MB has frequently noted how Australia’s labour market growth has been driven by government spending. This is best illustrated by the next chart showing the change employment across industries in the decade to August 2018:
As shown above, Health Care & Social Assistance (+586,800), Professional, Scientific and Technical Services (+292,100), Construction (+210,200), and Education (199,600) have been the big gainers. Health Care & Social Assistance and Education are directly driven by government spending, whereas Construction is also impacted via public infrastructure investment.
