Australian Recession 2017 The unintentional prophecy predicts Australia will go bust in 2017 real estate declining between 40% up to 70%.

Australian Recession 2017
Unintentional Doomsday Prophecy

Australian Recession
Professor Steve Keen has stated to ABC news that there will be an Australian Recession in 2017 and real estate prices will decline by 40% up to 70%.

Not just for the 'Doomsday' supporters, I highly recommend reading the ABC News article linked below. Australian Recession 2017.
Steve Keen has stated that Australia’s debt level according to the Bank of International Settlements, private debt level, has jumped from 150% of GDP to 210% of GDP and will trigger the Australian Recession in 2017.

Professor Keen believes that the Australian Reserve Bank (RBA) has “Unintentionally” lead the Australian economy towards a recession by facilitating and encouraging an unprecedented increase in household debt in the form of low interest property loans, which has led to asset bubbles. Professor Keen "We have borrowed ourselves so much to the hilt that we are now dependent on that continuing to rise over time (capital growth) and it simply won't," he told the ABC’s, The Business.

In February 2016, the Man behind the 'big Aussie short', Jonathan Tepper founder of research house Variant Perception, also declared in a controversial report that "Australia now has one of the biggest housing bubbles in history” that sparked a fierce debate about mortgage underwriting practices.

Date: July 29 15:47 EST
Published by: Mortgagee Property Limited
Reporter: Scott O. Talbot
Category: Australian Recession 2017
Video: Watch on YouTube - Watch on YouKu
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Australia headed for recession next year, Professor Steve Keen says

Published by ABC News
July 30 2016
by Elysse Morgan
Topic: Australian Recession 2017

Australia's credit binge will lead to a bust as soon as next year, with house prices to fall between 40 and 70 per cent and unemployment to rise sharply, Professor Steve Keen says.

The professor famously lost a bet when he predicted a catastrophic crash in Australian house prices following the GFC and had to walk from Canberra to Mount Kosciusko as a result. But he says, this time, he is right and does not have his hiking boots at the ready. "We have borrowed ourselves so much to the hilt that we are now dependent on that continuing to rise over time and it simply won't," he told the ABC's The Business.

Many believe the Reserve Bank has been a steady guiding hand to the Australian economy in the years since the GFC, but Professor Keen believes it has guided the economy "straight toward the shoals" by encouraging households to borrow with low rates which has led to asset bubbles.

"They don't know what they're doing," he said. "Our debt level according to the Bank of International Settlements, private debt level, has gone from 150 per cent of GDP to 210 per cent of GDP.” He argued that means a large part of the growth that Australia has enjoyed since the GFC, while many other countries plunged into recession, has been fuelled by a 60 per cent rise in household debt.

Continue reading the ABC Article:

Get ready for a recession by 2017

Published by The Australian
March 22
by Steve Keen
Topic: Australian Recession 2017

For the last 25 years, Australian politicians of both Liberal and Labor hue have been able to brag that, under their stewardship, Australia has avoided a recession. Those bragging rights are about to come to an end. During the life of the next Parliament — and probably by 2017 — Australia will fall into a prolonged recession.

Whichever party is in opposition at the time will blame the incumbent, but in reality this recession has been set up by the sidestep both parties have used to avoid downturns for the past quarter century: whenever a crisis has loomed, they’ve avoided recession by encouraging the private sector to borrow and spend.

The end product of that is starkly evident in a new database on private and government debt published by the Bank of International Settlements. Australia’s most famous recession sidestep was during the GFC, when it was one of only two countries in the OECD to avoid experiencing two consecutive quarters of negative GDP growth (the other country was South Korea). Since then, the private sectors of the advanced countries have collectively de-levered, reducing their debt levels from about 170 to 160 per cent of GDP. Australia, in stark contrast, has levered up. Our private debt to GDP ratio is now more than 20 per cent higher than when the GFC began, and more than 50 per cent higher than in the USA

Continue reading the Australian Article:

There's a 50% chance we're in recession by 2017, top bond manager says

Published by Sydney Morning Herald
March 25, 2015
by Benjamin Purvis
Topic: Australian Recession 2017

Australia's top-performing bond manager is loading up on longer-dated government debt, saying there is a one-in-two chance the central bank will cut its benchmark below 1 per cent.

BT Investment Management, whose 12.5 per cent return for its Fixed Interest fund was Australia's best in the past year, says there's a 50 per cent chance of recession in the next couple of years. The RBA will at least cut its target rate by 50 basis points to 1.75 per cent and could take more drastic steps, according to Vimal Gor, the fund manager's Sydney-based head of fixed income. The local dollar may drop below 60 US cents, he said.

Australia has been alone among major developed economies in avoiding recession for more than two decades, benefiting from a China-driven commodities boom. With resources investment dropping off and export prices plunging, the RBA is trying to revive business confidence , which has slumped to a 1 1/2-year low. It also wants to put a lid on an unemployment rate that reached the highest since 2003, without adding too much fuel to the nation's record housing boom.

Continue reading the Sydney Morning Herald Article:

Australian Recession 2017