Australian Economy

From Westpac: • The six month annualised growth rate in the Westpac-Melbourne Institute Leading Index, which indicates the likely pace of economic activity relative to trend three to nine months into the future, rose from 1.14% in February to 1.17% in March.

Via Domainfax: A federal government agency has handed its public servants scripted lines, to be recited in “BBQ conversations” and other “social settings”, about its controversial move out of town.

By Gareth Aird, senior economist at CBA: Key Points: We expect the headline CPI to rise by 0.6% in QI (2.3%pa). The underlying CPI on our forecasts will print at 0.5% (1.8%pa).

Via Peter Martin: The May budget is set to forecast a surge in economic growth, much lower unemployment and a rebound in inflation, according to a ‘sneak preview’ released by the International Monetary Fund Wednesday morning in Washington.

At Domainfax there is an interesting housing bubble piece today: Intense media focus on housing affordability has primarily focused on the story of the individual; the young person who can’t afford a house.

From late 2011, MB warned the RBA and Treasury against its wrong-headed plan to catapult the Australian economy over the mining bust by blowing a new housing bubble.

By Leith van Onselen One of the most common arguments used to support mass immigration is the claim that it keeps the population young and productive, and without constant immigration, the population would grow old and the economy would stagnate.

From Do-nothing Malcolm: This won’t be enough to win back One Nation voters or silence Tony Abbott but it’s the thin end of the wedge.

From the AFR: Victoria’s Ace Metal Treatment Services has found a just-bearable fix to its gas supply problems – but it’s come at a hefty price.

Via Domainfax: Deloitte Access Economics’ quarterly business outlook, released today, predicts the official cash rate of 1.5 per cent will climb slowly in 2018 and 2019 to reach 3 per cent in the early 2020s.

Via the AFR: The peak industry group has urged the Prime Minister to increase the pressure on east coast gas exporters to expand local supplies and consider restricting exports to tackle the “enormous” price impacts on energy buyers.

From Essential poll: Only 13% of Australians are seeing rising living standards.

By Leith van Onselen Remember late last month when the Turnbull Government committed low wages harakiri by warning the Fair Work Commission against a significant rise in the minimum wage, warning that an “excessive” pay rise could imperil job creation and making the idiotic comment that low-paid workers “are often found in high-income households”?

By Leith van Onselen Thursday’s ABS labour force release for March revealed yet more bad news for those aged 15 to 24 years old that are looking for a job.

Just weeks out from the 2017 Federal budget Gunnamatta spoke with David Llewellyn Smith and Leith van Onselen about the economic backdrop framing budget decisions, as well as the dynamics of Australia’s key commodity exports and the implications this has for the economic outlook, employment, incomes growth and the housing market.

From the AFR: Cement maker Adelaide Brighton, steelmaker Arrium and 22 other major energy users in South Australia have won draft clearance from the competition regulator to jointly purchase electricity in a significant move that looks set to change the balance of power in the state’s fragile energy market.

By Leith van Onselen As summarised earlier, the Australian Bureau of Statistics (ABS) today released its labour force report for March, which registered a big 60,900 increase in total employment but no change in the headline unemployment rate (still 5.88%).

The ABS has released Labour Force for March and the news is better: Employment increased 60,900 to 12,059,600.

By Leith van Onselen Over the past two years, we have witnessed a veritable conga-line of rorts and exploitation involving foreign workers.

How the world turns, via the AFR: The advice to young Australians from one of the country’s most prominent economists is “don’t buy”, after a week in which there has been lots of talk from government about housing affordability but growing scepticism about how much they can actually affect the market.

By Leith van Onselen Back in December, the NSW Audit Office released its annual snapshot, which revealed that public transport use is soaring across Sydney placing even more strain on crowded trains and buses, which rarely run on time: …patronage across the public transport network increased by 12 per cent last financial year.

By Leith van Onselen The Australian Bureau of Statistics yesterday released its overseas short-term arrivals and departures figures for February, which continued to show a trend rise in the number of inbound tourists, with Chinese arrivals continuing to boom.