The wor­ry­ing state of our econ­omy

GQ (Australia) - - NEWS -

Aus­tralia’s econ­omy jumped off the sheep’s back and into an open-cut mine some time ago, but the past year saw the slide of the re­source boom, re­in­forc­ing the fact that when the gi­ant Chi­nese econ­omy sneezes, the world thinks it has Ebola. A fall in China’s growth fig­ures means lower de­mand and tum­bling prices for raw ma­te­ri­als – a dam­ag­ing hit made worse by a new, global sup­ply flood of com­modi­ties like iron ore. Min­ers are ac­tu­ally tight­en­ing their belts, even if it doesn’t look to be the case with Gina Rine­hart. Our own growth fig­ures have done noth­ing to soothe the in­som­nia of econ­o­mists, with a fig­ure of just 0.2 per cent for the most re­cent quar­ter, rated as per­ilously close to a fail. The hated R word – re­ces­sion – has also been rais­ing its head, how­ever one plus (for any­one older than 35 and al­ready on the lad­der) is the lo­cal prop­erty mar­ket con­tin­ues to rise, while the pre­cip­i­tous fall in the dol­lar is ac­tu­ally good for in­ter­na­tional com­pet­i­tive­ness.

THE GQ INSIGHT: The de­par­ture of Ab­bott and Hockey prompted an in­stant boost in con­sumer and busi­ness con­fi­dence. As for that Perth in­vest­ment prop­erty, sell it (if you haven’t al­ready).

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.