Australia on the brink?

“Australia is a leveraged time bomb waiting to blow,” says Albert Edwards, Societe Generale's London-based global strategist. “It is not just a CDO, but a CDO squared. All we have in Australia is, at its simplest, a credit bubble built upon a commodity boom dependent for its sustenance on an even greater credit bubble in China.”

 

Woops.

 

The answer?

Opportunities for transitioning back to a non-mining economy abound. Boosting funding for research and development will create high-paying jobs in technology, science and education. Australia boasts great exporting potential in agriculture, medical supplies and high-end machinery.

SMH