The extraordinary collapse of Australian real incomes

OECD data shows that Australia has experienced the largest decline in real per capita household disposable incomes in the developed world.

The March quarter national accounts release from the Australian Bureau of Statistics (ABS) showed that annual real per capita household disposable income was tracking 8.2% below its Q2 2022 peak:

Tuesday’s Statement of Monetary Policy (SoMP) from the Reserve Bank of Australia (RBA) suggested that the recovery of real per capita household disposable income will be painfully slow.

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About the author

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.