How central bankers blew up the global economy

What these two graphs show is how the Reserve Bank, effectively, snookered itself. Back in 2012, when debt and housing prices already were elevated, it fired up the east coast housing market, and construction, to take up the employment slack as the mining boom unwound.As housing went on a tear, the short-term sugar hit turned toxic. Employment took off. But housing became unaffordable to almost everyone under 35. And our household debt levels reached for the stars.

Household consumption makes up 60 per cent of GDP. Whack a rate rise on to debt-strained households and you'd be guaranteed to tip the economy into a deep recession. That's a central banker's worst nightmare.If it's any consolation, our situation pales when compared with problems in the world's biggest economies caused by easy cash and ultra-low interest rates. Central bankers across the developed world have painted themselves into a corner.

Then came the global financial crisis. Vast amounts of cash was printed, conjured up from nowhere. It fired up debt levels among central banks, corporations and households. Rather than encourage investment or boost wages, however, it mostly helped the rich become even more wealthy.

So u basically outlined the ponzi scheme & how after globalisation we have run out of the bottom rung, with the top pilfering so much the scheme is collapsing. Perhaps the management of greed & fair taxes may well balance out & create true markets analysis abcnews

Central bankers are not responsible for my family's financial situation, my wife & I are & we have shown good financial discipline which means that we have very little debt. People have to grow up & accept responsibility for their own decisions and stop blaming external forces.

By lying, cheating, stealing, abusing our trust and taking advantage of taxpayers guarantee of funds. Do you need any more

Central Banks are not actually 'independent' they are controlled by the big Financial forces in each country. That's not Democracy!

. Global financial and monetary systems need a complete reset. The local organic farmer, the tradesperson building the sustainable house, and the people caring for others, actually contribute, unlike those who just increase global debt. .

wealthdistributionshamepovertygrowsrichgetricher Analysis: How central bankers blew up the global economy

Yeah don't blame me for borrowing more than i can payback, ever.

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