A major reason for the decline in Australia’s productivity and living standards is that Australia has grown its population rapidly via mass immigration (i.e., 8.7 million population increase this century, the fastest in the advanced world) but has failed to provide the extra workers with extra tools, machinery, and technology; extra homes for the millions of extra families; and extra infrastructure (roads, rail, schools, hospitals, water supplies, energy, etc).
As a result, everyone’s standard of living has gone down, not up.
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Australia’s productivity has been harmed by ‘capital shallowing’ as the amount of capital investment per person has shrunk.
