For the House-Buying Power of 26 Years Ago, The Average Kiwi Wage Would Have to Be $79.25/hr Today

Housing is commonly left out of inflation measures, which is why low inflation rates are always reported. Unfortunately for Kiwis, the reality is that housing costs make up a large and ever-growing proportion of our expenses. This study will show that the average house-buying power of the average Kiwi worker is less than 40% of what it was 26 years ago.

The average house price in New Zealand on the 31st of January 1992 was $105,000, according to Real Estate Institute of New Zealand figures. This is as far back as figures go – 26 years. The average wage in New Zealand was $14.72 in the first quarter of 1992, according to Trading Economics. Assuming a 40-hour workweek, this works out to an average weekly wage of $588.80.

If a person saved 50% of their average wage in 1992, they would save $294.40 a week, which would be $15,351 per year. This would allow that person to buy the average New Zealand house after 6.84 years. So a person who completed university at the end of 1991, at age 21, and got a job at the average wage with their Bachelor’s degree, could expect to own an average house, mortgage-free, before age 30.

Saving half of one’s income is some feat, however, especially if one also has to pay rent or a mortgage. Saving 25% of the average wage, a more attainable proportion, would see a person in 1992 save $147.20 a week. This would be $7675 per year, which makes the average house attainable after 13.68 years.

Still, that means that in 1992, anyone who was willing and able to work at the average wage could own their own house outright within 13.68 years if they could only save a quarter of their income. This means by age 35 if they graduated from university at age 21 and saved a quarter of their income after then. Easy times.

In 2018, things are very different. The average wage has now gone up to $31.08 by the second quarter of 2018, but the average house price has jumped to $560,000 in those 26 years.

Using the example above, a person who qualified from university at the end of 2017 at age 21, and who immediately got a job at the average wage, would earn $1,243.20 per week. 25% of this is $310.80, which works out to $16,206 per year. Because the average house price is now $560,000 in New Zealand, that means that the average Kiwi worker now has to work for 34.56 years before they can expect to own their own house outright.

This means that the average Kiwi in 2018, even if they graduated at age 21 straight into an average wage and saved 25% of their income perpetually, still couldn’t afford to own the average house freehold until age 55, whereas such a thing was attainable 26 years ago by age 35. The middle-class dream is now dead in New Zealand. Kiwis are now tenants in what used to be our own country, enslaved by capital.

Another way of looking at this grim equation is that the average wage in 2018 has a mere 39.6% of the average-house-buying power that the average wage had in 1992. Even a person who managed to save 50% of the average wage from age 21 – a frankly incredible feat in today’s economy – couldn’t own the average house until age 39.

To correct this imbalance, the average wage would have to rise 155%, from $31.08 to $79.25. This is the cold, hard maths of our situation: the average wage would have to be almost $80 to give the average Kiwi worker the same chance of owning the average home as in 1992.

Note that an average wage of $79.25 an hour would represent no change in wealth from 1992. Even with an average wage that high, we would still have no more average-house-buying power than the average wage did in 1992. All of the benefits of the last 26 years of technological and logistical advances would go to their creators and the capital that financed them.

$79.25 is what the average Kiwi worker would have to make per hour today, in order to have the same average-house-buying power as they would have had in 1992. If the average worker got a share of that, the average wage would be over $100 per hour.

Note also that it’s much harder to get a job paying the average wage at age 21 now, compared to 1992. A Bachelor’s degree is no longer the mark of excellence that it was in the mid 1990s – now one needs a Master’s degree to be at that level, which means two more years of no earnings and borrowed money. Moreover, the open borders of neoliberalism mean that you now have to compete with half of the planet just to get that one job.

Note thirdly that $560,000 is the average New Zealand price and is no way representative of Auckland or even Christchurch or Wellington. If you want to buy an average house in a relatively major centre you will be looking at paying even more than $560,000.

In summary, the Baby Boomers of New Zealand have subjected Generation X and the Millenials to what can only be described as intergenerational rape.

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If you enjoyed reading this essay, you can get a compilation of the Best VJMP Essays and Articles of 2017 from Amazon for Kindle or Amazon for CreateSpace (for international readers), or TradeMe (for Kiwis).

Writing Schizotypal Personality Disorder

Frequently confused with schizophrenia, Schizotypal Personality Disorder (STPD) is a schizophrenia spectrum disorder that manifests as an extremely odd or eccentric personality type, with strong social anxiety and unpopular beliefs. The characteristic feature of it is an unwillingness or inability to engage in close social bonds such as friendships. This article looks at how to write engaging and believable characters with STPD.

The concept of a “schizophrenia spectrum” is relatively new and the precise boundaries between the various stages on this spectrum are not yet perfectly clear. One way of thinking of STPD is as a less debilitating and destructive form of schizophrenia. STPD is a Cluster A personality disorder, which means that people with the condition broadly come across as odd or eccentric, but not particularly dangerous or anxious.

Despite affecting around 3% of the population (and a higher percentage in males), so that almost everyone will have met someone with it, STPD is not a well-known condition. A character with STPD might be conspicuous on account of odd habits when it comes to speech or dress. They might mumble and speak vaguely and imprecisely, and they might wear highly unfashionable clothing or styles of clothing without thinking it amiss.

Some theories consider that there are two different forms of schizotypal personality disorder, one which is passive and one which is active. These are called insipid and timorous schizotypy.

If the protagonist of your story encounters an insipid schizotypal person, they might have difficulty with that person’s strange and absent way of being. Sometimes this sort of schizotypy can come across as vacant, as if the person inside was without emotion. If your protagonist is not a worldly type they might mistake a character with STPD for being on heavy drugs.

The protagonist of your story might want to make friends with a character who has a condition like this, only to be constantly frustrated. The other character might have decided as a general rule that other people don’t like them and so it’s not really worth trying to be friends with them, and so they are not interested in a friendship with your protagonist. Your protagonist might try several ways to overcome this social reticence, and may or may not succeed.

People who are timorous schizotypal are likely to create a different set of problems. This version of schizotypy is more active, which means that it is more likely to present as hostility and paranoia. Although a character with this condition is not likely to become aggressive, they are still likely to exhibit much of the suspicion, wariness and hostility that other people often mistake for aggression.

If the protagonist of your story has schizotypal personality disorder, they might find that other people can’t tell the difference between them and a schizophrenic. It is possible that a person with schizotypal personality disorder is not much different from the characters around them, but that this difference is still enough to cause their ostracisation.

As might be guessed from the above descriptions, people who have STPD often have related conditions, such as Paranoid Personality Disorder, Depression or Avoidant Personality Disorder. People with STPD are often genuinely afraid of other people and what those other people might think of them, and this can lead to them becoming paranoid about what other people are saying about them.

A person with STPD might then choose to just stay away from other people so as to not give them a reason to dislike them. A character developing this condition might find themselves discovering more and more reasons for avoiding social contact until they end up becoming a shut in.

Also very common are what are called delusions of reference. This is when a person encounters an event that they interpret as having special meaning just for them. For instance, a character with STPD might hear some advertisement on television and think it’s referring to them specifically, or they might meet a person twice on the same day by total coincidence, and mistake this for being stalked or similar.

Like many of the conditions in this book, schizotypal personality disorder is heavily correlated with early childhood abuse and neglect. There are some theories that suggest that the schizophrenia spectrum, rather than being simply a form of damage, is an adaptation, in which the person afflicted falls into chaos in the hope of reforming in a healthy way, instead of staying hard and risking becoming vicious.

For this reason, the schizotypal personality, like the schizophrenic, often feels hard done by and misunderstood. They might be aware that the usual course of action for a person who has been damaged as badly as them is to become cruel, perhaps vicious, and that their condition has in some sense prevented this. A profound sense of injustice can arise from the reality that their condition will afford a low social status.

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This article is an excerpt from Writing With The DSM-V (Writing With Psychology Book 5), edited by Vince McLeod and due for release by VJM Publishing in the summer of 2018/19.

Who Are the Sweden Democrats?

“Keep Sweden Swedish” – a campaign poster for the Sweden Democrats

Shockwaves will go through the West in the aftermath of the Swedish General Election on the 9th September. Opinion polls are suggesting that the post-war Swedish consensus is about to be shattered, with it looking increasingly likely that the Sweden Democrats are going to win the most seats. This essay seeks to explain who the Sweden Democrats are and how they rose to prominence.

It’s the Swedish Summer of 2008. The country has been rocked by the news that the Sweden Democrats, considered by most to be neo-Nazis, have just come over the 4% threshold in latest opinion polls. If they can maintain this level, they will enter the Riksdag (Parliament) at the next election. I’m sitting at the waterfront, not far from the centre of Stockholm, discussing the situation with a politically engaged friend of mine, a member of the Social Democrats.

I had just spent the summer in the North of Sweden, a vast and rural area, long known as the heartland of the Social Democrats. The Far North has always been poorer than the Swedish South, for a variety of reasons, and therefore somewhat dependent on government assistance. Many people up there are unemployed and on benefits, and they were not happy about immigration.

Talking to these people and listening to their grievances, I got a sense that the bounds of solidarity had been extended too far in Sweden. These people had been raised to think of Sweden as a giant family, where the high levels of homogeneity meant that everyone had something in common, and so everyone looked out for each other. The mass importation of Muslim and African immigrants could only mean less solidarity for the rural Swedish poor, which was reflected in their poverty.

For whatever reason, this unhappiness with the state of the nation was not taken seriously by the ruling classes. Sweden Democrat voters are poorer and less educated than average (like nationalist voters elsewhere) and the attitude of the Swedish ruling classes seemed to be that these people could be dismissed as simple racists and hicks.

It was apparent from talking to my friend in Stockholm that this grievance movement was not being taken very seriously. Of course the Swedish poor are poor, the argument went, but the refugees are even poorer, so it’s fair that the Swedish poor are made to go to the back of the queue in favour of the refugees. If they didn’t like that, then they didn’t appreciate how good they had it in Sweden, which was of course the world’s best at everything.

In any case, the rural poor were usually just smygracister – a word that describes a person who makes decisions out of racism, but is too ashamed to admit it. I pointed out that calling these angry people who felt betrayed ‘racists’ was not going to help the situation. In fact, it would make them feel that their anger was justified and that the government and the ruling classes had truly betrayed the Swedish people.

But the denial persisted. The Muslims and Africans would “försvenskar sig” (make themselves Swedish) and they would then be exactly like us, and all of the grievances would disappear. Being a psychologist, and having a deep interest in history I knew that the immigrants didn’t give two shits about becoming Swedish, or about Sweden in general. Sweden was, to them, just a bitch to be exploited and used. The fact that she gave herself so willingly was ample justification.

Few agreed with my dire prognosis at the time, but having met and spoken to Sweden Democrats voters, I knew that their movement would only grow in strength. Because the grievances of their voters would not be met, their march to power was inexorable, and that would not be a good thing for a foreigner like myself. For that reason, I decided to leave Sweden in 2008.

Sweden Democrats voters are the disaffected poor, who have come to feel that they are not represented by the neoliberal tag-team of the Social Democrats and the Moderates. They are the people who have lost out from neoliberalism, and from the freedom of capital to drive down wages through strategies such as mass importation of incompatible Third Worlders. They are not just dumb hillbillies who have been aggravated by far-right wing rhetoric.

The way they felt about mass immigration was how I would feel if my parents gave my inheritance away to some random strangers because they felt kinder helping strangers than helping their own family.

Sweden Democrats supporters feel deeply, deeply betrayed by the decision of the Swedish ruling classes to open the borders to the Third World. If you are Swedish, and poor, and you need help from the state for the sake of a physical or mental illness but can’t get it because of a lack of funding, it’s extremely difficult, and galling, to watch the government spend money on refugees.

The heaviest concentration of Sweden Democrats voters is in the Far South, which is also the area with the heaviest concentration of Muslim and African immigrants. In some areas in Skåne, the Sweden Democrats are predicted to get over 40% of the vote – which will be most ethnic Swedes. These are the people who have seen first hand the effects of mass immigration, and they understand more than anyone else how much has been lost, and how bad things could get.

These people are not bad people, and they’re not stupid losers. They’re simply people who have been lied to and betrayed by their rulers, and are angry and trying to take action to prevent further losses and humiliations. They’re not necessarily nice people, and they’re not necessarily open-minded, but neither of those things will stop them from getting their will through.

It’s already apparent that the other parties will work together before they allow the Sweden Democrats into power. After all, the Social Democrats and the Moderates are both neoliberals, and mass immigration is one of the main policy planks of neoliberalism. This can only mean that the Sweden Democrats will continue to grow in strength until the day where they take power outright.

When that day comes, anything can happen. The Sweden Democrats, and their supporters, utterly despite both the Social Democrats and the Moderates, and will be more than happy to throw everything out the window in order to stop Sweden from disintegrating into a Third World country. Anyone who suffers from this, Swede or otherwise, will be considered merely collateral damage.

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If you enjoyed reading this essay, you can get a compilation of the Best VJMP Essays and Articles of 2017 from Amazon for Kindle or Amazon for CreateSpace (for international readers), or TradeMe (for Kiwis).