Australian Economy

Australian living standards cannot grow without productivity growth

Leith van Onselen
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Without an increase in output (GDP) per hour worked (i.e., labour productivity), Australia’s economy cannot grow at a robust pace without causing inflation. Australian living standards also stagnate.

I outlined why in my recent expert testimony to the Senate Committee on Productivity. You can read my opening statement here and watch my testimony here.

Australia’s labour productivity growth has ranked amongst the poorest in the OECD over the past decade.

GDP per hour worked

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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.
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