Australian Economy

Via Martin North: The latest edition of the DFA household surveys, up to 31st March 2020 reveals in painful detail the impact of the current health emergency.

Via The Guardian: Tanya Plibersek has called on the Morrison government to provide low-cost loans and guarantee universities’ funding, warning some are at risk of collapse due to falls in international enrolments during the Covid-19 crisis.

Via AIG: Much worse ahead.

The RBA released its household debt ratios for the December quarter, which revealed that debt loads remain near record highs despite households furiously repaying debt.

Cross-posted from FTAlphaville: Deutsche Bank’s Jim Reid has been on a tear recently, not only getting out his excellent macro round-up every morning but also finding time, somehow, to put together a daily corona-specific report and some thematic research.

The federal government has provided some $1 billion in financial assistance to the aviation sector as part of its response to the coronavirus pandemic.

Data demand among national broadband network (NBN) users has increased by up to 80% since lockdown measures began to implemented and more people started working from home.

The state and federal treasurers are working on a package to assist commercial tenants that have been hard hit by the coronavirus.

By Gareth Aird, senior economist at CBA: Key Points We expect the Australian economy to contract by 7.5%/qtr in Q2 20 and by 3.4% in 2020.

Via Bill Evans at Westpac: Events have been moving quickly in the Australian economy. With the announcement of the Australian Government’s latest JobKeeper Payment (JKP) policy and further tightening of social distancing guidelines we have reviewed our employment, GDP, and Budget deficit forecasts.

More data has emerged on the pervasive impact the partial shutdown is having on people movements in Sydney and Melbourne.

Although older Australians are much more likely to die from the coronavirus, the pandemic will have a major impact on the future income and career prospects of many younger people.

Lot’s of ignomious politcking around the flawed JobKeeper program today, at the AFR: With Labor and the ACTU calling publicly for such a wage, arguing that the welfare safety net in the second stimulus or “survival” package was not enough, insiders say Treasury Secretary Steven Kennedy drove the policy at the start.

Funny stuff: That gives you some idea of how runiously thin is Australia’s contemporary industrial base.

Is that all?

So, the Fact Sheets on the Morrison Government’s “Job Keeper” $1500 a fortnight wage subsidy have been released and, as expected, they are overly complicated.

The Murdoch press is truly nation destroying.

Via ANZ: ANZ-Roy Morgan Australian Consumer Confidence: ‘Future finances’ and ‘inflation expectations’ rose, but we aren’t getting carried away.

Via the excellent Damien Boey at Credit Suisse: The Australian government has pledged an additional $130 billion over the next 6 months in wage subsidies.