Take Control In 2017

I note that our banks are now funded mainly on long term low interest money.  They could afford to offer a ten year loan below 4% and make the same high profits they made before Rudd.  They won't because we now have a banking monopoly with double the profit margins.  They're sitting on rate drops that they have not passed on in full - when they could have.  The recent parliamentary inquiry showed a chart from the RBA proving their cost of funds fell in line with the RBA.  What did our members of parliament do? Nothing!

I am not fixing.  We need banking competition and a government concerned about the economy and the current credit squeeze.  We need this to put cash back in the pockets of consumers and create jobs.

Argentina's finance minister was sacked over the Christmas break as the economy withered.  Having fallen into a recession he promised it would only be for a few months and then it would recover.

Amazingly he doesn't see any connection between their high interest rate of 24.75% and the high inflation rate sitting at 19%.

In amazing economic theory that even our treasury would find hard to believe, he espoused the theory that "high inflation in economies that bring annual price increases to below 20% typically double their growth rates".

Keating tried this with his 17% interest rate and we know that that busted the Australian economy.  Is Scott Morrisson a captive of treasury and this Argentinian thinking? We will know soon.

I predict that good government will see our MPs taking control of APRA and RBA and restoring common sense to policy.

Kevin Young Club Founder