Economics

Brendan Rynne, KPMG Chief Economist, comments on latest RBA rate cut.

By cutting rates, the RBA is sending a signal to the market, to politicians and to the community at large, that the Australian economy is not firing on all cylinders

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RBA holds interest rates and its in our best interest

So, the Reserve Bank of Australia resisted growing calls to cut interest rates yesterday. They were right to do so.

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Latest Trump tariff announcement turns trade war scenarios into worrying reality

Yesterday saw the long-awaited announcement by the US government of a Ce further $200bn of tariffs on imported goods from China. This instantly quadrupled the amount of tariffs previously implemented.  

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Put simply, there are no winners in trade wars

Last Friday, Australian time, the US placed another US$16bn worth of tariffs on imported goods from China. The real possibility of tariffs on a further US$200bn of Chinese imported goods into the US remains a far more significant risk to global economic conditions.

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Wage growth remains weak, with unemployment trending down

Data released by the Australian Bureau of Statistics (ABS) reveals wage growth is still persistently weak, while unemployment is trending down in most jurisdictions.

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Mental health reform is a social and economic investment for the future of Australia

Australia is in the midst of a productivity growth malaise, but an often unspoken outlier, improving mental health, could be the microeconomic reform of the 21st century.

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KPMG Economics report shows tariff retaliation would damage global growth

Governments and businesses around the world have expressed alarm at the possibility of a trade war developing from the planned US tariffs on steel and aluminium.

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Trump tax cuts pose serious questions for Australian economy

KPMG Economics’ global macroeconomic modelling suggests Australian GDP will be permanently reduced by 0.3 percent in the medium term as a direct consequence of the U.S. tax reforms. This equates to A$5bn and 25,000 jobs lost.

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Australia’s cost competitiveness is fixable but needs a strong reform agenda

What Australia produces, and how much we produce it for, are both factors in how successful we will be as a country in the global marketplace.

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Economic modelling of the National Energy Guarantee: will it ensure reliability and deliver the savings?

The National Energy Guarantee should help put downward pressure on electricity prices. Chief economist Brendan Rynne has ‘crunched’ the numbers.

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Third quarter economic results: can the global economy pull Australia along?

On balance of risks KPMG Economics maintains its forecast of global growth for 2017 with real GDP at 3.0 percent lifting to 3.4 percent in 2018.

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Ten years on from the Global Financial Crisis we do the sums and ask, are we there again?

Ten years on from the GFC it is instructive to look back at the key signs preceding the crisis and ask, a decade on, whether we are now clear from those problems?

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Housing affordability & health: more insights on #Budget2017

The underlying economic forecasts contained in the budget do not indicate boom times ahead, and there is current excess capacity within the Australian economy which will take some time to be taken up.

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