But it’s not only the Baby boomers spending with their capital gains from housing. In any other era, Generation Y’s, currently in their twenties would have left home and be putting all available funds into the mortgages, to pay off what was once the great Australian dream.

While some are living at home, and trying to save every little cent to put towards a housing deposit to get ahead in a distantly fading market, others have lost any hope of ever entering into the housing market.

To drown their sorrows, they are using retail therapy. Why not, there is nothing else to save for? Many are spending their entire disposal incomes on the latest gadgets, iPods, big screen LCDs and Plasmas.

All this consumer spending on goods and services flow straight into the economy. It underpins company profits and creates extra jobs, not only domestically but also abroad in countries like China. Australian’s aren’t the only ones, American’s and the Brit’s are spending up big too, like most other OECD countries.

China has capitalised on the moment, fueling a rapid expansion in their country of which both the raw materials to make the products they on sell and the infrastructure they build to support their manufacturing base comes from resource rich countries such as Australia.

This in turn helps keep people in employment here, giving them more disposable income to help fuel the current boom.