Tweet
There are concerns Australia may be heading for a US-style housing crisis, with thousands of young homeowners risking bankruptcy as a result of the Federal Government's stimulus package.
That's the gloomy warning from the economic expert who predicted the credit problems behind the current global financial meltdown.
Professor Steve Keen has told The Sunday Telegraph, Australia is making the same mistakes as America did in relation to the sub-prime mortgage fiasco.
Keen said the government's measures have encouraged those who cannot afford the cost of their chosen homes to take on even more debt.
He's reminded that while interest rates are low at the moment, they will rise again and people purchasing homes in the current economic crisis will struggle to pay off hefty loans when rates begin to ascend.
Source...
Also watch "Bursting the Bubble in Australia" - click here...
Cheers
Marc
That's the gloomy warning from the economic expert who predicted the credit problems behind the current global financial meltdown.
Professor Steve Keen has told The Sunday Telegraph, Australia is making the same mistakes as America did in relation to the sub-prime mortgage fiasco.
Keen said the government's measures have encouraged those who cannot afford the cost of their chosen homes to take on even more debt.
He's reminded that while interest rates are low at the moment, they will rise again and people purchasing homes in the current economic crisis will struggle to pay off hefty loans when rates begin to ascend.
Source...
Also watch "Bursting the Bubble in Australia" - click here...
Cheers
Marc