Standstill
The new condition afflicting Australia’s economy
Symptoms, causes, consequences, and cures
Does the Standstill herald a fall in living standards?
Living standards are now declining according to our 2017 Standstill update available at:
In August 2015, the Governor of the Reserve Bank of Australia expressed a concern that Australia’s real GDP growth rate may be on a new trend of around 2.8% rather than the 3% plus that he had previously thought was the trend rate.
Treasurer Joe Hockey rejected Mr Stevens’ concern, saying “I think we can get back to 3.25% to 3.5%”.
The 2015 Standstill report suggests that both views are optimistic. Download report.
Prominent economist Ross Garnaut, in his 2013 book “Dog Days” warned of the potential of falling living standards and of the “Great Australian Complacency” which had brought us to this situation.
In late August 2015 former chief of the Treasury Department, Martin Parkinson said
Australia seemed to be in a state of denial about slowing growth in living standards
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The complacency that set in during the period since around 2000 continues!
We need a plan fr our economy, beyond outsourcing management of it to monetary policy.
Charlie Nelson
managing director
foreseechange