Grattan on Friday: economic life won’t get much better until Australians climb that productivity mountain
To give a better understanding of where the Australian economy is at we asked two independent economists to give snapshots of our economic health – or lack of it.
Treasury figures for the year to the end of June showed a modest 2.1% economic growth, but economists quickly downgraded their outlooks and signaled another possible interest rate increase. For the average Australian, this economic situation is confusing and alarming. For years, people have been dealing with the effects of the cost-of-living crisis, with real wages falling by more than 5% between 2021 and this year.
The Middle East conflict has added to economic pressures, and the housing market has been thrown into disarray by recent tax changes. Nearly six in ten Australians now believe the country is heading in the wrong direction, according to the latest Essential poll. The government attempts to empathize with the situation while claiming it's implementing the right measures, but the opposition strongly contests this assertion.
In light of this turbulent economic landscape, this article sought insights from two independent economists, Chris Richardson and Saul Eslake, to provide a snapshot of our economic health or lack thereof.
Written by urgent.news from The Conversation AU's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
