Can deflationary growth continue?

Wednesday, 13 June 2012

Here are charts for the GDP(E) implicit price deflator index, followed by growth charts for that same index. Lots of volatility to think about here … if history is anything to go by, we can have a few more quarters of significant export price deflation driving real growth in GDP (relates to an earlier post).

About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.