Cross posted from Mark the Graph is an excellent take on the effects of falling inflation on the GDP result.
The headline GDP growth story is fantastic: 4.3 per cent growth through the year. Wow! Break out the party, the economy is back on track to a stunning recovery.
But the growth in nominal GDP is less compelling.
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In current prices, in nominal terms, the economy is barely growing. Why is it so?
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.