Prosper Australia

New report points to major recession

A study of 34 years of the Australian property market has resulted in a 28 page report, Unlocking the Riches of Oz: A Case study of the Social and Economic Costs of Real Estate Bubbles (1972 to 2006).

Bryan Kavanagh, Director of the Land Values Research Group (LVRG) has identified that rises and falls in the economy follow those in the property market by 12-24 months (pg 14).

The revelation makes it possible to forecast economic booms and busts, and puts pressure on government and industry bodies to curb the excesses of the property market.

The LVRG has been the only Australian body to aggregate national real estate sales figures since 1972. Its analysis demonstrates the role of taxation in inflating unsustainable real estate bubbles.

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Property bubbles creating unaffordable housing and recession

A study of 34 years of the Australian property market has resulted in a 28 page report, Unlocking the Riches of Oz: A Case study of the Social and Economic Costs of Real Estate bubbles (1972 to 2006).

Bryan Kavanagh, Director of the Land Values Research Group (LVRG) has identified that rises and falls in the economy follow those in the property market by 12-24 months. (pg 14).

The revelation makes it possible to forecast economic booms and busts and puts pressure on government and industry bodies to curb the excesses of the property market.

The LVRG has been the only body in Australia to have aggregated national real estate sales figures since 1972. Its analysis demonstrates the role of taxation in inflating unsustainable real estate bubbles.

(more…)

Tuesday evenings in May, 6.15pm - 8pm, starting May 1st

Ever wanted to read between the lines of the newspaper? Arm yourself with the tools of modern warfare as Karl Fitzgerald takes you through the key understandings required to ‘follow the money’.

Topics covered:

• Economic terminology - the basic framework
• Economic History via: The Classical - Neo-Classical - Neo-Liberal dichotomy
• Wealth gap - why is it expanding?
• Climate change - can economics address it?
• Housing Affordability - why are we paying so much and what can we do about it?
• International perspective - WTO/IMF

Interactive games and multimedia footage will complement the learning in an attempt to keep the sessions as upbeat and interactive as possible.

Ask yourself why we have it drilled into us that economics is ‘the dismal science’? If we spend our entire life chasing the ‘elusive dollar’ then it makes sense to understand the rules to that game.

The first session is the most important. If you miss another session that is understandable, but we will be building on the first session’s knowledgebase throughout the course.

Cost: Gold coin donation appreciated

Bookings essential

Manningham Leader

Dear Sir,

I am appalled at the ignorance displayed by the councilors and ratepayers alike reported in the Manningham Leader with respect to the rating system in connection with the differential rates to be applied to vacant land. Differential rates are wrong because they are arbitrary and unnecessary if the correct rating base, site value (SV), is used. The currently used capital improved value (CIV) penalizes those who develop and improve their land with higher rates and assists those who hold their land idle with lower rates. (more…)