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Couldn't agree more. I definitely like Australia over Canada because their government seems much more conservative in its spending habits (as indicated on the

Couldn't agree more. I definitely like Australia over Canada because their government seems much more conservative in its spending habits (as indicated on the graph in the article) and their physical proximity to China and India give them a cost advantage in transporting commodities to fuel the growth.

esja 17y ago
I am Australian and am wary of investing in Australia, despite the many wonderful things about the economy over the last few years. The currency is at all time highs, meaning if you are a foreigner you are paying a historically high price for whatever you buy. The domestic economy is skewed toward resources largely funded by Chinese stimulus/speculation, which could turn on a dime. House prices are stratospheric and almost any rise in interest rates or unemployment (which are again at historic lows and have one way to go) will put the brakes on housing very quickly, leading to serious issues in the banking system and onward from there. I am trying to persuade my parents to sell their house in Australia (which they no longer live in), diversify into beaten down currencies like the USD, and try to buy into a different asset class at the bottom, somewhere else. Possibly even US land or similar, if America takes its medicine.
mmphosis 17y ago
I am Canadian and am wary of investing in the stock market in Canada because the behaviour of our government is simply to follow in the footsteps of the previous Bush administration in the United States. The government deficit has recently gone back up to levels it was at in the 80's and 90's. The domestic economy is skewed toward scamming investors into buying resources that may or may not be accessible. Following the US lead, housing prices somewhat collapsed and are mostly flat now. Unemployment numbers are unreliable as the numbers do not really reflect the numbers of people out of work. The city of Vancouver for instance has about 1200 homeless people but homeless people are not counted amongst the unemployed. Our banking system is similar to the United States where the government borrows money as debt. In Canada, the government borrows debt money from private Canadian chartered banks that create the money virtually out of thin air. With the beauty of compound interest the government has paid out over $1.5 trillion dollars in interest alone. Most of our deficit and spending goes towards merely making payments on the interest to the private banks. Every government in the world could pay off their debt in an instant by creating debt free money out of thin air. The Bank of Canada has this power, but the Canadian government chooses to create money as debt.
darien 17y ago
I find it telling that both Canadians and Australians (on this board at least) are hesitant to invest in their own countries; which seem to outsiders as stable economies . The global economic crisis has truly reduced confidence everywhere.

esja 17y ago

I am Australian and am wary of investing in Australia, despite the many wonderful things about the economy over the last few years. The currency is at all time highs, meaning if you are a foreigner you are paying a historically high price for whatever you buy. The domestic economy is skewed toward resources largely funded by Chinese stimulus/speculation, which could turn on a dime. House prices are stratospheric and almost any rise in interest rates or unemployment (which are again at historic lows and have one way to go) will put the brakes on housing very quickly, leading to serious issues in the banking system and onward from there. I am trying to persuade my parents to sell their house in Australia (which they no longer live in), diversify into beaten down currencies like the USD, and try to buy into a different asset class at the bottom, somewhere else. Possibly even US land or similar, if America takes its medicine.

mmphosis 17y ago

I am Canadian and am wary of investing in the stock market in Canada because the behaviour of our government is simply to follow in the footsteps of the previous Bush administration in the United States. The government deficit has recently gone back up to levels it was at in the 80's and 90's. The domestic economy is skewed toward scamming investors into buying resources that may or may not be accessible. Following the US lead, housing prices somewhat collapsed and are mostly flat now. Unemployment numbers are unreliable as the numbers do not really reflect the numbers of people out of work. The city of Vancouver for instance has about 1200 homeless people but homeless people are not counted amongst the unemployed. Our banking system is similar to the United States where the government borrows money as debt. In Canada, the government borrows debt money from private Canadian chartered banks that create the money virtually out of thin air. With the beauty of compound interest the government has paid out over $1.5 trillion dollars in interest alone. Most of our deficit and spending goes towards merely making payments on the interest to the private banks. Every government in the world could pay off their debt in an instant by creating debt free money out of thin air. The Bank of Canada has this power, but the Canadian government chooses to create money as debt.

darien 17y ago

I find it telling that both Canadians and Australians (on this board at least) are hesitant to invest in their own countries; which seem to outsiders as stable economies . The global economic crisis has truly reduced confidence everywhere.