Report shines light on what drives Australians to post hateful content.

Extract from ABC News

By Ahmed Yussuf

• Topic:Online Abuse

10 hours ago

Consuming fringe radical content was among the traits found in those who post hateful online content. (Supplied: Pexels)

In short:

An Australian Institute of Criminology report examined the characteristics of people who post online hate.

Of 9,951 surveyed, nearly 170 had subjected others to online hate.

Those people were more likely to have had negative experiences online and behave antisocially.

Researchers have shed light on the characteristics of people who post hateful comments online, in a study published by the Australian Institute of Criminology.

The institute, a federal government crime research organisation, used the Australian eSafety commissioner's definition of online hate, framing it as "hateful posts or comments about a person or group based on discrimination or bias related to their identity or beliefs".

It surveyed almost 10,000 people between October and November 2024, and found 1.7 per cent of respondents had subjected others to online hate.

This group was also more likely to have hold misogynistic attitudes, engage in antisocial behaviour, consume fringe radical content, and have been a victim of online hate, compared to those who had not posted hateful online content.

"This cohort was also more likely to have experienced negative life events compared with those who had not subjected others to online hate," the report read.

"[They] were more likely to spend less time connecting with people offline and to be concerned about their internet use.

"These experiences align with previous research that has found online hate to be associated with close ties to online communities and low offline social capital."

Misogyny named as red flag for violent extremism

A study finds violent attitudes towards women are not just a social issue but a matter of national security. 

Perpetrators of online hate believe in 'superior groups'

The report also found the people more likely to indulge in online hate held strong beliefs about how "superior groups" should act in society.

They were more likely to agree with these two statements:

• Superior groups should dominate inferior groups.
• We should not push for group equality.

"After controlling for gender and age, these respondents were more likely to believe that some groups should hold greater dominance over others," the report read.

Researchers also measured the extent to which respondents: believed women to be manipulative and exploitative; were distrustful of women; and devalued women.

They found perpetrators of online hate were more likely to hold misogynistic attitudes, and almost twice as likely to agree with the following:

• Women seek to gain power by getting control over men.
• Women use their sexuality to manipulate men.
• Women exploit men for their own agendas.
• If things don't go their way, women will play the victim.

The study also found across all respondents there were no major demographic differences between perpetrators or victims of online abuse from place of residence, country of birth, or language spoken.

Antisocial behaviour and extreme content

The research found perpetrators of online hate were likely to have had contact with the criminal justice system both as an adult and as a juvenile.

"Those who had subjected others to online hate were more likely to have used violence against another person. They were also more likely to have threatened another person," the report read.

Manosphere warning

Recent studies link exposure to extreme anti-women content to increasing misogyny among boys.

Perpetrators of online hate were more likely to have been diagnosed with a mental health condition, and engaged in antisocial behaviour, than respondents who did not.

The report also found many have been victims of hate speech, online harassment and abuse.

It found they were more likely to be engaging in antisocial behaviour online and creating fake social media accounts.

About half of those who subjected others to online hate did at least one of the following, compared to just two per cent of those who had not:

• Bullied, harassed, stalked or abused someone online.
• Gained unauthorised access to someone else's social media, email, streaming or shopping account (i.e. hacking).
• Sent someone emails or text messages with the intention of tricking them into sending money or personal information (i.e. phishing).

The report also examined the relationship between viewing radical fringe content and engaging in online abuse.

It defined "fringe and radical" as online content that was political, ideological or religious in nature but viewed by wider society as unorthodox, radical or fringe.

When compared to the cohort who did not post online hate, it found those who did were almost two times more likely to have viewed fringe and radical content online.

As Trump dismisses AI concerns, Albanese tries to show he's in control.

Extract from ABC News

Analysis

By David Speers

• Topic:AI

1 hours ago

Anthony Albanese is reminding people that he's doing something about AI safety and security. (ABC News: Matt Roberts)

The details were thin, but the vibe was clear.

Before departing this week for a round of international summits, the prime minister announced a new set of "mandatory AI safety and security protections".

In truth, these were more a set of worthy principles to somehow hold someone somewhere to account when something goes wrong — like an AI agent going rogue and hacking into a government website.

But exactly who (or what) would be held responsible, and how they would be punished, remains a work in progress.

Data centres could become electoral liability

Voters are not yet convinced that whatever Australia gets out of hosting the infrastructure will be worth the cost.

Acting Prime Minister Richard Marles tried valiantly yesterday to explain how this might work. In theory.

"I think this will be a case of looking at the prompts that are involved in the circumstance, the way in which the AI agent is constructed … and ultimately bringing that back to the decisions, the human decisions, that have been taken by the owners of this technology or the developers of this technology," he told the ABC's Hamish Macdonald.

"But, you know, there's a lot of work which needs to be done to develop this."

Understatement of the week.

Still, this was about reminding Australians, who are growing increasingly nervous about AI, that the government is on it.

Win the race or save humanity?

The prime minister reprised the line he used at the UN General Assembly in September: "Our task is to make sure that we shape AI rather than AI shape us."

This week, there's been a growing sense the technology is the one doing the shaping.

Qantas announced plans to outsource and offshore 850 jobs as part of a plan to "unlock innovation and accelerate our use of AI", CEO Vanessa Hudson told staff in her email.

Jimmy Barnes and other artists stepped up warnings that AI firms are trying to "steal" their work.

Communities continue to speak out about their concerns over noisy and energy-hungry data centres.

Then there's the threat of AI to humanity itself.

Back in September, tech company leaders issued a series of warnings about "losing control" of AI and the risk to "humanity as a whole".

Donald Trump appears largely unmoved by the midterm rebuke over data centres. (AP: Mark Schiefelbein)

Donald Trump dismissed it as a "hoax". And, even after last week's US midterm elections backlash against data centres (among other things), there's little sign the US president has shifted his view.

In an interview with CBS's 60 Minutes, Trump made only a small concession on AI. "I don't mind guardrails," he noted, before dismissing the need for any new rules.

Trump is determined to "win" the AI race.

"It's all between us and China," he said. "There's nobody else."

Trump is unmoved by the domestic political mood in the US on AI and dismissive of the complaints from other countries grappling with the impact of this technology.

Despite this, Albanese and other middle power leaders intend to keep pressing.

The prime minister says AI safety will be a "major topic of discussion" for him at the ASEAN, APEC, and Quad leaders' meetings in the Philippines and China, where he will come face to face with Trump.

Action but not answers

Amid rising community concern over AI — and as both sides of politics in the US now contemplate life after Trump — it's an open question how future presidential hopefuls may approach the issue.

For Australia's part, Albanese sees the midterms result as a reminder of the need to build "social licence" for AI.

His promise to "shape AI" comes at a time when many feel they have absolutely no control.

Which debt crisis will hit first?

Technology and artificial intelligence have enthralled investors, and Australia's super funds have dived in with their ears pinned back. But now comes the reckoning.

Albanese is trying to calm fears and talk up the "potential benefits", listing economic and productivity gains and the revolution in healthcare. A vital national security imperative for access to the best AI models to defend against cyber attacks could be added to that list.

Labor knows there is no holding back the tide on a technology that's only going to become a bigger part of our lives. It just wants to avoid that tide turning into another wave of anger directed at the government, on top of the frustration voters are already feeling over the cost of living.

The prime minister wants to show he's acting, even if the answers aren't all there yet.

Who will be held responsible when AI goes rogue? The designer, or the user of the model? The tech company executive in Silicon Valley?

What penalties could realistically be imposed, and will Australia have the power to impose them?

Ultimately, the details will matter.

David Speers is national political lead and host of Insiders, which airs on ABC TV at 9am on Sunday or on iview.

David Jones's descendants hope for a revival as retailer prepares to close half its stores.

Extract from ABC News

Exclusive by Fiona Willan

• 7.30

• Topic:Retail Industry

1 hours ago

In the early 60s, Charles Lloyd Jones and his sisters were front and centre at opening ceremonies as David Jones exploded into Sydney's suburbs and interstate. (ABC News: Shaun Kingma)

More than 60 years ago, two young siblings were front and centre at a jam-packed opening ceremony in Sydney's west, as the department store founded by their great-great-grandfather, David Jones, expanded into Sydney's suburbs.

An estimated 4,000 people gathered outside the building in Parramatta, trying to catch a glimpse of seven-year-old Susanna de Vienne cutting the ribbon inside.

Looking back, Ms de Vienne recalls being "overwhelmed" seeing the crowd.

Susanna de Vienne was seven when David Jones opened its Parramatta store. (ABC News: Jerry Rickard)

"I remember coming in … and people were just glued to the door," she told 7.30.

"And I thought, 'Oh goodness, why would all these people be here?' It was a big, big deal."

A photo of the historic moment shows the little girl and her younger brother Charles E Lloyd Jones surrounded by eager faces peering through the glass doors.

A young Susanna, with her brother Charles, opens the David Jones Parramatta store.  (Supplied)

Decades on, a receiver for David Jones has confirmed the Parramatta store is one of 19 on the chopping block amid a restructure.

Administrator McGrath Nicol is now racing to find a buyer and hoping the "urgent restructure" will save the iconic 188-year-old brand.

Speaking before the restructure was announced, Ms de Vienne told 7.30 she felt sad for David Jones staff after the company entered voluntary administration last week.

David Jones hosted the first Christian Dior fashion parade outside Paris. Now, concession store shelves have been stripped of stock.  (AAP: Eleanor Wilson)

But she hoped the retailer — which was owned or run by her family for more than 140 years — would be rebuilt as "David Jones 2.0".

Her brother, Mr Lloyd Jones, also believed the department store would survive but said if it did not, he would still feel "fortunate to have been part of its history".

Remembering the golden years of David Jones. (Fiona Willan)

A history of retail firsts 

As children, the siblings were too young to understand the significant role their family had played in shaping Australia's then-skyrocketing retail landscape.

Their great-great-grandfather started the first store in Sydney in 1838, more than six decades before Australia became a nation.

It started as a drapery business on the corner of Barrack and George streets, before their grandfather, Sir Charles Lloyd Jones, expanded it to new buildings in Market and Elizabeth Streets in the 1920s.

David Jones's first Sydney store opposite the General Post Office.  (Supplied: David Jones)

Mr Lloyd Jones said his grandfather's time as chairman was a new era of innovation for the department store.

"The store had the first escalators in the Southern Hemisphere," he told 7.30.

"They did aeroplane parcel deliveries to country customers. They did a lot of things that no one was doing."

In the 1940s, David Jones hosted the first-ever Christian Dior fashion parade outside of Paris.

In 1954, Sir Charles and his wife held a royal banquet for Queen Elizabeth and Prince Philip, as the couple became the first serving British monarchs to visit Australia.

Queen Elizabeth and Prince Philip arrive at David Jones in Elizabeth Street, Sydney. (Supplied: State Library of NSW)

One of Ms de Vienne's earliest memories was seeing an exhibition of circus animals inside the Elizabeth Street store in the 1950s.

"It was so impressive that the elephant was on the lower ground floor,"

she said.

"I was just blown away by that as a child."

A circus visited the flagship David Jones store and its star elephant, Eddie, made an appearance.  (Supplied)

As a teenager, Mr Lloyd Jones worked in the David Jones toy department as a Christmas casual.

He would later go on to manage multiple stores, as the fifth and final generation of his family to work for the firm.

Charles Lloyd Jones was the fifth and final generation to work for the company his family founded.  (ABC News: Shaun Kingma)

Mr Lloyd Jones feared he would lose his job at David Jones after a hostile takeover by Adelaide Steamship in 1980.

"I thought having the name 'Lloyd Jones' might not be good," he said.

Charles Lloyd Jones went on to manage multiple David Jones stores. (ABC News: Shaun Kingma)

"But the managing director at the time … said to me, 'If you perform and you do the job, your name is not a hindrance to your career here'."

Can David Jones survive? 

The company has since changed hands multiple times, and has been owned by private equity firm Anchorage Capital for the past three years.

As receivers move to close down half the company's 38 stores by the end of the year, the administrator is calling for expressions of interest from prospective buyers by the end of this week.

Retail restructuring expert James Stewart told 7.30 there was no question David Jones could be saved.

David Jones's receiver is set to close half its 38 stores.   (ABC News: Fletcher Yeung)

"Anything can be saved … the question is, does it have a long-term place in the market?"

Mr Stewart said it was clear the David Jones brand still resonated, after a wave of nostalgia and record foot traffic following confirmation it had entered voluntary administration.

But he also believes it will take more than store closures for the brand to last longer term.

If a suitable buyer is found, he estimated it would take 12 to 48 months to turn the company around.

The retailer was placed in voluntary administration less than a week ago. (ABC News: Fletcher Yeung)

"There are a lot of people who love the David Jones brand," he said.

"It's just that the brand has let them down … the brand has become a shell of what it was."

Retail restructuring expert James Stewart says David Jones has become a "shell" of what it was.  (Supplied)

"Right now, what you're seeing is a bunch of customers saying, 'We actually like you. We love your brand. We want you to be here, but you need to do more for us to actually create a compelling reason for us to visit your store'.

"I don't think just repeating what you've done and being smaller is a successful, sustainable opportunity.

"I think experience matters more than anything right now in this market."

Watch 7.30, Mondays to Thursdays 7:30pm on ABC iview and ABC TV

COP31 summit targets major electrification push as 1.5C goal slips away.

Extract from ABC News

By global affairs editor Laura Tingle in Türkiye

• Topic:Climate Change

6 hours ago

Global temperatures will rise beyond Paris Agreement goal of 1.5 degrees above pre-industrial levels. (Reuters: Wolfgang Rattay)

In short:

The COP31 climate summit, being jointly hosted by Türkiye and Australia, has conceded that the Earth will warm by more than 1.5 degrees.

Nations will push for greater electrification of energy and for less reliance on fossil fuels.

But both Australia and Türkiye are being criticised for their reliance on polluting energy sources.

A pledge to have 35 per cent of the world powered by electricity by 2035 is the central aim of UN climate talks in Türkiye this week, as the international summit concedes for the first time that global temperatures will rise more than 1.5 degrees Celsius above pre-industrial levels.

Australia and Türkiye are joint presidents of this year's UN meeting on climate change.

Climate Change Minister Chris Bowen told the opening session of the conference that it was meeting "at a moment of consequence, whether it be glacial collapse in Nepal, heat deaths in Europe, or an intensifying El Niño".

"Climate change is here. It is not a forecast. It is not a prediction. It is the lived reality for billions of people."

Chris Bowen says despite missing the 1.5-degree target, global cooperation is working limit the impact of climate change. (Reuters: Ritzau Scanpix/Liselotte Sabroe)

But discussion of what to do to reduce the burning of fossil fuels that has fuelled so much of that change is the elephant in the room at this year's meeting. 

It is not formally on the agenda despite UN climate change executive secretary Simon Stiell telling the conference that "this year's fossil fuel cost chaos has delivered a global shock wave, hitting households hard and spreading inflation like a cancer".

"The fallout has been severe, both economically and politically, as we've just seen", he said in reference to the turmoil of the Iran war, and subsequent elections around the world.

Australia's export emissions under scrutiny

As United Nations climate talks commence in Türkiye, Australia's position as a climate leader will be tested.

As a major fossil fuel exporter, Australia has already come under intense criticism, particularly from Pacific nations, because it has allowed coal mining to expand and the North West Shelf gas project to be extended.

Türkiye's promotion of faster electrification also comes against the backdrop of its own heavy reliance on fossil-fuel-generated electricity.

Türkiye is Europe's largest coal power generator, with about 55 per cent of its electricity generated by coal and natural gas.

But the 35 per cent voluntary target remains relatively unambitious.

According to the International Energy Agency, electricity-generated power currently accounts for a 23 per cent share, and is forecast to rise to 30 per cent by 2035 due to existing policies already on track.

The international pledge at the climate talks held in Paris in 2015 was to limit the long-term rise in global temperatures to 1.5 degrees above pre-industrial levels.

Just 11 years later, Antalya is the first meeting to concede that will not happen.

This year's summit will urge countries to pledge greater electrification of their energy generation. (Reuters: Mohammed Aty)

Mr Bowen struck an optimistic note, saying that before Paris "the world was heading for warming approaching 4 degrees".

"Today, projections are closer to 2.6 degrees," he said.

Türkiye and Australia say the Antalya meeting will focus mostly on trying to implement measures already agreed to, rather than set ambitious new targets.

Much of the focus will be on increasing finance support to poorer countries to adapt their energy systems and to offset the impacts of climate change.

This will include measures to slash methane emissions, particularly in the oil, gas and waste sectors.

Climate Council member and economist Nicki Hutley, who is attending the Antalya meeting, said a global push for electrification was "exactly what Australian households need from this summit".

"Australia should back the electrification pledge and match it with a plan at home."

"We import most of our refined fuel, so conflicts overseas land at Australian bowsers fast, but sun and wind can't be blockaded or embargoed."

"What's missing is a clear commitment to move the world away from coal, oil and gas. Electrification only delivers lower bills and real security if we stop tying ourselves to volatile fossil fuel markets."

Scientists call on Central Australians to help find elusive desert frogs.

Extract from ABC News

• By Chris Murrkarany Fitzpatrick

• ABC Alice Springs

• Topic:Amphibians

6 minutes ago

Jodi Rowley is encouraging Central Australians to record frog calls using the FrogID app. (Supplied: James Alcock)

In short:

Scientists are calling on Central Australians to record frog calls following recent storms, hoping to fill major gaps in knowledge about elusive desert species.

Residents can record frog calls using the FrogID app, including outside the official FrogID Week.

What's next?

Researchers hope to uncover new locations for poorly understood desert species.

Central Australians are being asked to lend their ears to science as recent storms offer a chance to find elusive frogs.

The Australian Museum is calling on residents to record frog calls using its free FrogID app during FrogID Week, running until Sunday.

Among the most sought-after frogs are the Tanami toadlet and the desert spadefoot, which are burrowing frogs that can spend months and potentially years hidden underground.

FrogID lead scientist Jodi Rowley said the central deserts were among Australia's most difficult places to study frogs.

"Some of the most poorly known frogs in Australia are from the central deserts or from really remote places throughout Australia," she said.

Many desert frogs emerge only after rain, when conditions are suitable for breeding.

The Tanami toadlet's call was first scientifically recorded in 2024, more than 40 years after the elusive desert frog was first described. (Supplied: Harry Ehmann)

Some burrowing frogs retreat more than 1 metre underground, conserving moisture in protective cocoons made from their own skin.

"They've got two things to do. One is eat as much as possible and the other is breed while there's water," Dr Rowley said.

A scientific mystery 43 years in the making

First described in 1981, the Tanami toadlet's call went unrecorded by scientists for 43 years.

That changed in March 2024, when more than 300 millimetres of rain fell over a weekend at Australian Wildlife Conservancy's Newhaven Wildlife Sanctuary.

Wildlife ecologist Tim Henderson said his team had walked to a flooded claypan where frogs were calling in abundance.

Tim Henderson leads the science program at Newhaven Wildlife Sanctuary. (Supplied: Tim Henderson)

"We don't often see frogs out here because it's the desert and it doesn't rain much, but when it does, it really comes to life," he said.

The team located Tanami toadlets and recorded their calls using FrogID, giving scientists a new way to recognise the elusive species.

Dr Henderson said recording the frogs was difficult because they emerged unpredictably after heavy rain.

"It's really about being in the right place at the right time," he said.

Dr Rowley said researchers still hoped to discover more locations for the species.

The desert spadefoot, a spotted burrowing frog, is another species researchers hope to hear more from.

The desert spadefoot is a burrowing frog known for its distinctive "whoop, whoop, whoop" call. (Supplied: Abbey Dean)

"It's one of my favorites," Dr Rowley said, imitating its call.

"Something like whoop, whoop, whoop."

Everyday discoveries

Since launching in 2017, FrogID has collected about 1.5 million frog recordings, helping scientists map distributions and contributing to the scientific description of 13 new frog species.

But large parts of remote Australia remain poorly surveyed.

Dr Rowley said recordings from people travelling, camping or living in remote communities could be particularly valuable.

One recording submitted from a Northern Territory home revealed a frog more than 150 kilometres beyond its previously known range.

FrogID allows scientists to identify species such as the Howard Springs toadlet by their distinctive calls. (Supplied: Dane Trembath)

"So particularly in these remote and arid areas, your recording could be a huge scientific discovery," she said.

Long-term recordings help researchers understand changes in frog habitats, including the impacts of drought and climate change.

Dr Henderson said even recordings of common frogs could be valuable if the species had never been documented in that location.

How to get involved

People can record frogs using the free FrogID app, even outside the official FrogID Week.

Experts identify species from their calls, and background noise is not a problem.

More than 1.5 million frog recordings have been collected through FrogID since 2017, including that of the Copland's rock frog. (Supplied: Stephen Mahony)

The best opportunities are often after rain, particularly at night, although desert frogs can call during the day.

"You don't need to know what the frog species looks like. You don't need to know what it is," Dr Rowley said.

"You just submit that and then we'll get back to you."

Why cost-of-living concerns are up-ending global politics.

Extract from ABC News

Analysis

By chief business correspondent Ian Verrender

• Topic:Elections

3 hours ago

Donald Trump's ill-fated decision to bomb Iran came back to haunt him in the midterms. (Reuters: Evan Vucci)

Two countries, two elections, two very different results.

But the political upheaval in both was driven by the same economic forces running rampant across the globe.

Soaring inflation globally has spurred voters to up-end the political status quo in both the United States and New Zealand in the past week.

While the Trump administration was humiliated by the massive swing against it in America's midterms, NZ's political fate is still too close to call after several high-ranking ministers were turfed out of office.

In both cases, cost-of-living pressures loomed large over voters as governments and central banks globally struggle to contain a pricing breakout dumped upon them by Donald Trump's ill-fated decision to bomb Iran.

The US midterms should scare the heck out of Albanese

A hasty fix that crashes the economy might quicken Labor's march to a Trumpocalypse of its own making.

Both election results will have a profound impact on Australia.

America, our defence partner and a magnet for Australian superannuation funds, is key to the prosperity of many Australians, while NZ's floundering economy in the past four years has a significant impact on the size of Australia's workforce.

After the US midterm results were largely welcomed by Wall Street investors on Wednesday, the technology-heavy Nasdaq exchange experienced a brutal sell-off on Thursday night before partially recovering on Friday.

Investors remain twitchy about how Democrats will view the AI boom.

Investors are reconsidering AI's future in light of the Democrats' midterm election victory. (Reuters: Max A. Cherney)

A growing international backlash against the construction of massive data centres in urban and rural areas has raised fears that the expected pay-off for the massive investments in artificial intelligence will be seriously delayed, causing a major market correction.

The results of both elections, however, highlight the growing impotence of governments and central banks in curbing inflation after three decades of artificially low interest rates fuelled an explosion in debt at a government, corporate and household level.

Swimming in debt

Last year, global government debt hit a staggering $US112 trillion ($162 trillion), with America accounting for the lion's share: about 38 per cent.

As inflation remained bottled up since the late 80s, interest rates declined, particularly after market upheavals such as the tech wreck and the Global Financial Crisis, and tapped out in negative territory during the pandemic.

That encouraged governments to run ever-expanding deficits. And while consumer price inflation remained in the doldrums, asset prices soared.

The cost of housing doubled and then trebled in many of the world's developed economies as stock markets continually hit new records, creating a growing wealth chasm within many societies.

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That is now bubbling over into a wellspring of discontent.

And it has occurred at a time when the cost of servicing public debt has soared, leaving governments hamstrung in their ability to alleviate the growing inequality within society or, in the case of many developing nations, unable to provide basic services.

The war in Iran and massive tax cuts for the wealthy have blown American government debt out to 126 per cent of GDP with little scope for reversing the trend. And whichever party tries to scale back will be deeply unpopular.

Australia's government debt, meanwhile, sits at 33 per cent, low by international standards but expanding as a result of ongoing budget deficits.

Cost-of-living pressures loomed large over the New Zealand election. (Reuters: David Rowland)

Kiwis heading west

The New Zealand economy has been in and out of recession since the pandemic.

While technically that no longer is the case, growth is anaemic and twitchy.

The National Party government led by Christopher Luxon, elected three years ago on a platform of reining in inflation and promoting growth, has struggled to live up to the promises.

Hence the backlash over the weekend.

Who's to blame for interest rate hikes?

The Coalition has been blaming federal government spending for rising inflation and another impending rate rise for Melbourne Cup Day, but the figures tell a different story. 

Luxon and his predecessor, Jacinda Ardern, are not entirely to blame for the country's economic woes.

Much of that can be traced home to the Reserve Bank of New Zealand, which adopted a gung-ho attitude to killing inflation after the Russian invasion of Ukraine.

The world's first central bank to raise interest rates, it sent them to 5.5 per cent, tipping the country into debilitating recessions on several occasions.

The official cash rate is now at 2.75 per cent, but with soaring fuel prices, inflation is again well outside the target zone at 3.7 per cent. With growth so patchy, raising interest rates isn't much of an option.

As with Australia, wage growth has lagged inflation, eroding workers' living standards amid a growing sense of frustration.

NZ, however, does have a safety valve. It's called Australia.

Whenever economic conditions deteriorate, many Kiwis simply pack up and head west for work.

With little or no visa requirements and with generally higher wages, it's a no-brainer.

During the past few years, Kiwis have been heading across the Tasman in numbers only exceeded in 2012 in the aftermath of the GFC.

In the three years to mid-2026, about 120,000 Kiwis headed to Australia, with a smaller number returning home.

Given what RBA governor Michele Bullock has described in recent years as a tight labour market in Australia, the influx was a welcome trend, adding skilled workers to the mix here.

Without it, NZ's jobless rate of 5.7 per cent would be much higher, and unless the country's economic woes are addressed, expect elevated levels of trans-Tasman migration in the next few years.

But after five rate hikes here this year, continued net migration to Australia is likely to put pressure on our rising unemployment rate.

Wall Street wobbles

While the risks of a sovereign debt crisis continue to mount, they have been overtaken in the past month by fears of a shake-out on Wall Street, and particularly AI stocks.

Those concerns coalesced last on Thursday night, just a day after the Trump administration was shaken to the core by the overwhelming rejection of American voters in the midterms.

The day before, immediately after the results, markets boomed in the hope that Trump would walk away from his war with Iran, allowing stability to return to energy markets, the main driver of the inflation blowout this year.

But concerns that Democrats would now impose controls over data centre construction sent Wall Street into a tailspin, with tech stocks shedding about 6 per cent.

Is Nvidia facing a spy scandal?

Given Australian superannuation funds have as much as 20 per cent of investments parked on Wall Street, with the vast bulk of that $800 billion in technology stocks, the US economy and Wall Street's performance have a direct impact on the wellbeing of most Australians.

November is generally a good month for US stocks. And, according to former investment banker Mike Mangan, a Republican loss in the midterms is almost a guarantee of outsized performance.

Ever since Eisenhower lost Congress in the 1954 midterms, a Republican president losing in the midterms has returned an average of 2.1 per cent the following month.

"Only once in 1974 did this not happen," Mangan says.

Over three months and over a year, the returns were spectacular.

But this year is unlike most others. Soaring inflation, the worst energy crisis in half a century, a stock market that has run hard for a very long time and growing unrest on the streets.

Like many other countries, the opposing party didn't win; it was the ruling party that lost. 

And unless the Democrats can take action to turn the country around, they are likely to suffer the same fate down the track as increasingly desperate voters shift politics from the centre to the extremes.