Frydenberg must lower his unemployment target

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The Grattan Institute has taken direct aim at Treasurer Josh Frydenberg’s goal of winding back stimulus once Australia’s unemployment rate hits 6%:

Treasurer Josh Frydenberg’s announcement that he’ll prioritise reducing unemployment ahead of reducing government debt is welcome news…

But the Treasurer’s pledge to keep running deficits “until the unemployment rate is comfortably back under 6%” is nowhere near ambitious enough.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.