At least computers and ice cream cost less
A COST of living crunch is being felt by many households, but Australians are getting more bang for their buck across thousands of products and services compared with a decade ago.
Detailed Australian Bureau of Statistics consumer price inflation data shows while overall costs have climbed almost 20 per cent since mid-2011, prices of several products have plunged more than 12 per cent.
Computing equipment had the biggest price falls, down 56 per cent, followed by telecommunication costs falling 25 per cent, but others on the list may surprise people more.
Fruit is now 15 per cent cheaper than it was a decade ago, while breakfast cereals, bank fees and even ice cream also cost less today.
For many, these small wins are overshadowed by bigger price increases in necessities such as health, education and utilities, economists and budgeting specialists say.
KPMG chief economist Brendan Rynne said falling prices were all about global supply chains and competition among manufacturers, retailers and other businesses.
AMP Capital chief economist Shane Oliver said lower prices for discretionary goods would continue if vaccines worked long-term and people went back to spending more money on holidays and entertainment.
“It’s the necessities of life that have been going up the most,” he said.
The ABS data shows electricity, gas, council rates, insurance, education and health costs have all jumped at least 40 per cent in a decade.