Yes you guessed it Australian Bull Sh!t.

0.4% inflation!

In the past 2 months:
My rent went up 8%
Energy Australia peak up 21%
Shoulder up 12%
Off Peak 10%
Everything in woolies is up except lamb.
Petrol is usually around $1.40
Insurance up ~8%
Literally everything is up, transport, entertainment, gym...

There aren't even any good bargain on Ozbargains anymore.
I literally had this conversation with a friend yesterday who was complaining about childcare... $160 a day, up from $140!!!

Acrylonitrile butadiene styrene... Mmmmm love that smell when I'm printing something

Rates/Utilities in Playford City Council (Elizabeth):

2008 were:

Rates: $800/pa
Water: $120/q
Power: $90/q
Gas: $45/q

Today (9 years later):

Rates: $1460/pa
Water: $466/q
Power: $200/q
Gas: $110/q

Locally produced products are the same. Most imported goods (particularly cloths and electronics) have always been on the decline. So, maybe they are right.

Q: How much would it cost an Australian startup to design and produce an Android Phone equivalent do you think ?

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FlySurfer said..
Yes you guessed it Australian Bull Sh!t.

0.4% inflation!

Yup, I have been noting the % rises on incoming bills for some years now, double digit rises with no explanation. And to think some commentators complain about Australian wages being too high, meanwhile rises out pace inflation and any pay rises.

Yes we all remember the price rises - but inflation is worked out on the principal of you buying a basket of goods and services each quarter. Its split into 11 major groups with some items more important than others. The interesting thing here is goods that are identified as 'tradables' - prices for these goods are taken from the world market - and only 10% of this needs to be exported / imported to be counted - so it includes all things like electronics and clothing etc This part of the basket makes up about 40% from memory. So inflation is heavily influenced by exchange rate moves. So if the AUD is appreciating / strong then this component will tend to our weigh your more domestic related experiences such as rent and electricity. You need to take into account what proportion of items such as electricity and insurance are part of your average total spend.

Eg; if you are spending $250 a week on groceries and $1,000 a year on insurance then an 8% rise in insurance can easily seem to be offset elsewhere.

Yeah price rises suck though. I hate them as much as you.

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jn1 said..
Rates/Utilities in Playford City Council (Elizabeth):

2008 were:

Rates: $800/pa
Water: $120/q
Power: $90/q
Gas: $45/q

Today (9 years later):

Rates: $1460/pa
Water: $466/q
Power: $200/q
Gas: $110/q

Locally produced products are the same. Most imported goods (particularly cloths and electronics) have always been on the decline. So, maybe they are right.

Q: How much would it cost an Australian startup to design and produce an Android Phone equivalent do you think ?

elizabeth south australia? you pay money to live in that shxthole? my condolences

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myusernam said..

jn1 said..
Rates/Utilities in Playford City Council (Elizabeth):

2008 were:

Rates: $800/pa
Water: $120/q
Power: $90/q
Gas: $45/q

Today (9 years later):

Rates: $1460/pa
Water: $466/q
Power: $200/q
Gas: $110/q

Locally produced products are the same. Most imported goods (particularly cloths and electronics) have always been on the decline. So, maybe they are right.

Q: How much would it cost an Australian startup to design and produce an Android Phone equivalent do you think ?

elizabeth south australia? you pay money to live in that shxthole? my condolences

omg i just googled. you do! fark i thouught only heroin addicts prostitutes and the odd unlucky raafie lived there. maybe it's changed. I was there in 95 breifly. I was told there were bigger shxtholes further west (some guys fell asleep on the train and ended up in snowtown) but i found that hard to believe
hope you make it out someday....

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myusernam said..

You have to go where the money is mate. Yes, sh?thole. No, not the worse sh@thole. Top end of Australia is the biggest IMO and parts of Perth trump Elizabeth. Yes, I'm selling up and moving to the beach. Now back on topic

Regulated industries prices go up. Unregulated industries prices go down. Lefties demand more regulations for egalitarian. Lefties don't understand regulations increase inequality while deregulation decreases inequality. The most inequality societies have the most regulations.

I want to hear from somebody with a couple of kids, or supports more than a couple of people.
Seriously have your expenses stayed the ~same in the past year?

My expense both person and business have gone up over 8%.
2015 was pretty stable for me, but 2016; everything I keep a record of has increased significantly.

I'm sure the average price of a car has increased significantly too since 2000.
My 2006 Subaru Outback cost $35k, now it's $40k and we have a FTA with Japan.

In 2008 my interest rates were close to 10%

In 2016 they are nearly 4% and getting lower

I can barely make enough money of my rentals to negative gear these days

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FlySurfer said..
Yes you guessed it Australian Bull Sh!t.

0.4% inflation!

In the past 2 months:
My rent went up 8%
Energy Australia peak up 21%
Shoulder up 12%
Off Peak 10%
Everything in woolies is up except lamb.
Petrol is usually around $1.40
Insurance up ~8%
Literally everything is up, transport, entertainment, gym...

There aren't even any good bargain on Ozbargains anymore.
I literally had this conversation with a friend yesterday who was complaining about childcare... $160 a day, up from $140!!!

Rents/houses are trending down.
cdn.newsapi.com.au//image/v1/1308aacd970b72b4e7d9bbacac60a2c6?width=650
Electricity prices in Australia will increase, this is the cost for clean energy.

The aggressive bid for a bigger share of the country's lucrative $90 billion grocery market by the German-owned retailer Aldi could keep a lid on inflation

You've always had fairly intensive competition between Woolworths and Coles, but that's stepped up in recent times with Woolworths fighting back to regain some of its lost market share.

Invest in free weights, you don't need a gym.

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jn1 said..
Q: How much would it cost an Australian startup to design and produce an Android Phone equivalent do you think ?

Billions. High tech factories don't come cheap. Entry costs to that market are astronomical.

Even if they sourced the parts separately and slapped them together in their own form factor the end result would have to be better and/or cheaper than what is currently available.

Forget it.

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p train said..
In 2008 my interest rates were close to 10%

In 2016 they are nearly 4% and getting lower

I can barely make enough money of my rentals to negative gear these days

Making a profit is not a problem.

I've had this conversation so many times in the last year. "I need to negative gear to save tax!" No you don't. You only save tax if you are not making money.

Making a profit is not a problem. Making a loss is a problem. People have fallen so hard for the sales pitch they are all back-to-front. Obviously. It's elementary.

If you desperately need to save tax make less money at work by asking for a wage reduction. It's exactly the same in the end as making a loss on your property.

PS in the same boat; positively geared on all property, even the one I bought six months ago. Rates are low, and probably staying for many years to come.

Ha ha ha yeh the competiion of groceries is now being used by central banks to justify an RBA rate cut...re inflation or deflationary results.

What at crock of sh1t.

It it spurely to keep the ponzi scheme of funny money backed by nothing to continue to keep the elite transferring wealth from savers and real production to the financial industry (and those that control it) who produce nothing.

And yep government granted licenses producing Economic rent (making money for doing fck all ) is the name of the game and disrupts proper market competiion.

Its all manipulated folks, groceries causing deflation oh fck me...

Privatisation has led to huge price rises and unemployment

www.abc.net.au/news/2016-07-26/accc-boss-says-privatisation-costing-consumers/7662194

But of course wilful ignorance prevails in this country, RIP TAFE

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p train said..
In 2008 my interest rates were close to 10%

In 2016 they are nearly 4% and getting lower

I can barely make enough money of my rentals to negative gear these days

Yeah but there value has probably one through the roof with these low interest rates - more than compensating your rental income. A much better return than having your cash in the bank or paying slightly more tax than you have in the past

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Mobydisc said..
Regulated industries prices go up. Unregulated industries prices go down. Lefties demand more regulations for egalitarian. Lefties don't understand regulations increase inequality while deregulation decreases inequality. The most inequality societies have the most regulations.

Moby, you are lumping everything in together.

There seems to have been a push to privatise education, and as a result poor planned policies have ended up in private institutions making a motza. Meanwhile the traditional TAFE (that is 'inefficient') seems to be getting it in the neck.

So, how is that for an example of regulation? Minimal regulations and prices have gone up. Excellent.

Dont confuse privatisation with pure market led capatilistic driven competition. Governments privatise industries but grant specific licenses to those can and can't operate. Privatisation of this nature produces large oligopolies of the sort, which generally means then eventual formation of cartels who manipulate the market at the expense of the public. there are many many examples of this.

Understand this, everything I mean EVERYTHING centres around the enclosure of Economic rent, driven by the elite puppet masters in the pockets and influence of the crooked politicians. it has been like this since civilisation has began, but backed by fractional reserve lending and all its consequences this chase has taken on a proportion of corrupt distortion never witnessed before. It's on its last legs, countries like Greece will soon be the normal, govermernts (and ours) will default...and the burden once again will be left to the tax payPer, the feudal serfs to rebuild after a depression not seen since the 1930s.

Revist this post late 2025, and again late 2028... Hopefully by then you would have waked the fck up to what went on. Probably not, most are too stupid and would rather catch their next Pokemon.

Got my Council rates in the email today.
Great, gone up by 15%. in Seven years, they went from 750 aud to 1600 aud.

Can we privatize the Council? or at least promote competition to them?

Reality will bite hard and with the current unemployment and struggle, I bet the recovery for the council on rates will be a lot less what they expect.

OR

They are charging more anyway to cover missing payments from others...

If you don't pay your rates, they can sell your house. Or take the funds when you sell your property.

They will receive their rates one way or another.

Don't forget that in WA - DFES (FESA) also incorporate their fees into the rates.

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Underoath said..
If you don't pay your rates, they can sell your house. Or take the funds when you sell your property.

They will receive their rates one way or another.

Don't forget that in WA - DFES (FESA) also incorporate their fees into the rates.

At least here in Sydney they send the outstanding rates to a debt collection agency and a few of us may know how nice and friendly they are. They try and add outrageous fees to it, and then you have few choices.

I accept that they need to get paid, but I find the lack of flexibility with my local council is a bit harsh. They know they will get their money anyway, so why the strong-arm tactics? The cynic in me says the person in charge of getting the rate income figured it was easier to "outsource" the problem than deal with people.

^ The outstanding debt is sold. Its all about the cash flow. Councils cant go waiting 5 years for your rates. They have their approved budget. Every penny is allocated before rates are received.

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Underoath said..
^ The outstanding debt is sold. Its all about the cash flow. Councils cant go waiting 5 years for your rates. They have their approved budget. Every penny is allocated before rates are received.

I agree. 5 years would be crazy. My local seems to chase you before the year is up, even though they say they charge interest, they also 'refer' it to a collection agency. I think they know they have you by the balls so can't be bothered. Seriously, how many people that own a property are not going to ultimately pay their rates? I would have been happy if they had sent out a 'you now owe us this amount, we are going to refer it to an agency by this date', but instead its 'we have already referred it to an agency and you have to talk to them'.

This is from the same council that argued for a price rise, said they didn't need it because of valuation increases bringing in more money, and said they had to add the price rise because they went to the trouble of asking for it. To my mind I have seen a bit of gold-plating happening around the area where perfectly acceptable areas get renovated for no improved amenity.

Mehhh... what can you do other than get elected yourself, and unless you are a developer, why would you bother?

Talking about councils... I recently had a meeting with one to augment/migrate some of their solutions/infrastructure to AWS.
They were paying a consultant $2600/day to document a closed source system... eg write the farking manual for an application that ALREADY had a manual and 100's of books written about it.
They also had huge waste literally everywhere I looked.

I said, you know you can substantially reduce your costs, here, here, here... and CIO said that's not my problem, spending my budget is.
I said have you considered returning to the rate payers, he said, no chance.
Got me thinking of my council and how the *unts rip up the perfectly good road outside my house every year for NO reason.

Councils are bleeding you just for the fun of it.

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FlySurfer said..

I'm sure the average price of a car has increased significantly too since 2000.
My 2006 Subaru Outback cost $35k, now it's $40k and we have a FTA with Japan.

um...you might want to find a better example....that's less than 1.5% pa increase...and i'm going to bet that the 2016 model has more features than the 2006 model.....

just saying...

Let me guess insurance isn't counted by the ABS for inflation.

Last year my CTP with GIO cost: $518.89
This year, NO change in circumstances: $689.04

At least the rego only went up by 3%

did you get park assist power windows and traction control?

here is a FORD add (That's since been remove from online)I think it really highlights and ford drivers.

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AUS1111 said...
New Hyundai Excel in 1996 $14990 (http://www.redbook.com.au/cars/research/used/details/1996-hyundai-excel-sprint-manual/SPOT-ITM-236676)

New Hyundai i20 in 2016 $12990

If inflation were 2.5%pa over that period (middle of the target band), the price should now be $24700.

Swings and roundabouts. The methodology is widely available - no conspiracy here.

Where you buying i20's? Around here always priced at $14990, may have dropped in 2016 as replaced by the Accent which is also $14990... price points.

Definitely inflation is there it's just efficiencies in technology, manufacturing & distribution are more than covering for the inflation on certain non price point goods, compare tv or mobile phone prices to 10/20 years ago. But what is more important, trinkets or education, housing, health, transport & healthy food- all which have suffered inflation. There are many companies in aus reducing their profits just to survive, what a great economy it is to place them in that position.

Some good points in this thread