Australia's Rigged System is Making Life Impossible: Biko Konstantinos

Ron: This video commentary is part of the problem NOT the solution. WHY? Because it assumes that a symptom of Australia’s economic malaise is the cause of the nation's poverty, scarcity & want.

Ron: This video commentary is part of the problem NOT the solution. WHY? Because it assumes that a symptom of Australia’s economic malaise is the cause of the nation's poverty, scarcity & want that is steadily afflicting ever more of the population.

The REAL cause of Australia’s creeping impoverishment of more & more of the population; & the wealth disparity between the tiny plutocratic Masonic elite & the dwindling number of older folk who bought their homes & properties in earlier days before covertly corrupt government policies completely destroyed the nation’s manufacturing industry & crippled the entire economy by selling the nation’s natural resources to foreign corporations for peanuts AND licensing private banks to pillage most of the fruits of the labour of the whole country. See e.g:

For an explanation of how the money creation & banking EXTORTION RACKET used to control & impoverish Australians works see eg:

Accordingly, this video presentation ignores “the herd of covert criminal ‘elephants’ (elements) in the room” in Australia’s governance & economy. Instead this presenter inappropriately focuses on the failures of governments to levy high AND INTRINSICALLY UNLAWFUL taxes on homes & houses that Australians have already bought with incomes derived from the fruits of their labours. Such housing, like all other property legitimately acquired by Australians is their exclusive property & no one, including governments, has a right to tax it or take any part of it without the express contractual approval of the owner.

Incidentally, be aware that income taxes are cosmically UNLAWFUL & will be abolished when Australia’s current unlawful belligerent occupation governments are removed. See eg:

And:

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In effect, videos & commentaries like this one constitute misinformation & in those cases in which academic professional economists are involved it can often constitute disinformation because they act as GATE KEEPERS for government & bankster narratives.

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Transcript:

0:00

life in Australia is now a rigged game

0:02

on the one hand millions are struggling

on the one hand millions are struggling

0:05

just to survive yet on the other hand

0:07

Millions have literally hit the jackpot

0:09

riding the wave of skyrocketing house

0:12

prices we've built a system where

0:13

winners and losers are chosen not by

0:16

hard work or productivity but by sheer

0:19

luck and it's driving the nation towards

0:21

economic collapse faster than anyone

0:24

dares to admit I'm Boo constantinos and

0:26

that's what we're going to talk about

0:28

today

0:32

how do you tell the difference between a

0:33

snowman and a snow woman

0:38

snowballs and you'll have to have a lot

0:40

of balls if you watch my content not

0:42

literally I love my female subscribers

0:45

I'm talking about being subjected to a

0:47

Greek adonus on your screens but if

0:49

you're willing to take the risk please

0:51

like this video And subscribe to my

0:53

channel if you haven't already I'll

0:54

bring the commentary while you bring the

0:56

popcorn now let's see why Australia's

0:59

heading down a path towards disaster

1:01

today we're going to check out this

1:03

video titled why living in Australia is

1:05

Impossible by 220 the video goes for

1:09

about 15 minutes and has been viewed 2.4

1:11

million times so I suggest going and

1:13

watching the entire thing but today I'm

1:15

just going to focus on certain sections

1:18

specifically related to the housing

1:19

market 2023 for only the third time in

1:23

40 years Australia entered a per capital

1:26

recession the result Australian wages

1:28

declined to levels not seen since June

1:31

2011 and you can see here how real GDP

1:34

per capita has now declined for 6

1:37

quarters in a row this is now one of the

1:39

worst recessions as it affects each

1:42

individual on record and the impact it's

1:45

had on wages is absolutely staggering

1:47

basically over a decade of wage price

1:50

growth has completely vanished and

1:52

that's due to the impact of inflation or

1:55

in other words the wages you earn have

1:57

been devalued over the last few decades

2:00

Australia has experienced one of the

2:01

greatest housing booms the world has

2:04

ever seen or more accurately an

2:06

artificially inflated housing bubble

2:09

since 1973 Australian house prices have

2:12

increased by 36 times across the capital

2:15

cities and Sydney is now the second most

2:17

unaffordable place to live in the world

2:19

this is shocking but he's only measuring

2:21

house prices up until 2020 since then

2:25

they've gotten catastrophically worse

2:27

how and why did we end up here this is

2:31

the Dark Side of Australia the fact that

2:34

we've got foreign YouTube channels

2:36

specifically focusing on Australia's

2:38

housing disaster is a very clear

2:40

indication that we've right rely screwed

2:43

up since 2020 house prices and Brisbane

2:46

Adelaide and Perth have increased by

2:48

over 50% while wages only grew 12% so if

2:52

you're trying to buy a house in these

2:54

cities not only do you have to come up

2:56

with hundreds of thousands more just to

2:58

buy a home you also also have to

3:00

struggle to try and come up with the

3:02

deposit all the while cost of living and

3:04

rents have skyrocketed yeah it's great

3:07

if you own a home but if you don't it's

3:09

an absolute disaster home ownership is

3:11

becoming less and less attainable for

3:14

many Australians especially young

3:16

Australians if you don't own a home

3:18

you're basically being pushed further

3:20

and further towards poverty because

3:21

instead of your housing payments

3:23

decreasing over time they'll actually

3:25

increase forever through rent Rises and

3:28

with the deterioration of the austral

3:30

doll it's almost impossible to save up

3:32

enough savings or Investments to be able

3:34

to self-fund your retirement so in most

3:37

cases you'll become totally dependent on

3:39

the government pension which feels like

3:41

an absolutely terrible Prospect young

3:44

people have not had the luxury to

3:46

benefit from skyrocketing home values

3:48

and are constantly playing catchup the

3:50

result home ownership rates for people

3:52

under 34 have declined nearly 25% this

3:56

is an absolute betrayal in my opinion

3:58

those who enjoyed extremely affordable

4:00

housing and have benefited from this

4:02

housing boom are not willing to ensure

4:05

that future Generations have the same

4:07

opportunities historically Australian

4:09

rental rates increased at a reasonable

4:11

amount per year however since 2020

4:14

annual rental rates have skyrocketed by

4:16

over 8% per year gee I wonder what

4:19

happened in 2020 that gave an excuse for

4:22

policy makers to pump up house prices

4:24

which also pumped up rents and also

4:26

pumped up cost of living I just can't

4:29

put my finger on it the dream of working

4:31

hard to afford a comfortable life is

4:33

slowly fading and hardworking honest

4:36

Australians are left feeling hopeless

4:38

feeling hopeless and angry you see while

4:40

they're working at a full-time job maybe

4:43

earning a 100,000 which after tax

4:45

becomes 75 while someone who works in

4:48

the exact same job makes over $100,000

4:51

in capital gains on their property each

4:53

and every year and to put salt in the

4:55

wound those capital gains are completely

4:57

taxfree or receive a tax tax concession

5:00

depending on whether it's your own home

5:02

or an investment property how about that

5:04

for causing a shocking divide in our

5:06

society all of this begs the question

5:09

why is real estate out of control the

5:11

first culprit that many point to is

5:13

immigration immigration levels have been

5:15

shockingly high in Australia since after

5:18

the pandemic countries like Canada and

5:20

the UK followed a very similar path by

5:23

pushing Mass immigration however now

5:26

both countries have realized they pushed

5:28

it too far and there's a very large

5:30

backlash and a strong call to reduce

5:32

numbers to ease the housing crisis

5:35

however Australia's housing crisis seems

5:37

to be one of the worst yet immigration

5:39

levels are forecast to remain extremely

5:41

high going forward in 2023

5:44

170,000 dwellings were completed the

5:47

lowest amount in a decade at the same

5:50

time Australia saw the biggest spikes in

5:52

Immigration in a generation so what

5:55

gives what gives we're trying to grow

5:57

the economy in the easiest way possible

5:59

by pumping immigration we help grow the

6:01

overall GDP which has the effect of

6:04

making the entire economy look better

6:06

and by pumping house prices Property

6:08

Owners feel wealthier and that leads to

6:10

them spending more into the economy but

6:13

this is the lazy way to grow an economy

6:15

and in the end can lead to destruction

6:17

of both the economy and Society the low

6:20

rate of approvals for housing has

6:22

created an artificial land scarcity

6:24

which in turn has driven up the price of

6:26

land but this is almost entirely by

6:28

Design as scarce land benefits

6:30

homeowners by Design is completely

6:33

accurate he's the Australian housing

6:34

Minister saying how the government wants

6:37

house prices to keep Rising even after

6:39

the most insane Capital Growth in the

6:41

last few years if you're looking to get

6:43

into the market you definitely want to

6:44

see house prices come down well that

6:46

that may be the view of young people

6:47

it's not the view of our government we

6:49

can all agree that immigration and low

6:51

development rates are worsening

6:52

Australia's housing crisis but there is

6:54

another critical Factor at play tax

6:57

incentives don't mention negative

6:59

gearing your capital gains tax discount

7:01

they're the sacred Golden Goose for

7:03

property investors and there's no way in

7:05

hell they'll willingly allow them to be

7:07

taken away during the 1930s Australia

7:10

had a major housing shortage and wanted

7:13

to encourage investment in rental

7:14

properties to encourage this the country

7:17

introduced negative gearing you really

7:19

went there now everyone in the comments

7:21

is going to pipe up and say if you

7:23

remove negative gearing rent price is

7:25

going to go through the roof because

7:27

investors are going to pass on those

7:28

extra costs to rent renters but what

7:30

these people don't realize is that

7:32

Australia is one of the few countries in

7:34

the entire world that allows negative

7:36

gearing in its current form negative

7:38

gearing allows an investor to offset the

7:41

losses on a rental property against

7:43

their personal income this idea is

7:45

pretty novel in fact out of the entire

7:47

oecd only New Zealand and Japan have

7:50

these policies and I wonder why that is

7:53

maybe because it encourages investing

7:55

into a loss making asset maybe because

7:58

it encourages taking on more more debt

8:00

because you can get a bigger tax

8:01

reduction but also you can leverage more

8:03

into property so as property prices go

8:05

up you make more capital gains during

8:08

the 1980s the Government tried to change

8:11

negative gearing rules imposing

8:13

restrictions on deductions that can be

8:14

claimed similar to the United Kingdom

8:16

but this was met with significant

8:18

backlash and negative gearing was

8:20

returned to its original form as the old

8:22

adage goes you can give but you can

8:24

never take bill shorton from the labor

8:26

party also tried to overhaul negative

8:28

gearing and took those policies to two

8:31

elections but the party lost both of

8:33

those elections and many believe

8:35

negative gearing was a major reason why

8:38

the only policies allowed in Australia

8:40

are ones that pump up house prices

8:42

anything else is feared more than death

8:45

itself but that isn't all there's more

8:48

in 1999 the Australian government

8:51

reduced capital gains on real estate

8:53

sales by 50% and there you have it

8:56

capital gains tax discount combined with

8:58

negative gearing basically basally

8:59

cemented investing into property as the

9:02

chief way to grow wealth in Australia

9:04

you can leverage astronomical amounts

9:06

into property you can reduce your

9:08

taxable income if you're making a loss

9:10

and when you go to sell it you only pay

9:12

capital gains tax on 50% of your profit

9:15

I mean why would you do anything else

9:17

there is almost no country on Earth that

9:19

has such a favorable tax regime for

9:22

property investors the argument against

9:24

it is that it materially benefits land

9:26

owners and older Australians and frankly

9:28

the argument is quite sound of course

9:31

it's sound those at the top of the

9:32

property Ponzi were able to buy Ultra

9:35

cheap and now benefit from policies that

9:37

create Mass speculative demand pumping

9:40

up house prices requiring each new home

9:42

buyer to have to pay more and more just

9:45

to get into the market young people

9:47

through no fault of their own are

9:49

basically finding it impossible just to

9:51

buy an average house that a cafe worker

9:54

could easily afford just 30 years ago

9:56

but that's what happens when you have

9:58

bad policies incentivizing the wrong

10:01

thing A system that encourages

10:03

speculation on income losing properties

10:05

is highly flawed and very unique it's

10:08

basically a rigged system that benefits

10:11

those who already own property but

10:13

really screws over young people and

10:15

those who don't own property if you go

10:17

to play Monopoly everyone starts with

10:19

the same amount of money and they all

10:21

have the same opportunity to buy but how

10:23

would you feel if most players started

10:26

before you bought up most of the

10:27

property and then you had to come into

10:29

the game that's now massively rigged in

10:32

favor of those who started before you

10:34

that's exactly what we've done with the

10:36

Australian housing market currently

10:39

Australia collects a disproportionate

10:41

amount of government revenue from income

10:42

taxes and corporate taxes and a

10:44

disproportionately low amount from Real

10:47

Estate as Charlie Munger famously said

10:49

show me the incentives and I'll show you

10:51

the outcome so basically wage owners are

10:54

paying the bulk amount of tax to fund a

10:57

system that benefits property owners and

10:59

is now completely locking out more and

11:01

more wage earners from ever owning their

11:04

own home this system is unfair and

11:06

unsustainable here you have it a

11:09

government that has incentivized

11:11

speculation on housing while

11:13

disincentivizing working hard and

11:15

building productive businesses the

11:18

incentive to hoard land the outcome a

11:21

terribly unfair economic system in other

11:23

words the system is a giant pile of

11:26

that is one big pile of the

11:28

conclusion is simp simple this is beyond

11:30

political parties Australia's housing

11:33

crisis runs deep runs deep is an

11:36

understatement this housing Obsession

11:38

has infiltrated the entire country and

11:40

it's now like a speeding train that's

11:42

impossible to stop without creating

11:44

extreme Carnage what will it require

11:47

incentivizing business investment

11:48

lowering income taxes for hardworking

11:51

Australians abolishing negative gearing

11:53

lowering capital gains incentives

11:55

removing red tape to encourage

11:57

developments and educated Australian who

11:59

can keep politicians honest you are the

12:02

solution and your tool is policy these

12:05

Solutions are excellent but with most

12:07

Australians owning property and the

12:09

major parties hellbent on keeping house

12:11

prices ultra high voting alone won't cut

12:14

it Australians must rise up and demand

12:17

urgent reform to dismantle this broken

12:20

and deeply unfair system I'm B

12:23

constantinos

12:26

[Music]

English (auto-generated)

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