Why a recession could be GOOD for you: the unlikely jobs will get a huge boost as the economy collapses
- Australia's economic growth has been the slowest since the global financial crisis in 2009
- Industry research firm IBISWorld predicted that this could create surprising new jobs
- University teachers, antique furniture vendors, equipment rental on that list
- Called as paper from the Reserve Bank of Australia, concerned about economic activity
Australia's weakest economic growth in a decade could in fact create jobs in surprising areas.
The Reserve Bank of Australia lowered interest rates this month to a new low of one percent in a sign of concern and issued a new warning about the high debt levels.
While the economy is growing at the slowest annual rate since the global financial crisis in 2009, industry research firm IBISWorld said that this could be an opportunity for people working in certain sectors.
Australia's weakest economic growth in a decade can actually create jobs in surprising areas (photos are customers in a second-hand furniture store)
Senior analyst Tom Youl said that university teachers, those who rented out electrical appliances, antique furniture and used goods vendors and debt collectors had the most to gain.
He made the call when the RBA issued a new document predicting that record high household indebtedness in Australia would continue to depress consumer spending and threaten the economy.
& # 39; This has led policy makers to worry that a high household debt ratio is holding back the economic recovery and posing risks to future growth & # 39 ;, according to the RBA discussion paper from Fiona Price, Benjamin Beckers and Gianni La Cava.
& # 39; Household indebtedness can reduce spending even when the economy is in a more & # 39; normal & # 39; phase of the business cycle. & # 39;
With the economy of Australia in an uncertain state, IBISWorld has outlined why certain jobs will have higher demand.
The economy has not been in a recession since 1991, but Australia has been in a per capita recession since last year, where production for each person has fallen.
Mr. Youl said that a slowing economy usually encouraged young people to study university.
Industry research firm IBISWorld said that university teachers are probably more in demand because younger people enroll in higher education in an effort to increase their chances of finding work
& # 39; Finding work can be particularly difficult for students entering the national workforce, with companies allocating fewer resources to train and recruit graduates, & # 39; he said.
& # 39; As a result, students are more likely to attend higher education to improve their employability. & # 39;
Second-hand goods seller
Trade was also expected to flourish in stores selling antique furniture and used goods such as money converters and the Salvation Army.
& # 39; As consumer confidence weakens, households divert spending to cheaper used items instead of buying more expensive new products, & # 39; said Mr. Youl.
"Moreover, as unemployment rises, consumers are likely to sell more assets to cover their expenses, thereby increasing the supply of goods to traders and traders."
Rental company for electrical appliances
In times of economic uncertainty, companies that rent out furniture and electrical alliances generally do well.
"As economic uncertainty increases, consumers become hesitant to commit to major purchases such as equipment and furniture," Mr. Youl said.
& # 39; To preserve wealth, households tend to rent basic services until economic conditions improve. & # 39;
The trade was also expected to flourish in stores selling antique furniture and used goods (the photo shows a second-hand clothing store)
It was also expected that crackdown on payday and personal loans would help these good landlords.
As expected, collection agencies are more in demand when times are tough.
Australian households have some of the highest debt levels in the developed world, with a ratio of obligations to income of 189 percent.
Since the peak in July 2017, the average house price of Sydney has fallen by a record of 17.4 percent, meaning that many borrowers owed more than the house was worth.
As Australia's savings rate will fall to a low of two percent in 2020, Mr. Youl said that there is a group nearby because borrowers are having trouble paying back their loans.
& # 39; An important opportunity for debt collectors can arise if economic growth slows, & # 39; he said.
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