Black Monday

[Scrunch]

I dont suggest that this will be a cause of the next crash but interested in views on how recent pay increases above that which is normal in the past 10 years could affect the markets in NZ. Both Nurses and Teachers are gunning for significant pay rises compared with recent years. Pay rises lead to inflation? Inflation leads to interest rate rises? Interest rate rises cause instability in the housing market? Not sure if my rationale follows but interested in more learned thoughts on this. ta

Inflation is bad for business if its input costs going up and businesses can't increase prices due to competition or other regulatory constraints. Inflation is good for business if its increasing margins by increasing prices more than costs change (or less discounting increasing the effective price received). If inflation gets above 3% the RBNZ is required to try and contain it and their primary (only?) tool is raising interest rates to cool the economy. Inflation at circa 1-2%, as it currently is has the RBNZ basically saying I'm happy with this so there's no need to change interest rates from their current level.

If there was inflation in the economy and house prices were to remain static for a long time, this would slowly correct the imbalances some see in the housing market. Peoples salaries would go up and house price to income ratios would fall making them more affordable without house owners needing to sell at a loss. Those looking to buy would be happy, but not those owning property.

[bull....]

I dont suggest that this will be a cause of the next crash but interested in views on how recent pay increases above that which is normal in the past 10 years could affect the markets in NZ. Both Nurses and Teachers are gunning for significant pay rises compared with recent years. Pay rises lead to inflation? Inflation leads to interest rate rises? Interest rate rises cause instability in the housing market? Not sure if my rationale follows but interested in more learned thoughts on this. ta

wont have any effect cause the majority of people are not getting big pay rises.

[Jerry]

If they don't pay the teachers and nurses more, they won't have any and we'll have other problems. As it is, I would question why one would apply for a job in Auckland, given the cost of housing. Teachers and nurses can work anywhere in the country. Their 'big' % pay rises are over three years and will lift them to $57,000 pa. 7620 SUM !

[bull....]

If they don't pay the teachers and nurses more, they won't have any and we'll have other problems. As it is, I would question why one would apply for a job in Auckland, given the cost of housing. Teachers and nurses can work anywhere in the country. Their 'big' % pay rises are over three years and will lift them to $57,000 pa. 7620 SUM !

unfortunately in todays society with immigration there is always someone who will work for less.

[arc]

Has everyone noticed the marked decrease in Bitcoin and other scamcoin adverts....
Part of the reason is now making news

https://www.nzherald.co.nz/business/...ectid=12071241

[Joshuatree]

This John Key one hounding me as much as ever though, on H/C home page.
Tech startupEntrepreneurs create asystem helping Kiwisincrease household income

[Snow Leopard]

This John Key one hounding me as much as ever though, on H/C home page.
Tech startupEntrepreneurs create asystem helping Kiwisincrease household income

You seem to be 'promoting' this one pretty aggressively round here. Are you on commission?

[Joshuatree]

John Key is involved or it would be shut down by now one would think.

[Jay]

Strange, just clicked on it to have a look and what do you know, there were comments added, saying how wonderful it is posted just less than a minute ago etc - yeah right just code to change the time to T - x minutes etc
Clicked on it again about 5- 10 minutes later - same comments from the same "real" clients, however still showing as less than a minute ago etc.
Pass me a Tui.

[blackcap]

John Key is involved or it would be shut down by now one would think.

That is what you would like to think. Dream on JT.