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The December quarter national accounts described an economy running below potential on all fronts. However, that simple characterisation hides a tentative bottoming in the cyclical sectors evinced by fearful symmetry, even though nontraded services activity admittedly remains in a relative torpor, while the fiscal drag in the quarter was substantial. GDP expanded by a puny 4.5%yr, with calendar 2012 recording a 5.0% outcome…
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.
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