Originally Posted By: Shannow
Been prattling on for a while that Oz' push for workers to be self sufficient in retirement (pushed on us by baby boomers who are getting paid via ponzi) will come to a crashing halt.
Oz last year reached the point where personal savings were at GDP level, and people are expecting a higher than growth/bank interest "return" on that which they aren't spending today.
http://www.bobistheoilguy.com/forums/ubbthreads.php?ubb=showflat&Number=2983367
My prediction was that around this time of the process, people would start eying off this "tied" up money as something that can be played with...and they certainly don't want to have to explain to people that when retirement savings are 5-7 times GDP, and GDP growth is 3-5%...that 2% less than inflation is all the growth that they are going to get out of their deferred income...
Today's news, conveniently couched in the other circus that's taking place downunder...
http://www.abc.net.au/news/2013-08-29/business-in-90-seconds/4920876?section=business
They are starting to look at what "should be" done with all of this money that is "locked up" in retirement savings, for infrastructure, and the betterment of the infrastructure of the country.
Debt based monetary system, having people save money is the worst thing that can happen.
Easy with baby boomers and their ponzi scheme, now they have to work out how to keep spending.
Here's an analogy. Are you saying because a person has $350,000 in the bank, and makes $50,000 year, their savings won't grow because their salary won't grow? to me the two are disconnected.
The superannuation system is not yet mature in Australia. Up to around 2040 it will keep growing due to contributions, and then should equilibrate once the entire workforce has paid in their entire working lives. maybe then i would agree with how I interpret your post. For now it will continue to grow and grow and grow many multiples of GDP. And yes those funds should be invested in developing Australia.
Been prattling on for a while that Oz' push for workers to be self sufficient in retirement (pushed on us by baby boomers who are getting paid via ponzi) will come to a crashing halt.
Oz last year reached the point where personal savings were at GDP level, and people are expecting a higher than growth/bank interest "return" on that which they aren't spending today.
http://www.bobistheoilguy.com/forums/ubbthreads.php?ubb=showflat&Number=2983367
My prediction was that around this time of the process, people would start eying off this "tied" up money as something that can be played with...and they certainly don't want to have to explain to people that when retirement savings are 5-7 times GDP, and GDP growth is 3-5%...that 2% less than inflation is all the growth that they are going to get out of their deferred income...
Today's news, conveniently couched in the other circus that's taking place downunder...
http://www.abc.net.au/news/2013-08-29/business-in-90-seconds/4920876?section=business
They are starting to look at what "should be" done with all of this money that is "locked up" in retirement savings, for infrastructure, and the betterment of the infrastructure of the country.
Debt based monetary system, having people save money is the worst thing that can happen.
Easy with baby boomers and their ponzi scheme, now they have to work out how to keep spending.
Here's an analogy. Are you saying because a person has $350,000 in the bank, and makes $50,000 year, their savings won't grow because their salary won't grow? to me the two are disconnected.
The superannuation system is not yet mature in Australia. Up to around 2040 it will keep growing due to contributions, and then should equilibrate once the entire workforce has paid in their entire working lives. maybe then i would agree with how I interpret your post. For now it will continue to grow and grow and grow many multiples of GDP. And yes those funds should be invested in developing Australia.
