With COVID-19 restrictions continuing in both New South Wales and Victoria the Federal Government is contributing to economic support programs in both states.
Understanding the economic impact of the current restrictions is very difficult, and comparing to past lockdowns is useful, but only to a point.
The headline of today’s ABS jobs figure is very positive – the lowest unemployment rate for a decade.
Until the vaccination program is successfully executed policy makers will need to maintain a deft touch with one foot on the brake and the other on the accelerator.
One of the conundrums of the COVID-19 era to many is why during a pandemic – with recession only having been staved off by mass government stimulus packages – house prices have been soaring.
The underlying economic premise of this budget is one of turning the corner and focusing on a more prosperous and progressive future.
As the economy rebounds from the setbacks of 2020, the government has had to navigate a path with an eye to both immediate needs and the longer term.
The Australian economy has bounced back from the COVID-induced economic downturn faster and stronger than all expectations.
Given last week’s stronger than expected capital expenditure figures, we are upgrading our forecasts for this week’s Q4 GDP figure to 2.3 percent.
Today’s Labour Force survey shows that the Australian economy was continuing to recover in September despite the unemployment rate ticking up to 6.9 percent.
The latest GDP results shows the national economy screeched to halt in the June quarter of 2020, declining 7 percent from the previous quarter, to be down 0.2 percent year on year.
Migrants into Australia are a vitally important part the economy, worth $1.6 trillion by 2050. Migrants not only offer important economic benefits, they also bring diversity of thinking, innovation and growth to the Australian business landscape.
Among the myriad reasons to hope for a vaccine for COVID-19 is that an ongoing shortfall in skilled immigration will significantly damage Australia’s medium-term economic fortunes.
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