthy people, from earning more and more money and subsequently hiding it from taxation.

[@thepunisher2988]

@@BigSunnyMac You will discourage people from working beyond the point of diminishing return if their work accumulates costs that cannot be scaled. Besides, wealthy people aren't discouraged by the progressive taxation because they are able to use the loopholes to cheat the tax system. In other words, you will discourage honest people while encouraging corrupt people. You sound suspiciously like someone who writes comments on behalf of the government, because hardly anyone in their right mind actually defends the tax code without some level of criticism.

[@ThinkTwice2222]

The best resource of Australia is speaking English and having Western values

[@daniellarson3068]

They sure do produce a lot of English speaking movie stars. There have been a lot of musicians too. Then they also make a lot of good movies there. You hear Australian English so often that you don't even notice the accent. In fact it gets to where you have the accent.

[@ray73864]

Western Australia's 1981 Mining Act and the Royalty for Regions Fund would like a word with you :) In 1981 the Mineral Royalties was introduced, you can't just extract minerals out of the ground here in WA for free, you have to give back a certain proportion of the value of those minerals, ores, etc... And then in 2008, our National Party here in WA on condition of forming a government, required that the incoming government establish a 'Royalties for Regions' fund where 25% of the royalties from mining and petroleum are diverted into the fund, the fund is not allowed to be spent in the larger population areas (mostly Perth), they must be diverted to the regional areas of WA (Kimberley, Gascoyne, Pilbara, South-West, Great Southern, etc...) to improve those areas. Otherwise all funding would just stay in Perth and surrounding areas.

[@kweightthree]

The only things keeping the Australian economy going are EE, MCM and Bluey.

[@lewisflynn7018]

International students are prioritised by the universities for the economic reasons and reduce the opportunities of local students to study there. That is a very short-sighted way to gain/build population and economic growth.

[@adam872]

Overseas students subsidise local students through their fees. It’s been that way since at least the early 90s when I was an undergraduate. The metric we used back then was that each full fee paying international student paid for three locals. I’d imagine it’s the same now.

[@CA999]

​@@adam872the irony is now those overseas students of the 1990s are NOT sending their kids to Australia to study. They realised their domestic education and industries are better than Australia's now.

[@adam872]

@@CA999 I don’t really have any way of testing that theory, but I will say that there are more international students coming here than ever before.

[@bernardo6715]

A correction to be made is that it’s not that Australians naturally “prefer” to live in single family detached homes, but that the government forces most of the land to be reserved exclusively for SFHs through zoning. This problem could easily be fixed through policy, as New Zealand has done.

[@Leithvo]

Rubbish. Surveys show that most Aussies would prefer to live in a detached house over an apartment. For good reason.

[@catb4516]

More ignorant BS! Town planner writing. Higher density living is focused around shops (activity centres), jobs and transport. This has been policy for decades. Most Australians prefer detached housing and this is market forces. I worked in land development for years including on whole new growth fronts for hundreds of thousands per growth front! Further, Australia is a highly urbanised country and density is a requirement.

[@cuteswan]

The best things about Australia are EEVBlog and Honest Government Ads. (The latter may shed more light on Australia's problems.) As for Australia encouraging immigration, uhm… you may want to let the Manus Regional Processing Centre detainees know about that.

[@Jesse_Tepuia]

We have an unwritten code of "mateship" in oz. Its just a part of us, i've had neighbors and friends from kashmere, lebanon, india, brasil, china, south korea, japan, UK, somalia, indonesia, phillipines the list goes on. Everyone of them was in the same boat. Trying to make their way and have a bit of fun. The one thing that always came up was weather and safety, almost all of them said the weather here is awesome and they feel safe.