Drop In Confident In The Housing Sector example essay topic

GST: much ado about not all that much 3 Ross Gittins SMH 3rd of March In this article Ross Gittins talks about the GST and how it didn't really impact on the people as first thought. Was the fuss worth it? Well it wasn't because with the introduction of the GST we though that there will be another 10% slapped on products but that's not entirely true, it merely a 2% increase. Although the GST did slow the housing sector and an increase in unemployed but in the long run the GST boosted the economy not slowing it.

At the end of the article he talks about how the GST is introduced merely to strengthen the government revenues and the promises of benefits were not really happening. Also with the promises of that GST will eliminate tax evasion but that wasn't true. Stressed Out 4 May 13 2003 John Collet Australian is in too much debt and the expectations of lowering the interest rates can add fuel to fire to the problem. With the housing boom in Australia Australians are running into debt with housing mortgages leading the way.

Now Australians are in debt 128% up with countries like the US UK and CANADA. The article warns us of this problem and don't go borrowing more if the interests rates do go down, you " ll find yourself in debt that you can't repay if you do. The economist say that the debt ratio in Australia is not that bad yet and no need for alarm, but the housing prices has to stay up or investors will find that the money owned is worth more then the house. Economist warn investors to watch their balance sheets and how much they borrow so they won't fall into a trap and ask themselves can the repayment be met if the house is vacant for a year? Tightened purse strings could strangle economy 5 By John Garn aut FEB 5 2003 With low consumer confident and the decline in spending could strangle the economy even further. With the figures of retail trading being the lowest since 1999 the Reserve Bank will have to consider an interest rate cut.

Not are the consumers not buying but the housing sector is not going as smoothly as well and with the housing sector which account for 1/3 of Australian recent growth a slowdown in this sector is not good. All sectors are reporting downturns except for recreational good and confident in retail traders drop by 17 points. Economists hope that business investment will be the new drive of the economic strength and save us from this slowdown. The outlook of the World economy is not too dashing either which doesn't help the situation at all or the Australia economy might go down with the rest of the world as well. Consumer gloom grows as war fears fuel uncertainty 6 Matt Wade SMH Mar 28 2003 As war comes closer consumer confident has slumped, with rising Global tension, drought, bushfires weak share market and surging fuel price hadn't help the problem either.

Consumer confident has dropped by 7.8 per cent due to these factors and the slowing of the economy and the lowest since the September 11 disaster. Economist Bill Evans that unlike other falls in consumer confident this one isn't influenced by dramatic events, but by the number of negative factors that we had no control over. The reserve bank had decided to leave interest rate alone had not stopped the drop in confident in the housing sector. The US anticipates this slowdown to recover after the war is over or when war breaks out. Coca- Cola Amatil Enjoys vanilla lift for its $209 m profit 7 Matt Todd 5th of April Coca Cola Amatil was in trouble after selling their business in the Philippines but with new manager Terry Davis and the release of the new Drink Vanilla Coke was a big success it exceeded all expectations in the first 3 months 6 million units were consumed by consumers vanilla coke contributor 80% in the 8.6 percent rise in the cola volumes.

In the article it states the release of vanilla coke was the fastest acceptance of any consumer product ever launched. In figures one in every four Australian tried the vanilla coke when it was released in 2002 and made the company a $209 m profit. Company shares risen 7 cent a sign of confident and shareholders will in the long run get good returns for investing in their company. Analysts suggest that Amatil had spare capacity on its balance sheet of up to 700 million the director Mr. Davis had indicated to use these funds to take over businesses and expand even further. Japan unbowed by beef tariff appeals 8 Shane Green SHM 3rd of March In Japan because the import rate is growing and with a delicate economy, they had to do something to protect their own beef business. So now they have introduced a new tariff to reduce the amount of imports of beef.

But that " ll mean that the Australian beef exports will suffer an export that is worth 1.3 billion the Aussie are trying to negotiate to try and stop this tariff to be risen but the Japan is not listening the Japanese will be raising the tariff from 38.5% to 50%. Australia and other agriculture exporters want a maximum tariff of just 25% but the importing countries are resisting the tariff cuts. War expensive Peace Priceless 9 Feb 19 2003 SMH Ross Gittins The title of this article explained the main topic in this article that war costs a lot and peace won't cost a cent. Economists have discovered that if the war was quick and easy victory it " ll cost around $100 and if there is some difficulties the cost will rise to about $1.9 trillion. In the war the US wants a quick and easy victory there is no doubt that they will win the war but it's how long they take.

There is also the question of rebuilding the country and occupying it. The estimated time of occupation is more then 2 year will amount to 125 billion and as for the rebuilding the US will just leave the whole process half finished this is know due to past US rebuilding. Of any country. Economic recovery is what the US is aiming for but for a quick and easy victory it " ll give the economy about 65 billion worth of gains in the economy. But that's id the war goes smoothly if there is heavy casualties and terrorist treats we could see the US economy to go into a recession. Why So Many Think We " re Overtaxed 10 Feb 24 2003 me.