The Land Values Research Group’s Gavin Putland was interviewed on last night’s Lateline Business. Download the short clip here (appx 1.40 minute mark). We quote the LVRG post that set the ball rolling with recent quotes in crikey and more media hopefully to come on this important information source.
Early data received by the LVRG indicate that the ratio of property sales to GDP in Australia has fallen almost 30% from its peak in 2007-8. This is the largest fall since the 31.4% plunge that preceded the recession of 1990-1. Since 1972, whenever this ratio has fallen more than 17.5% from the last year to the present one, there has been a recession in the next year. Thus the ratio has been a leading indicator of recession.