The ABS has released December quarter GDP figures and it’s bang on consensus at 0.6 for the quarter and 3.1% for the year.
It looks like the public sector saved the day:
In seasonally adjusted terms, the main contributors to expenditure on GDP were Total public gross fixed capital formation (1.1 percentage points), and Net exports (0.6 percentage points). The main detractors were Total private gross fixed capital formation (-0.9 percentage points) and Changes in inventories (-0.4 percentage points).
This is a pattern we could see played out for the next several years (depending upon the election result). Public investment growth offsetting private sector investment falls with some support form net exports. Dr No will mess with it at his peril.
More to come from the Unconventional Economist…
