Via Jess Irvine today:
With jobs at risk, Morrison is understandably feeling pressure to respond with a multibillion-dollar stimulus package. Indeed, given the very low cost of borrowing at the moment, some strategic spending to keep affected industries on their feet and employing their workers is prudent until normality returns. But Morrison must also tread carefully.
“The effect of the virus will come to an end at some point,” reminds Debelle. “Once we get beyond the effect of the virus, the Australian economy will be supported by the low level of interest rates, the lower exchange rate, a pick-up in mining investment, sustained spending on infrastructure and an expected recovery in residential construction.”
